Berenberg analyst Richard Hatch has revised the price target for Wheaton Precious Metals (WPM, Financial), reducing it from 6,900 GBp to 6,800 GBp. Despite this adjustment, Hatch maintains a Buy rating on the stock, indicating continued confidence in its potential.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 13 analysts, the average target price for Wheaton Precious Metals Corp (WPM, Financial) is $94.62 with a high estimate of $129.00 and a low estimate of $64.07. The average target implies an upside of 21.64% from the current price of $77.79. More detailed estimate data can be found on the Wheaton Precious Metals Corp (WPM) Forecast page.
Based on the consensus recommendation from 14 brokerage firms, Wheaton Precious Metals Corp's (WPM, Financial) average brokerage recommendation is currently 1.9, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Wheaton Precious Metals Corp (WPM, Financial) in one year is $80.10, suggesting a upside of 2.97% from the current price of $77.792. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Wheaton Precious Metals Corp (WPM) Summary page.
WPM Key Business Developments
Release Date: May 09, 2025
- Revenue: Record quarterly revenue of $470 million, a 59% increase compared to the prior year.
- Gross Margin: Increased by 86% to $319 million compared to the prior year.
- Adjusted Net Earnings: $251 million, a quarterly record and a 53% increase compared to the prior year.
- Cash Flow from Operations: Record quarterly cash flow of $361 million, a 65% increase compared to the prior year.
- Dividend: Declared a dividend of $0.165 per share, a 6.5% increase compared to the prior year.
- Gold Equivalent Ounces (GEOs) Production: 151,000 GEOs, a 4% decrease from Q1 of 2024.
- Sales Volumes: 161,000 GEOs, a 16% increase from Q1 of 2024.
- Cash Balance: $1.1 billion as of March 31, 2025.
- Upfront Cash Payments for Streams: $95 million, including $40 million for Mineral Park, $30 million for Blackwater, and $25 million for Fenix.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Wheaton Precious Metals Corp (WPM, Financial) achieved record quarterly revenue, adjusted net earnings, and operating cash flow in Q1 2025.
- The company was recognized among Corporate Knight's 100 most Sustainable Corporations in the World for 2025.
- WPM's production outlook for 2025 remains strong, with total attributable production expected to fall between 600,000 and 670,000 gold equivalent ounces.
- The company has a robust pipeline of development projects, with several assets scheduled to come online within the year, supporting an anticipated organic growth profile of over 40% by 2029.
- WPM maintains a strong balance sheet with a cash balance of $1.1 billion and a fully undrawn $2 billion revolving credit facility, positioning it well for future investments and acquisitions.
Negative Points
- Production in Q1 2025 was 151,000 gold equivalent ounces, a 4% decrease from Q1 2024, mainly due to lower production from Peñasquito and Constancia.
- The reduction in gold and silver production at Constancia was expected due to lower grades as more material was mined from the Constancia pit and reclaimed from the stockpile.
- The Peñasquito deposit, which contained relatively higher gold grades, is expected to be depleted by early 2025.
- There is a potential for additional payments of $5.1 million to $8.5 million annually if a high-grade mine plan is pursued at Salobo.
- Sales volumes were higher than production in Q1 2025, indicating potential timing delays between production and sales, which could affect future quarters.
