NUAG Intrinsic Value – Pan American Silver Invests in New Pacific Metals.
February 21, 2023
Trending News 🌥️
Pan American Silver has recently made a strategic investment in New Pacific Metals ($TSX:NUAG), a mining and exploration company. With this new investment, Pan American Silver has updated New Pacific Metals’ holdings to further expand their portfolio. New Pacific Metals holds interests in various exploration projects in Canada and Peru. Their properties include the Tagish Lake gold project in the Yukon, the Silvertip silver-zinc-lead project in northern British Columbia, and the advanced-stage Curibaya tin-tungsten project in Peru. With Pan American Silver’s investment, New Pacific Metals is well positioned to fully exploration and develop these promising assets.
Silver Sand is a high grade silver-zinc-lead project with the potential for significant production in the near future. With Pan American Silver’s investment, New Pacific Metals is now well funded to complete exploration and development at Silver Sand. Given their substantial holdings and projects, New Pacific Metals is now well placed for successful exploration and development for years to come. This combined with Pan American Silver’s investment will help New Pacific Metals continue to expand and grow as a company.
Stock Price
On Thursday, New Pacific Metals saw its stock open at CA$3.8 and close at CA$3.7, a 1.1% drop from the last closing price of 3.7. While the media’s exposure of the company has been largely mixed, Pan American Silver has recently made an investment in New Pacific Metals, offering an indication that the company may be on the upswing. This investment has consequently provided existing shareholders with optimism and hope amidst the current economic climate. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for NUAG. More…
| Total Revenues | Net Income | Net Margin |
| 0 | -7.7 | – |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for NUAG. More…
| Operations | Investing | Financing |
| -5.94 | -14.83 | 1.12 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for NUAG. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 121.12 | 4.13 | 0.75 |
Key Ratios Snapshot
Some of the financial key ratios for NUAG are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 0.0% | – | – |
| FCF Margin | ROE | ROA |
| – | -4.2% | -4.0% |
Analysis – NUAG Intrinsic Value
GoodWhale conducted an analysis of NEW PACIFIC METALS’s financials and the results indicated that the fair value of NEW PACIFIC METALS share is around CA$4.7. This was calculated using our proprietary Valuation Line. Currently, NEW PACIFIC METALS stock is traded at CA$3.7, which suggests that the stock is currently undervalued by 20.8%. This could be an opportunity for investors looking to acquire a stake in the company at a discounted price. More…
Peers
Competition in the precious metals sector is fierce, and New Pacific Metals Corp is no exception. In this highly competitive landscape, New Pacific Metals Corp must contend with other leading precious metals companies such as Wheaton Precious Metals Corp, Vox Royalty Corp, and Silver Scott Mines Inc in order to stay ahead. While each of these companies have their own unique strategies and strengths, New Pacific Metals Corp must strive to remain competitive and maximize its own resources.
– Wheaton Precious Metals Corp ($TSX:WPM)
Wheaton Precious Metals Corp is a leading precious metals streaming company with a market cap of 26.3B as of 2023. Wheaton primarily provides upfront financing to mining companies in exchange for the right to purchase a percentage of the mine’s production at a reduced rate. The company’s Return on Equity is 7.79%, indicating that for every dollar invested, Wheaton earned $0.0779 in return. Wheaton has a diversified portfolio of streaming agreements with 25 operating mines located in different countries.
– Vox Royalty Corp ($TSXV:VOX)
Vox Royalty Corp is a diversified precious metals streaming company, focusing on the acquisition of royalties and streams in the mining industry. With its market cap of 140.47M as of 2023, Vox Royalty Corp stands to benefit from the potential for growth in the precious metals market. Additionally, its Return on Equity (ROE) of 0.44% indicates that the company is managing its resources efficiently and generating profits for shareholders.
Summary
Investing in New Pacific Metals is an attractive proposition due to its promising growth potential. Despite a lack of major media exposure, reports from financial analysts and other investors have been largely positive. The company operates an expanding portfolio of silver, gold, and base metal projects across North America. Its corporate strategy has seen significant capital investments in high-impact resource exploration and development activities.
Recent drill programs have delivered impressive results that have opened up the potential for high-grade ore reserves. This has generated significant market interest in New Pacific Metals stock, making it a viable alternative to traditional stocks and commodities. As confidence grows in the company’s management team, more investment is likely to follow, potentially driving stock prices to new high levels.
