Fortuna Mining Corp. Fundamental Analysis
Fortuna Mining Corp. (FSM) shows strong financial fundamentals with a PE ratio of 7.76, profit margin of 31.11%, and ROE of 20.79%. The company generates $1.1B in annual revenue with weak year-over-year growth of -9.60%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 56.0/100 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 FSM's fundamental strength across five key dimensions:
Efficiency Score
ExcellentFSM demonstrates superior asset utilization.
Valuation Score
ExcellentFSM trades at attractive valuation levels.
Growth Score
WeakFSM faces weak or negative growth trends.
Financial Health Score
ExcellentFSM maintains a strong and stable balance sheet.
Profitability Score
ExcellentFSM achieves industry-leading margins.
Key Financial Metrics
Is FSM Expensive or Cheap?
P/E Ratio
FSM trades at 7.76 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, FSM's PEG of 0.07 indicates potential undervaluation.
Price to Book
The market values Fortuna Mining Corp. at 1.49 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.15 times EBITDA. This is generally considered low.
How Well Does FSM Make Money?
Net Profit Margin
For every $100 in sales, Fortuna Mining Corp. keeps $31.11 as profit after all expenses.
Operating Margin
Core operations generate 49.43 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $20.79 in profit for every $100 of shareholder equity.
ROA
Fortuna Mining Corp. generates $13.68 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Fortuna Mining Corp. generates strong operating cash flow of $547.57M, reflecting robust business health.
Free Cash Flow
Fortuna Mining Corp. generates strong free cash flow of $363.48M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $1.20 in free cash annually.
FCF Yield
FSM converts 13.96% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
7.76
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.07
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.49
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.39
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.12
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.17
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.14
vs 25 benchmark
ROCE
Return on capital employed
0.25
vs 25 benchmark
How FSM Stacks Against Its Sector Peers
| Metric | FSM Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 7.76 | 25.01 | Better (Cheaper) |
| ROE | 20.79% | 1007.00% | Weak |
| Net Margin | 31.11% | -106640.00% (disorted) | Strong |
| Debt/Equity | 0.12 | 0.38 | Strong (Low Leverage) |
| Current Ratio | 3.17 | 6.18 | Strong Liquidity |
| ROA | 13.68% | -5674.00% (disorted) | Strong |
FSM outperforms its industry in 5 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Fortuna Mining Corp.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
96.26%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
699.41%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
190.39%
Industry Style: Cyclical, Commodity, Value
High Growth