Pan American Silver Stock Analysis, Valuation (NASDAQ:PAAS)
PAAS Stock Analysis
View Pan American Silver stock analysis video. This is our analyst opinion covering the buy and sell arguments for PAAS stock.
Pan American Silver Corp. (USA) Stock Rating 3.3/5
Our Pan American Silver stock opinion is based on fundamentals of the company. This Pan American Silver stock analysis is based on latest 2017 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy PAAS stock?
- Pan American Silver's average operating margin of 21.6% was exceptional.
- With its debt/equity ratio of 0.03, Pan American Silver has a lower debt burden when compared to the Basic Materials average.
- Pan American Silver generates a high return on invested capital of 8.7%.
Should you sell PAAS stock?
- Revenue declined at a CAGR of -0.9% over the last 5 years.
- The PAAS stock currently trades at a PE of 30.6, which is expensive, compared to the industry average of 22.2.
- The company is trading at a price to sales multiple of 3.3, which is overvalued in comparison to the Mining-Silver industry average multiple of 1.4.
- The company has an anaemic Free Cash Flow (FCF) margin of 1.2%.