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Ivanhoe Mines

IVPAF
35
Industrial Materials · Basic Materials
Price
$7.00
-0.11 (-1.55%)
Market Cap
$9.98B
Exchange
Other OTC
Winston Score
35
Winston is serious
Below-average fundamentals — multiple weak pillars.

Share count rising — dilution

+12.9% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 1.22B (2021) → 1.38B (2025)

Ivanhoe Mines is a Canadian mining company that digs copper, zinc, and platinum-group metals out of the ground in Africa. Its most important asset is the Kamoa-Kakula copper mine in the Democratic Republic of Congo, which is one of the largest copper deposits ever discovered. The company sells these metals to industrial buyers around the world, primarily for use in construction, electric vehicles, and electronics.

Ivanhoe makes money by mining and selling raw metals, so its revenue rises and falls with commodity prices. Most of its operations are in the DRC and South Africa, and the sheer size and quality of its ore deposits give it a cost advantage over many smaller miners. The main growth driver is expanding Kamoa-Kakula's production capacity, but the biggest risk is operating in politically unstable regions where government policy, permitting, and infrastructure challenges can disrupt output.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+114.9% YoY

YoY Growth Rate

Strong revenue growth

EPS Growth

-100.0% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

0.0% of revenue

Below sector average (3%)

Research and development spending

Insider Activity

38.0%ownership

Insiders own a meaningful stake in the company

Cash Runway

~9 years

$4.5B cash & investments

Quarterly Free Cash Flow

→ Burn rate stable

$4.5B cash & investments at current burn rate

Strong grower

Ivanhoe Mines is growing revenue at 115% year-over-year. The Winston Score penalises unprofitable companies, but revenue at this pace tells a different story — this is a company still in "build mode."

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
29.5%
Modest — 29.5% gross margin
Operating Margin
1.2%
Thin — 1.2% operating margin
ROCE
0.0%
Weak — 0.0% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+350.5%
Fast-growing sales (350.5% YoY)
EPS YoY
-69.8%
Earnings shrinking (-69.8% YoY)

Earnings per share down more than 10%. Either a bad year, or a real decline.

EPS Consistency
0/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Cash Conversion
-113%
Weak — only -113% of profit becomes cash
FCF Margin
-93.9%
Burning cash (-93.9%)

Free cash flow is negative. They are burning cash, not generating it.

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Stability

Debt / Equity
0.21
Conservative — low debt load (0.21)
Interest Cover
0.03x
Dangerous — barely covers interest (0.0x)

Interest coverage below 1. Their profits don't cover the interest bill.

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Valuation

P/E Ratio (TTM)
73.1x
Expensive — P/E 73.1

P/E over 35. The market is pricing in heavy, sustained growth.

P/E vs Forward
+62.0
GROWING
Earnings expected to grow meaningfully — cheaper on forward P/E (73.1 → 11.1)

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Dividends

Not applicable for this business.
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