RE:Hecla Mining remains on the high side with a forward EV/EBITEV/EBITDA = Fantasy number. EV (enterprise value) should maybe be EC, enterprise cost of potential acquisition. EV= Market capitalization + total debt − cash and cash equivalents
EBITDA= Earnings before interest, taxes, depreciation and amortization.
Wouldn't it be great to run a company that didn't have to pay any of the above? Unfortunately forebearance of depreciation and amortization becomes future capital expenditure/maintenance unless you have equipment that runs forever for free after you buy it.
Anyway ... the old-fashioned way:
2023 Net Income/(loss) = ($84.22 Million)
2023 Cash Flow = $1.63 Million
605MM shares outstanding
Net Income/(loss): (.14/share)
Share price 12/29/23: 4.81
Share price/Net Profit Price/Earnings multiple: ZERO (or infinity, if you prefer). Hecla P/E 2010-2024 NASDAQ P/E 2010-2024 P/E for both NASDAQ and DOW are inflated now, at about 50% higher compared to historic averages.
Also, Hecla:
Last 5 years: Revenue $3.611 Billiion
Last 5 years: Net Income/(loss): ($190 Million). Again, P/E ratio: ZERO Cash Flow: $79 Million
I like Hecla, and they've been good to me, but my point is that it's a cyclically speculative stock, recognize it as such, and that traditional or untraditional metrics don't apply as a valuation tool, rather it is married to the price and market sentiment according to silver/gold. A confounding signal is also the level of the general markets, especially DOW, NASDAQ.