In today's rapidly changing and highly competitive business world, it is imperative for investors and industry observers to carefully assess companies before making investment choices. In this article, we will undertake a comprehensive industry comparison, evaluating Coeur Mining (NYSE:CDE) vis-à-vis its key competitors in the Metals & Mining industry. Through a detailed analysis of important financial indicators, market standing, and growth potential, our goal is to provide valuable insights and highlight company's performance in the industry.

Coeur Mining Background

Coeur Mining Inc is a metals producer focused on mining precious minerals in the Americas. It is involved in the discovery and mining of gold and silver and generates the vast majority of revenue from the sale of these precious metals. The operating mines of the company are palmarejo, Rochester, Wharf, and Kensington. Its projects are located in the United States, Canada, and Mexico generating maximum revenue from United States.

Company P/E P/B P/S ROE EBITDA (in billions) Gross Profit (in billions) Revenue Growth
Coeur Mining Inc 17.02 5.05 4.80 6.71% $0.41 $0.39 120.94%
Newmont Corp 15.55 3.19 4.86 3.88% $3.94 $4.13 20.63%
Barrick Mining Corp 12.79 2.36 3.77 9.31% $4.64 $3.29 64.53%
Wheaton Precious Metals Corp 36.75 6.21 23.37 6.65% $0.74 $0.66 127.25%
Anglogold Ashanti PLC 16.55 5.35 4.41 9.25% $1.14 $1.19 -27.6%
Kinross Gold Corp 14.30 3.89 4.84 10.97% $1.39 $1.24 42.89%
Pan American Silver Corp 19.39 2.99 5.23 6.63% $0.69 $0.57 44.66%
Royal Gold Inc 34.48 2.73 15.57 1.77% $0.24 $0.24 85.29%
Alamos Gold Inc 19.20 3.81 9.42 10.25% $0.61 $0.36 53.09%
Iamgold Corp 14.83 2.38 3.45 10.48% $0.7 $0.59 131.56%
Eldorado Gold Corp 13.06 1.53 3.73 5.75% $0.35 $0.3 32.46%
Triple Flag Precious Metals Corp 26.80 3.19 16.60 3.82% $0.11 $0.09 60.24%
OR Royalties Inc 31.30 4.47 23.27 4.61% $0.09 $0.08 59.43%
B2Gold Corp 14.61 1.53 1.98 4.93% $0.38 $0.55 110.88%
SSR Mining Inc 13.33 1.44 3.28 5.31% $0.24 $0.3 61.43%
Orla Mining Ltd 46.03 7.16 4.59 12.89% $0.2 $0.23 308.02%
Aris Mining Corp 40.27 2.36 3.40 3.95% $0.12 $0.17 104.24%
Centerra Gold Inc 5.74 1.58 2.42 9.64% $0.28 $0.16 32.8%
Average 22.06 3.3 7.89 7.06% $0.93 $0.83 77.16%

When conducting a detailed analysis of Coeur Mining, the following trends become clear:

  • A Price to Earnings ratio of 17.02 significantly below the industry average by 0.77x suggests undervaluation. This can make the stock appealing for those seeking growth.

  • With a Price to Book ratio of 5.05, which is 1.53x the industry average, Coeur Mining might be considered overvalued in terms of its book value, as it is trading at a higher multiple compared to its industry peers.

  • With a relatively low Price to Sales ratio of 4.8, which is 0.61x the industry average, the stock might be considered undervalued based on sales performance.

  • The company has a lower Return on Equity (ROE) of 6.71%, which is 0.35% below the industry average. This indicates potential inefficiency in utilizing equity to generate profits, which could be attributed to various factors.

  • The Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of $410 Million is 0.44x below the industry average, suggesting potential lower profitability or financial challenges.

  • The company has lower gross profit of $390 Million, which indicates 0.47x below the industry average. This potentially indicates lower revenue after accounting for production costs.

  • The company's revenue growth of 120.94% exceeds the industry average of 77.16%, indicating strong sales performance and market outperformance.

Debt To Equity Ratio

debt to equity

The debt-to-equity (D/E) ratio assesses the extent to which a company relies on borrowed funds compared to its equity.

Considering the debt-to-equity ratio in industry comparisons allows for a concise evaluation of a company's financial health and risk profile, aiding in informed decision-making.

By considering the Debt-to-Equity ratio, Coeur Mining can be compared to its top 4 peers, leading to the following observations:

  • Coeur Mining is in a relatively stronger financial position compared to its top 4 peers, as evidenced by its lower debt-to-equity ratio of 0.11.

  • This implies that the company relies less on debt financing and has a more favorable balance between debt and equity.

Key Takeaways

For Coeur Mining, the PE ratio is low compared to peers, indicating potential undervaluation. The high PB ratio suggests the market values the company's assets highly. A low PS ratio implies the stock price is attractive relative to revenue. In terms of ROE, EBITDA, gross profit, and revenue growth, Coeur Mining lags behind its industry peers, indicating room for improvement in operational efficiency and revenue generation.

This article was generated by Benzinga's automated content engine and reviewed by an editor.