Lundin Mining Corporation

OTCPK:LUNM.F Stock Report

Market Cap: US$7.6b

Lundin Mining Valuation

Is LUNM.F undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of LUNM.F when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: LUNM.F ($9.81) is trading above our estimate of fair value ($6.17)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for LUNM.F?

Key metric: As LUNM.F is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for LUNM.F. This is calculated by dividing LUNM.F's market cap by their current earnings.
What is LUNM.F's PE Ratio?
PE Ratio27.6x
EarningsUS$275.43m
Market CapUS$7.61b

Price to Earnings Ratio vs Peers

How does LUNM.F's PE Ratio compare to its peers?

The above table shows the PE ratio for LUNM.F vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average38.5x
FCX Freeport-McMoRan
31.5x12.8%US$62.9b
SCCO Southern Copper
26x6.2%US$78.8b
TX Ternium
81.9x49.1%US$6.5b
CMC Commercial Metals
14.4x6.0%US$7.0b
LUNM.F Lundin Mining
27.6x24.8%US$10.7b

Price-To-Earnings vs Peers: LUNM.F is good value based on its Price-To-Earnings Ratio (27.6x) compared to the peer average (38.5x).

Price to Earnings Ratio vs Industry

How does LUNM.F's PE Ratio compare vs other companies in the US Metals and Mining Industry?

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
VITF.F Victoria Gold
2.1xn/aUS$23.43m
BMXI Brookmount Explorations
0.6xn/aUS$6.03m
RMRI Rocky Mountain Industrials
0.9xn/aUS$1.76m
ZCRM.F Zincore Metals
0.5xn/aUS$852.33k
LUNM.F 27.6xIndustry Avg. 19.1xNo. of Companies7PE01224364860+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LUNM.F is expensive based on its Price-To-Earnings Ratio (27.6x) compared to the US Metals and Mining industry average (19.1x).

Price to Earnings Ratio vs Fair Ratio

What is LUNM.F's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

LUNM.F PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27.6x
Fair PE Ratio27.1x

Price-To-Earnings vs Fair Ratio: LUNM.F is expensive based on its Price-To-Earnings Ratio (27.6x) compared to the estimated Fair Price-To-Earnings Ratio (27.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst LUNM.F forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$9.81
US$12.33
+25.7%
15.0%US$16.79US$6.83n/a20
Nov ’25US$9.79
US$12.61
+28.8%
14.3%US$16.79US$6.87n/a20
Oct ’25US$10.48
US$12.42
+18.6%
12.5%US$14.48US$7.06n/a19
Sep ’25US$10.32
US$12.63
+22.4%
13.0%US$14.48US$7.06n/a19
Aug ’25US$9.60
US$12.69
+32.2%
13.6%US$14.48US$6.86n/a19
Jul ’25US$11.27
US$13.03
+15.6%
15.1%US$16.07US$6.21n/a21
Jun ’25US$11.49
US$12.70
+10.5%
15.0%US$14.67US$6.23n/a21
May ’25US$11.15
US$11.47
+2.9%
16.3%US$14.57US$5.68n/a21
Apr ’25US$10.41
US$9.56
-8.2%
18.7%US$13.23US$4.73n/a21
Mar ’25US$7.98
US$8.83
+10.7%
15.1%US$10.73US$4.74n/a20
Feb ’25US$8.28
US$8.58
+3.6%
13.7%US$9.69US$5.52n/a19
Jan ’25US$8.20
US$8.34
+1.6%
13.2%US$9.69US$5.52n/a19
Dec ’24US$7.28
US$8.28
+13.8%
11.1%US$9.58US$6.00n/a20
Nov ’24US$6.27
US$8.46
+35.0%
11.7%US$9.59US$5.85US$9.7920
Oct ’24US$7.49
US$8.77
+17.1%
10.5%US$9.74US$6.28US$10.4820
Sep ’24US$7.94
US$8.60
+8.3%
10.8%US$9.74US$6.28US$10.3221
Aug ’24US$8.84
US$8.68
-1.9%
10.0%US$9.91US$6.53US$9.6021
Jul ’24US$7.83
US$8.31
+6.1%
9.6%US$9.63US$6.41US$11.2720
Jun ’24US$7.17
US$8.09
+12.8%
9.7%US$9.63US$6.41US$11.4920
May ’24US$7.76
US$7.90
+1.9%
9.7%US$8.95US$5.97US$11.1519
Apr ’24US$6.79
US$7.10
+4.6%
12.0%US$8.84US$5.17US$10.4119
Mar ’24US$6.61
US$7.13
+7.9%
14.2%US$9.57US$5.16US$7.9819
Feb ’24US$7.60
US$6.80
-10.6%
12.7%US$8.99US$5.36US$8.2819
Jan ’24US$6.14
US$6.85
+11.5%
16.2%US$9.62US$5.19US$8.2021
Dec ’23US$6.32
US$6.73
+6.4%
17.4%US$9.62US$5.14US$7.2821
Nov ’23US$5.63
US$6.72
+19.4%
18.9%US$9.62US$4.50US$6.2721

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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