Are McEwen Mining Inc. (NYSE:MUX)’s Fundamentals Enough to Outperform

McEwen Mining Inc. (NYSE:MUX) has a beta of 0.66. The stock’s Relative Strength Index (RSI) is 50.69, with weekly volatility at 6.83% and ATR at 0.07. The MUX stock’s 52-week price range has touched low of $0.53 and a $2.14 high. Its shares traded lower over the last trading session, losing -4.24% on 06/09/20. The shares fell to a low of $0.9745 before closing at $0.95. Intraday shares traded counted 1.45 million, which was 65.13% higher than its 30-day average trading volume of 4.17M. MUX’s previous close was $0.99 while the outstanding shares total 400.37M.

Investors have identified the Other Precious Metals & Mining company McEwen Mining Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $399.31 million, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.

McEwen Mining Inc. (MUX) Fundamentals that are to be considered.

When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For MUX, the company has in raw cash 28.77 million on their books with 16.0 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 73114000 million total, with 47827000 million as their total liabilities.

MUX were able to record -17.41 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by -17.68 million. In cash movements, the company had a total of -11.91 million as operating cash flow.

Potential earnings growth for McEwen Mining Inc. (MUX)

In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, McEwen Mining Inc. recorded a total of 31.4 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 50.37% coming in sequential stages and their sales for the third quarter reducing by -3.06%.

What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 35.09 million trying to sell their products during the last quarter, with the result yielding a gross income of -3.69 million. This allows shareholders to hold on to 400.37M with the revenue now reading -0.25 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (-0.02 cents a share).

Having a look at the company’s valuation, the company is expected to record -0.17 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on MUX sounds very interesting.

Is the stock of MUX attractive?

In related news, Director, Brissenden Richard W. sold 4,000 shares of the company’s stock in a transaction that recorded on Jun 11. The sale was performed at an average price of 1.93, for a total value of 7,720. In the last 6 months, insiders have changed their ownership in shares of company stock by 19.40%.