Hochschild Mining (HOC) AI Stock Analysis

• Market Cap: £1.63B
• Dividend Yield: 0.46%
• Average Volume (3M): 2.55M
• Price to Earnings (P/E): 14.2
• Beta (1Y): 0.85
• Revenue Growth: 35.83%
• EPS Growth: 397.32%
• Country: UK
• Employees: 3,212
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): 0.10
• Shares Outstanding: 514,458,440
• 10 Day Avg. Volume: 3,162,417
• 30 Day Avg. Volume: 2,548,852
• PEG Ratio: -0.05
• Price to Book (P/B): 2.25
• Price to Sales (P/S): 1.45
• P/FCF Ratio: 42.29
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £412.78
• Price Target Upside: 22.71% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 67 Neutral
• Price Target: 384.00p ▲(14.15% Upside)

Hochschild Mining's overall stock score is driven by strong financial performance, particularly in revenue growth and operational efficiency. Technical analysis shows positive momentum, though some indicators suggest caution. Valuation metrics indicate the stock is fairly valued, while the earnings call highlights both growth opportunities and operational challenges.

Hochschild Mining Business Overview & Revenue Model

Company Description

Hochschild Mining plc is a leading precious metals mining company focused on the exploration, extraction, and production of silver and gold. Headquartered in London, the company operates primarily in Peru and Argentina, leveraging its expertise in underground mining techniques. Hochschild Mining is known for its high-grade silver deposits and aims to create value through responsible mining practices and sustainable operations.

How the Company Makes Money

Hochschild Mining generates revenue primarily through the sale of silver and gold produced from its mining operations. The company operates several mines, including the Pallancata and Inmaculada mines in Peru, as well as the San Jose mine in Argentina. Revenue is derived from the extraction and processing of ore, which is then sold to metal traders and refiners. The pricing of silver and gold is influenced by global market conditions, and fluctuations in these prices directly impact the company's earnings. Additionally, Hochschild Mining may engage in hedging activities to mitigate risks associated with price volatility. The company also explores strategic partnerships and joint ventures to enhance its operational capabilities and expand its resource base, contributing to its overall financial performance.

Hochschild Mining Financial Statement Overview

Summary

Hochschild Mining showed strong revenue growth and improved operational efficiency in 2024, with a notable increase in gross profit margin. The balance sheet reflects stable leverage and an improving equity position, though historical fluctuations in profitability and cash flow persist. Cash flow improvements are evident, yet capital expenditures remain a significant factor.

Income Statement

Hochschild Mining demonstrated strong revenue growth from 2023 to 2024, with a 36.6% increase, driven by the mining sector's improving conditions. The company improved its gross profit margin from 26.7% in 2023 to 36.1% in 2024, showcasing enhanced operational efficiency. However, the absence of EBIT and fluctuating net profitability, with a net profit margin rising to 10.2% in 2024 from a negative margin in 2023, indicates volatility in core earnings.

Balance Sheet

The company maintains a reasonable debt-to-equity ratio of 0.52 in 2024, indicating balanced leverage. The equity ratio improved to 37.0%, reflecting a solid capital structure. However, the return on equity, which increased to 15.9% in 2024, signals improved profitability but also highlights past fluctuations due to inconsistent earnings.

Cash Flow

Operating cash flow growth was robust, increasing to $321 million in 2024, supporting liquidity. The free cash flow turned positive in 2024, after being negative in the prior year, indicating improved cash generation. Nonetheless, significant capital expenditures continue to weigh on cash reserves, and the free cash flow to net income ratio remains modest.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.08B	947.70M	693.72M	735.64M	811.39M	621.83M
Gross Profit	389.73M	342.43M	185.50M	208.00M	299.80M	195.07M
EBITDA	399.14M	359.10M	117.38M	177.74M	296.02M	188.72M
Net Income	148.38M	97.00M	-55.01M	2.96M	76.93M	15.16M
Balance Sheet
Total Assets	1.75B	1.65B	1.42B	1.42B	1.45B	1.37B
Cash, Cash Equivalents and Short-Term Investments	112.33M	100.78M	89.13M	143.84M	386.79M	231.88M
Total Debt	323.85M	319.31M	351.16M	321.87M	304.91M	210.95M
Total Liabilities	1.02B	964.15M	747.23M	694.57M	695.27M	559.98M
Stockholders Equity	651.63M	610.87M	608.46M	657.24M	695.55M	726.53M
Cash Flow
Free Cash Flow	104.90M	32.57M	-83.62M	-230.79M	132.34M	88.04M
Operating Cash Flow	374.25M	321.25M	178.76M	102.92M	284.70M	195.37M
Investing Cash Flow	-275.40M	-277.00M	-245.51M	-337.58M	-183.43M	-112.23M
Financing Cash Flow	-76.44M	-34.82M	22.77M	-6.59M	57.13M	-12.41M

Hochschild Mining Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 336.40
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:HOC, the sentiment is Positive. The current price of 336.4 is below the 20-day moving average (MA) of 362.29, below the 50-day MA of 348.19, and above the 200-day MA of 277.63, indicating a neutral trend. The MACD of -9.76 indicates Positive momentum. The RSI at 45.28 is Neutral, neither overbought nor oversold. The STOCH value of 35.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:HOC.

Hochschild Mining Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PAF	74 Outperform	£1.96B	15.23	31.72%	1.12%	40.46%	66.57%
SRB	70 Outperform	£181.76M	6.27	33.52%	―	46.55%	237.48%
HOC	67 Neutral	£1.63B	14.20	24.43%	0.46%	35.83%	397.32%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MTL	60 Neutral	£377.72M	-12.24	-7.90%	―	26.71%	-119.70%
GGP	49 Neutral	£2.34B	484.65	―	―	―	―
AAZ	45 Neutral	£231.54M	-33.98	-11.68%	―	129.53%	70.68%

Hochschild Mining Corporate Events

Hochschild Mining Steady on Revised 2025 Production Targets

Hochschild Mining PLC reported its Q3 2025 production results, highlighting a steady progress towards achieving its revised production targets for the year. The company anticipates increased cash flow in Q4 as production ramps up at the Mara Rosa project, supported by strong metal prices. Operational improvements and leadership changes, including the appointment of a new COO, are expected to bolster the company’s performance. Despite temporary setbacks, Hochschild remains on track to meet its annual guidance, with a focus on optimizing lower-grade material processing for high profit margins.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £500.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.

Hochschild Mining Announces Reverse Takeover and Strategic Developments

Hochschild Mining PLC announced a definitive business combination agreement between its subsidiary Tiernan Gold Corp. and Railtown Capital Corp., which will result in a reverse takeover and the renaming of Railtown to Tiernan Gold Corp. The transaction includes a brokered private placement expected to raise a minimum of C$35 million for the development of the Volcan gold project. Hochschild plans to partially sell its investment in Tiernan, enhancing liquidity in the trading of New Tiernan’s shares. The new board of directors for Tiernan Gold Corp. will include several key figures from Hochschild, indicating a strategic alignment and potential growth in the gold mining sector.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £4.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.

Hochschild Mining Appoints New COO to Drive Strategic Growth

Hochschild Mining PLC has appointed Cassio Diedrich as Chief Operating Officer, effective from September 15, 2025. Cassio brings extensive experience from his previous roles at Vale, Glencore, and Kinterra Capital, and his local expertise in Brazil is expected to be invaluable as Hochschild focuses on reorganizing its Mara Rosa mine and advancing the Monte Do Carmo gold project. This strategic appointment is part of the company’s efforts to enhance its senior management team and governance structure, aiming to maximize operational performance and pursue key growth opportunities.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £4.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.

Hochschild Mining Sets 2025 Interim Dividend Exchange Rate

Hochschild Mining PLC has announced the exchange rate for its 2025 interim dividend, setting it at US$1 to £0.7425. This rate translates to a sterling equivalent of 0.742 pence per ordinary share, with the dividend payment scheduled for 3 October 2025. This announcement follows the company’s interim results and provides clarity on the financial returns for shareholders, potentially impacting investor sentiment and market positioning.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £370.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.

Hochschild Mining’s Earnings Call: Growth Amid Challenges

Hochschild Mining’s recent earnings call presented a balanced sentiment, highlighting the company’s robust revenue growth and international expansion while acknowledging challenges such as supply chain disruptions and declining domestic sales. The overall tone was cautiously optimistic, reflecting both achievements and hurdles faced by the company.

Hochschild Mining’s Tiernan Gold to Undergo Reverse Take-Over for Volcan Project

Hochschild Mining PLC has announced that its subsidiary, Tiernan Gold Corp, is set to undergo a reverse take-over by Railtown Capital Corp, allowing Tiernan to become listed on the TSX Venture Exchange. This strategic move aims to unlock the value of the Volcan gold project in Chile by enabling Tiernan to secure external financing independently. The project is expected to produce 332,000 ounces of gold annually for the first ten years, with a post-tax NPV of $1,513 million and an IRR of 29%. The transaction, which is expected to close in November 2025, will see Hochschild retaining an 87% ownership in the combined entity, reflecting a significant step in Hochschild’s strategy to focus on its core assets in Peru, Brazil, and Argentina.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £339.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.

Hochschild Mining Reports Strong H1 2025 Results Amid Operational Challenges

Hochschild Mining PLC reported a strong financial performance for the first half of 2025, with a 33% increase in revenue to $520 million and a 27% rise in adjusted EBITDA to $224.5 million. Despite operational challenges at the Mara Rosa mine in Brazil, including seasonal rainfall and contractor issues, the company remains committed to its strategic pillars of exploration, operational efficiency, ESG leadership, and disciplined capital allocation. The company revised its full-year production and cost guidance due to these challenges but is optimistic about future growth projects, particularly the Monte Do Carmo project in Brazil.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £300.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.

Hochschild Mining to Announce Interim Results and Host Investor Presentation

Hochschild Mining PLC announced it will release its Interim Results for the half year ended 30 June 2025 on 27 August 2025. The company will host a live interactive presentation for investors on 2 September 2025, encouraging shareholders and interested parties to participate and submit questions. This initiative reflects Hochschild’s commitment to transparency and engagement with its investors, potentially strengthening its market position and stakeholder relations.

The most recent analyst rating on (GB:HOC) stock is a Buy with a £300.00 price target. To see the full list of analyst forecasts on Hochschild Mining stock, see the GB:HOC Stock Forecast page.