Capstone Copper Corp. (CS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Lundin Mining Corp.

Ero Copper Corp.

Capstone Copper Corp.

Hudbay Minerals, Inc.

China Gold International Resources Corp. Ltd.

Cameco Corp.

Ivanhoe Mines Ltd.

Sigma Lithium Corp.

First Quantum Minerals Ltd.

NexGen Energy Ltd.

Lithium Americas (Argentina) Corp.

Why is Capstone Copper Corp. ?

The company is Net-Debt Free

Healthy long term growth as Net Sales has grown by an annual rate of 34.77%

With a growth in Operating Profit of 57.03%, the company declared Outstanding results in Mar 26

The company has declared positive results for the last 8 consecutive quarters
OPERATING CASH FLOW(Y) Highest at CAD 937.74 MM
ROCE(HY) Highest at 12.64%
DEBTORS TURNOVER RATIO(HY) Highest at 11.49 times

With ROE of 7.62%, it has a attractive valuation with a 2.26 Price to Book Value

Over the past year, while the stock has generated a return of 96.37%, its profits have risen by 174.1% ; the PEG ratio of the company is 0.2

Majority shareholders : FIIs

Market Beating performance in long term as well as near term

Along with generating 96.37% returns in the last 1 year, the stock has outperformed S&P/TSX 60 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Capstone Copper Corp. should be less than 10%
Overall Portfolio exposure to Minerals & Mining should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Minerals & Mining)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Capstone Copper Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Capstone Copper Corp.

96.37%

56.75

59.77%

S&P/TSX 60

29.6%

2.31

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

34.77%

EBIT Growth (5y)

41.12%

EBIT to Interest (avg)

5.59

Debt to EBITDA (avg)

1.77

Net Debt to Equity (avg)

0.34

Sales to Capital Employed (avg)

0.41

Tax Ratio

38.28%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.45%

ROCE (avg)

6.63%

ROE (avg)

3.99%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

2.26

EV to EBIT

14.19

EV to EBITDA

8.16

EV to Capital Employed

1.98

EV to Sales

3.62

PEG Ratio

0.17

Dividend Yield

ROCE (Latest)

13.94%

ROE (Latest)

7.62%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

31What is working for the Company

OPERATING CASH FLOW(Y)

Highest at CAD 937.74 MM

ROCE(HY)

Highest at 12.64%

DEBTORS TURNOVER RATIO(HY)

Highest at 11.49 times

PRE-TAX PROFIT(Q)

Highest at CAD 229.28 MM

NET PROFIT(Q)

Highest at CAD 122.95 MM

RAW MATERIAL COST(Y)

Fallen by -141.29% (YoY

CASH AND EQV(HY)

Highest at CAD 967 MM

DEBT-EQUITY RATIO (HY)

Lowest at 34.57 %

-4What is not working for the Company

INTEREST(9M)

At CAD 119.66 MM has Grown at 20.6%

INVENTORY TURNOVER RATIO(HY)

Lowest at 6.86 times

Here's what is working for Capstone Copper Corp.

Pre-Tax Profit

At CAD 229.28 MM has Grown at 543.19%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Net Profit

At CAD 122.95 MM has Grown at 1,212.88%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Operating Cash Flow

Highest at CAD 937.74 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (CAD MM)

Pre-Tax Profit

Highest at CAD 229.28 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (CAD MM)

Net Profit

Highest at CAD 122.95 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (CAD MM)

Debtors Turnover Ratio

Highest at 11.49 times and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Cash and Eqv

Highest at CAD 967 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio

Lowest at 34.57 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -141.29% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Capstone Copper Corp.

Inventory Turnover Ratio

Lowest at 6.86 times and Fallen

In each half year in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Interest

At CAD 119.66 MM has Grown at 20.6%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)