Connect with us

Precious Metals

What Can We Learn From Fortuna Silver Mines Inc. (FSM)’s Valuation Ratios?

Fortuna Silver Mines Inc. (NYSE:FSM) finished Wednesday with a subtraction of -$0.11 to close at $3.46, a downside of -3.08 percent. An average of 4,722,860…

Published

on

This article was originally published by Fosters Leader

Fortuna Silver Mines Inc. (NYSE:FSM) finished Wednesday with a subtraction of -$0.11 to close at $3.46, a downside of -3.08 percent. An average of 4,722,860 shares of common stock have been traded in the last five days. There was a fall of -$0.54 in the past week, and it reached a new high 4 times over the past 12 months. The last 20 days have seen an average of 3,826,990 shares traded, while the 50-day average volume stands at 4,980,198.

FSM stock has decreased by -13.28% in the last month. The company shares reached their 1-month lowest point of $3.35 on 01/24/22. With the stock rallying to its 52-week high on 01/20/22, shares of the company touched a low of $2.91 and a high of $9.85 in 52 weeks. It has reached a new high 5 times so far this year and lost -11.28% or -$0.44 in price. In spite of this, the price is down -64.87% from the 52-week high.

Valuation Metrics

Fortuna Silver Mines Inc. (FSM) has a trailing price-to-earnings (P/E) ratio of 12.23, which compares with the 13.01 for the broader industry and 11.72 for the sector. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 2.00, the price-to-book (PB) ratio at 0.74.

Fortuna Silver Mines Inc.’s EBITDA margin for the year ending September 29 is 41.93%. Its gross profit as reported stood at $57.24 million compared to revenue of $278.97 million.

Earnings Surprise

In the quarter under review, the net income was up than the previous quarter. The company posted a net income of $23.8 million in the quarter, while revenues were shrunk -42.82%. The analyst consensus anticipated Fortuna Silver Mines Inc.’s latest quarter earnings to come in at $0.15 per share, but it turned out to be $0.08, a -46.70% surprise. For the quarter, EBITDA amounted to $59.54 million.

Technical Picture

From a technical analysis perspective, let’s take a brief look at Fortuna Silver Mines Inc. (FSM) price momentum. RSI 9-day as of the close on 26 January was 38.28%, suggesting the stock is Neutral, with historical volatility in this time frame at 67.13%.

As of today, FSM’s price is $3.62 -13.50% or -$0.54 from its 5-day moving average. FSM is currently trading -12.63% lower than its 20-day SMA and -21.36% lower than its 100-day SMA. However, the stock’s current price level is -10.59% below the SMA50 and -53.49% below the SMA200.

The stochastic %K and %D were 20.94% and 27.40%, respectively, and the average true range (ATR) was 0.21. With the 14-day stochastic at 14.10% and the average true range at 0.21, the RSI (14) stands at 41.64%. The stock has reached -0.17 on the 9-day MACD Oscillator while the 14-day reading was at -0.17.

Analyst Ratings

Canaccord Genuity upgraded Fortuna Silver Mines Inc. (NYSE: FSM) to a a Buy rating in its most recent analyst report. Previously, the stock was rated as a Hold. The consensus rating for Fortuna Silver Mines Inc. (FSM) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell FSM, while 4 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 0 analysts, while 3 others rate it as a “buy”.

What is FSM’s price target for the next 12 months?

Analysts predict a range of price targets between $4.00 and $5.19, with a median target of $4.79. Taking a look at these predictions, the average price target given by analysts for Fortuna Silver Mines Inc. (FSM) stock is $4.78.


Author: Mike Veveers

Economics

Asia Broadband (OTCMKTS: AABB) Bullion & Crypto (Tequila, Bonanza, Zodiac)

Asia Broadband (OTCMKTS: AABB) is moving northbound in a hurry in recent trading as volume and interest have picked up substantially. AABB was one of the…

Continue Reading
Precious Metals

Gold and the ‘Real’ Interest Rate

[This blog post is an excerpt from a commentary published at TSI last week] One of the few commonly-believed things about gold that is actually true is…

Continue Reading
Economics

Mooners and Shakers: Bitcoin defends $30k… relief rally or more death-cross pain to come?

Relief or more dumpage? That’s the question. Bitcoin is cagily creeping sideways to start the week, with seemingly no clear … Read More
The post Mooners…

Continue Reading

Trending