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HOC logo

Hochschild Mining LSE:HOC Stock Report

Last Price

UK£3.00

Market Cap

UK£1.5b

7D

19.3%

1Y

100.7%

Updated

13 Apr, 2025

Data

Company Financials +

Hochschild Mining plc

LSE:HOC Stock Report

Market Cap: UK£1.5b

HOC Stock Overview

A precious metals company, engages in the exploration, mining, processing, and sale of gold and silver deposits in Peru, Argentina, the United States, Canada, Brazil, and Chile. More details

HOC fundamental analysis
Snowflake Score
Valuation3/6
Future Growth4/6
Past Performance3/6
Financial Health3/6
Dividends0/6

Rewards

Trading at 27.4% below our estimate of its fair value

Earnings are forecast to grow 23.46% per year

Became profitable this year

Risk Analysis

Volatile share price over the past 3 months compared to the UK market


Community vs My Fair Value

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HOC logo
Hochschild Mining
RO
RockeTeller
Community Contributor

Silver Play by A Family with 10x Potential

Hochschild Mining – Overview Location : South America Production (2025) : Gold: 250,000 oz Silver: 8 million oz (excluding Pallancata C&M) AISC (Break-even) : Gold: ~$1,850/oz Silver: ~$24/oz Cash Flow Margin at $4,000 gold / $100 silver : Strong Debt : $350M $100M due in 2024 $89M cash on hand $200M additional credit available New & Future Projects Mara Rosa (Brazil) : 80,000 oz/year (low cost) Started in 2024 Royropata (Peru) : 100,000 oz AUEQ (3M oz silver/year) Starts in 2028 Monte Do Carmo (Brazil) : 90,000 oz gold Permitting stage – expected 2028 Volcan (Chile) : 9 million oz gold (.7 gpt) Potential 330K oz/year AISC: ~$1,000 Capex: $900M Production could begin 2028–2030 Not included in cash flow estimate (optional upside or sale) Ownership 50% owned by one family Dividends are a priority Unlikely to sell – growth focus Valuation at $4,000 Gold / $100 Silver Assume production from 2028 with 400K oz gold & 10M oz silver: Gold FCF : 400,000 oz × ($4,000 – $1,850) = $860M Silver FCF : 10,000,000 oz × ($100 – $24) = $760M Total Annual FCF ≈ $1.62B Valuation at 10x FCF = $16.2B Conclusion If Hochschild Mining executes on new projects and gold reaches $4,000/oz, silver hits $100/oz, the company could be worth over $16 billion. However, high debt, permitting risks, and political red flags (Argentina, Peru, Chile) may keep valuation multiples conservative.
View narrative
UK£24.00
FV
87.5% undervalued intrinsic discount
68.48%
Revenue growth p.a.
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4 days ago author updated this narrative
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Hochschild Mining
AN
AnalystConsensusTarget
Consensus Narrative from 9 Analysts

Transition To Full Production At Mara Rosa Mine Will Increase Output

Key Takeaways Expanding resources through exploration and transitioning to full Mara Rosa production could enhance revenue, profitability, and long-term stability. Cost optimization, new projects, and a new dividend policy are poised to strengthen financial health and investor confidence.
View narrative
UK£2.89
FV
3.8% overvalued intrinsic discount
5.73%
Revenue growth p.a.
0users have liked this narrative
0users have commented on this narrative
11users have followed this narrative
4 days ago author updated this narrative
View Hochschild Mining Community

Hochschild Mining plc Competitors

Pan African Resources

AIM:PAF

UK£963.9m

Serabi Gold

AIM:SRB

UK£123.4m

AltynGold

LSE:ALTN

UK£103.9m

Hill & Smith

LSE:HILS

UK£1.3b

Price History & Performance

Summary of share price highs, lows and changes for Hochschild Mining
Historical stock prices
Current Share PriceUK£3.00
52 Week HighUK£3.03
52 Week LowUK£1.42
Beta0.61
1 Month Change28.12%
3 Month Change36.90%
1 Year Change100.67%
3 Year Change112.02%
5 Year Change147.16%
Change since IPO-15.55%

Recent News & Updates

Subdued Growth No Barrier To Hochschild Mining plc (LON:HOC) With Shares Advancing 37%

Mar 20
Subdued Growth No Barrier To Hochschild Mining plc (LON:HOC) With Shares Advancing 37%

Recent updates

Subdued Growth No Barrier To Hochschild Mining plc (LON:HOC) With Shares Advancing 37%

Mar 20
Subdued Growth No Barrier To Hochschild Mining plc (LON:HOC) With Shares Advancing 37%
author-image

Mara Rosa And Royropata Projects Will Expand Future Operations

Feb 15 Strategic developments in Brazil and Peru will enhance Hochschild's gold and silver output, bolstering revenues and production capabilities.

Investors Continue Waiting On Sidelines For Hochschild Mining plc (LON:HOC)

Jan 27
Investors Continue Waiting On Sidelines For Hochschild Mining plc (LON:HOC)

Investors Still Aren't Entirely Convinced By Hochschild Mining plc's (LON:HOC) Revenues Despite 28% Price Jump

Oct 27
Investors Still Aren't Entirely Convinced By Hochschild Mining plc's (LON:HOC) Revenues Despite 28% Price Jump

A Look At The Intrinsic Value Of Hochschild Mining plc (LON:HOC)

Apr 25
A Look At The Intrinsic Value Of Hochschild Mining plc (LON:HOC)

Hochschild Mining plc (LON:HOC) Stock Rockets 26% As Investors Are Less Pessimistic Than Expected

Mar 16
Hochschild Mining plc (LON:HOC) Stock Rockets 26% As Investors Are Less Pessimistic Than Expected

A Piece Of The Puzzle Missing From Hochschild Mining plc's (LON:HOC) Share Price

Dec 18
A Piece Of The Puzzle Missing From Hochschild Mining plc's (LON:HOC) Share Price

Here's Why Hochschild Mining (LON:HOC) Is Weighed Down By Its Debt Load

Sep 28
Here's Why Hochschild Mining (LON:HOC) Is Weighed Down By Its Debt Load

Hochschild Mining plc's (LON:HOC) Intrinsic Value Is Potentially 41% Above Its Share Price

Aug 03
Hochschild Mining plc's (LON:HOC) Intrinsic Value Is Potentially 41% Above Its Share Price

Hochschild Mining plc (LON:HOC) Shares Could Be 31% Below Their Intrinsic Value Estimate

Mar 14
Hochschild Mining plc (LON:HOC) Shares Could Be 31% Below Their Intrinsic Value Estimate

Hochschild Mining (LON:HOC) Might Have The Makings Of A Multi-Bagger

Feb 24
Hochschild Mining (LON:HOC) Might Have The Makings Of A Multi-Bagger

Shareholder Returns

HOCGB Metals and MiningGB Market
7D19.3%4.8%-1.0%
1Y100.7%-25.0%-3.0%

Return vs Industry: HOC exceeded the UK Metals and Mining industry which returned -25% over the past year.

Return vs Market: HOC exceeded the UK Market which returned -3% over the past year.

Price Volatility

Is HOC's price volatile compared to industry and market?
HOC volatility
HOC Average Weekly Movement9.2%
Metals and Mining Industry Average Movement8.6%
Market Average Movement5.5%
10% most volatile stocks in GB Market10.3%
10% least volatile stocks in GB Market3.1%

Stable Share Price: HOC's share price has been volatile over the past 3 months compared to the UK market.

Volatility Over Time: HOC's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of UK stocks.

About the Company

FoundedEmployeesCEOWebsite
19113,295Eduardo Navarrowww.hochschildmining.com

Hochschild Mining plc, a precious metals company, engages in the exploration, mining, processing, and sale of gold and silver deposits in Peru, Argentina, the United States, Canada, Brazil, and Chile. The company’s flagship asset include the Inmaculada gold and silver underground mine located in the Ayacucho Department, southern Peru. It is also involved in the power generation and transmission activities.

Hochschild Mining plc Fundamentals Summary

How do Hochschild Mining's earnings and revenue compare to its market cap?
HOC fundamental statistics
Market capUK£1.54b
Earnings (TTM)UK£74.20m
Revenue (TTM)UK£724.86m

20.8x

P/E Ratio

2.1x

P/S Ratio

Is HOC overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
HOC income statement (TTM)
RevenueUS$947.70m
Cost of RevenueUS$606.46m
Gross ProfitUS$341.24m
Other ExpensesUS$244.24m
EarningsUS$97.01m

Last Reported Earnings

Dec 31, 2024

Next Earnings Date

n/a

Earnings per share (EPS)0.19
Gross Margin36.01%
Net Profit Margin10.24%
Debt/Equity Ratio45.5%

How did HOC perform over the long term?

See historical performance and comparison

Dividends

0.5%

Current Dividend Yield

10%

Payout Ratio

Does HOC pay a reliable dividends?

See HOC dividend history and benchmarks
When do you need to buy HOC by to receive an upcoming dividend?
Hochschild Mining dividend dates
Ex Dividend DateMay 08 2025
Dividend Pay DateJun 18 2025
Days until Ex dividend24 days
Days until Dividend pay date65 days

Does HOC pay a reliable dividends?

See HOC dividend history and benchmarks

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/04/13 13:57
End of Day Share Price 2025/04/11 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

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.

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 Github.

Analyst Sources

Hochschild Mining plc is covered by 19 analysts. 7 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Izak RossouwBarclays
David Simon ButlerBarclays
Izak RossouwBarclays