A-Mark Precious Metals (AMRK) AI Stock Analysis

• Market Cap: $530.42M
• Dividend Yield: 3.71%
• Average Volume (3M): 240.83K
• Price to Earnings (P/E): 14.4
• Beta (1Y): 0.67
• Revenue Growth: 5.48%
• EPS Growth: -54.25%
• Country: US
• Employees: 482
• Sector: Financial
• Sector Strength: 79
• Industry: Financial - Capital Markets
• EPS (TTM): -0.36
• Shares Outstanding: 24,624,737
• 10 Day Avg. Volume: 248,818
• 30 Day Avg. Volume: 240,830
• PEG Ratio: 0.39
• Price to Book (P/B): 1.54
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -23.01
• Enterprise Value/Market Cap: 2.92
• Enterprise Value/Revenue: 0.04
• Enterprise Value/Gross Profit: 9.15
• Enterprise Value/Ebitda: 3.54
• 1Y Price Target: $41.25
• Price Target Upside: 88.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

• Rating: 67 Neutral
• Price Target: $23.50 ▲(7.26%Upside)

A-Mark Precious Metals demonstrates strong revenue growth and strategic positioning through acquisitions. However, declining profit margins, high leverage, and recent financial challenges in the earnings call contribute to a moderate overall score. The technical analysis suggests potential bearish trends, while the valuation indicates reasonable pricing within the industry.

Positive Factors

Management Performance

The event reinforced analyst's conviction in management's ability to generate profits from interest in precious metals without requiring an increase in value.

Mergers and Acquisitions

Strategic M&A efforts enable the company to generate higher highs and higher lows when it comes to earnings per share (EPS).

Negative Factors

Market Conditions

Low price volatility in precious metals has resulted in smaller spreads and lower earnings for A-Mark Precious Metals.

Market Environment Challenges

The current tight-spread environment is challenging for A-Mark Precious Metals, as it navigates uncharted waters with gold prices setting new highs.

A-Mark Precious Metals Business Overview & Revenue Model

Company Description

A-Mark Precious Metals, Inc., together with its subsidiaries, operates as a precious metals trading company. It operates in three segments: Wholesale Sales & Ancillary Services, Direct-to-Consumer, and Secured Lending. The Wholesale Sales & Ancillary Services segment sells gold, silver, platinum, and palladium in the form of bars, plates, powders, wafers, grains, ingots, and coins. This segment also offers various ancillary services, including financing, storage, consignment, logistics, and various customized financial programs; and designs and produces minted silver products. The Direct-to-Consumer segment provides access to an array of gold, silver, copper, platinum, and palladium products through its websites and marketplaces. It operates five company-owned websites targeting specific niches within the precious metals retail market. This segment also operates as a direct retailer of precious metals to the investor community and markets its precious metal products on television, radio, and the internet, as well as through customer service outreach. The Secured Lending segment originates and acquires commercial loans secured by bullion and numismatic coins; and serves coin and precious metal dealers, investors, and collectors. The company serves customers, including financial institutions, bullion retailers, industrial manufacturers and fabricators, sovereign mints, refiners, coin and metal dealers, investors, collectors, and e-commerce and other retail customers. It has operations in the United States, rest of North America, Europe, the Asia Pacific, Africa, and Australia. A-Mark Precious Metals, Inc. was founded in 1965 and is headquartered in El Segundo, California.

How the Company Makes Money

A-Mark Precious Metals makes money through multiple revenue streams centered around the trading and distribution of precious metals. The primary source of revenue is the trading of bullion, coins, and bars, where the company earns a margin on the buying and selling of these metals. Additionally, A-Mark generates income through its financing services, providing secured loans to customers using precious metals as collateral. The company also earns fees from its storage and logistics services, where clients can securely store their precious metals in A-Mark's facilities. Strategic partnerships and relationships with mints and other industry players enhance A-Mark's ability to source and distribute a wide array of products, further contributing to its revenue.

A-Mark Precious Metals Financial Statement Overview

Summary

A-Mark Precious Metals shows strong revenue growth and cash flow management, indicating solid market demand. However, declining profit margins and high leverage are risks that could impact financial stability if market conditions worsen.

Income Statement

A-Mark Precious Metals shows strong revenue growth with a 13.33% increase in TTM revenue compared to the previous annual period. However, the declining gross profit margin from earlier periods is a concern, dropping from 3.17% in 2021 to 1.54% TTM. EBIT and EBITDA margins have also decreased, reflecting reduced operational efficiency. Despite these challenges, the company maintains a positive net profit margin of 0.35% TTM.

Balance Sheet

The balance sheet indicates a relatively high debt-to-equity ratio of 1.36, suggesting significant leverage. However, the company has improved its stockholders' equity over time, now comprising 29.48% of total assets. The return on equity is 5.89% TTM, which is lower than previous periods, reflecting decreased profitability on equity use.

Cash Flow

A-Mark Precious Metals demonstrates strong cash flow management, with a substantial increase in free cash flow TTM by 256.69% compared to the previous year. This is supported by a robust operating cash flow, resulting in a healthy operating cash flow to net income ratio of 4.55. The free cash flow to net income ratio stands at 4.25, indicating efficient cash conversion.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	10.99B	9.70B	9.29B	8.16B	7.61B	5.46B
Gross Profit	169.35M	173.25M	294.67M	261.76M	210.20M	66.97M
EBITDA	100.05M	133.71M	209.67M	185.15M	223.45M	59.64M
Net Income	37.94M	68.55M	156.36M	132.54M	159.64M	30.51M
Balance Sheet
Total Assets	2.18B	1.83B	1.55B	1.44B	1.19B	758.03M
Cash, Cash Equivalents and Short-Term Investments	114.34M	48.64M	39.32M	37.78M	101.41M	52.33M
Total Debt	874.18M	775.11M	670.58M	315.05M	283.54M	306.00M
Total Liabilities	1.49B	1.17B	945.18M	952.19M	827.64M	653.14M
Stockholders Equity	643.55M	607.63M	599.12M	488.61M	362.62M	101.00M
Cash Flow
Free Cash Flow	161.09M	45.16M	-40.11M	-92.05M	-54.77M	46.95M
Operating Cash Flow	172.61M	60.93M	-30.32M	-89.17M	-52.65M	47.94M
Investing Cash Flow	-48.55M	-63.60M	6.84M	-60.56M	-130.39M	48.77M
Financing Cash Flow	-40.50M	11.98M	25.02M	86.11M	232.13M	-52.70M

A-Mark Precious Metals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.91
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AMRK, the sentiment is Positive. The current price of 21.91 is above the 20-day moving average (MA) of 21.07, below the 50-day MA of 22.06, and below the 200-day MA of 29.01, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 54.40 is Neutral, neither overbought nor oversold. The STOCH value of 50.70 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AMRK.

A-Mark Precious Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIEB	73 Outperform	$178.21M	10.18	21.85%	―	21.85%	111.42%
OPY	69 Neutral	$688.42M	9.59	9.10%	1.11%	12.68%	81.40%
AMRK	67 Neutral	$530.42M	14.40	5.81%	3.71%	5.48%	-54.25%
Sector *	67 Neutral	$16.51B	11.23	9.71%	3.96%	11.61%	-10.70%
WHG	62 Neutral	$148.67M	555.75	0.33%	3.79%	0.52%	-96.93%
CIFR	59 Neutral	$1.29B	―	-18.49%	―	-0.65%	-808.88%
SRL	46 Neutral	$89.97M	―	-6.66%	4.30%	-36.67%	-1568.10%

A-Mark Precious Metals Corporate Events

A-Mark Precious Metals Announces CFO Resignation

On April 10, 2025, A-Mark Precious Metals announced the resignation of Kathleen Simpson-Taylor as Chief Financial Officer, effective June 30, 2025, due to her retirement. The company appointed Cary Dickson as Executive Vice President, who will assume the CFO role on July 1, 2025. Dickson has a rich history with A-Mark and extensive experience in financial leadership roles across various industries. Additionally, A-Mark entered into new employment agreements with President Thor Gjerdrum and COO Brian Aquilino, effective July 1, 2025, with terms including base salaries, incentive opportunities, and stock awards, reflecting the company’s strategic focus on leadership stability and performance-driven growth.