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PAAS

Pan American SilverTSX:PAAS Stock Report

Market Cap

CA$6.9b

7D

-1.7%

1Y

-18.4%

Updated

30 Nov, 2021

Data

Company Financials +
PAAS fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance5/6
Financial Health6/6
Dividends3/6

PAAS Stock Overview

Pan American Silver Corp., together with its subsidiaries, engages in the exploration, development, extraction, processing, refining, and reclamation of silver, gold, zinc, lead, and copper mines in Canada, Mexico, Peru, Argentina, and Bolivia.

Pan American Silver Competitors

First Majestic Silver

TSX:FR

CA$4.0b

Fortuna Silver Mines

TSX:FVI

CA$1.3b

Endeavour Silver

TSX:EDR

CA$1.0b

BHP Group

ASX:BHP

AU$193.5b

Price History & Performance

Summary of all time highs, changes and price drops for Pan American Silver
Historical stock prices
Current Share PriceCA$32.63
52 Week HighCA$50.70
52 Week LowCA$27.97
Beta1.12
1 Month Change3.03%
3 Month Change0.31%
1 Year Change-18.38%
3 Year Change85.71%
5 Year Change39.74%
Change since IPO4,561.43%

Recent News & Updates

Nov 14
We Think Pan American Silver (TSE:PAAS) Can Manage Its Debt With Ease

We Think Pan American Silver (TSE:PAAS) Can Manage Its Debt With Ease

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Oct 02
Do Pan American Silver's (TSE:PAAS) Earnings Warrant Your Attention?

Do Pan American Silver's (TSE:PAAS) Earnings Warrant Your Attention?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Sep 17
Is Pan American Silver Corp. (TSE:PAAS) Trading At A 27% Discount?

Is Pan American Silver Corp. (TSE:PAAS) Trading At A 27% Discount?

Does the September share price for Pan American Silver Corp. ( TSE:PAAS ) reflect what it's really worth? Today, we...

Aug 03
Pan American Silver (TSE:PAAS) Has A Rock Solid Balance Sheet

Pan American Silver (TSE:PAAS) Has A Rock Solid Balance Sheet

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it seems the smart money knows that...

Shareholder Returns

PAASCA Metals and MiningCA Market
7D-1.7%-2.1%-3.7%
1Y-18.4%2.4%20.6%

Return vs Industry: PAAS underperformed the Canadian Metals and Mining industry which returned 2.4% over the past year.

Return vs Market: PAAS underperformed the Canadian Market which returned 20.6% over the past year.

Price Volatility

Is PAAS's price volatile compared to industry and market?
PAAS volatility
PAAS Average Weekly Movement3.8%
Metals and Mining Industry Average Movement10.7%
Market Average Movement9.4%
10% most volatile stocks in CA Market17.3%
10% least volatile stocks in CA Market3.5%

Stable Share Price: PAAS is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: PAAS's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19796,850Michael Steinmannhttps://www.panamericansilver.com

Pan American Silver Corp., together with its subsidiaries, engages in the exploration, development, extraction, processing, refining, and reclamation of silver, gold, zinc, lead, and copper mines in Canada, Mexico, Peru, Argentina, and Bolivia. It holds interests in the La Colorada, Dolores, Huaron, Morococha, Shahuindo, La Arena, Timmins West, Bell Creek, Manantial Espejo, San Vicente, Pas Corp, and Navidad mines. The company was formerly known as Pan American Minerals Corp. and changed its name to Pan American Silver Corp. in April 1995.

Pan American Silver Fundamentals Summary

How do Pan American Silver's earnings and revenue compare to its market cap?
PAAS fundamental statistics
Market CapUS$5.36b
Earnings (TTM)US$252.28m
Revenue (TTM)US$1.64b

21.2x

P/E Ratio

3.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PAAS income statement (TTM)
RevenueUS$1.64b
Cost of RevenueUS$936.96m
Gross ProfitUS$704.09m
ExpensesUS$451.81m
EarningsUS$252.28m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.20
Gross Margin42.90%
Net Profit Margin15.37%
Debt/Equity Ratio1.4%

How did PAAS perform over the long term?

See historical performance and comparison

Dividends

1.6%

Current Dividend Yield

26%

Payout Ratio

Valuation

Is Pan American Silver undervalued compared to its fair value and its price relative to the market?

26.1%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PAAS (CA$32.63) is trading below our estimate of fair value (CA$44.16)

Significantly Below Fair Value: PAAS is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: PAAS is poor value based on its PE Ratio (21.2x) compared to the Canadian Metals and Mining industry average (9.9x).

PE vs Market: PAAS is poor value based on its PE Ratio (21.2x) compared to the Canadian market (12.2x).


Price to Earnings Growth Ratio

PEG Ratio: PAAS is poor value based on its PEG Ratio (1.9x)


Price to Book Ratio

PB vs Industry: PAAS is good value based on its PB Ratio (2x) compared to the CA Metals and Mining industry average (2.4x).


Future Growth

How is Pan American Silver forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

11.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PAAS's forecast earnings growth (11.1% per year) is above the savings rate (1.6%).

Earnings vs Market: PAAS's earnings (11.1% per year) are forecast to grow faster than the Canadian market (10.8% per year).

High Growth Earnings: PAAS's earnings are forecast to grow, but not significantly.

Revenue vs Market: PAAS's revenue (2.3% per year) is forecast to grow slower than the Canadian market (5.6% per year).

High Growth Revenue: PAAS's revenue (2.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PAAS's Return on Equity is forecast to be low in 3 years time (8.9%).


Past Performance

How has Pan American Silver performed over the past 5 years?

22.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PAAS has high quality earnings.

Growing Profit Margin: PAAS's current net profit margins (15.4%) are higher than last year (4.6%).


Past Earnings Growth Analysis

Earnings Trend: PAAS has become profitable over the past 5 years, growing earnings by 22.1% per year.

Accelerating Growth: PAAS's earnings growth over the past year (314.1%) exceeds its 5-year average (22.1% per year).

Earnings vs Industry: PAAS earnings growth over the past year (314.1%) exceeded the Metals and Mining industry 117%.


Return on Equity

High ROE: PAAS's Return on Equity (9.6%) is considered low.


Financial Health

How is Pan American Silver's financial position?


Financial Position Analysis

Short Term Liabilities: PAAS's short term assets ($983.9M) exceed its short term liabilities ($365.2M).

Long Term Liabilities: PAAS's short term assets ($983.9M) exceed its long term liabilities ($475.0M).


Debt to Equity History and Analysis

Debt Level: PAAS has more cash than its total debt.

Reducing Debt: PAAS's debt to equity ratio has reduced from 4.5% to 1.4% over the past 5 years.

Debt Coverage: PAAS's debt is well covered by operating cash flow (1203.6%).

Interest Coverage: PAAS earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Pan American Silver current dividend yield, its reliability and sustainability?

1.57%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PAAS's dividend (1.57%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.58%).

High Dividend: PAAS's dividend (1.57%) is low compared to the top 25% of dividend payers in the Canadian market (4.68%).


Stability and Growth of Payments

Stable Dividend: PAAS's dividend payments have been volatile in the past 10 years.

Growing Dividend: PAAS's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (25.8%), PAAS's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PAAS's dividends in 3 years are forecast to be well covered by earnings (21.2% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.5yrs

Average management tenure


CEO

Michael Steinmann (55 yo)

5.83yrs

Tenure

US$4,401,740

Compensation

Mr. Michael Steinmann, Ph D., P.Geo., has been the President of Pan American Silver Corp. since February 18, 2015 and its Chief Executive Officer since January 1, 2016. Mr. Steinmann served as Executive Vi...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD4.40M) is about average for companies of similar size in the Canadian market ($USD3.51M).

Compensation vs Earnings: Michael's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: PAAS's management team is seasoned and experienced (5.5 years average tenure).


Board Members

Experienced Board: PAAS's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Pan American Silver Corp.'s employee growth, exchange listings and data sources


Key Information

  • Name: Pan American Silver Corp.
  • Ticker: PAAS
  • Exchange: TSX
  • Founded: 1979
  • Industry: Silver
  • Sector: Materials
  • Market Cap: CA$6.860b
  • Shares outstanding: 210.31m
  • Website: https://www.panamericansilver.com

Number of Employees


Location

  • Pan American Silver Corp.
  • 625 Howe Street
  • Suite 1440
  • Vancouver
  • British Columbia
  • V6C 2T6
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/30 23:57
End of Day Share Price2021/11/30 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.