Update shared on08 Oct 2025
Fair value Increased 16%Analysts have raised their price targets on Wheaton Precious Metals. Updated fair value estimates have climbed from $150 to $174, reflecting stronger than expected revenue growth and increasing optimism about commodity markets.
Analyst Commentary
Recent Street research underscores both elevated optimism and measured caution in the analyst community regarding Wheaton Precious Metals' near-term outlook. Several analysts have revised their price targets upward, accompanied by both positive and prudent takeaways related to valuation and growth prospects.
Bullish Takeaways- Bullish analysts are increasingly confident in Wheaton Precious Metals' revenue growth and have cited strong performance against previous market expectations.
- Positive outlooks for key commodities, including copper, aluminum, and gold, contribute to increased fair value estimates for the company.
- Multiple research firms have raised price targets. This reflects optimism about the company's execution and ability to capitalize on favorable market trends.
- Commitments to strategic financing, such as Wheaton's support for high-profile mining transactions, are seen as positive steps to enhance long-term growth and strengthen the company's pipeline.
- Bearish analysts point to full valuation following a significant share price rally. This suggests limited near-term upside.
- Some caution that current market valuations may already reflect anticipated future gains in commodity prices, implying less room for further appreciation without additional positive catalysts.
- A recent downgrade on the stock highlights the risk of a temporary pause in upward momentum as investors digest recent gains and await further developments.
What's in the News
- Reported higher gold and silver production for Q2 2025. Gold output rose to 91,968 ounces from 83,743 ounces, and silver increased to 5,407 ounces from 5,047 ounces compared to the previous year (Company Announcement of Operating Results).
- Palladium production declined year-over-year for Q2 2025, dropping to 2,435 ounces from 4,338 ounces. Cobalt production more than doubled to 647 pounds (Company Announcement of Operating Results).
- Maintained 2025 production guidance, forecasting 350,000 to 390,000 ounces of gold and 20.5 to 22.5 million ounces of silver. Total annual production is expected at approximately 600,000 to 670,000 gold equivalent ounces (Company Guidance).
- Long-term production outlook remains unchanged. Annual gold equivalent output is projected to increase by approximately 40% to 870,000 ounces by 2029 and to average over 950,000 ounces between 2030 and 2034 (Company Guidance).
Valuation Changes
- Fair Value Estimate: Increased from CA$150.28 to CA$174.47. This reflects a higher assessment of intrinsic company value.
- Discount Rate: Risen slightly from 6.51% to 6.59%, which suggests a modest uptick in perceived risk or required return.
- Revenue Growth Forecast: Upgraded from 12.25% to 13.70%, indicating improved expectations for sales expansion.
- Net Profit Margin: Improved from 52.99% to 53.76%, pointing to greater operational efficiency and profitability.
- Future P/E Ratio: Fallen significantly from 66.15x to 52.34x. This indicates that valuation multiples have moderated as earnings expectations rise.
Disclaimer
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