Lundin Mining (LUNMF) vs. The Competition Critical Comparison

Lundin Mining (OTC:LUNMF) is one of 113 publicly-traded companies in the “Metal mining” industry, but how does it contrast to its peers? We will compare Lundin Mining to related businesses based on the strength of its institutional ownership, analyst recommendations, risk, profitability, dividends, valuation and earnings.

Earnings & Valuation

This table compares Lundin Mining and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lundin Mining	$3.42 billion	$241.56 million	-32.00
Lundin Mining Competitors	$6.48 billion	$892.01 million	-12.08

Lundin Mining’s peers have higher revenue and earnings than Lundin Mining. Lundin Mining is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider and Institutional Ownership

0.1% of Lundin Mining shares are owned by institutional investors. Comparatively, 27.5% of shares of all “Metal mining” companies are owned by institutional investors. 0.4% of Lundin Mining shares are owned by insiders. Comparatively, 12.9% of shares of all “Metal mining” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings for Lundin Mining and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lundin Mining	0	1	0	0	2.00
Lundin Mining Competitors	1253	2687	3179	137	2.30

As a group, “Metal mining” companies have a potential upside of 26.65%. Given Lundin Mining’s peers stronger consensus rating and higher possible upside, analysts clearly believe Lundin Mining has less favorable growth aspects than its peers.

Dividends

Lundin Mining pays an annual dividend of $0.28 per share and has a dividend yield of 3.4%. Lundin Mining pays out -107.7% of its earnings in the form of a dividend. As a group, “Metal mining” companies pay a dividend yield of 3.8% and pay out 62.0% of their earnings in the form of a dividend.

Profitability

This table compares Lundin Mining and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lundin Mining	-5.15%	5.27%	3.05%
Lundin Mining Competitors	-1,300.59%	-11.20%	-9.41%

Volatility & Risk

Lundin Mining has a beta of 1.46, suggesting that its stock price is 46% more volatile than the S&P 500. Comparatively, Lundin Mining’s peers have a beta of 1.05, suggesting that their average stock price is 5% more volatile than the S&P 500.

Summary

Lundin Mining peers beat Lundin Mining on 10 of the 15 factors compared.

Lundin Mining Company Profile

LUNDIN MINING CORPORATION is a rapidly growing, diversified base metals mining company with operations in Portugal, Spain, Sweden and Ireland. The Company currently has six mines in operation producing copper, nickel, lead and zinc. In addition, Lundin Mining holds a development project pipeline which includes the world class Tenke Fungurume copper cobalt project in the Democratic Republic of Congo and the Ozernoe zinc project in Russia. The Company holds an extensive exploration portfolio and interests in international mining and exploration ventures.