Aris Mining Corp (NYSE: ARMN)

Sector: Basic Materials Industry: Gold CIK: 0001964504
Market Cap 3.03 Bn
P/B 2.69
P/E 61.70
P/S 3.94
ROIC (Qtr) 10.18
Div Yield % 0.00
Rev 1y % (Qtr) 91.59
Total Debt (Qtr) 517.84 Mn
Debt/Equity (Qtr) 0.46

About

Price action

Investment thesis

Bull case

  • Strong operating cash flow of 333.28M provides robust 0.64x coverage of total debt 517.84M, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 417.88M provide 7.63x coverage of short-term debt 54.79M, demonstrating strong liquidity position and minimal refinancing risk.
  • Operating cash flow of 333.28M provides exceptional 172.33x coverage of minority interest expenses 1.93M, showing strong core operations.
  • Operating cash flow of 333.28M provides strong 17.81x coverage of stock compensation 18.71M, indicating sustainable incentive practices.
  • Strong tangible asset base of 2.40B provides 4.63x coverage of total debt 517.84M, indicating robust asset backing and low credit risk.

Bear case

  • Operating cash flow of 333.28M barely covers its investment activities of (214.63M), with a coverage ratio of -1.55, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Tax assets of 0 provide limited offset against tax liabilities of 102.85M, which is 0x, indicating potential future cash flow pressure from tax obligations.
  • R&D investment of 0 represents just 0x of SG&A expenses of 22.51M, indicating potential underinvestment in innovation relative to administrative overhead.
  • Interest expense of 51.42M consumes 0.26x of operating earnings 198.85M, suggesting concerning debt service burden relative to operational performance.
  • Other non-current assets of 171000 provide minimal coverage for long-term debt of 463.06M, which is 0x, indicating potential asset-liability mismatch.

Products and services [axis] Breakdown of Revenue (2024)

Segments [axis] Breakdown of Revenue (2024)

Peer comparison

Companies in the Gold
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 NEM NEWMONT Corp /DE/ 121.63 Bn 16.92 5.66 5.65 Bn
2 AEM Agnico Eagle Mines Ltd 96.06 Bn 27.86 9.09 0.34 Bn
3 B Barrick Mining Corp 82.76 Bn 23.10 5.67 4.71 Bn
4 WPM Wheaton Precious Metals Corp. 56.61 Bn 56.52 30.93 0.01 Bn
5 FNV FRANCO NEVADA Corp 44.11 Bn 47.96 28.52 0.00 Bn
6 KGC Kinross Gold Corp 38.43 Bn 21.85 5.96 1.24 Bn
7 PAAS Pan American Silver Corp 19.78 Bn 31.19 6.08 0.86 Bn
8 AGI Alamos Gold Inc 17.45 Bn 32.41 10.85 0.28 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.35 3.17
EV to Cash from Ops. EV/CFO 9.73 -11.55
EV to Debt EV to Debt 6.27 548.67
EV to EBIT EV/EBIT 16.32 12.24
EV to EBITDA EV/EBITDA 9.81 3.14
EV to Free Cash Flow [EV/FCF] EV/FCF 25.64 12.17
EV to Market Cap EV to Market Cap 1.07 1.72
EV to Revenue EV/Rev 4.21 7.50
Price to Book Value [P/B] P/B 2.69 5.26
Price to Earnings [P/E] P/E 61.70 -1.39
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 1.54
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 5.40
Dividend per Basic Share Div per Share (Qtr) 0.00 0.17
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 10.25
Interest Coverage Int. cover (Qtr) 3.87 406.21
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -19.38 -97.36
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 420.37 130.91
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -5.27
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 1,519.78 518.35
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 140.74 53.19
EBIT Growth (1y) % EBIT 1y % (Qtr) 159.95 679.30
EBT Growth (1y) % EBT 1y % (Qtr) 195.25 144.05
EPS Growth (1y) % EPS 1y % (Qtr) 1,000.00 224.62
FCF Growth (1y) % FCF 1y % (Qtr) 227.18 171.65
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 150.36 84.25
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.32 0.26
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.03
Cash Ratio Cash Ratio (Qtr) 1.88 3.14
Current Ratio Curr Ratio (Qtr) 2.42 4.90
Debt to Equity Ratio Debt/Equity (Qtr) 0.46 0.27
Interest Cover Ratio Int Coverage (Qtr) 3.87 406.21
Times Interest Earned Times Interest Earned (Qtr) 3.87 406.21
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 31.70 -19.19
EBIT Margin % EBIT Margin % (Qtr) 25.82 -44.57
EBT Margin % EBT Margin % (Qtr) 19.14 -34.79
Gross Margin % Gross Margin % (Qtr) 42.70 30.59
Net Profit Margin % Net Margin % (Qtr) 6.40 -40.44