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Wheaton Precious Metals (Wheaton Precious Metals) Piotroski F-Score

: 4 (As of Today)
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The zones of discrimination were as such:

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Wheaton Precious Metals has an F-score of 4 indicating the company's financial situation is typical for a stable company.

The historical rank and industry rank for Wheaton Precious Metals's Piotroski F-Score or its related term are showing as below:

WPM' s Piotroski F-Score Range Over the Past 10 Years
Min: 3   Med: 5   Max: 8
Current: 4

During the past 13 years, the highest Piotroski F-Score of Wheaton Precious Metals was 8. The lowest was 3. And the median was 5.


Wheaton Precious Metals Piotroski F-Score Historical Data

The historical data trend for Wheaton Precious Metals's Piotroski F-Score 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.

Wheaton Precious Metals Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Piotroski F-Score
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.00 8.00 8.00 5.00 4.00

Wheaton Precious Metals Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Piotroski F-Score Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.00 5.00 4.00 5.00 4.00

Competitive Comparison

For the Gold subindustry, Wheaton Precious Metals's Piotroski F-Score, along with its competitors' market caps and Piotroski F-Score 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.


Wheaton Precious Metals Piotroski F-Score Distribution

For the Metals & Mining industry and Basic Materials sector, Wheaton Precious Metals's Piotroski F-Score distribution charts can be found below:

* The bar in red indicates where Wheaton Precious Metals's Piotroski F-Score falls into.


How is the Piotroski F-Score calculated?

* 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.

This Year (Dec23) TTM:Last Year (Dec22) TTM:
Net Income was 111.391 + 141.448 + 116.371 + 168.435 = $538 Mil.
Cash Flow from Operations was 135.104 + 202.376 + 171.103 + 242.225 = $751 Mil.
Revenue was 214.465 + 264.972 + 223.137 + 313.472 = $1,016 Mil.
Gross Profit was 117.501 + 151.856 + 126.894 + 177.188 = $573 Mil.
Average Total Assets from the begining of this year (Dec22)
to the end of this year (Dec23) was
(6759.906 + 6905.479 + 6879.905 + 6881.515 + 7031.185) / 5 = $6891.598 Mil.
Total Assets at the begining of this year (Dec22) was $6,760 Mil.
Long-Term Debt & Capital Lease Obligation was $6 Mil.
Total Current Assets was $567 Mil.
Total Current Liabilities was $26 Mil.
Net Income was 157.467 + 149.074 + 196.46 + 166.125 = $669 Mil.

Revenue was 307.244 + 302.922 + 218.836 + 236.051 = $1,065 Mil.
Gross Profit was 179.848 + 162.297 + 102.153 + 121.181 = $565 Mil.
Average Total Assets from the begining of last year (Dec21)
to the end of last year (Dec22) was
(6296.151 + 6470.033 + 6448.695 + 6587.595 + 6759.906) / 5 = $6512.476 Mil.
Total Assets at the begining of last year (Dec21) was $6,296 Mil.
Long-Term Debt & Capital Lease Obligation was $1 Mil.
Total Current Assets was $720 Mil.
Total Current Liabilities was $31 Mil.

*Note: If the latest quarterly/semi-annual/annual total assets data is 0, then we will use previous quarterly/semi-annual/annual data for all the items in the balance sheet.

Profitability

Question 1. Return on Assets (ROA)

Net income before extraordinary items for the year divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Wheaton Precious Metals's current Net Income (TTM) was 538. ==> Positive ==> Score 1.

Question 2. Cash Flow Return on Assets (CFROA)

Net cash flow from operating activities (operating cash flow) divided by Total Assets at the beginning of the year.

Score 1 if positive, 0 if negative.

Wheaton Precious Metals's current Cash Flow from Operations (TTM) was 751. ==> Positive ==> Score 1.

Question 3. Change in Return on Assets

Compare this year's return on assets (1) to last year's return on assets.

Score 1 if it's higher, 0 if it's lower.

ROA (This Year)=Net Income/Total Assets (Dec22)
=537.645/6759.906
=0.07953439

ROA (Last Year)=Net Income/Total Assets (Dec21)
=669.126/6296.151
=0.10627541

Wheaton Precious Metals's return on assets of this year was 0.07953439. Wheaton Precious Metals's return on assets of last year was 0.10627541. ==> Last year is higher ==> Score 0.

Question 4. Quality of Earnings (Accrual)

Compare Cash flow return on assets (2) to return on assets (1)

Score 1 if CFROA > ROA, 0 if CFROA <= ROA.

Wheaton Precious Metals's current Net Income (TTM) was 538. Wheaton Precious Metals's current Cash Flow from Operations (TTM) was 751. ==> 751 > 538 ==> CFROA > ROA ==> Score 1.

Funding

Question 5. Change in Gearing or Leverage

Compare this year's gearing (long-term debt divided by average total assets) to last year's gearing.

Score 0 if this year's gearing is higher, 1 otherwise.

Gearing (This Year: Dec23)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Dec22 to Dec23
=5.625/6891.598
=0.00081621

Gearing (Last Year: Dec22)=Long-Term Debt & Capital Lease Obligation/Average Total Assets from Dec21 to Dec22
=1.152/6512.476
=0.00017689

Wheaton Precious Metals's gearing of this year was 0.00081621. Wheaton Precious Metals's gearing of last year was 0.00017689. ==> Last year is lower than this year ==> Score 0.

Question 6. Change in Working Capital (Liquidity)

Compare this year's current ratio (current assets divided by current liabilities) to last year's current ratio.

Score 1 if this year's current ratio is higher, 0 if it's lower

Current Ratio (This Year: Dec23)=Total Current Assets/Total Current Liabilities
=567.411/26.075
=21.76072867

Current Ratio (Last Year: Dec22)=Total Current Assets/Total Current Liabilities
=720.093/30.717
=23.44281668

Wheaton Precious Metals's current ratio of this year was 21.76072867. Wheaton Precious Metals's current ratio of last year was 23.44281668. ==> Last year's current ratio is higher ==> Score 0.

Question 7. Change in Shares in Issue

Compare the number of shares in issue this year, to the number in issue last year.

Score 0 if there is larger number of shares in issue this year, 1 otherwise.

Wheaton Precious Metals's number of shares in issue this year was 453.595. Wheaton Precious Metals's number of shares in issue last year was 452.713. ==> There is larger number of shares in issue this year. ==> Score 0.

Efficiency

Question 8. Change in Gross Margin

Compare this year's gross margin (Gross Profit divided by sales) to last year's.

Score 1 if this year's gross margin is higher, 0 if it's lower.

Gross Margin (This Year: TTM)=Gross Profit/Revenue
=573.439/1016.046
=0.56438291

Gross Margin (Last Year: TTM)=Gross Profit/Revenue
=565.479/1065.053
=0.53093977

Wheaton Precious Metals's gross margin of this year was 0.56438291. Wheaton Precious Metals's gross margin of last year was 0.53093977. ==> This year's gross margin is higher. ==> Score 1.

Question 9. Change in asset turnover

Compare this year's asset turnover (total sales for the year divided by total assets at the beginning of the year) to last year's asset turnover ratio.

Score 1 if this year's asset turnover ratio is higher, 0 if it's lower

Asset Turnover (This Year)=Revenue/Total Assets at the Beginning of This Year (Dec22)
=1016.046/6759.906
=0.15030475

Asset Turnover (Last Year)=Revenue/Total Assets at the Beginning of Last Year (Dec21)
=1065.053/6296.151
=0.16915938

Wheaton Precious Metals's asset turnover of this year was 0.15030475. Wheaton Precious Metals's asset turnover of last year was 0.16915938. ==> Last year's asset turnover is higher ==> Score 0.

Evaluation

Piotroski F-Score= Que. 1+ Que. 2+ Que. 3+Que. 4+Que. 5+Que. 6+Que. 7+Que. 8+Que. 9
=1+1+0+1+0+0+0+1+0
=4

Good or high score = 7, 8, 9
Bad or low score = 0, 1, 2, 3

Wheaton Precious Metals has an F-score of 4 indicating the company's financial situation is typical for a stable company.

Wheaton Precious Metals  (NYSE:WPM) Piotroski F-Score Explanation

The developer of the system is Joseph D. Piotroski is relatively unknown accounting professor who shuns publicity and rarely gives interviews.

He graduated from the University of Illinois with a B.S. in accounting in 1989, received an M.B.A. from Indiana University in 1994. Five years later, in 1999, after earning a Ph.D. in accounting from the University of Michigan, he became an associate professor of accounting at the University of Chicago.

In 2000, he wrote a research paper called "Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers" (pdf).

He wanted to see if he can develop a system (using a simple nine-point scoring system) that can increase the returns of a strategy of investing in low price to book (referred to in the paper as high book to market) value companies.

What he found was something that exceeded his most optimistic expectations.

Buying only those companies that scored highest (8 or 9) on his nine-point scale, or F-Score as he called it, over the 20 year period from 1976 to 1996 led to an average out-performance over the market of 13.4%.

Even more impressive were the results of a strategy of investing in the highest F-Score companies (8 or 9) and shorting companies with the lowest F-Score (0 or 1).

Over the same period from 1976 to 1996 (20 years) this strategy led to an average yearly return of 23%, substantially outperforming the average S&P 500 index return of 15.83% over the same period.


Wheaton Precious Metals Piotroski F-Score Related Terms

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Wheaton Precious Metals (Wheaton Precious Metals) Business Description

Address
1021 West Hastings Street, Suite 3500, Vancouver, BC, CAN, V6E 0C3
Wheaton Precious Metals Corp is a precious metal streaming company. The company has entered into over 20 long-term purchase agreements with 17 different mining companies, for the purchase of precious metals and cobalt. It has streaming agreements covering approximately 19 operating mines and 9 development stage projects. The company's projects include Vale's Salobo mine and silver streams on Glencore's Antamina mine and Goldcorp's Penasquito mine.