| Fresnillo PLC (GB00B2QPKJ12) | |||
14,60 GBXStand (close): 03.07.25 |
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| Datum / Uhrzeit | Titel | Bewertung |
| 24.06.25 16:29:00 | Basic Materials Roundup: Market Talk |  |
| Find insight on Commercial Metals, SAAB and more in the latest Market Talks covering Basic Materials. Continue Reading View Comments |
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| 16.04.25 05:06:20 | Fresnillo plc's (LON:FRES) Stock is Soaring But Financials Seem Inconsistent: Will The Uptrend Continue? | |
| Most readers would already be aware that Fresnillo's (LON:FRES) stock increased significantly by 59% over the past three months. However, we wonder if the company's inconsistent financials would have any adverse impact on the current share price momentum. Particularly, we will be paying attention to Fresnillo's ROE today. Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. In simpler terms, it measures the profitability of a company in relation to shareholder's equity. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. How Do You Calculate Return On Equity? Return on equity can be calculated by using the formula: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Fresnillo is: 5.4% = US$227m ÷ US$4.2b (Based on the trailing twelve months to December 2024). The 'return' refers to a company's earnings over the last year. One way to conceptualize this is that for each £1 of shareholders' capital it has, the company made £0.05 in profit. View our latest analysis for Fresnillo What Has ROE Got To Do With Earnings Growth? So far, we've learned that ROE is a measure of a company's profitability. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company’s earnings growth potential. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics. A Side By Side comparison of Fresnillo's Earnings Growth And 5.4% ROE At first glance, Fresnillo's ROE doesn't look very promising. We then compared the company's ROE to the broader industry and were disappointed to see that the ROE is lower than the industry average of 12%. Therefore, it might not be wrong to say that the five year net income decline of 9.8% seen by Fresnillo was probably the result of it having a lower ROE. We reckon that there could also be other factors at play here. For example, it is possible that the business has allocated capital poorly or that the company has a very high payout ratio. However, when we compared Fresnillo's growth with the industry we found that while the company's earnings have been shrinking, the industry has seen an earnings growth of 10% in the same period. This is quite worrisome. Story Continues LSE:FRES Past Earnings Growth April 16th 2025 The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. This then helps them determine if the stock is placed for a bright or bleak future. What is FRES worth today? The intrinsic value infographic in our free research report helps visualize whether FRES is currently mispriced by the market. Is Fresnillo Making Efficient Use Of Its Profits? In spite of a normal three-year median payout ratio of 49% (that is, a retention ratio of 51%), the fact that Fresnillo's earnings have shrunk is quite puzzling. So there could be some other explanations in that regard. For instance, the company's business may be deteriorating. Moreover, Fresnillo has been paying dividends for at least ten years or more suggesting that management must have perceived that the shareholders prefer dividends over earnings growth. Upon studying the latest analysts' consensus data, we found that the company is expected to keep paying out approximately 58% of its profits over the next three years. However, Fresnillo's ROE is predicted to rise to 15% despite there being no anticipated change in its payout ratio. Conclusion Overall, we have mixed feelings about Fresnillo. While the company does have a high rate of profit retention, its low rate of return is probably hampering its earnings growth. That being so, the latest industry analyst forecasts show that the analysts are expecting to see a huge improvement in the company's earnings growth rate. To know more about the company's future earnings growth forecasts take a look at this freereport on analyst forecasts for the company to find out more. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 11.04.25 07:51:38 | FTSE 100 LIVE: Stocks higher as China's Xi calls on EU for support against 'bullying' | |
| The FTSE 100 (^FTSE) and European markets were cautiously higher on Friday, after a tumultuous week of mixed messages on tariffs from US president Donald Trump. The moves came as China's president Xi Jinping called on EU leaders to join the country in standing up to Trump's erratic policies on import taxes. Xi implored the EU to "oppose unilateral bullying practices". Speaking after a meeting with Spanish prime minister Pedro Sanchez, he said "going against the world will only lead to isolation." This week has been marked by escalating promises of levies by China and the US. China announced an 84% import tax for US goods, up from 34%. Donald Trump's 104% tariff came into force on Wednesday and was later hiked to 125%. London's benchmark index built on a 3.5% gain from Thursday, as confidence returned to the market. Among the top risers in early trade were mining companies such as Fresnillo (FRES.L), Glencore (GLEN.L) and Endeavour (EDV.L). The domestically-focused FTSE 250 (^FTMC) also rose 0.4% following data which showed the UK economy had unexpectedly grown 0.5% in February. The DAX (^GDAXI) in Germany rose 0.7%, while France's CAC 40 (^FCHI) ticked up 0.9%. The pan-European STOXX 600 (^STOXX) rose 0.4%. Stocks: Create your watchlist and portfolioLIVE7 updates 18 mins ago Lucy Harley-McKeown Dollar down The dollar index (DX-Y.NYB), which tracks the world's reserve asset against a basket of currencies, is 1.1% lower this morning. Anxieties linked to trade continue to reverberate in currency markets. Meanwhile, sterling has risen 0.7% against the dollar so far this session, heading towards the $1.31 mark. 45 mins ago Lucy Harley-McKeown Chancellor responds to UK GDP growth figures Rachel Reeves said: 47 mins ago Lucy Harley-McKeown UK exports to US jump in February According to today’s ONS trade data, the total goods and services trade deficit narrowed by £7.5bn to a deficit of £1.0bn in the three months to February 2025, the lowest total trade deficit since the three months to July 2021. Exports of goods to the United States increased by £500m in February 2025, the third consecutive monthly rise, while imports of goods from the United States increased by £200m. The value of goods imports increased by £2.8bn (5.9%) in February 2025, reflecting a rise in both EU and non-EU imports, while the value of goods exports remained stable, with minimal change to exports for both EU and non-EU countries. George Roberts, senior dealer at financial services firm Ebury, said: 53 mins ago Lucy Harley-McKeown Here's the stock futures chart 53 mins ago Lucy Harley-McKeown What's happening to US stock futures Our US team writes: US stock futures extended some of Thursday's losses before bouncing back as Wall Street gets ready to wrap up another week of tariff-fuelled turmoil. Futures tied to the S&P 500 (ES=F) were up 1.2%, those on the tech-heavy Nasdaq (NQ=F) popped 1.5%. Dow Jones Industrial Average futures (YM=F) climbed 1% The major stock indexes are reeling from whiplash toward the end of another week roiled by President Trump's fast-moving tariff policy, after pulling off historic gains during Wednesday's session followed by subsequent plunges on Thursday. The S&P 500 (^GSPC) has seen six consecutive sessions of extreme volatility, moving at a range of more than 5% back and forth in each of them. Thursday's session showed that the initial optimism from Trump's 90-day "pause" on reciprocal tariffs for most trade partners had given way to concern about his escalation with China. On Thursday, the White House provided Wall Street with another stunner: Tariffs on Chinese imports were actually increased to 145%, not the 125% that Trump had originally suggested when he announced the broad pause. 55 mins ago Lucy Harley-McKeown UK economy grows unexpectedly in February The UK economy grew by 0.5% in February, according to the Office for National Statistics (ONS), in a boost for chancellor Rachel Reeves before an expected downturn triggered by Donald Trump’s tariff blitz. Friday’s monthly GDP figure was above the 0.1% increase forecast by economists polled by Reuters. There was no growth in January, revised up from a previous estimate of a 0.1% contraction. The 0.5% rise in February came mostly due to growth in the services sector, although all sectors showed growth, the ONS said. The figures predate Trump’s announcement on 2 April that he would impose steep import tariffs on most countries in the world, including a 10% levy for the UK. The move triggered a sharp fall in global stock markets and prompted fears of a recession on both sides of the Atlantic. Read more on Yahoo Finance UK 56 mins ago Lucy Harley-McKeown Good morning! Hello from London. It's Lucy Harley-McKeown here, rounding off a suitably mad week in markets. This morning we've already had a UK GDP reading and German inflation data (more on that later). European Central Bank president Christine Lagarde will also speak this morning. And later in the afternoon there's fresh US PPI data. Let's get to it. Download the Yahoo Finance app, available for Apple and Android. View Comments |
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| 01.04.25 04:00:00 | Gold and silver prices are soaring. Buy this share for a piece of the action |  |
| Fresnillo is the world’s largest silver producer, based on 2024’s output of 56.3m ounces - Susana Gonzalez/Bloomberg Finance LP Questor is The Telegraph’s stockpicking column, helping you decode the markets and offering insights on where to invest. As regular readers will know doubt opine, this column has many weaknesses and one of them is the classic investor failing of selling winners too early (and holding to losers for too long, for that matter). After a capital gain of two thirds in the past year, the temptation to take profits on Fresnillo is there. We shall resist and hold on to the silver miner, and not just because shareholders who are on the register as of next Monday (14 April) are due to collect a final dividend of $0.2610 a share and a special distribution of $0.4180 on May 30 in the wake of last month’s full-year results (March 4). Those dividends are welcome, as they will take our total yield on the stock to some 10pc since our initial study, but capital gains are really the name of the game at Fresnillo. Even modest changes in silver and gold prices will lead to big increases in profits and, for the moment, both precious metals are motoring. Fresnillo is the world’s largest silver producer, based on 2024’s output of 56.3m ounces, while is also produced 631,573 ounces of gold last year. At the time of writing, gold trades at a new all-time high of $3,155 an ounce and silver is fast approaching a 12-year peak just north of $34 an ounce. The danger is that both metals roll over and their prices go lower, since that would crimp profits and dividends just as quickly as the last year’s gains have helped them. In the past year, the share price may be up by two thirds, but the forecast one-year forward dividend yield is now 3.8pc, up from 1.7pc 12 months ago, while the one-year forward price-to-earnings ratio is now barely 15 times, down from 28 times. This is because profit forecasts have rocketed on the back of higher commodity prices. Fresnillo’s forecasts do not assume much output growth in the near term, so the metals (and careful cost management) will dictate the trajectory of profits, cash flow and dividends from here. Our crystal ball is no better than anyone else’s, but the trend may just be our friend. Financial markets had priced in a cooling of inflation, steady economic growth and lower interest rates. President Trump’s trade and tariff policies are sparking worries that growth inflation could prove sticky, with the result that interest rates may not come down as fast as hoped, even if growth stumbles. Former certainties are now looking like anything but that. Microsoft is at the epicentre of the AI industry, as a heavy spender on data centres and a big backer of OpenAI, but its shares are no higher than they were in January 2024. Silver and gold are both up by 50pc over the same period. Story Continues The years after the financial crisis offered low inflation, low growth and low interest rates, with the result that long duration assets such as growth and technology stocks did well (as did bonds), while cyclicals, value stocks and commodities did badly. Maybe we are at an inflection point. If so, the price of gold and silver (and shares in their producers) could continue to come into their own. Questor says: hold Ticker:FRES Share price: 948p Update: Shell Given the $11-a-share received in dividends coupled with our 40pc-plus capital gain in Shell over the past eight-and-a-half years we cannot help but be pleased by the oil and gas major’s new cost reduction, cash flow and capital return plans. Wael Sawan, its chief executive, emphasised a commitment to liquid natural gas and plans to maintain oil output out to 2030. Meanwhile, the capital expenditure budget is to be capped at between $20bn and $22bn a year, with 10pc allocated to low-carbon projects, and costs are to be cut. The role within the group of some parts of the chemicals business will go under review. The plan behind all of this is to grow cash flow per share by 10pc a year until 2030 and increase the percentage of operational cash flow that is returned to shareholders to 40pc to 50pc from 30pc to 40pc. Commodity prices can have a big say in the outcome here but the combined value of dividends and share buybacks in 2024 was $22.6bn, equivalent to around 10pc of the company’s current stock market capitalisation. Any goal to try and increase that is noteworthy and likely to catch the eye of income-seekers, or at least those ones whose environmental, social and governance screens do not exclude hydrocarbon producers. Questor says: hold. Things are about to get even better. Ticker: SHEL Share price: £27.87 Read the latest Questor column on telegraph.co.uk every weekday at 5am. Read Questor’s rules of investment before you follow our tips. View Comments |
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| 26.03.25 11:33:33 | Fresnillo (LON:FRES) Is Doing The Right Things To Multiply Its Share Price | |
| Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key financial metrics. One common approach is to try and find a company with returns on capital employed (ROCE) that are increasing, in conjunction with a growing amount of capital employed. Basically this means that a company has profitable initiatives that it can continue to reinvest in, which is a trait of a compounding machine. With that in mind, we've noticed some promising trends at Fresnillo (LON:FRES) so let's look a bit deeper. AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. What Is Return On Capital Employed (ROCE)? If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business. The formula for this calculation on Fresnillo is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.13 = US$733m ÷ (US$5.9b - US$369m) (Based on the trailing twelve months to December 2024). Thus, Fresnillo has an ROCE of 13%. On its own, that's a standard return, however it's much better than the 8.3% generated by the Metals and Mining industry. View our latest analysis for Fresnillo LSE:FRES Return on Capital Employed March 26th 2025 In the above chart we have measured Fresnillo's prior ROCE against its prior performance, but the future is arguably more important. If you're interested, you can view the analysts predictions in our freeanalyst report for Fresnillo . What The Trend Of ROCE Can Tell Us Fresnillo is showing promise given that its ROCE is trending up and to the right. More specifically, while the company has kept capital employed relatively flat over the last five years, the ROCE has climbed 177% in that same time. So our take on this is that the business has increased efficiencies to generate these higher returns, all the while not needing to make any additional investments. The company is doing well in that sense, and it's worth investigating what the management team has planned for long term growth prospects. What We Can Learn From Fresnillo's ROCE To sum it up, Fresnillo is collecting higher returns from the same amount of capital, and that's impressive. And with a respectable 56% awarded to those who held the stock over the last five years, you could argue that these developments are starting to get the attention they deserve. With that being said, we still think the promising fundamentals mean the company deserves some further due diligence. Story Continues On a final note, we've found 2 warning signs for Fresnillo that we think you should be aware of. For those who like to invest in solid companies, check out this freelist of companies with solid balance sheets and high returns on equity. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 12.03.25 13:00:00 | Diamond Drilling Intercepts 15 Metres Grading 3.02 g/t Gold-Equivalent on the Loma Verde Vein on the Coneto Gold-Silver Project in Durango, Mexico | |
| VANCOUVER, BC, March 12, 2025 /CNW/ - Orex Minerals Inc. (TSXV: REX) (OTCQB: ORMNF) ("Orex" or the "Company") is pleased to announce that "Exploraciones y Desarrollos Mineros Coneto, SAPI de CV", a joint venture company held by Fresnillo plc (LON: FRES) for 61.21% and Orex for 38.79%, has completed the Phase-VI diamond drilling program of 2,000.8 metres in 8 holes on the Coneto Gold-Silver Project in Durango, Mexico.Orex Minerals Inc. (CNW Group/Orex Minerals Inc.) The Loma Verde target area was the focus for Phase-VI drilling. Results include hole BCO-85 yielding a core length of 15.00 m (true thickness 11.50 m) grading Au 0.75 g/t and Ag 174 g/t for a gold-equivalent of 3.02 g/t, plus hole BCO-89 yielding a core length of 4.50 m (true thickness 3.90 m) grading Au 1.70 g/t and Ag 180 g/t for a gold-equivalent of 4.05 g/t. John Eren, President and CEO states, "The Loma Verde vein was intercepted in every hole in this phase of the program, thus confirming the strong continuity over 1.2 kms strike length. There is also further depth potential with the down-dip of the mineralized shoots. This is a true gold-silver project, as each precious metal accounts for roughly half the contained value." Hole From (m) To (m) Core Length True Width Au (g/t) Ag (g/t) Au-Eq (g/t) Ag-Eq (g/t) BCO-84 Unnamed 104.10 105.90 1.80 1.61 0.52 4 0.57 44 Loma V 121.55 122.50 0.95 0.85 0.17 373 5.07 386 BCO-85 Loma V 87.80 102.80 15.00 11.50 0.75 173 3.02 230 Incl. 87.80 92.40 4.60 3.53 1.37 419 6.88 523 BCO-86 Unnamed 170.10 171.25 1.15 0.85 3.76 36 4.23 322 Unnamed 258.25 259.25 1.00 0.85 0.21 73 1.17 89 Loma V 271.90 277.20 5.30 4.77 0.17 122 1.82 138 Incl. 271.90 275.65 3.75 3.38 0.20 143 2.07 158 BCO-87 Loma V 137.35 138.05 0.70 0.63 0.08 74 1.05 80 BCO-88 Unnamed 84.25 85.10 0.85 0.65 0.14 280 3.81 291 Loma V 159.80 164.00 4.20 3.20 0.45 65 1.30 99 Unnamed 166.45 167.75 1.30 1.22 0.58 54 1.29 98 BCO-89 Unnamed 57.70 62.45 4.75 4.42 1.17 87 2.32 176 Incl. 59.00 59.75 0.75 0.70 5.01 357 9.07 738 Loma V 135.30 139.80 4.50 3.94 1.70 180 4.05 309 Incl. 135.30 136.30 1.00 0.87 5.42 603 13.35 1,015 BCO-90 Unnamed 259.00 260.50 1.50 1.41 1.00 287 4.77 363 Loma V 327.75 329.05 1.30 1.22 0.76 259 4.15 317 BCO-91 Loma V 286.40 288.15 1.75 1.34 3.79 554 11.05 834 Unnamed 317.50 318.10 0.60 0.50 0.57 47 1.19 91 For the purposes of gold and silver equivalent values, the long-term metal prices of gold $1,750/oz and silver $23/oz were applied. Gold to silver price ratios vary over time. Base metals value are scattered and non-economic, max. isolated values of 0.2% Pb, 0.4% Zn. Story Continues To date, the Coneto Project has had five previous phases of diamond drilling from 2010 to 2017, totaling 106 drill holes for 38,515.67 metres. This drilling formed the basis of an independent mineral resource estimate announced in a news release dated October 27, 2021. The new drilling brings the total to 114 drill holes for 40,516.47 metres. The 2021 Inferred Mineral Resources stands at 5,325,000 tonnes, grading 1.67 g/t gold and 112 g/t silver for a gold-equivalent grade of 3.15 g/t. Contained metal totals 286,000 oz gold and 19,111,000 oz silver, for a gold-equivalent of 538,000 oz. (The full technical report was filed on SEDAR+, www.sedarplus.com, and is also available on the Orex website, www.orexminerals.com). Coneto Silver-Gold Project, Durango, Mexico Coneto is situated around the town of Coneto de Comonfort, Durango, in north-central Mexico. It is approximately 100 km north of the City of Durango and 25 km west of Argonaut's El Castillo Gold Mine. This prolific trend hosts some of the world's largest silver camps and deposits, including Fresnillo, Guanajuato, La Pitarrilla, La Preciosa, Real de Angeles and Zacatecas. (Note: Mineralization hosted on adjacent and/or nearby properties may not necessarily be indicative of mineralization hosted on the JV's property.) The Project consists of approximately 4,997 hectares (11,860 acres) of contiguous mineral concessions and covers over 40 discrete mineralized low to intermediate-sulphidation epithermal quartz veins. Excellent infrastructure exists in the Coneto area, including paved road access, electrical power, water and manpower from nearby communities. Ben Whiting, P.Geo., is a Qualified Persons as defined in NI 43-101 and take responsibility for the technical disclosure contained in this news release. ABOUT OREX MINERALS INC. Orex Minerals Inc. is a mineral exploration company focused on precious and base metals exploration in Mexico and Canada. Orex has several current projects: Two projects are located in Durango State, Mexico, the Sandra Silver-Gold Project with Pan American Silver Corp. and the Coneto Gold-Silver Project with Fresnillo PLC. A third project is the Jumping Josephine Gold Project in British Columbia, Canada. Orex is managed by an experienced group of highly qualified mining professionals. ON BEHALF OF THE BOARD OF DIRECTORS John Eren President and CEO STAY CONNECTED Follow on X (Twitter): Orex Minerals (@OrexMinerals) / X (twitter.com) Follow on LinkedIn: Orex Minerals Inc. | LinkedIn Follow on Facebook: Orex Minerals | Facebook FORWARD LOOKING STATEMENTS This News Release may contain forward-looking statements including, but not limited to, statements with respect to the planned program and budget for the Project. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements and Orex undertakes no obligation to update such statements, except as required by law. For additional information on risks and uncertainties, see the Company's most recently filed annual management discussion and analysis ("MD&A"), which is available on SEDAR+ at www.sedarplus.com and on the Company's website at www.orexminerals.com. The risk factors identified in the MD&A are not intended to represent a complete list of factors that could affect the Company. Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. SOURCE Orex Minerals Inc.Cision View original content to download multimedia: http://www.newswire.ca/en/releases/archive/March2025/12/c7522.html View Comments |
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| 06.03.25 05:03:37 | Fresnillo Full Year 2024 Earnings: Revenues Beat Expectations, EPS Lags | |
| Fresnillo (LON:FRES) Full Year 2024 Results Key Financial Results Revenue: US$3.50b (up 29% from FY 2023). Net income: US$140.9m (down 40% from FY 2023). Profit margin: 4.0% (down from 8.6% in FY 2023). The decrease in margin was driven by higher expenses. EPS: US$0.19 (down from US$0.32 in FY 2023).LSE:FRES Earnings and Revenue Growth March 6th 2025 All figures shown in the chart above are for the trailing 12 month (TTM) period Fresnillo Revenues Beat Expectations, EPS Falls Short Revenue exceeded analyst estimates by 2.6%. Earnings per share (EPS) missed analyst estimates by 64%. Looking ahead, revenue is expected to decline by 1.4% p.a. on average during the next 3 years, while revenues in the Metals and Mining industry in the United Kingdom are expected to grow by 1.8%. Performance of the British Metals and Mining industry. The company's shares are up 9.4% from a week ago. Valuation Following the latest earnings results, Fresnillo may be overvalued based on 6 different valuation benchmarks we assess. You can access our in-depth analysis and discover what the outlook is like for the stock by clicking here. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 04.03.25 09:17:16 | Fresnillo (LON:FRES) shareholders have earned a 61% return over the last year | |
| If you want to compound wealth in the stock market, you can do so by buying an index fund. But investors can boost returns by picking market-beating companies to own shares in. For example, the Fresnillo plc (LON:FRES) share price is up 58% in the last 1 year, clearly besting the market return of around 12% (not including dividends). So that should have shareholders smiling. Having said that, the longer term returns aren't so impressive, with stock gaining just 2.0% in three years. So let's investigate and see if the longer term performance of the company has been in line with the underlying business' progress. See our latest analysis for Fresnillo To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. Fresnillo was able to grow EPS by 13% in the last twelve months. The share price gain of 58% certainly outpaced the EPS growth. This indicates that the market is now more optimistic about the stock. You can see below how EPS has changed over time (discover the exact values by clicking on the image).LSE:FRES Earnings Per Share Growth March 4th 2025 We're pleased to report that the CEO is remunerated more modestly than most CEOs at similarly capitalized companies. It's always worth keeping an eye on CEO pay, but a more important question is whether the company will grow earnings throughout the years. Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here.. What About Dividends? When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. We note that for Fresnillo the TSR over the last 1 year was 61%, which is better than the share price return mentioned above. This is largely a result of its dividend payments! A Different Perspective We're pleased to report that Fresnillo shareholders have received a total shareholder return of 61% over one year. That's including the dividend. That's better than the annualised return of 5% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. Before forming an opinion on Fresnillo you might want to consider these 3 valuation metrics. Story Continues Of course Fresnillo may not be the best stock to buy. So you may wish to see this freecollection of growth stocks. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on British exchanges. Have feedback on this article? Concerned about the content?Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. View Comments |
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| 28.02.25 15:50:00 | Zacks Industry Outlook Highlights Fresnillo, Hecla Mining, Buenaventura Mining and First Majestic Silver | |
| For Immediate Release Chicago, IL – February 28 2025 – Today, Zacks Equity Research discusses Fresnillo FNLPF, Hecla Mining HL, Buenaventura Mining Co. BVN and First Majestic Silver AG. Industry: Silver Link: https://www.zacks.com/commentary/2423122/4-silver-mining-stocks-to-watch-on-solid-industry-trends The prospects for the Zacks Mining - Silver industry look promising on the back of rising silver prices. Global industrial industry look promising on the back of rising silver prices. Global industrial demand for silver is expected to reach record levels in 2025 and total demand is projected at around 1.2 billion ounces. Despite supply soaring to an 11-year high, the silver market is headed for a fifth consecutive year of deficit, which is likely to bolster prices. We suggest keeping tabs on companies like Fresnillo, Hecla Mining, Buenaventura Mining Co. and First Majestic Silver, which are poised to benefit from solid projects, improved operational efficiency and disciplined cost management. About the Industry The Zacks Mining - Silver industry comprises companies that are engaged in the exploration, development and production of silver. These include big and small players operating mines of widely varying types and scales. Silver-bearing ores are mined by open-pit or underground methods, and then crushed and ground. Miners continually look for opportunities to expand their reserves and resources through targeted near-mine exploration and business development. They strive to upgrade and improve the quality of their existing assets, internally and through acquisitions. Only 20% of silver comes from mining activities, wherein silver is the primary revenue source. The balance comes from projects, wherein silver is a by-product of mining other metals, such as copper, lead and zinc. Thus, several companies in the silver mining industry are engaged in mining other metals as well. What's Shaping the Future of the Mining-Silver Industry Demand to Remain Strong: Per the Silver Institute, total industrial demand for silver in 2025 is expected to surpass 700 million ounces (Moz) for the first time and grow 3% year over year. Notably, industrial applications account for more than 50% of the total silver demand. Demand from green economy applications remain strong. Global photovoltaics installations are expected to peak to an all-time high this year. Demand is also expected to remain strong in the automotive sector. In the consumer electronics market, the development of Artificial Intelligence systems will continue to support demand. Investment demand will likely rise 3%, aided by improving demand in Europe and North America. Demand for jewelry is, however, expected be down 6% reflecting low demand in India amid high prices. Story Continues Rising Silver Prices Bode Well: Silver prices gained around 22% in 2024 and 10.7% so far this year. Prices have been supported by several factors like rising economic and geopolitical uncertainties as well as solid demand amid expectations of a tight supply. Recently, softening U.S. economic data have fueled expectations for further interest rate cuts from the Federal Reserve, thereby boosting silver prices. Per the Silver Institute, silver demand is expected at 1.20 billion ounces for the year, as gains in industrial applications and retail investment will be mitigated by weaker jewelry and silverware demand. Total global silver supply is projected to rise 3% in 2025 to an 11-year high of 1.05 billion ounces. The silver market is thus, expected to record another significant deficit in 2025 (149 million ounces) for the fifth consecutive year, which bodes well for prices. Efforts to Combat Inflationary Costs to Aid Margins: Industry players are facing escalating production costs, including electricity, wages, water and materials. Mining companies are major consumers of energy, with around 50% of their production costs closely linked to energy prices. A shortage of skilled workforce spiked wages. With no control over silver prices, the industry must focus on improving its sales volumes while being cost-effective. Players are investing heavily in R&D and resorting to technological innovations required at almost every level of operation to increase efficiency, sustain growth and rein in costs. Zacks Industry Rank Indicates Bright Prospects The group's Zacks Industry Rank, basically the average of the Zacks Rank of all the member stocks, indicates bright prospects in the near term. The Zacks Mining - Silver industry, a nine-stock group within the broader Zacks Basic Materials sector, currently carries a Zacks Industry Rank #67, which places it in the top 27% of 246 Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperforms the bottom 50% by a factor of more than 2 to 1. Before we present a few Mining-Silver stocks that can be retained in one's portfolio, it is worth taking a look at the industry's stock-market performance and valuation picture. Industry Versus Broader Market The Mining-Silver Industry has outperformed the sector and the Zacks S&P 500 composite over the past year. The stocks in this industry have collectively gained 79.3% in the past year against the Basic Material sector's 0.5% dip. Meanwhile, the Zacks S&P 500 composite has risen 18.2%. Industry's Current Valuation Based on the forward 12-month EV/EBITDA ratio, a commonly used multiple for valuing silver-mining companies, we see that the industry is currently trading at 6.34X compared with the S&P 500's 13.96X and the Basic Material sector's forward 12-month EV/EBITDA of 6.70X. Over the past five years, the industry has traded as high as 17.20X and as low as 5.15X, the median being 8.29X. 4 Mining-Silver Stocks to Watch Buenaventura Mining: The company recently reported fiscal 2024 results with revenues rising 40%, net income increasing a whopping 1,928% and earnings per share growing almost 20 times from the year-ago figure. This included the impact of the August 2024 sale of Chaupiloma Royalty Company and the sale of Contacto in 2023. Excluding these sales, EBITDA from direct operations surged 116% to $431.2 million in 2024. BVN has planned capital expenditure in the band of $330-$355 million for 2025. This includes $125-$140 million in sustaining capital, which includes investments related to becoming a self-operator of the El Brocal, Uchucchacua and Yumpag mines, actions to increase efficiencies by lowering costs, as well as investment in mine development and tailing dams. In 2025, copper output is expected to be up 6% year over year while silver is anticipated to increase 1%, aided by El Brocal and Yumpag. Gold is expected to be down 13%, reflecting the transition year as San Gabriel prepares to drive future growth. The project is 71% completed and the first gold bar is expected in the fourth quarter of 2025. The Zacks Consensus Estimate for this Lima, Peru-based company's current-year earnings has moved up 2% over the past 60 days. Buenaventura has a trailing four-quarter earnings surprise of 18.2%, on average. The stock has declined 16.2% in the past year. BVN currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Fresnillo: The company recently reported production of 107 million silver-equivalent ounces in 2024. Silver production was flat year over year, gold production was up 3.4% while lead and zinc increased 14.8% and 8.3% respectively. Average higher prices for gold, silver and zinc, cost reduction initiatives across its mines and lower administrative, corporate and exploration expenses will reflect on its upcoming FY24 results. Fresnillo is investing in several projects to boost production and ensure steady growth in the coming years. FNLPF's high-quality assets, ample mineral resources, competitive margins and disciplined approach to development will continue to drive growth. The Zacks Consensus Estimate for Fresnillo's 2025 earnings has moved up 37% in the past 60 days. The consensus estimate indicates year-over-year growth of 248%. The stock has gained 61.8% in the past year. FNLPF currently carries a Zacks Rank #3 (Hold). Hecla Mining: The company reported record sales of $929.9 million and record adjusted EBITDA of $337.9 million for 2024. Hecla Mining produced 16.2 million ounces of silver during the year, the second highest in its history. Lucky Friday had a solid year, achieving highest tons of ore mined and milled in the mine's 80-year history. It produced 4.9 million ounces of silver, the highest since 2000, and zinc output was the highest ever at 13,513 tons. Keno Hill produced 2.8 million ounces of silver while increasing silver reserves by 17% to 64.3 million ounces. The company projects silver equivalent ounces to be in the band of 35.5 - 39.0 million for 2025. HL continues to strengthen the balance sheet with a focus on highest risk-adjusted return projects and free cash flow generation. It is evaluating strategic alternatives for Casa Berardi. The company is striving to drive operational excellence through automation and advanced analytics and advancing Keno Hill's permitting and infrastructure to achieve sustained profitability. The Coeur d'Alene, ID-based company has a trailing four-quarter earnings surprise of 75%, on average. The Zacks Consensus Estimate for HL's fiscal 2025 earnings indicates year-over-year growth of 91%. The estimate has moved up 17% in the past 60 days. The stock has gained 46% in the past year. HL currently carries a Zacks Rank of 3. First Majestic Silver: The company produced 21.7 million silver equivalent ounces in 2024, consisting of 8.4 million silver ounces and 156,542 gold ounces. AG also delivered a 40% year-over-year improvement in cash flow from operations. The company recently acquired Gatos Silver, Inc., gaining a 70% interest in the high-quality and long-life Cerro Los Gatos underground mine. It will solidify First Majestic's position as an intermediate primary silver producer with a strong balance sheet and margins. The acquisition is expected to immediately boost its free cash flow and lead to meaningful synergies. AG's production guidance is at 27.8-31.2 million silver-equivalent ounces for 2025. The Zacks Consensus Estimate for this Vancouver Canada-based company's current-year earnings has increased 69% in the past 60 days. The estimate indicates year-over-year growth of 486%. The stock has gained 24.5% in the past year. First Majestic currently carries a Zacks Rank of 3. Why Haven't You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch/ Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Hecla Mining Company (HL) : Free Stock Analysis Report Buenaventura Mining Company Inc. (BVN) : Free Stock Analysis Report First Majestic Silver Corp. (AG) : Free Stock Analysis Report Fresnillo PLC (FNLPF) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research View Comments |
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| 27.02.25 17:38:00 | 4 Silver Mining Stocks to Watch on Solid Industry Trends | |
| The prospects for the Zacks Mining - Silver industry look promising on the back of rising silver prices. Global industrial industry look promising on the back of rising silver prices. Global industrial demand for silver is expected to reach record levels in 2025 and total demand is projected at around 1.2 billion ounces. Despite supply soaring to an 11-year high, the silver market is headed for a fifth consecutive year of deficit, which is likely to bolster prices. We suggest keeping tabs on companies like Fresnillo FNLPF, Hecla Mining HL, Buenaventura Mining Company BVN and First Majestic Silver AG, which are poised to benefit from solid projects, improved operational efficiency and disciplined cost management. About the Industry The Zacks Mining - Silver industry comprises companies that are engaged in the exploration, development and production of silver. These include big and small players operating mines of widely varying types and scales. Silver-bearing ores are mined by open-pit or underground methods, and then crushed and ground. Miners continually look for opportunities to expand their reserves and resources through targeted near-mine exploration and business development. They strive to upgrade and improve the quality of their existing assets, internally and through acquisitions. Only 20% of silver comes from mining activities, wherein silver is the primary revenue source. The balance comes from projects, wherein silver is a by-product of mining other metals, such as copper, lead and zinc. Thus, several companies in the silver mining industry are engaged in mining other metals as well. What's Shaping the Future of the Mining-Silver Industry Demand to Remain Strong: Per the Silver Institute, total industrial demand for silver in 2025 is expected to surpass 700 million ounces (Moz) for the first time and grow 3% year over year. Notably, industrial applications account for more than 50% of the total silver demand. Demand from green economy applications remain strong. Global photovoltaics installations are expected to peak to an all-time high this year. Demand is also expected to remain strong in the automotive sector. In the consumer electronics market, the development of Artificial Intelligence systems will continue to support demand. Investment demand will likely rise 3%, aided by improving demand in Europe and North America. Demand for jewelry is, however, expected be down 6% reflecting low demand in India amid high prices. Rising Silver Prices Bode Well: Silver prices gained around 22% in 2024 and 10.7% so far this year. Prices have been supported by several factors like rising economic and geopolitical uncertainties as well as solid demand amid expectations of a tight supply. Recently, softening U.S. economic data have fueled expectations for further interest rate cuts from the Federal Reserve, thereby boosting silver prices. Per the Silver Institute, silver demand is expected at 1.20 billion ounces for the year, as gains in industrial applications and retail investment will be mitigated by weaker jewelry and silverware demand. Total global silver supply is projected to rise 3% in 2025 to an 11-year high of 1.05 billion ounces. The silver market is thus, expected to record another significant deficit in 2025 (149 million ounces) for the fifth consecutive year, which bodes well for prices. Story Continues Efforts to Combat Inflationary Costs to Aid Margins: Industry players are facing escalating production costs, including electricity, wages, water and materials. Mining companies are major consumers of energy, with around 50% of their production costs closely linked to energy prices. A shortage of skilled workforce spiked wages. With no control over silver prices, the industry must focus on improving its sales volumes while being cost-effective. Players are investing heavily in R&D and resorting to technological innovations required at almost every level of operation to increase efficiency, sustain growth and rein in costs. Zacks Industry Rank Indicates Bright Prospects The group's Zacks Industry Rank, basically the average of the Zacks Rank of all the member stocks, indicates bright prospects in the near term. The Zacks Mining - Silver industry, a nine-stock group within the broader Zacks Basic Materials sector, currently carries a Zacks Industry Rank #67, which places it in the top 27% of 246 Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperforms the bottom 50% by a factor of more than 2 to 1. Before we present a few Mining-Silver stocks that can be retained in one’s portfolio, it is worth taking a look at the industry’s stock-market performance and valuation picture. Industry Versus Broader Market The Mining-Silver Industry has outperformed the sector and the Zacks S&P 500 composite over the past year. The stocks in this industry have collectively gained 79.3% in the past year against the Basic Material sector’s 0.5% dip. Meanwhile, the Zacks S&P 500 composite has risen 18.2%. One-Year Price Performance Industry's Current Valuation Based on the forward 12-month EV/EBITDA ratio, a commonly used multiple for valuing silver-mining companies, we see that the industry is currently trading at 6.34X compared with the S&P 500's 13.96X and the Basic Material sector's forward 12-month EV/EBITDA of 6.70X. This is shown in the charts below. Enterprise Value/EBITDA (EV/EBITDA) F12M Ratio Enterprise Value/EBITDA (EV/EBITDA) F12M Ratio Over the past five years, the industry has traded as high as 17.20X and as low as 5.15X, the median being 8.29X. 4 Mining-Silver Stocks to Watch Buenaventura Mining: The company recently reported fiscal 2024 results with revenues rising 40%, net income increasing a whopping 1,928% and earnings per share growing almost 20 times from the year-ago figure. This included the impact of the August 2024 sale of Chaupiloma Royalty Company and the sale of Contacto in 2023. Excluding these sales, EBITDA from direct operations surged 116% to $431.2 million in 2024. BVN has planned capital expenditure in the band of $330-$355 million for 2025. This includes $125-$140 million in sustaining capital, which includes investments related to becoming a self-operator of the El Brocal, Uchucchacua and Yumpag mines, actions to increasing efficiencies by lowering costs, as well as investment in mine development and tailing dams. In 2025, copper output is expected to be up 6% year over year while silver is anticipated to increase 1%, aided by El Brocal and Yumpag. Gold is expected to be down 13%, reflecting the transition year as San Gabriel prepares to drive future growth. The project is 71% completed and the first gold bar is expected in the fourth quarter of 2025. The Zacks Consensus Estimate for this Lima, Peru-based company’s current-year earnings has moved up 2% over the past 60 days. Buenaventura has a trailing four-quarter earnings surprise of 18.2%, on average. The stock has declined 16.2% in the past year. BVN currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Price: BVN Fresnillo: The company recently reported production of 107 million silver-equivalent ounces in 2024. Silver production was flat year over year, gold production was up 3.4% while lead and zinc increased 14.8% and 8.3% respectively. Average higher prices for gold, silver and zinc, cost reduction initiatives across its mines and lower administrative, corporate and exploration expenses will reflect on its upcoming FY24 results. Fresnillo is investing in several projects to boost production and ensure steady growth in the coming years. FNLPF’s high-quality assets, ample mineral resources, competitive margins and disciplined approach to development will continue to drive growth. The Zacks Consensus Estimate for Fresnillo’s 2025 earnings has moved up 37% in the past 60 days. The consensus estimate indicates year-over-year growth of 248%. The stock has gained 61.8% in the past year. FNLPF currently carries a Zacks Rank #3 (Hold). Price: FNLPF Hecla Mining: The company reported record sales of $929.9 million and record adjusted EBITDA of $337.9 million for 2024. Hecla Mining produced 16.2 million ounces of silver during the year, the second highest in its history. Lucky Friday had a solid year, achieving highest tons of ore mined and milled in the mine's 80-year history. It produced 4.9 million ounces of silver, the highest since 2000, and zinc output was the highest ever at 13,513 tons. Keno Hill produced 2.8 million ounces of silver while increasing silver reserves by 17% to 64.3 million ounces. The company projects silver equivalent ounces to be in the band of 35.5 - 39.0 million for 2025. HL continues to strengthen the balance sheet with a focus on highest risk-adjusted return projects and free cash flow generation. It is evaluating strategic alternatives for Casa Berardi. The company is striving to drive operational excellence through automation and advanced analytics and advancing Keno Hill's permitting and infrastructure to achieve sustained profitability. The Coeur d'Alene, ID-based company has a trailing four-quarter earnings surprise of 75%, on average. The Zacks Consensus Estimate for HL’s fiscal 2025 earnings indicates year-over-year growth of 91%. The estimate has moved up 17% in the past 60 days. The stock has gained 46% in the past year. HL currently carries a Zacks Rank of 3. Price: HL First Majestic Silver: The company produced 21.7 million silver equivalent ounces in 2024, consisting of 8.4 million silver ounces and 156,542 gold ounces. AG also delivered a 40% year-over-year improvement in cash flow from operations. The company recently acquired Gatos Silver, Inc., gaining a 70% interest in the high-quality and long-life Cerro Los Gatos underground mine. It will solidify First Majestic’s position as an intermediate primary silver producer with a strong balance sheet and margins. The acquisition is expected to immediately boost its free cash flow and lead to meaningful synergies. AG’s production guidance is at 27.8-31.2 million silver-equivalent ounces for 2025. The Zacks Consensus Estimate for this Vancouver Canada-based company’s current-year earnings has increased 69% in the past 60 days. The estimate indicates year-over-year growth of 486%. The stock has gained 24.5% in the past year. First Majestic currently carries a Zacks Rank of 3. Price: AG Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Fresnillo PLC (FNLPF) : Free Stock Analysis Report Hecla Mining Company (HL) : Free Stock Analysis Report Buenaventura Mining Company Inc. (BVN) : Free Stock Analysis Report First Majestic Silver Corp. (AG) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research View Comments |
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