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WPM

Wheaton Precious MetalsNYSE:WPM Stock Report

Last Price

CA$41.71

Market Cap

CA$18.9b

7D

4.5%

1Y

2.1%

Updated

21 Jan, 2022

Data

Company Financials +
WPM fundamental analysis
Snowflake Score
Valuation0/6
Future Growth1/6
Past Performance4/6
Financial Health6/6
Dividends4/6

WPM Stock Overview

Wheaton Precious Metals Corp., a mining company, primarily sells precious metals in Canada and internationally.

Wheaton Precious Metals Competitors

Royal Gold

NasdaqGS:RGLD

US$6.9b

Coeur Mining

NYSE:CDE

US$1.4b

Franco-Nevada

TSX:FNV

CA$32.9b

SSR Mining

TSX:SSRM

CA$4.7b

Price History & Performance

Summary of all time highs, changes and price drops for Wheaton Precious Metals
Historical stock prices
Current Share PriceCA$41.71
52 Week HighCA$49.10
52 Week LowCA$34.85
Beta0.33
1 Month Change0.43%
3 Month Change0.82%
1 Year Change2.05%
3 Year Change121.16%
5 Year Change99.09%
Change since IPO1,384.34%

Recent News & Updates

Dec 23

Wheaton Precious Metals: Acquires Gold And Silver Stream On Artemis Gold's Mine, New Gold Wins

Wheaton Precious Metals is buying an 8% gold and 50% silver stream on the Blackwater mine. The price paid for the streams is $300 million and $141 million respectively. The price paid for the gold stream seems to be quite high given the current gold price. New Gold seems to be the winner in this deal, as it boosts its balance sheet while maintaining exposure to more de-risked Blackwater project via a 4.8% equity interest in Artemis.

Dec 08

Wheaton Precious Metals: A High-Quality Business At A Very Reasonable Price

Despite being down 1% year-to-date, Wheaton Precious Metals is one of the better performers this year, relative to a ~13% decline in the Gold Miners Index. The company just came off a satisfactory quarter in Q3, with production up slightly year-over-year but relatively flat on a two-year basis. Unfortunately, this didn't entirely show up in the company's results, with a buildup of inventory due to delayed shipments, resulting in double-digit declines in revenue and quarterly EPS. Given Wheaton's attractive dividend yield, steady growth in attributable GEO production, and industry-leading margins, I would view pullbacks below $39.00 as low-risk buying opportunities.

Shareholder Returns

WPMUS Metals and MiningUS Market
7D4.5%-2.3%-4.6%
1Y2.1%18.7%7.7%

Return vs Industry: WPM underperformed the US Metals and Mining industry which returned 18.7% over the past year.

Return vs Market: WPM underperformed the US Market which returned 7.7% over the past year.

Price Volatility

Is WPM's price volatile compared to industry and market?
WPM volatility
WPM Average Weekly Movement4.1%
Metals and Mining Industry Average Movement8.6%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: WPM is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

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

About the Company

FoundedEmployeesCEOWebsite
200439Randy V. Smallwoodhttps://www.wheatonpm.com

Wheaton Precious Metals Corp., a mining company, primarily sells precious metals in Canada and internationally. The company sells gold, silver, palladium, and cobalt deposits. It has agreements for 24 operating mining assets and 7 development stage projects.

Wheaton Precious Metals Fundamentals Summary

How do Wheaton Precious Metals's earnings and revenue compare to its market cap?
WPM fundamental statistics
Market CapUS$18.88b
Earnings (TTM)US$620.28m
Revenue (TTM)US$1.21b

30.4x

P/E Ratio

15.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WPM income statement (TTM)
RevenueUS$1.21b
Cost of RevenueUS$284.28m
Gross ProfitUS$925.40m
ExpensesUS$305.11m
EarningsUS$620.28m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)1.38
Gross Margin76.50%
Net Profit Margin51.28%
Debt/Equity Ratio0%

How did WPM perform over the long term?

See historical performance and comparison

Dividends

1.4%

Current Dividend Yield

39%

Payout Ratio

Valuation

Is Wheaton Precious Metals undervalued compared to its fair value and its price relative to the market?

30.43x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: WPM ($41.71) is trading above our estimate of fair value ($28.4)

Significantly Below Fair Value: WPM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: WPM is poor value based on its PE Ratio (30.4x) compared to the US Metals and Mining industry average (8.9x).

PE vs Market: WPM is poor value based on its PE Ratio (30.4x) compared to the US market (16.9x).


Price to Earnings Growth Ratio

PEG Ratio: WPM is poor value based on its PEG Ratio (5.7x)


Price to Book Ratio

PB vs Industry: WPM is overvalued based on its PB Ratio (3.1x) compared to the US Metals and Mining industry average (2.2x).


Future Growth

How is Wheaton Precious Metals forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

5.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WPM's forecast earnings growth (5.3% per year) is above the savings rate (2%).

Earnings vs Market: WPM's earnings (5.3% per year) are forecast to grow slower than the US market (13.1% per year).

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

Revenue vs Market: WPM's revenue (3% per year) is forecast to grow slower than the US market (9.3% per year).

High Growth Revenue: WPM's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WPM's Return on Equity is forecast to be low in 3 years time (8.5%).


Past Performance

How has Wheaton Precious Metals performed over the past 5 years?

30.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WPM has high quality earnings.

Growing Profit Margin: WPM's current net profit margins (51.3%) are higher than last year (41.4%).


Past Earnings Growth Analysis

Earnings Trend: WPM's earnings have grown significantly by 30.6% per year over the past 5 years.

Accelerating Growth: WPM's earnings growth over the past year (44.9%) exceeds its 5-year average (30.6% per year).

Earnings vs Industry: WPM earnings growth over the past year (44.9%) underperformed the Metals and Mining industry 125.5%.


Return on Equity

High ROE: WPM's Return on Equity (10.3%) is considered low.


Financial Health

How is Wheaton Precious Metals's financial position?


Financial Position Analysis

Short Term Liabilities: WPM's short term assets ($392.7M) exceed its short term liabilities ($28.8M).

Long Term Liabilities: WPM's short term assets ($392.7M) exceed its long term liabilities ($13.6M).


Debt to Equity History and Analysis

Debt Level: WPM is debt free.

Reducing Debt: WPM has no debt compared to 5 years ago when its debt to equity ratio was 27.1%.

Debt Coverage: WPM has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: WPM has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Wheaton Precious Metals's current dividend yield, its reliability and sustainability?

1.43%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: WPM's dividend (1.43%) is higher than the bottom 25% of dividend payers in the US market (1.34%).

High Dividend: WPM's dividend (1.43%) is low compared to the top 25% of dividend payers in the US market (3.49%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (39.2%), WPM's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WPM's dividends in 3 years are forecast to be well covered by earnings (43.4% payout ratio).


Next Steps

Management

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

12.0yrs

Average management tenure


CEO

Randy V. Smallwood (56 yo)

12yrs

Tenure

US$4,573,831

Compensation

Mr. Randy V. J. Smallwood, P. Eng., is a Co-Founder of Wheaton Precious Metals Corp. formerly known as Silver Wheaton Corp., and has been President since January 1, 2010 and Chief Executive Officer since A...


CEO Compensation Analysis

Compensation vs Market: Randy V.'s total compensation ($USD4.57M) is below average for companies of similar size in the US market ($USD11.31M).

Compensation vs Earnings: Randy V.'s compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: WPM's management team is seasoned and experienced (12 years average tenure).


Board Members

Experienced Board: WPM's board of directors are seasoned and experienced ( 11.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: WPM insiders have only sold shares 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

Wheaton Precious Metals Corp.'s employee growth, exchange listings and data sources


Key Information

  • Name: Wheaton Precious Metals Corp.
  • Ticker: WPM
  • Exchange: NYSE
  • Founded: 2004
  • Industry: Gold
  • Sector: Materials
  • Implied Market Cap: CA$23.531b
  • Listing Market Cap: CA$18.876b
  • Shares outstanding: 450.86m
  • Website: https://www.wheatonpm.com

Number of Employees


Location

  • Wheaton Precious Metals Corp.
  • 1021 West Hastings Street
  • Suite 3500
  • Vancouver
  • British Columbia
  • V6E 0C3
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/21 00:01
End of Day Share Price2022/01/20 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.