Post-Market Activity Shows Silver Wheaton (SLW) Down
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
(
) as a post-market laggard candidate. In addition to specific proprietary factors, Trade-Ideas identified Silver Wheaton as such a stock due to the following factors:
- SLW has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $65.5 million.
- SLW is down 2.2% today from today's close.
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More details on SLW:
Silver Wheaton Corp. operates as a precious metals streaming company worldwide. The company has 20 long-term purchase agreements and 1 early deposit long-term purchase agreement associated with silver and/or gold relating to 24 different mining assets. The stock currently has a dividend yield of 1.1%. SLW has a PE ratio of 32.0. Currently there are 10 analysts that rate Silver Wheaton a buy, no analysts rate it a sell, and 2 rate it a hold.
The average volume for Silver Wheaton has been 5.0 million shares per day over the past 30 days. Silver Wheaton has a market cap of $7.8 billion and is part of the basic materials sector and metals & mining industry. Shares are up 6.2% year-to-date as of the close of trading on Friday.
Analysis:
rates Silver Wheaton as a
. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, feeble growth in the company's earnings per share and deteriorating net income.
Highlights from the ratings report include:
- Although SLW's debt-to-equity ratio of 0.28 is very low, it is currently higher than that of the industry average. Along with this, the company maintains a quick ratio of 15.20, which clearly demonstrates the ability to cover short-term cash needs.
- Net operating cash flow has slightly increased to $120.38 million or 1.43% when compared to the same quarter last year. In addition, SILVER WHEATON CORP has also vastly surpassed the industry average cash flow growth rate of -57.24%.
- SLW, with its decline in revenue, slightly underperformed the industry average of 2.5%. Since the same quarter one year prior, revenues slightly dropped by 0.3%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
- SILVER WHEATON CORP has experienced a steep decline in earnings per share in the most recent quarter in comparison to its performance from the same quarter a year ago. Earnings per share have declined over the last two years. We anticipate that this should continue in the coming year. During the past fiscal year, SILVER WHEATON CORP reported lower earnings of $1.05 versus $1.65 in the prior year. For the next year, the market is expecting a contraction of 27.6% in earnings ($0.76 versus $1.05).
- The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Metals & Mining industry. The net income has significantly decreased by 94.2% when compared to the same quarter one year ago, falling from $77.06 million to $4.49 million.
- You can view the full Silver Wheaton Ratings Report.
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