Amidst the fast-paced and highly competitive business environment of today, conducting comprehensive company analysis is essential for investors and industry enthusiasts. In this article, we will delve into an extensive industry comparison, evaluating Coeur Mining (NYSE:CDE) in comparison to its major competitors within the Metals & Mining industry. By analyzing critical financial metrics, market position, and growth potential, our objective is to provide valuable insights for investors and offer a deeper understanding of company's performance in the industry.
Coeur Mining Background
Coeur Mining Inc is a metals producer focused on mining precious minerals in the Americas. It is involved in the discovery and mining of gold and silver and generates the vast majority of revenue from the sale of these precious metals. The operating mines of the company are palmarejo, Rochester, Wharf, and Kensington. Its projects are located in the United States, Canada, and Mexico generating maximum revenue from United States.
| Company | P/E | P/B | P/S | ROE | EBITDA (in billions) | Gross Profit (in billions) | Revenue Growth |
|---|---|---|---|---|---|---|---|
| Coeur Mining Inc | 13.17 | 1.62 | 4.19 | 3.6% | $0.45 | $0.43 | 137.79% |
| Newmont Corp | 12.26 | 2.89 | 4.16 | 9.48% | $5.25 | $4.74 | 45.85% |
| Agnico Eagle Mines Ltd | 14.48 | 2.93 | 5.71 | 6.65% | $3.0 | $2.72 | 66.09% |
| Wheaton Precious Metals Corp | 28.03 | 5.45 | 18.38 | 6.49% | $0.77 | $0.7 | 91.63% |
| Anglogold Ashanti PLC | 12.01 | 4.85 | 3.74 | 15.41% | $2.04 | $1.94 | 64.85% |
| Kinross Gold Corp | 10.12 | 3.12 | 3.64 | 9.54% | $1.6 | $1.44 | 60.78% |
| Pan American Silver Corp | 14.09 | 2.56 | 4.43 | 6.37% | $0.78 | $0.61 | 49.29% |
| Royal Gold Inc | 24.44 | 2.31 | 11.51 | 3.86% | $0.41 | $0.31 | 142.52% |
| Alamos Gold Inc | 12.25 | 2.80 | 6.29 | 4.23% | $0.39 | $0.39 | 79.19% |
| Iamgold Corp | 9.32 | 2.13 | 2.74 | 8.91% | $0.65 | $0.57 | 115.91% |
| Eldorado Gold Corp | 10.88 | 1.88 | 3.21 | 3.17% | $0.32 | $0.29 | 49.88% |
| Equinox Gold Corp | 26.30 | 1.25 | 2.91 | 5.2% | $0.46 | $0.44 | 224.27% |
| Triple Flag Precious Metals Corp | 19.94 | 2.89 | 13.65 | 5.58% | $0.15 | $0.11 | 78.73% |
| OR Royalties Inc | 23.87 | 4.07 | 18.60 | 5.07% | $0.1 | $0.09 | 87.25% |
| SSR Mining Inc | 10.87 | 1.62 | 3.25 | -2.98% | $0.34 | $0.36 | 83.75% |
| OceanaGold Corp | 7.65 | 2.35 | 2.57 | 9.81% | $0.42 | $0.4 | 98.53% |
| Aura Minerals Inc | 56.83 | 17.61 | 4.52 | 33.53% | $0.18 | $0.23 | 136.46% |
| B2Gold Corp | 9.97 | 1.41 | 1.53 | 5.5% | $0.52 | $0.61 | 117.75% |
| Orla Mining Ltd | 13.51 | 4.83 | 2.79 | 10.68% | $0.2 | $0.22 | 169.34% |
| Centerra Gold Inc | 5.21 | 1.53 | 2.08 | 3.82% | $0.17 | $0.2 | 61.83% |
| Aris Mining Corp | 17.21 | 1.97 | 2.63 | 6.47% | $0.19 | $0.22 | 136.45% |
| Average | 16.96 | 3.52 | 5.92 | 7.84% | $0.9 | $0.83 | 98.02% |
When analyzing Coeur Mining, the following trends become evident:
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The stock's Price to Earnings ratio of 13.17 is lower than the industry average by 0.78x, suggesting potential value in the eyes of market participants.
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With a Price to Book ratio of 1.62, significantly falling below the industry average by 0.46x, it suggests undervaluation and the possibility of untapped growth prospects.
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Based on its sales performance, the stock could be deemed undervalued with a Price to Sales ratio of 4.19, which is 0.71x the industry average.
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The Return on Equity (ROE) of 3.6% is 4.24% below the industry average, suggesting potential inefficiency in utilizing equity to generate profits.
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With lower Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of $450 Million, which is 0.5x below the industry average, the company may face lower profitability or financial challenges.
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The company has lower gross profit of $430 Million, which indicates 0.52x below the industry average. This potentially indicates lower revenue after accounting for production costs.
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The company is experiencing remarkable revenue growth, with a rate of 137.79%, outperforming the industry average of 98.02%.
Debt To Equity Ratio
The debt-to-equity (D/E) ratio provides insights into the proportion of debt a company has in relation to its equity and asset value.
Considering the debt-to-equity ratio in industry comparisons allows for a concise evaluation of a company's financial health and risk profile, aiding in informed decision-making.
In terms of the Debt-to-Equity ratio, Coeur Mining stands in comparison with its top 4 peers, leading to the following comparisons:
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When comparing the debt-to-equity ratio, Coeur Mining is in a stronger financial position compared to its top 4 peers.
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The company has a lower level of debt relative to its equity, indicating a more favorable balance between the two with a lower debt-to-equity ratio of 0.07.
Key Takeaways
For Coeur Mining in the Metals & Mining industry, the PE, PB, and PS ratios are all low compared to peers, indicating potential undervaluation. However, the low ROE, EBITDA, and gross profit suggest lower profitability and operational efficiency. On the positive side, the high revenue growth indicates strong top-line performance compared to industry peers. Overall, Coeur Mining shows potential for growth but may need to improve profitability metrics to align with industry standards.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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