Is Pan American Silver Corp. (PAAS) A Solid Choice On The Value Front?

The stock of Pan American Silver Corp. (NASDAQ:PAAS) decreased by -$0.18 on Monday to finish at $16.30, down -1.09 percent. The last five days have seen an average of 2,431,540 shares of common stock traded. 10 times new highs were reached in the current year, with a fall of -$0.04. The average number of shares traded over the last 20 days was 3,314,065, while the average volume over the last 50 days totaled 3,617,786.

PAAS stock dropped -11.94% since last month. On 02/13/23, the company’s shares reached a one-month low of $16.18. The stock touched a high of $30.51 on 01/26/23, after rallying from a low of $13.40 in 52 weeks. The price of PAAS stock has declined by -0.24% or -$0.04 this year, reaching a new high 10 times. Still, the stock price is down -46.58% from the 52-week high.

Valuation Metrics

Beta for the stock is 1.13. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.23, the price-to-book (PB) ratio of 1.46.

Company paid $0.10 per share in dividends, a decrease of -16.67% from $0.12 last year. A $0.02 dividend decrease was reported on Wednesday November 9 2022.

Financial Health

For the three months ended June 29, Pan American Silver Corp.’s quick ratio was 1.00, while its current ratio was 2.10, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.02, and the total debt to equity ratio is 0.03. As far as profitability goes, gross margin for the trailing twelve months is 5.80% percent. Pan American Silver Corp.’s operating margin stood at -4.00% for the same period. Based on annual data, it had gross profit of $675.49 million and revenue of $1.63 billion.

Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. PAAS’s return on assets (ROA) during the last 12 months has been -4.60%. There was a 6.50% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -6.10%.

Earnings Surprise

According to Pan American Silver Corp.’s quarterly financial report for the quarter that ended June 29, it had $17.21 million in cash and short-term investments. A lower net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $1.35 billion, while revenues rose by 41.92% to $0.0. It was predicted that Pan American Silver Corp.’s quarterly earnings would be $0.22, but it ended up being $0.34, beating the consensus by -35.30%. EBITDA was $33.97 million for the quarter. At the end of Pan American Silver Corp.’s most recent quarter ended June 29, its liabilities totaled 836.52 million, while its total debt was $89.25 million.

Technical Picture

Here’s a quick look at Pan American Silver Corp.’s (PAAS) price momentum from a technical perspective. As of 13 February, the RSI 9-day stood at 25.48%, suggesting the stock is oversold, with a 39.35% historical volatility rate.

The stochastic %K and %D were 4.03% and 4.50% respectively, while the average true range (ATR) was 0.61. Based on the 14-day stochastic reading of 3.88%, the RSI (14) reading is 35.00%. On the 9-day MACD Oscillator, the stock is at -0.75, and the 14-day reading is at -1.25.

Analyst Ratings

In its most recent analyst report, RBC Capital Mkts raised its rating on Pan American Silver Corp. (NASDAQ: PAAS) to an Outperform. Prior to this, analysts firm rated the stock as a Sector perform.

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