Movers and SHAKERS
Friday November 15, 2019
Sierra Metals (SMTS)
Higher EBITDA and Operating Cash Flows Driven by Strong Q3 Production
Sierra Metals Inc is a precious and base metals producer in Latin America. The company acquires, explores, extracts, and produces mineral concentrates consisting of silver, copper, lead, zinc and gold in Mexico and Peru. Its activity includes the operation of the Yauricocha Mine in Peru, and the Bolivar and Cusi mines in Mexico. Yauricocha is an underground polymetallic mine using the sublevel block caving and cut-and-fill mining methods. Bolivar is a copper-silver-zinc-gold underground mine using room-and-pillar mining method. The majority of the revenue is earned by selling of the mineral concentrates to its customers in Peru.
Mark Reichman, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to full report for price target, fundamental analysis and rating.
- Third quarter financial results. Sierra Metals generated net income attributable to shareholders of $1.8 million, or $0.01 per share, compared to $1.9 million, or $0.01 per share, during the prior year period. Adjusted EBITDA amounted to $21.6 million versus $18.2 million during the prior year period and our estimate of $23.4 million. The increase relative to the prior year period was attributed to higher revenue driven by production growth.
- Updating estimates. We are revising our full year 2019 EPS and EBITDA estimates to $0.03 and $69.2 million from $0.08 and $74.2 million, respectively. Additionally, we have trimmed our 2020 EPS and EBITDA estimates to $0.26 and $134.5 million from $0.30 and...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.