| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 1/6 |
| Past Performance | 4/6 |
| Financial Health | 6/6 |
| Dividends | 3/6 |
HOC Stock Overview
Hochschild Mining plc, a precious metals company, engages in the exploration, mining, processing, and sale of gold and silver in the Americas.
Hochschild Mining Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | UK£1.18 |
| 52 Week High | UK£2.74 |
| 52 Week Low | UK£0.68 |
| Beta | 1.26 |
| 1 Month Change | -8.51% |
| 3 Month Change | -21.31% |
| 1 Year Change | -42.62% |
| 3 Year Change | -31.56% |
| 5 Year Change | -49.87% |
| Change since IPO | -66.70% |
Recent News & Updates
Hochschild Mining (LON:HOC) Could Easily Take On More Debt
David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...
Returns At Hochschild Mining (LON:HOC) Are On The Way Up
Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...
Hochschild Mining plc's (LON:HOC) Intrinsic Value Is Potentially 94% Above Its Share Price
Does the September share price for Hochschild Mining plc ( LON:HOC ) reflect what it's really worth? Today, we will...
Shareholder Returns
| HOC | GB Metals and Mining | GB Market | |
|---|---|---|---|
| 7D | -1.0% | 0.7% | -1.3% |
| 1Y | -42.6% | 2.6% | 7.8% |
Return vs Industry: HOC underperformed the UK Metals and Mining industry which returned 2.6% over the past year.
Return vs Market: HOC underperformed the UK Market which returned 7.8% over the past year.
Price Volatility
| HOC volatility | |
|---|---|
| HOC Average Weekly Movement | 10.9% |
| Metals and Mining Industry Average Movement | 7.5% |
| Market Average Movement | 5.0% |
| 10% most volatile stocks in GB Market | 10.7% |
| 10% least volatile stocks in GB Market | 2.5% |
Stable Share Price: HOC is more volatile than 90% of UK stocks over the past 3 months, typically moving +/- 11% a week.
Volatility Over Time: HOC's weekly volatility (11%) has been stable over the past year, but is still higher than 75% of UK stocks.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1911 | 3,430 | Ignacio Bustamante | https://www.hochschildmining.com |
Hochschild Mining plc, a precious metals company, engages in the exploration, mining, processing, and sale of gold and silver in the Americas. The company holds a 100% interests in the Inmaculada gold/silver underground operation and Pallancata silver/gold property, which are located in the Department of Ayacucho in southern Peru; and Arcata, an underground operation located in the Department of Arequipa in southern Peru, as well as a 51% interest in the San Jose silver/gold mine is located in Argentina. In addition, the company has a portfolio of projects in various stages of development located in Peru, Argentina, Mexico, the United States, and Chile.
Hochschild Mining Fundamentals Summary
| HOC fundamental statistics | |
|---|---|
| Market Cap | US$823.58m |
| Earnings (TTM) | US$57.84m |
| Revenue (TTM) | US$784.55m |
14.2x
P/E Ratio1.0x
P/S RatioIs HOC overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| HOC income statement (TTM) | |
|---|---|
| Revenue | US$784.55m |
| Cost of Revenue | US$448.38m |
| Gross Profit | US$336.16m |
| Expenses | US$278.32m |
| Earnings | US$57.84m |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.11 |
| Gross Margin | 42.85% |
| Net Profit Margin | 7.37% |
| Debt/Equity Ratio | 25.6% |
How did HOC perform over the long term?
See historical performance and comparisonDividends
2.4%
Current Dividend Yield42%
Payout RatioValuation
Is Hochschild Mining undervalued compared to its fair value and its price relative to the market?
14.24x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: HOC (£1.18) is trading above our estimate of fair value (£1.13)
Significantly Below Fair Value: HOC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: HOC is poor value based on its PE Ratio (14.2x) compared to the UK Metals and Mining industry average (8.2x).
PE vs Market: HOC is good value based on its PE Ratio (14.2x) compared to the UK market (18.9x).
Price to Earnings Growth Ratio
PEG Ratio: HOC is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: HOC is good value based on its PB Ratio (1.1x) compared to the GB Metals and Mining industry average (1.9x).
Future Growth
How is Hochschild Mining forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
9.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HOC's forecast earnings growth (9.6% per year) is above the savings rate (0.9%).
Earnings vs Market: HOC's earnings (9.6% per year) are forecast to grow slower than the UK market (12.1% per year).
High Growth Earnings: HOC's earnings are forecast to grow, but not significantly.
Revenue vs Market: HOC's revenue is expected to decline over the next 3 years (-6.4% per year).
High Growth Revenue: HOC's revenue is forecast to decline over the next 3 years (-6.4% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HOC's Return on Equity is forecast to be low in 3 years time (11.9%).
Past Performance
How has Hochschild Mining performed over the past 5 years?
30.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HOC has a large one-off loss of $38.3M impacting its June 30 2021 financial results.
Growing Profit Margin: HOC's current net profit margins (7.4%) are higher than last year (1.1%).
Past Earnings Growth Analysis
Earnings Trend: HOC has become profitable over the past 5 years, growing earnings by 30.6% per year.
Accelerating Growth: HOC's earnings growth over the past year (714%) exceeds its 5-year average (30.6% per year).
Earnings vs Industry: HOC earnings growth over the past year (714%) exceeded the Metals and Mining industry 150.4%.
Return on Equity
High ROE: HOC's Return on Equity (7.1%) is considered low.
Financial Health
How is Hochschild Mining's financial position?
Financial Position Analysis
Short Term Liabilities: HOC's short term assets ($392.7M) exceed its short term liabilities ($195.2M).
Long Term Liabilities: HOC's short term assets ($392.7M) exceed its long term liabilities ($376.7M).
Debt to Equity History and Analysis
Debt Level: HOC has more cash than its total debt.
Reducing Debt: HOC's debt to equity ratio has reduced from 50.5% to 25.6% over the past 5 years.
Debt Coverage: HOC's debt is well covered by operating cash flow (142.2%).
Interest Coverage: HOC's interest payments on its debt are well covered by EBIT (25.6x coverage).
Balance Sheet
Dividend
What is Hochschild Mining current dividend yield, its reliability and sustainability?
2.43%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: HOC's dividend (2.43%) is higher than the bottom 25% of dividend payers in the UK market (1.4%).
High Dividend: HOC's dividend (2.43%) is low compared to the top 25% of dividend payers in the UK market (4.09%).
Stability and Growth of Payments
Stable Dividend: HOC's dividend payments have been volatile in the past 10 years.
Growing Dividend: HOC's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (41.7%), HOC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: HOC's dividends in 3 years are forecast to be well covered by earnings (38.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
7.9yrs
Average management tenure
CEO
Ignacio Bustamante (49 yo)
11.75yrs
Tenure
US$1,933,000
Compensation
Mr. Ignacio Bustamante serves as Non-Executive Director at Aclara Resources Inc. since December 10, 2021. He has been the Chief Executive Officer at Hochschild Mining PLC since April 2010. Mr. Bustamante h...
CEO Compensation Analysis
Compensation vs Market: Ignacio's total compensation ($USD1.93M) is above average for companies of similar size in the UK market ($USD1.08M).
Compensation vs Earnings: Ignacio's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: HOC's management team is seasoned and experienced (7.9 years average tenure).
Board Members
Experienced Board: HOC's board of directors are considered experienced (6 years average tenure).
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
Hochschild Mining plc's employee growth, exchange listings and data sources
Key Information
- Name: Hochschild Mining plc
- Ticker: HOC
- Exchange: LSE
- Founded: 1911
- Industry: Gold
- Sector: Materials
- Implied Market Cap: UK£607.401m
- Shares outstanding: 513.88m
- Website: https://www.hochschildmining.com
Number of Employees
Location
- Hochschild Mining plc
- 17 Cavendish Square
- London
- Greater London
- W1G 0PH
- United Kingdom
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/01/22 19:00 |
| End of Day Share Price | 2022/01/21 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.