First Quantum Minerals (FM) AI Stock Analysis

• Market Cap: $23.04B
• Dividend Yield: N/A
• Average Volume (3M): 2.56M
• Price to Earnings (P/E): 358.2
• Beta (1Y): 1.12
• Revenue Growth: 8.17%
• EPS Growth: N/A
• Country: CA
• Employees: 20,000
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Copper
• EPS (TTM): -0.03
• Shares Outstanding: 834,206,100
• 10 Day Avg. Volume: 2,252,249
• 30 Day Avg. Volume: 2,564,938
• PEG Ratio: -53.50
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 2.23
• P/FCF Ratio: 29.37
• Enterprise Value/Market Cap: 1.52
• Enterprise Value/Revenue: 7.06
• Enterprise Value/Gross Profit: 22.65
• Enterprise Value/Ebitda: 18.90
• 1Y Price Target: $35.27
• Price Target Upside: 4.27% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 68 Neutral
• Price Target: C$35.00 ▲(3.46% Upside)

First Quantum Minerals demonstrates strong operational efficiency and positive technical momentum, which are significant strengths. However, the stock's high P/E ratio indicates overvaluation, and challenges in revenue growth and net profitability weigh on the overall score. The positive earnings call sentiment and improved liquidity provide a supportive outlook.

Positive Factors

Operational Efficiency

Strong operational efficiency with high EBIT and EBITDA margins suggests effective cost management and operational strength, supporting long-term profitability.

Liquidity Improvement

Improved liquidity enhances financial flexibility and reduces risk, enabling the company to invest in growth opportunities and manage debt effectively.

Çayeli Mine Life Extension

Extending the mine life to 2036 secures long-term resource availability, supporting sustained production and revenue generation from this asset.

Negative Factors

Revenue Decline

A decline in revenue growth indicates challenges in market demand or competitive positioning, potentially impacting future profitability and market share.

Challenges in Panama

Operational uncertainties in Panama due to environmental audits could disrupt production and require additional resources to resolve, affecting long-term operations.

Maintenance Challenges at Sentinel

Ongoing maintenance issues at Sentinel could lead to production inefficiencies and increased costs, impacting operational reliability and profitability.

First Quantum Minerals Business Overview & Revenue Model

Company Description

First Quantum Minerals Ltd., together with its subsidiaries, engages in the exploration, development, and production of mineral properties. It primarily explores for copper, nickel, pyrite, gold, silver, and zinc ores, as well as produces acid. The company has operating mines located in Zambia, Panama, Finland, Turkey, Spain, Australia, and Mauritania, as well as a development project in Zambia. It is exploring the Taca Taca copper-gold-molybdenum project in Argentina, as well as the Haquira copper deposit in Peru. The company was formerly known as First Quantum Ventures Ltd. and changed its name to First Quantum Minerals Ltd. in July 1996. First Quantum Minerals Ltd. was incorporated in 1983 and is headquartered in Toronto, Canada.

How the Company Makes Money

First Quantum Minerals generates revenue primarily through the sale of copper and nickel products. The company sells its copper in various forms, including cathodes and concentrates, to customers in the global market, including smelters and trading companies. The price of copper, which is influenced by global demand and supply dynamics, directly impacts the company's revenue. Additionally, First Quantum also earns income from by-products such as gold and silver, which are extracted during the mining process. Key revenue streams include long-term contracts and spot market sales. The company has established partnerships with various stakeholders, including local governments and other mining companies, which can provide operational synergies and access to additional markets. Factors such as mining efficiency, operational costs, and global commodity prices are significant contributors to its earnings.

First Quantum Minerals Financial Statement Overview

Summary

First Quantum Minerals shows strong operational efficiency with healthy EBIT and EBITDA margins, but faces challenges in revenue growth and net profitability. The balance sheet is stable with moderate leverage, and the cash flow statement highlights strong cash generation capabilities.

Income Statement

First Quantum Minerals shows a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) gross profit margin is healthy at 31.17%, indicating efficient cost management. However, the net profit margin is relatively low at 4.08%, reflecting challenges in converting revenue into profit. The revenue growth rate is negative, showing a decline of 10.1% in the TTM, which is concerning. The EBIT and EBITDA margins are strong at 24.96% and 38.28% respectively, suggesting good operational efficiency despite revenue challenges.

Balance Sheet

The balance sheet of First Quantum Minerals is stable with a debt-to-equity ratio of 0.54 in the TTM, indicating moderate leverage. The return on equity is low at 1.78%, suggesting limited profitability relative to shareholder equity. The equity ratio stands at 47.01%, reflecting a solid equity base relative to total assets. Overall, the company maintains a balanced financial structure with manageable debt levels.

Cash Flow

The cash flow statement reveals strong cash generation capabilities. The free cash flow growth rate is impressive at 370.59% in the TTM, indicating significant improvement in cash generation. The operating cash flow to net income ratio is 1.12, showing robust cash flow relative to net income. The free cash flow to net income ratio of 0.32 suggests effective conversion of profits into cash. Overall, the company demonstrates strong cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.95B	4.80B	6.46B	7.63B	7.21B	5.07B
Gross Profit	1.54B	1.35B	1.29B	2.20B	2.56B	1.08B
EBITDA	1.85B	1.62B	2.25B	3.28B	3.55B	2.16B
Net Income	202.00M	2.00M	-954.00M	1.03B	832.00M	-180.00M
Balance Sheet
Total Assets	24.28B	24.11B	23.76B	25.08B	25.27B	24.24B
Cash, Cash Equivalents and Short-Term Investments	747.00M	843.00M	1.16B	1.69B	1.86B	950.00M
Total Debt	6.20B	6.37B	7.58B	7.38B	7.91B	8.36B
Total Liabilities	12.57B	12.21B	12.98B	12.84B	13.78B	14.20B
Stockholders Equity	11.40B	11.47B	10.25B	10.90B	10.02B	8.87B
Cash Flow
Free Cash Flow	560.00M	365.00M	127.00M	1.17B	1.89B	1.00B
Operating Cash Flow	1.77B	1.65B	1.43B	2.33B	2.88B	1.61B
Investing Cash Flow	-1.26B	-1.29B	-1.38B	-1.17B	-1.10B	-673.00M
Financing Cash Flow	-647.00M	-501.00M	-776.00M	-1.33B	-841.00M	-543.00M

First Quantum Minerals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 33.83
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:FM, the sentiment is Positive. The current price of 33.83 is above the 20-day moving average (MA) of 30.74, above the 50-day MA of 30.68, and above the 200-day MA of 24.01, indicating a bullish trend. The MACD of 0.91 indicates Negative momentum. The RSI at 63.50 is Neutral, neither overbought nor oversold. The STOCH value of 74.55 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:FM.

First Quantum Minerals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ERO	76 Outperform	$3.60B	19.10	17.26%	―	29.97%	658.38%
HBM	76 Outperform	$9.65B	14.98	16.43%	0.08%	5.40%	413.48%
CS	70 Neutral	$8.93B	20.77	9.83%	―	44.69%	1216.12%
FM	68 Neutral	$23.04B	358.24	0.41%	―	8.17%	―
LUN	67 Neutral	$21.94B	531.33	3.33%	0.74%	-19.68%	-90.05%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
TKO	58 Neutral	$2.62B	―	-10.53%	―	1.17%	-169.37%

First Quantum Minerals Corporate Events

First Quantum Minerals Reports Q3 2025 Results with Strategic Financial Moves

First Quantum Minerals reported a net loss of $48 million for the third quarter of 2025, despite improvements in production and metal prices. The company made significant strides in strengthening its financial position through a $1 billion gold stream arrangement and bond transactions. Operationally, the Kansanshi S3 Expansion project was successfully completed, and production guidance for copper, gold, and nickel was updated. The company is also working on resolving issues related to the Cobre Panamá mine, with plans to restart the power plant in the fourth quarter.

First Quantum to Announce Q3 2025 Results

First Quantum Minerals Ltd. announced it will release its third quarter 2025 financial and operating results on October 28, 2025, after the close of the Toronto Stock Exchange. The company will discuss these results during a conference call and webcast on October 29, 2025, providing stakeholders an opportunity to gain insights into its financial performance and operational strategies.