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Nexa Resources

NYSE:NEXA
Snowflake Description

Fair value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
NEXA
NYSE
$1B
Market Cap
  1. Home
  2. US
  3. Materials
Company description

Nexa Resources S.A., through its subsidiaries, engages in the zinc mining and smelting business. The last earnings update was 26 days ago. More info.


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  • Nexa Resources has significant price volatility in the past 3 months.
NEXA Share Price and Events
7 Day Returns
-4%
NYSE:NEXA
-2.5%
US Metals and Mining
-1.4%
US Market
1 Year Returns
-40.5%
NYSE:NEXA
-29.3%
US Metals and Mining
1.6%
US Market
NEXA Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Nexa Resources (NEXA) -4% -20.4% -11.4% -40.5% - -
US Metals and Mining -2.5% -8.6% -15.7% -29.3% 5.6% -19.4%
US Market -1.4% -3.9% 0.1% 1.6% 33.2% 38.2%
1 Year Return vs Industry and Market
  • NEXA underperformed the Metals and Mining industry which returned -29.3% over the past year.
  • NEXA underperformed the Market in United States of America which returned 1.6% over the past year.
Price Volatility
Industry
5yr Volatility vs Market
Related Companies

Sorry, no analysis for Nexa Resources's competitors could be found in our database.

NEXA Value

 Is Nexa Resources undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Nexa Resources to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Nexa Resources.

NYSE:NEXA Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 11.7%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:NEXA
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Metals and Mining Unlevered Beta Simply Wall St/ S&P Global 0.95
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.947 (1 + (1- 26.01%) (115.82%))
1.509
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.51
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.509 * 5.96%)
11.72%

Discounted Cash Flow Calculation for NYSE:NEXA using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Nexa Resources is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:NEXA DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 11.72%)
2019 43.67 Analyst x3 39.09
2020 -55.33 Analyst x3 -44.33
2021 70.33 Analyst x3 50.44
2022 -88.00 Analyst x1 -56.48
2023 359.00 Analyst x1 206.25
2024 552.46 Est @ 53.89% 284.09
2025 765.38 Est @ 38.54% 352.29
2026 978.13 Est @ 27.8% 402.98
2027 1,176.47 Est @ 20.28% 433.84
2028 1,353.10 Est @ 15.01% 446.61
Present value of next 10 years cash flows $2,114.77
NYSE:NEXA DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $1,353.10 × (1 + 2.73%) ÷ (11.72% – 2.73%)
$15,458.21
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $15,458.21 ÷ (1 + 11.72%)10
$5,102.28
NYSE:NEXA Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $2,114.77 + $5,102.28
$7,217.05
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $7,217.05 / 132.67
$54.4
NYSE:NEXA Discount to Share Price
Calculation Result
Value per share (USD) From above. $54.40
Current discount Discount to share price of $9.58
= -1 x ($9.58 - $54.40) / $54.40
82.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Nexa Resources is available for.
Intrinsic value
>50%
Share price is $9.58 vs Future cash flow value of $54.4
Current Discount Checks
For Nexa Resources to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Nexa Resources's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Nexa Resources's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Nexa Resources's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Nexa Resources's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:NEXA PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.04
NYSE:NEXA Share Price ** NYSE (2019-05-24) in USD $9.58
United States of America Metals and Mining Industry PE Ratio Median Figure of 46 Publicly-Listed Metals and Mining Companies 9.23x
United States of America Market PE Ratio Median Figure of 3,086 Publicly-Listed Companies 17.45x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Nexa Resources.

NYSE:NEXA PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:NEXA Share Price ÷ EPS (both in USD)

= 9.58 ÷ 0.04

222.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Nexa Resources is overvalued based on earnings compared to the US Metals and Mining industry average.
  • Nexa Resources is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Nexa Resources's expected growth come at a high price?
Raw Data
NYSE:NEXA PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 222.37x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
30.2%per year
United States of America Metals and Mining Industry PEG Ratio Median Figure of 25 Publicly-Listed Metals and Mining Companies 0.53x
United States of America Market PEG Ratio Median Figure of 2,121 Publicly-Listed Companies 1.51x

*Line of best fit is calculated by linear regression .

NYSE:NEXA PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 222.37x ÷ 30.2%

7.37x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Nexa Resources is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Nexa Resources's assets?
Raw Data
NYSE:NEXA PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $17.91
NYSE:NEXA Share Price * NYSE (2019-05-24) in USD $9.58
United States of America Metals and Mining Industry PB Ratio Median Figure of 104 Publicly-Listed Metals and Mining Companies 1.38x
United States of America Market PB Ratio Median Figure of 5,208 Publicly-Listed Companies 1.8x
NYSE:NEXA PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:NEXA Share Price ÷ Book Value per Share (both in USD)

= 9.58 ÷ 17.91

0.53x

* Primary Listing of Nexa Resources.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Nexa Resources is good value based on assets compared to the US Metals and Mining industry average.
X
Value checks
We assess Nexa Resources's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Metals and Mining industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Metals and Mining industry average (and greater than 0)? (1 check)
  5. Nexa Resources has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

NEXA Future Performance

 How is Nexa Resources expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
30.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Nexa Resources expected to grow at an attractive rate?
  • Nexa Resources's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Nexa Resources's earnings growth is expected to exceed the United States of America market average.
  • Nexa Resources's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:NEXA Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:NEXA Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts 30.2%
NYSE:NEXA Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts 3%
United States of America Metals and Mining Industry Earnings Growth Rate Market Cap Weighted Average 18.4%
United States of America Metals and Mining Industry Revenue Growth Rate Market Cap Weighted Average 5.1%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.7%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:NEXA Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:NEXA Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 2,657 591 203 3
2022-12-31 2,576 535 116 3
2021-12-31 2,474 521 194 6
2020-12-31 2,324 428 108 8
2019-12-31 2,360 265 76 8
NYSE:NEXA Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 2,385 243 6
2018-12-31 2,491 348 75
2018-09-30 2,611 373 34
2018-06-30 2,641 401 97
2018-03-31 2,576 502 133
2017-12-31 2,449 379 127
2017-09-30 2,325 638 40
2017-06-30 2,222 504 9
2017-03-31 2,120 429 97
2016-12-31 1,965 585 93

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Nexa Resources's earnings are expected to grow significantly at over 20% yearly.
  • Nexa Resources's revenue is expected to grow by 3% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:NEXA Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from Nexa Resources Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:NEXA Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 1.40 1.61 1.18 2.00
2022-12-31 1.19 1.50 0.87 2.00
2021-12-31 1.09 1.55 0.79 3.00
2020-12-31 0.75 1.40 0.46 5.00
2019-12-31 0.49 0.59 0.39 6.00
NYSE:NEXA Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.04
2018-12-31 0.56
2018-09-30 0.26
2018-06-30 0.76
2018-03-31 1.09
2017-12-31 1.09
2017-09-30 0.35
2017-06-30 0.02
2017-03-31 0.86
2016-12-31 1.15

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Nexa Resources is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Nexa Resources's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Nexa Resources has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

NEXA Past Performance

  How has Nexa Resources performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Nexa Resources's growth in the last year to its industry (Metals and Mining).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Nexa Resources has delivered over 20% year on year earnings growth in the past 5 years.
  • Nexa Resources's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Nexa Resources's 1-year earnings growth is negative, it can't be compared to the US Metals and Mining industry average.
Earnings and Revenue History
Nexa Resources's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Nexa Resources Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:NEXA Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 2,384.83 5.74 284.66
2018-12-31 2,491.20 74.86 285.88
2018-09-30 2,610.77 34.22 281.35
2018-06-30 2,641.49 96.56 273.03
2018-03-31 2,576.35 132.90 268.93
2017-12-31 2,449.48 126.89 247.19
2017-09-30 2,324.90 39.86 236.66
2017-06-30 2,222.01 8.50 235.03
2017-03-31 2,119.73 97.20 213.99
2016-12-31 1,964.84 93.17 190.92
2015-12-31 1,865.18 -129.14 190.86
2014-12-31 2,118.33 -29.09 242.88

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Nexa Resources has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Nexa Resources used its assets less efficiently than the US Metals and Mining industry average last year based on Return on Assets.
  • Nexa Resources has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Nexa Resources's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Metals and Mining industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Nexa Resources has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

NEXA Health

 How is Nexa Resources's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Nexa Resources's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Nexa Resources is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Nexa Resources's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Nexa Resources's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Nexa Resources Company Filings, last reported 1 month ago.

NYSE:NEXA Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 2,788.23 1,471.98 913.78
2018-12-31 2,901.80 1,424.87 1,124.82
2018-09-30 2,838.46 1,419.80 1,201.08
2018-06-30 2,818.36 1,420.63 1,152.59
2018-03-31 2,886.80 1,384.26 1,117.29
2017-12-31 2,908.90 1,447.30 1,225.19
2017-09-30 2,750.15 1,438.29 1,074.51
2017-06-30 2,877.65 1,406.80 1,144.25
2017-03-31 3,229.55 1,154.10 1,045.39
2016-12-31 3,324.32 1,144.39 1,032.53
2015-12-31 3,528.48 1,056.21 679.27
2014-12-31 3,811.80 1,325.50 769.75
  • Nexa Resources's level of debt (52.8%) compared to net worth is high (greater than 40%).
  • Unable to establish if Nexa Resources's debt level has increased without past 5-year debt data.
  • Debt is not well covered by operating cash flow (16.5%, less than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.1x coverage).
X
Financial health checks
We assess Nexa Resources's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Nexa Resources has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

NEXA Dividends

 What is Nexa Resources's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
5.49%
Current annual income from Nexa Resources dividends. Estimated to be 4.95% next year.
If you bought $2,000 of Nexa Resources shares you are expected to receive $110 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Nexa Resources's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.47%).
  • Nexa Resources's dividend is above the markets top 25% of dividend payers in United States of America (3.75%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:NEXA Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
United States of America Metals and Mining Industry Average Dividend Yield Market Cap Weighted Average of 31 Stocks 2.8%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2007 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.8%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:NEXA Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 0.60 1.00
2022-12-31 0.40 2.00
2021-12-31 0.38 5.00
2020-12-31 0.40 6.00
2019-12-31 0.67 5.00
NYSE:NEXA Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-15 0.525 4.697

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • It is too early to tell whether Nexa Resources has stable dividend payments.
  • Nexa Resources only just started paying a dividend, it is too early to tell if payments are increasing.
Current Payout to shareholders
What portion of Nexa Resources's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (0.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.2x coverage).
X
Income/ dividend checks
We assess Nexa Resources's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Nexa Resources afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Nexa Resources has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

NEXA Management

 What is the CEO of Nexa Resources's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tito Martins
COMPENSATION $1,836,693
AGE 56
TENURE AS CEO 7.3 years
CEO Bio

Mr. Tito Botelho Martins, Junior, has been Chief Executive Officer of Nexa Resources S.A. (formerly, VM Holding S.A.) since 2012 and serves as its President and Member of Executive Board. Mr. Martins served as Chief Executive Officer of Compañía Minera Milpo since January 2017 until January 22, 2017. He has more than 30 years of experience in the metals and mining industry and extensive board experience in different countries. He has been Director-Superintendent at Votorantim Metais Ltda. since August 01, 2012. Mr. Martins served as the Chief Financial Officer and Executive Director of Investor Relations, Procurement & Shared Services at Vale S.A. from November 2011 to July 23, 2012 and also served as its Investor Relations Officer until July 23, 2012 and served as its Executive Director for Investor Relations and Procurement & Shared Services since November 2011 to July 23, 2012. Mr. Martins served as Executive Officer of responsible for Basic Metals Operations (DETM) at Vale S.A. since May 2010. He served as Chief Executive Officer of Vale S.A since 2011 and served as its Director of corporate affairs since April 20, 2006. He served as Executive Officer of Base Metals Operations at Vale S.A. since May 2010 and served as its Executive Director of Non Ferrous Minerals and Energy since 2006. He served as the Chief Executive Officer and President of Vale Canada Limited of Vale S.A. from January 2009 to May 2010. He served as Executive Officer of Non Ferrous Minerals at Vale S.A. Mr. Martins served as Executive Director of Non-ferrous Minerals of Vale S.A. and Vale Canada Limited since May 2008. He served as Executive Director of Corporate affairs and Energy of Vale. Mr. Martins served as the Chairman of the Board and Chief Executive Officer of Caemi Mineracao e Metalurgia SA. (CAEMI) and Minerações Brasileiras Reunidas S.A. from October 2003 to 2006. From 1985 to 1999, Mr. Martins held different positions in Vale's financial areas. He served as Executive Officer of Corporate Affairs of Vale S.A. He served as Executive Officer - Corporate Affairs of CVRD-Holding of Vale Overseas Limited since April 2006. He served as Executive Officer of Corporate Affairs of Companhia Vale do Rio Doce, a holding company of Vale Overseas Limited. He served as an Executive Officer of Non Ferrous Minerals & Energy of Companhia Vale do Rio Doce since May 2008. He served as Executive Director for Corporate and Energy Affairs and Chairman of Caemi Metalurgia y Minerales S.A. He served as an Interim Chief Executive Officer and Interim President of Vale Canada Limited from December 31, 2008 to January 2009. Mr. Martins served as Executive Officer of Non Ferrous Minerals of Vale S.A. since May 2008. He served as Corporate Finance Officer of Vale S.A. from August 1999 to September 2003. He served as the Managing Director of the Corporate Finance Department of Vale from August 1999 to September 2003. He served as the Chief Executive Officer of CAEMI Mining and Metallurgy Corp. He served as Chief Executive Officer and Chairman of MBR Minerações Brasileiras Reunidas from 2003 to 2006. Mr. Martins has worked in a variety of positions in companies affiliated at CVRD, such as FCA, Samarco, Ferroban Railways, Açominas, Gulf Industrial Investment Corporation, Itabrasco and Hispanobrás. He serves as President of the Board of Directors of MRN - Mineração Rio de Norte (bauxite) S.A., ALUNORTE - Alumina do Norte do Brasil S.A. (alumina) and ALBR ÁS - Aluminio Brasileiro S.A. (aluminium). Mr. Martins serves as President of the Board of Directors at Valesul Alumínio S.A. He serves as Chairman of the Board of Trustees of VALIA. Mr. Martins joined CVRD in 1985 and has broad experience in corporate finance issues. In 2014 and 2015, he was Chairman of the Board of the Brazilian Aluminum Association (ABAL). He served as President Commissioner of PT Vale Indonesia Tbk (Formerly, PT International Nickel Indonesia Tbk) from February 26, 2009 to March 5, 2010. He has been Director of Compañía Minera Milpo since August 2012. He has been Director at Compañía Minera Atacocha S.A.A. since August 23, 2012. He served as a Director of Vale Nouvelle-Calédonie SAS. He serves as a Director of Samarco, GIIC. He served as Commissioner of PT Vale Indonesia Tbk since February 26, 2009. He served as an Executive Director of Non Ferrous Minerals and Energy at Vale S.A. since 2006. Mr. Martins served as an Executive Director of Ferrous Minerals & Energy of Vale Inco since 2004. He served as an Executive Director of Energy at Vale S.A. since 2006. He served as board member of Norsk Hydro. He served as a Director at Norsk Hydro ASA since February 28, 2011 until August 13, 2012. He served as Chief Executive Officer at Nexa Resources Perú S.A.A. until November 2017. He served as a Director of vale overseas', a subsidiary of Valley of the Rio Doce Co. He served as an Executive Director for Base Metals at Vale S.A., a leading Brazilian mining company, from April 20, 2006 to 2012. He served as Director of Corporate Affairs and Energy of Vale S.A., a Holding of Vale Overseas Limited since April 20, 2006. He served as a Director of CAEMI - Mineracao e Metalurgia S.A. He was also a member of the Brazilian Mining Institute. Mr. Martins joined the boards of directors of several corporations in Brazil and abroad, including: the Vale Foundation; Ferrovia Centro Atlântica (CFA). He has attended other Executive Education Programs at INSEAD (France) and at the Kellogg School of Management of the Northwestern University (USA). He holds a Bachelors Degree in Economics from the Universidade Federal de Minas Gerais (UFMG), and a Master Degree in Management from the Federal University of Rio de Janeiro (IEAD). Mr. Martins holds an MBA from IEAD/UFRJ.

CEO Compensation
  • Tito's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Tito's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Nexa Resources management team in years:

0.2
Average Tenure
54
Average Age
  • The average tenure for the Nexa Resources management team is less than 2 years, this suggests a new team.
Management Team

Tito Martins

TITLE
President
COMPENSATION
$2M
AGE
56
TENURE
7.3 yrs

Mauro Boletta

TITLE
Senior VP of Smelting & Member of Executive Board
COMPENSATION
$287K
AGE
57

Leonardo Coelho

TITLE
Senior VP of Mining & Member of Executive Board
COMPENSATION
$400K
AGE
41

Valdecir Botassini

TITLE
Senior VP of Project Development & Execution and Member of Executive Board
COMPENSATION
$678K
AGE
57

Jones Belther

TITLE
Senior VP of Mineral Exploration & Technology and Member of Executive Board
COMPENSATION
$705K
AGE
50

Felipe Guardiano

TITLE
VP of Sustainability & Strategic Planning and Member of Executive Board
COMPENSATION
$530K
AGE
55

Arlene Vasconcelos Domingues

TITLE
VP of Human Resources & Corporate Affairs and Member of Executive Board
COMPENSATION
$393K
AGE
54

Ricardo Moraes Porto

TITLE
Senior VP of Commercial & Supply Chain and Member of Executive Board
COMPENSATION
$645K
AGE
44

Rodrigo Menck

TITLE
Senior VP of Finance
AGE
43
TENURE
0.2 yrs

Roberta Varella

TITLE
Head of Investor Relations
TENURE
0.2 yrs
Board of Directors Tenure

Average tenure and age of the Nexa Resources board of directors in years:

2.8
Average Tenure
58
Average Age
  • The average tenure for the Nexa Resources board of directors is less than 3 years, this suggests a new board.
Board of Directors

Luis de Moraes

TITLE
Chairman of the Board
COMPENSATION
$240K
AGE
58
TENURE
2.8 yrs

Joao Henrique de Souza Schmidt

TITLE
Director
COMPENSATION
$200K
AGE
39
TENURE
2.6 yrs

Eduardo de Andrade Filho

TITLE
Independent Director
COMPENSATION
$200K
AGE
51
TENURE
2.8 yrs

Edward Ruiz

TITLE
Independent Director
COMPENSATION
$227K
AGE
68
TENURE
1.3 yrs

Diego Hernandez Cabrera

TITLE
Director
COMPENSATION
$200K
AGE
69
TENURE
2.8 yrs

Jean Simon

TITLE
Director
COMPENSATION
$200K
AGE
62
TENURE
2.8 yrs

Ivo Dorsner

TITLE
Director
COMPENSATION
$200K
AGE
73
TENURE
2.8 yrs

Daniella Dimitrov

TITLE
Independent Director
COMPENSATION
$222K
AGE
48
TENURE
1.3 yrs

Jane Sadowsky

TITLE
Independent Director
COMPENSATION
$222K
AGE
56
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
24. May 19 Buy Greathights Ventures Limited Company 22. May 19 22. May 19 10,000 $9.89 $98,929
23. Oct 18 Buy Greathights Ventures Limited Company 19. Oct 18 19. Oct 18 2,627 $11.80 $30,999
15. Oct 18 Buy Greathights Ventures Limited Company 10. Oct 18 10. Oct 18 1,610 $11.66 $18,780
10. Oct 18 Buy Greathights Ventures Limited Company 09. Oct 18 09. Oct 18 5,500 $12.40 $68,200
09. Oct 18 Buy Greathights Ventures Limited Company 02. Oct 18 05. Oct 18 22,540 $12.43 $279,646
X
Management checks
We assess Nexa Resources's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Nexa Resources has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

NEXA News

Simply Wall St News

What Percentage Of Nexa Resources S.A. (NYSE:NEXA) Shares Do Insiders Own?

Nexa Resources has a market capitalization of US$1.6b, so we would expect some institutional investors to have noticed the stock. … Taking a look at our data on the ownership groups (below), it's seems that. … We can zoom in on the different ownership groups, to learn more about NEXA

Simply Wall St -

How Do Analysts See Nexa Resources S.A. (NYSE:NEXA) Performing Over The Next Few Years?

The latest earnings update Nexa Resources S.A. … (NYSE:NEXA) released in December 2018a … signalled

Simply Wall St -

If You Had Bought Nexa Resources (NYSE:NEXA) Stock A Year Ago, You'd Be Sitting On A 27% Loss, Today

(NYSE:NEXA) shareholders should be happy to see the share price up 12% in the last month. … While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.

Simply Wall St -

Nexa Resources S.A. (NYSE:NEXA): What Does The Future Look Like?

Looking at Nexa Resources S.A.'s (NYSE:NEXA) earnings update in December 2018, … as a 29% increase in profits is expected in the upcoming year,

Simply Wall St -

Does Nexa Resources S.A. (NYSE:NEXA) Have A Place In Your Portfolio?

Dividends play a key role in compounding returns over time and can form a large part of our portfolio return. … Let's take a look at Nexa Resources in more detail. … See our latest analysis for Nexa Resources

Simply Wall St -

Nexa Resources S.A. (NYSE:NEXA) Might Not Be A Great Investment

To be precise, we'll consider its Return On Capital Employed (ROCE), as that will inform our view of the quality of the business. … Understanding Return On Capital Employed (ROCE). … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

Is There An Opportunity With Nexa Resources S.A.'s (NYSE:NEXA) 30.98% Undervaluation?

I am going to run you through how I calculated the intrinsic value of Nexa Resources S.A. … by taking the expected future cash flows and discounting them to their present value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.

Simply Wall St -

What Does Nexa Resources S.A.'s (NYSE:NEXA) P/E Ratio Tell You?

To keep it practical, we'll show how Nexa Resources S.A.'s (NYSE:NEXA) P/E ratio could help you assess the value on offer. … Based on the last twelve months, Nexa Resources's P/E ratio is 33.11. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

What does Nexa Resources S.A.'s (NYSE:NEXA) Balance Sheet Tell Us About Its Future?

(NYSE:NEXA) is a small-cap stock with a market capitalization of US$1.6b. … While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … Evaluating financial health as part of your investment thesis is.

Simply Wall St -

What Kind Of Shareholder Owns Most Nexa Resources SA (NYSE:NEXA) Stock?

A look at the shareholders of Nexa Resources SA (NYSE:NEXA) can tell us which group is most powerful. … Nexa Resources isn't enormous, but it's not particularly small either. … We can zoom in on the different ownership groups, to learn more about NEXA

Simply Wall St -

NEXA Company Info

Description

Nexa Resources S.A., through its subsidiaries, engages in the zinc mining and smelting business. It also produces copper, lead, silver, and gold deposits. The company owns and operates five mines, including three located in the Central Andes of Peru; and two located in the state of Minas Gerais in Brazil. In addition, it refines byproducts, such as sulfuric acid, as well as exports its products. The company was formerly known as VM Holding S.A. and changed its name to Nexa Resources S.A. in September 2017. The company was founded in 1956 and is based in Luxembourg City, Luxembourg. Nexa Resources S.A. is a subsidiary of Votorantim S.A.

Details
Name: Nexa Resources S.A.
NEXA
Exchange: NYSE
Founded: 1956
$1,270,956,824
132,667,727
Website: http://www.nexaresources.com
Address: Nexa Resources S.A.
37A, Avenue J.F. Kennedy,
Luxembourg City,
1855,
Luxembourg
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE NEXA Common Shares New York Stock Exchange US USD 27. Oct 2017
DB NE0 Common Shares Deutsche Boerse AG DE EUR 27. Oct 2017
TSX NEXA Common Shares The Toronto Stock Exchange CA CAD 27. Oct 2017
Number of employees
Current staff
Staff numbers
6,159
Nexa Resources employees.
Industry
Diversified Metals and Mining
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/27 00:53
End of day share price update: 2019/05/24 00:00
Last estimates confirmation: 2019/05/21
Last earnings filing: 2019/05/01
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.