Hudbay Minerals Inc.

TSX:HBM Stock Report

Market Cap: CA$4.7b

Hudbay Minerals Valuation

Is HBM undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HBM when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HBM (CA$11.51) is trading above our estimate of fair value (CA$10.58)

Significantly Below Fair Value: HBM is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for HBM?

Key metric: As HBM is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for HBM. This is calculated by dividing HBM's market cap by their current earnings.
What is HBM's PE Ratio?
PE Ratio37.5x
EarningsUS$86.25m
Market CapUS$3.23b

Price to Earnings Ratio vs Peers

How does HBM's PE Ratio compare to its peers?

The above table shows the PE ratio for HBM vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average55x
AFM Alphamin Resources
12.9xn/aCA$1.4b
ALS Altius Minerals
89.9x10.5%CA$1.3b
IVN Ivanhoe Mines
101.4x42.7%CA$23.4b
MDI Major Drilling Group International
16x51.2%CA$675.2m
HBM Hudbay Minerals
36.6x28.5%CA$4.7b

Price-To-Earnings vs Peers: HBM is good value based on its Price-To-Earnings Ratio (36.6x) compared to the peer average (55x).

Price to Earnings Ratio vs Industry

How does HBM's PE Ratio compare vs other companies in the CA Metals and Mining Industry?

38 CompaniesPrice / EarningsEstimated GrowthMarket Cap
IMG IAMGOLD
4x-2.0%US$2.97b
SLI Standard Lithium
2.5xn/aUS$272.54m
THX Thor Explorations
2.8x-3.4%US$139.59m
APM Andean Precious Metals
2.3x-42.9%US$134.42m
HBM 37.5xIndustry Avg. 12.8xNo. of Companies38PE01632486480+
38 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: HBM is expensive based on its Price-To-Earnings Ratio (36.6x) compared to the Canadian Metals and Mining industry average (12.8x).

Price to Earnings Ratio vs Fair Ratio

What is HBM's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HBM PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio37.5x
Fair PE Ratio25.1x

Price-To-Earnings vs Fair Ratio: HBM is expensive based on its Price-To-Earnings Ratio (36.6x) compared to the estimated Fair Price-To-Earnings Ratio (25.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HBM forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCA$11.51
CA$16.46
+43.0%
5.8%CA$18.57CA$15.43n/a15
Dec ’25CA$12.49
CA$16.03
+28.4%
5.7%CA$18.04CA$14.99n/a15
Nov ’25CA$12.64
CA$16.07
+27.1%
5.1%CA$18.07CA$15.04n/a15
Oct ’25CA$12.61
CA$15.55
+23.3%
6.0%CA$17.93CA$13.76n/a15
Sep ’25CA$11.00
CA$15.48
+40.7%
7.9%CA$17.98CA$13.74n/a15
Aug ’25CA$10.83
CA$16.30
+50.5%
8.3%CA$19.13CA$14.16n/a16
Jul ’25CA$12.38
CA$15.83
+27.9%
8.9%CA$18.98CA$13.00n/a16
Jun ’25CA$13.30
CA$15.22
+14.4%
11.8%CA$17.97CA$10.06n/a16
May ’25CA$11.46
CA$12.49
+9.0%
9.4%CA$13.99CA$10.06n/a15
Apr ’25CA$9.46
CA$10.71
+13.2%
9.3%CA$12.53CA$8.51n/a15
Mar ’25CA$8.23
CA$10.21
+24.1%
10.9%CA$12.04CA$8.53n/a14
Feb ’25CA$7.55
CA$9.87
+30.7%
10.3%CA$11.95CA$8.49n/a14
Jan ’25CA$7.29
CA$9.30
+27.6%
11.9%CA$11.18CA$6.59n/a14
Dec ’24CA$6.55
CA$9.41
+43.7%
11.8%CA$11.45CA$6.42CA$12.4915
Nov ’24CA$6.04
CA$9.88
+63.6%
9.9%CA$11.66CA$7.58CA$12.6415
Oct ’24CA$6.61
CA$10.05
+52.0%
7.5%CA$11.49CA$8.07CA$12.6115
Sep ’24CA$6.80
CA$9.94
+46.1%
9.3%CA$11.63CA$8.03CA$11.0017
Aug ’24CA$7.74
CA$9.98
+28.9%
10.1%CA$11.51CA$7.26CA$10.8317
Jul ’24CA$6.35
CA$9.97
+57.0%
9.5%CA$11.37CA$7.80CA$12.3817
Jun ’24CA$5.95
CA$10.34
+73.7%
10.1%CA$11.66CA$8.00CA$13.3016
May ’24CA$6.92
CA$10.25
+48.1%
12.3%CA$12.99CA$8.01CA$11.4615
Apr ’24CA$7.09
CA$9.67
+36.4%
18.6%CA$14.98CA$6.97CA$9.4616
Mar ’24CA$7.16
CA$9.48
+32.4%
12.5%CA$11.05CA$7.01CA$8.2316
Feb ’24CA$7.66
CA$9.42
+23.0%
13.2%CA$10.94CA$6.83CA$7.5516
Jan ’24CA$6.84
CA$9.24
+35.1%
16.2%CA$11.93CA$5.96CA$7.2917
Dec ’23CA$7.81
CA$8.90
+13.9%
15.7%CA$11.80CA$5.90CA$6.5517

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/30 22:10
End of Day Share Price 2024/12/27 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Hudbay Minerals Inc. is covered by 35 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Harriet LiAccountability Research Corporation
Farooq HamedBarclays
David CotterellBMO Capital Markets Equity Research