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Mercado Minerals (XCNQ:MERC) Earnings Power Value (EPV) : C$0.00 (As of Aug24)


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What is Mercado Minerals Earnings Power Value (EPV)?

As of Aug24, Mercado Minerals's earnings power value is C$0.00. *

* GuruFocus does not store EPV value into our database if Average Maintenance CAPEX is 0.

Margin of Safety is N/A.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future. Assumption: Current profitability is sustainable.


Mercado Minerals Earnings Power Value (EPV) Historical Data

The historical data trend for Mercado Minerals's Earnings Power Value (EPV) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Mercado Minerals Earnings Power Value (EPV) Chart

Mercado Minerals Annual Data
Trend Feb22 Feb23 Feb24
Earnings Power Value (EPV)
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Mercado Minerals Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24
Earnings Power Value (EPV) Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - -

Competitive Comparison of Mercado Minerals's Earnings Power Value (EPV)

For the Other Industrial Metals & Mining subindustry, Mercado Minerals's Earnings Power Value (EPV), along with its competitors' market caps and Earnings Power Value (EPV) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Mercado Minerals's Earnings Power Value (EPV) Distribution in the Metals & Mining Industry

For the Metals & Mining industry and Basic Materials sector, Mercado Minerals's Earnings Power Value (EPV) distribution charts can be found below:

* The bar in red indicates where Mercado Minerals's Earnings Power Value (EPV) falls into.



Mercado Minerals Earnings Power Value (EPV) Calculation

Earnings Power Value also known as just Earnings Power is a valuation technique popularised by Bruce Greenwald, an authority on value investing at Columbia University. It is arguably a better way to analyze stocks than Discounted Cash Flow analysis that relies on highly speculative growth assumptions many years into the future.

The basic concept of EPV is that one should value a stock based on the current free cash flow of a company and not on future projections which may, or may not, come true. This valuation tool excludes the potential growth that a company may have so that needs to be looked at separately. Since future growth is excluded from the analysis, only the maintenance capital expenditures are subtracted from after-tax EBIT (earnings before interest and taxes) and growth capex is ignored.


Mercado Minerals  (XCNQ:MERC) Earnings Power Value (EPV) Explanation

Assumption: Current profitability is sustainable.

Earnings power value (EPV) uses a very basic equation which assumes no growth, although it does rely on an assumption about the cost of capital as well as the fact that current earnings are sustainable. It also involves several adjustments to clean up the underlying Earnings figures.


Be Aware

Though using today's earnings in calculating Earnings Power Value, GuruFocus is normalizing these earnings to the business cycle. This eliminates the effects on profitability of valuing the firm at different points in the business cycle. This means that we are considering the average earnings over 5 years.


Mercado Minerals Earnings Power Value (EPV) Related Terms

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Mercado Minerals Business Description

Traded in Other Exchanges
N/A
Address
551 Howe Street, Suite 200, Vancouver, BC, CAN, V6C 2C2
Website
Mercado Minerals Ltd formerly Heartfield Mining Corp is engaged in the acquisition and exploration of mineral property assets. It operates in one geographic location, Canada, and has one reportable segment, the exploration and evaluation of mineral resource properties.
Executives
Michael R. Dake Director
Sean Mcgrath Director, Senior Officer