Silvercorp Metals Inc (NYSE: SVM)

Sector: Basic Materials Industry: Silver CIK: 0001340677
Market Cap 2.27 Bn
P/B 3.19
P/E -135.06
P/S 6.20
ROIC (Qtr) 100.43
Div Yield % 0.10
Rev 1y % (Qtr) 50.83
Total Debt (Qtr) 114.90 Mn
Debt/Equity (Qtr) 0.16
Add ratio to table...

About

Investment thesis

Bull case

  • Strong operating cash flow of 251.10M provides robust 2.19x coverage of total debt 114.90M, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 462.38M provide 4.06x coverage of short-term debt 113.94M, demonstrating strong liquidity position and minimal refinancing risk.
  • Operating cash flow of 251.10M provides exceptional 19.10x coverage of interest expenses 13.15M, showing strong debt service capability.
  • Strong tangible asset base of 1.37B provides 11.95x coverage of total debt 114.90M, indicating robust asset backing and low credit risk.
  • Operating cash flow of 251.10M provides strong 63.80x coverage of stock compensation 3.94M, indicating sustainable incentive practices.

Bear case

  • Operating cash flow of 251.10M barely covers its investment activities of (118.50M), with a coverage ratio of -2.12, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Operating cash flow of 251.10M provides thin coverage of dividend payments of (5.48M) with a -45.81 ratio, suggesting potential dividend sustainability issues if operational performance deteriorates.
  • Cash reserves of 462.38M provide limited coverage of acquisition spending of (9.41M), which is -49.12x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • Free cash flow of 137.64M represents just -182.79x of debt issuance (753000), suggesting concerning reliance on leverage rather than internal cash generation for growth.
  • Operating earnings of 29.39M show weak coverage of depreciation charges of 37.43M, with a 0.79 ratio indicating high capital intensity and potential reinvestment needs.

Major customers [axis] Breakdown of Revenue (2025)

Products and services [axis] Breakdown of Revenue (2025)

Peer comparison

Companies in the Silver
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 AG First Majestic Silver Corp 10.52 Bn 153.93 10.89 237.17 Mn
2 EXK Endeavour Silver Corp 3.21 Bn -34.06 9.53 159.06 Mn
3 SVM Silvercorp Metals Inc 2.27 Bn -135.06 6.20 114.90 Mn
4 DVS Dolly Varden Silver Corp 0.31 Bn -21.75 0.00 0.00 Mn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.46 1.80
EV to Cash from Ops. EV/CFO 7.98 27.24
EV to Debt EV to Debt 17.44 20.51
EV to EBIT EV/EBIT 68.17 22.85
EV to EBITDA EV/EBITDA 10.21 24.18
EV to Free Cash Flow [EV/FCF] EV/FCF 14.56 14.26
EV to Market Cap EV to Market Cap 0.88 0.73
EV to Revenue EV/Rev 5.48 6.52
Price to Book Value [P/B] P/B 3.19 4.37
Price to Earnings [P/E] P/E -135.06 -9.24
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Div Coverage (Qtr) -3.07 1.19
Dividend Payout Ratio % Div Payout % (Qtr) -16.90 -1.45
Dividend per Basic Share Div per Share (Qtr) 0.01 0.01
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 2.08 1.73
Interest Coverage Int. cover (Qtr) 2.24 -4.62
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -42.97 -24.28
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 34.16 54.83
Dividend Growth (1y) % Div 1y % (Qtr) -48.00 -16.17
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -141.24 -7.74
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 61.17 92.05
EBIT Growth (1y) % EBIT 1y % (Qtr) -70.80 105.18
EBT Growth (1y) % EBT 1y % (Qtr) -83.31 -9.56
EPS Growth (1y) % EPS 1y % (Qtr) -120.81 -30.70
FCF Growth (1y) % FCF 1y % (Qtr) 254.69 240.58
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 55.30 97.27
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.27 0.21
Cash Payout Ratio Cash Payout (Qtr) 0.02 0.01
Cash Ratio Cash Ratio (Qtr) 1.19 1.90
Current Ratio Curr Ratio (Qtr) 1.24 2.50
Debt to Equity Ratio Debt/Equity (Qtr) 0.16 0.14
Interest Cover Ratio Int Coverage (Qtr) 2.24 -4.62
Times Interest Earned Times Interest Earned (Qtr) 2.24 -4.62
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 18.30 12.78
EBIT Margin % EBIT Margin % (Qtr) 8.03 0.28
EBT Margin % EBT Margin % (Qtr) 4.44 -1.58
Gross Margin % Gross Margin % (Qtr) 52.20 23.05
Net Profit Margin % Net Margin % (Qtr) -4.60 -6.38