A-Mark Precious Metals, Inc.
A-Mark Precious Metals, Inc. Fundamental Analysis
A-Mark Precious Metals, Inc. (AMRK) shows weak financial fundamentals with a PE ratio of 114.63, profit margin of 0.08%, and ROE of 1.93%. The company generates $15.6B in annual revenue with strong year-over-year growth of 13.19%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 51.5/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze AMRK's fundamental strength across five key dimensions:
Efficiency Score
WeakAMRK struggles to generate sufficient returns from assets.
Valuation Score
ModerateAMRK shows balanced valuation metrics.
Growth Score
ModerateAMRK shows steady but slowing expansion.
Financial Health Score
ExcellentAMRK maintains a strong and stable balance sheet.
Profitability Score
ModerateAMRK maintains healthy but balanced margins.
Key Financial Metrics
Is AMRK Expensive or Cheap?
P/E Ratio
AMRK trades at 114.63 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, AMRK's PEG of 1.45 indicates fair valuation.
Price to Book
The market values A-Mark Precious Metals, Inc. at 2.19 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 26.50 times EBITDA. This signals the market has high growth expectations.
How Well Does AMRK Make Money?
Net Profit Margin
For every $100 in sales, A-Mark Precious Metals, Inc. keeps $0.08 as profit after all expenses.
Operating Margin
Core operations generate 0.39 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $1.93 in profit for every $100 of shareholder equity.
ROA
A-Mark Precious Metals, Inc. generates $0.33 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
A-Mark Precious Metals, Inc. generates limited operating cash flow of $321.18M, signaling weaker underlying cash strength.
Free Cash Flow
A-Mark Precious Metals, Inc. generates weak or negative free cash flow of $314.93M, restricting financial flexibility.
FCF Per Share
Each share generates $12.78 in free cash annually.
FCF Yield
AMRK converts 22.22% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
114.63
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.45
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.19
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.09
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.47
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.21
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.02
vs 25 benchmark
ROA
Return on assets percentage
0.003
vs 25 benchmark
ROCE
Return on capital employed
0.06
vs 25 benchmark
How AMRK Stacks Against Its Sector Peers
| Metric | AMRK Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 114.63 | 18.86 | Worse (Expensive) |
| ROE | 1.93% | 847.00% | Weak |
| Net Margin | 0.08% | 4202.00% | Weak |
| Debt/Equity | 0.47 | 0.91 | Strong (Low Leverage) |
| Current Ratio | 1.21 | 667.17 | Neutral |
| ROA | 0.33% | -21543.00% (disorted) | Weak |
AMRK outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews A-Mark Precious Metals, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
19.66%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
-66.21%
Industry Style: Value, Dividend, Cyclical
DecliningFCF CAGR
89.18%
Industry Style: Value, Dividend, Cyclical
High Growth