The Bull Case For Wheaton Precious Metals (TSX:WPM) Could Change Following Ambitious 40 Percent Production Growth Plan

• In recent days, Wheaton Precious Metals announced plans to expand annual production by 40% to approximately 870,000 gold equivalent ounces by 2029, underpinned by a broad array of streaming agreements across both operational and developing mines.
• This growth outlook comes alongside a strong income focus, as the company increased its quarterly dividend by 6.5% in March 2025, reflecting ongoing commitment to shareholder returns.
• We'll explore how Wheaton's ambitious production growth targets may shape its investment narrative and future risk profile.

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Wheaton Precious Metals Investment Narrative Recap

Investors considering Wheaton Precious Metals need to be confident in the company’s ability to deliver on its five-year production expansion plan, which aims for a 40% output increase by 2029 through diverse streaming agreements. The recent announcement of these targets does not materially reduce the near-term execution risk tied to new asset ramp-ups, so delays or underperformance remain key challenges to watch in the short term.

The dividend increase declared in March 2025 underscores Wheaton’s commitment to returning capital to shareholders, even as the company pursues aggressive growth targets. For shareholders, this signals management’s intention to balance income and reinvestment, which may help support investor sentiment if production expansion faces temporary setbacks.

Yet, in contrast to the growth narrative, investors should be aware of potential setbacks if new projects do not ramp up on schedule or if...

Read the full narrative on Wheaton Precious Metals (it's free!)

Wheaton Precious Metals' outlook points to $1.9 billion in revenue and $1.1 billion in earnings by 2028. This is based on a 9.7% annual revenue growth rate and a $480.9 million increase in earnings from the current $619.1 million.

Uncover how Wheaton Precious Metals' forecasts yield a CA$136.52 fair value, a 7% upside to its current price.

Exploring Other Perspectives

Five members of the Simply Wall St Community estimate Wheaton’s fair value in a wide CA$65.96 to CA$136.52 range. Some expect expanding production to improve future earnings, while others remain cautious about execution risk and timing of new project ramp-ups.

Explore 5 other fair value estimates on Wheaton Precious Metals - why the stock might be worth 48% less than the current price!

Build Your Own Wheaton Precious Metals Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Wheaton Precious Metals research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Wheaton Precious Metals research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Wheaton Precious Metals' overall financial health at a glance.

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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.

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