Hudbay Minerals Inc. Ordinary Shares (Canada) (HBM) Company Bio
Hudbay Minerals focuses on the discovery, production, and marketing of base and precious metals in North and South America. It produces copper concentrates containing copper, gold, and silver; and zinc metal. The company was founded in 1927 and is based in Toronto, Canada.
HBM Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Hudbay Minerals Inc. To summarize, we found that Hudbay Minerals Inc ranked in the 5th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 98%. The most interesting components of our discounted cash flow analysis for Hudbay Minerals Inc ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is -1.78; that's higher than merely 14.05% of US stocks in the Basic Materials sector that have positive free cash flow.
Its compound free cash flow growth rate, as measured over the past 3 years, is -0.43% -- higher than just 3.18% of stocks in our DCF forecasting set.
32% of the company's capital comes from equity, which is greater than just 20.31% of stocks in our cash flow based forecasting set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
TGLS, AEM, AG, CUO, and GCP can be thought of as valuation peers to HBM, in the sense that they are in the Basic Materials sector and have a similar price forecast based on DCF valuation.