Silvercorp Metals (SVM) AI Stock Analysis

• Market Cap: $1.14B
• Dividend Yield: 0.68%
• Average Volume (3M): 568.78K
• Price to Earnings (P/E): 10.5
• Beta (1Y): 1.98
• Revenue Growth: 31.23%
• EPS Growth: 110.49%
• Country: CA
• Employees: 1,207
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Silver
• EPS (TTM): 0.50
• Shares Outstanding: 217,416,490
• 10 Day Avg. Volume: 615,969
• 30 Day Avg. Volume: 568,782
• PEG Ratio: 0.10
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.25
• Price to Cash Flow (P/CF): 8.60
• P/FCF Ratio: 0.00
• 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: C$7.95
• Price Target Upside: 51.51% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

Silvercorp Metals exhibits strong financial performance with significant revenue growth and profitability. The technical analysis indicates moderate upward momentum, and the valuation suggests the stock might be undervalued. Positive earnings call highlights further reinforce the company's strong operational and financial standing. However, attention to costs and zinc production is warranted.

Positive Factors

Financial Performance

Silvercorp reported record revenue, and production costs were slightly below forecast, facilitating increased cash flow from operations.

Operational Efficiency

Silver production rates at Ying increased and further improvement is expected with the operational mill expansion.

Negative Factors

Production Challenges

Silver production in FYQ2 of 1.66Moz was slightly below the 1.84Moz forecast due to lower throughput at Ying and lower silver grade at GC.

Resource Grades

Lead and zinc production of 13.2Mlbs and 5.8Mlbs was impacted by lower grades at both operations and missed estimates by 23% and 29%.

Silvercorp Metals Business Overview & Revenue Model

Company Description

Silvercorp Metals Inc. is a Canadian mining company that primarily engages in the acquisition, exploration, development, and mining of silver, lead, and zinc properties. The company operates several mines in China, positioning itself as a low-cost silver producer with a focus on sustainable mining practices. Silvercorp is committed to delivering value to its shareholders through efficient operations and strategic acquisitions within the precious metals sector.

How the Company Makes Money

Silvercorp Metals generates revenue primarily through the extraction and sale of silver, lead, and zinc concentrates. The company's key revenue streams include the mining and processing of ore extracted from its properties, followed by the sale of the concentrates to smelters and refineries. This process involves leveraging its operational efficiencies to maintain low production costs and maximize profit margins. Additionally, Silvercorp benefits from fluctuations in global metal prices, which can enhance its revenue when prices rise. The company may also engage in joint ventures or partnerships with other mining entities to explore new opportunities and expand its resource base, further contributing to its earnings.

Silvercorp Metals Financial Statement Overview

Summary

Silvercorp Metals has demonstrated robust financial performance with strong revenue growth, profitability, and effective cost management. While the income statement, balance sheet, and cash flow metrics are solid, a slight decrease in gross profit margin could be a concern if it continues.

Income Statement

Silvercorp Metals has shown strong performance in the TTM (Trailing-Twelve-Months) with a significant gross profit margin of 45.8% and a net profit margin of 26.8%. The revenue growth rate from the previous annual report is approximately 23.8%, indicating robust growth. The EBIT margin stands at 42.1%, and the EBITDA margin is 52.5%, reflecting efficient cost management and operational strength. However, the gross profit margin saw a slight decrease compared to the previous year, which may be a point of concern if the trend continues.

Balance Sheet

The company's financial stability is highlighted by a low debt-to-equity ratio of 0.15, indicating conservative financial leverage. The return on equity (ROE) is strong at 10.1% for the TTM, suggesting effective utilization of equity. The equity ratio is 63.4%, showcasing a solid equity position relative to total assets. These metrics suggest a well-balanced balance sheet with minimal risk from leverage.

Cash Flow

The company's free cash flow growth rate is notable, with an increase from the previous period to $49.64 million in the TTM. The operating cash flow to net income ratio is 1.66, and the free cash flow to net income ratio is 0.70, indicating strong cash generation relative to net income. These figures reflect a healthy cash flow position, although the capital expenditures slightly offset the free cash flow growth.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
266.46M	215.19M	208.13M	217.92M	192.10M	158.83M
	Gross Profit
122.19M	125.81M	70.78M	84.30M	84.16M	59.37M
	EBIT
112.07M	63.92M	33.75M	62.56M	71.72M	59.37M
	EBITDA
139.91M	99.14M	64.80M	98.04M	97.07M	77.36M
	Net Income Common Stockholders
71.30M	36.31M	20.61M	30.63M	46.38M	34.27M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
94.66M	184.89M	203.32M	212.93M	199.09M	142.52M
	Total Assets
279.45M	702.82M	676.80M	723.54M	652.64M	512.76M
	Total Debt
1.47M	1.31M	583.00K	1.26M	1.74M	2.07M
	Net Debt
-49.15M	-151.63M	-145.11M	-112.04M	-116.99M	-63.71M
	Total Liabilities
42.73M	105.81M	96.97M	103.42M	86.91M	73.79M
	Stockholders Equity
214.99M	507.25M	489.05M	512.40M	467.57M	368.68M
Cash Flow		Free Cash Flow
49.64M	28.10M	30.69M	40.17M	33.71M	41.94M
	Operating Cash Flow
118.17M	91.57M	85.64M	107.38M	85.91M	77.25M
	Investing Cash Flow
-25.57M	-65.71M	-26.52M	-106.63M	-40.97M	-70.79M
	Financing Cash Flow
111.58M	-16.80M	-17.98M	-7.43M	-1.45M	-2.93M

Silvercorp Metals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.25
• 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 TSE:SVM, the sentiment is Positive. The current price of 5.25 is below the 20-day moving average (MA) of 5.47, below the 50-day MA of 5.27, and above the 200-day MA of 5.17, indicating a neutral trend. The MACD of -0.12 indicates Positive momentum. The RSI at 48.91 is Neutral, neither overbought nor oversold. The STOCH value of 49.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SVM.

Silvercorp Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FVI	79 Outperform	$2.76B	15.83	9.74%	―	28.18%	―
SVM	77 Outperform	$1.14B	10.55	11.68%	0.68%	31.23%	110.49%
MAG	54 Neutral	C$2.15B	20.15	14.17%	―	―	61.66%
EDR	54 Neutral	$1.43B	―	-7.23%	―	6.18%	-515.57%
Sector *	47 Neutral	$2.49B	-2.97	-22.93%	3.49%	4.06%	-27.72%

Silvercorp Metals Corporate Events

Silvercorp Metals Posts Strong Q3 Fiscal 2025 Results with $22 Million Adjusted Net Income

Silvercorp Metals reported a strong financial performance for Q3 Fiscal 2025, with an adjusted net income of $22.0 million and operating cash flow of $44.8 million. The company achieved significant production and sales, resulting in revenue of $83.6 million. Key expenses included investments in exploration, development, and infrastructure, as well as repayment obligations and shareholder dividends.

Silvercorp Metals Achieves Record Revenue in Q3 Fiscal 2025

Silvercorp Metals Inc. reported a record revenue of approximately $83.6 million for Q3 Fiscal 2025, marking a 43% increase from the previous year. The company saw increases in ore mined, ore milled, and silver production, while zinc production decreased. The announcement highlights strong operational performance and suggests potential positive implications for stakeholders due to increased production and sales.

Silvercorp Completes Key Infrastructure Developments at Ying Mine

Silvercorp Metals Inc. has successfully completed the construction of Tailings Storage Facility No. 3 and a new 1,500 tonne per day mill expansion at its Ying Mine in China. These developments, completed on time and under budget, will enhance the company’s milling capacity to over 1.3 million tonnes per year, supporting its long-term operational goals. The facility is expected to operate efficiently over the next 12 years, and includes advanced features for safety and environmental protection, aligning with local regulatory standards.