Wheaton Precious Metals Corp. (WPM): What the Financials Tell Us

Wheaton Precious Metals Corp. (NYSE:WPM) saw an upside of 1.16% to $49.77 after adding $0.57 on Tuesday. The 5-day average trading volume is 2,028,300 shares of the company’s common stock. It has gained $50.05 in the past week and touched a new high 5 times within the past 5 days. An average of 2,927,415 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 2,498,984.

WPM’s 1-month performance is 20.65% or $7.76 on its low of $38.40 reached on 03/08/23. The company’s shares have touched a 52-week low of $28.62 and high of $51.90, with the stock’s rally to the 52-week high happening on 04/04/23. YTD, WPM has achieved 27.35% or $10.57 and has reached a new high 22 times. However, the current price is down -4.11% from the 52-week high price.

Valuation Metrics

WPM stock has a beta of 0.57. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 20.89 while the price-to-book (PB) in the most recent quarter is 3.31, with the price to cash flow ratio at 35.70.

Wheaton Precious Metals Corp.’s quick ratio for the period ended September 29 was 23.10, with the current ratio over the same period at 23.40. In terms of profitability, the gross margin trailing 12 months is 53.10%. The firm’s gross profit as reported stood at $565.48 million against revenue of $1.07 billion.

Earnings Surprise

For the quarterly period ending September 29 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income shrunk -395.84% to $86.14 million, while revenue of $0.0 was 100.0% off the previous quarter. Analysts expected WPM to announce $0.22 per share in earnings in its latest quarter, but it posted $0.21, representing a -4.50% surprise. EBITDA for the quarter stood at more than $144.23 million. WPM stock balance sheet for the quarter ending September 29 shows that total liabilities totaled 42.23 million, with total debt at $2.15 million.

Let’s look briefly at Wheaton Precious Metals Corp. (WPM) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 03 April was 82.93% to suggest the stock is trending Overbought, with historical volatility in this time period at 11.28%.

The stock’s 5-day moving average is $48.66, reflecting a +3.18% or $1.53 change from its current price. WPM is currently trading +27.73% above its 20-day SMA, +38.80% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by +9.39% and SMA200 by+27.57%.

Stochastic %K and %D was 95.04% and 95.05% and the average true range (ATR) pointed at 1.34. The RSI (14) points at 76.10%, while the 14-day stochastic is at 94.78% with the period’s ATR at 1.34. The stock’s 9-day MACD Oscillator is pointing at 1.00 and 2.02 on the 14-day charts.

Analyst Ratings

In the most recent analyst report for Wheaton Precious Metals Corp. (NYSE: WPM), Goldman launched coverage with a Buy rating. Analysts offering their rating for WPM stock have a consensus rating for the stock as Buy. Currently, 0 brokerage advisors rate WPM as a “sell,”, while 3 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 1 rates the stock as overweight while 12 have offered a “buy” rating.

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