Analyzing Buenaventura Mining (BVN) & Its Rivals

Buenaventura Mining (NYSE:BVN) is one of 1,984 publicly-traded companies in the “Metals & Mining” industry, but how does it contrast to its peers? We will compare Buenaventura Mining to similar businesses based on the strength of its dividends, risk, valuation, institutional ownership, profitability, analyst recommendations and earnings.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Buenaventura Mining	51.78%	27.60%	19.61%
Buenaventura Mining Competitors	-1,161,736,352,322,426,600.00%	-52.89%	-2.07%

Dividends

Buenaventura Mining pays an annual dividend of $1.47 per share and has a dividend yield of 5.7%. Buenaventura Mining pays out 31.1% of its earnings in the form of a dividend. As a group, “Metals & Mining” companies pay a dividend yield of 10.4% and pay out 10.8% of their earnings in the form of a dividend. Buenaventura Mining lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Buenaventura Mining	0	2	2	0	2.50
Buenaventura Mining Competitors	6421	22622	32338	1800	2.47

Buenaventura Mining currently has a consensus price target of $37.25, suggesting a potential upside of 44.13%. As a group, “Metals & Mining” companies have a potential upside of 28.86%. Given Buenaventura Mining’s stronger consensus rating and higher possible upside, research analysts plainly believe Buenaventura Mining is more favorable than its peers.

Risk & Volatility

Buenaventura Mining has a beta of 0.4, suggesting that its stock price is 60% less volatile than the S&P 500. Comparatively, Buenaventura Mining’s peers have a beta of 0.96, suggesting that their average stock price is 4% less volatile than the S&P 500.

Institutional and Insider Ownership

16.1% of shares of all “Metals & Mining” companies are held by institutional investors. 19.3% of Buenaventura Mining shares are held by insiders. Comparatively, 17.6% of shares of all “Metals & Mining” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Buenaventura Mining and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Buenaventura Mining	$2.32 billion	$782.15 million	5.48
Buenaventura Mining Competitors	$174.36 billion	$278.26 million	-26.38

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

Summary

Buenaventura Mining beats its peers on 8 of the 15 factors compared.

Buenaventura Mining Company Profile

Compañía de Minas Buenaventura S.A.A., known as Buenaventura, is a Peru-based mining company engaged in the exploration, development, and operation of mineral properties. Its products include gold, silver, copper, lead, and zinc. The company operates in Peru and participates in mining projects through subsidiaries, joint ventures, and ownership interests. Its portfolio has included both precious- and base-metal operations, as well as interests in larger mining ventures. Founded in 1953, Buenaventura is headquartered in Lima.