Wheaton Precious Metals Corp. (WPM) Stock Valuation — PE Analysis
Gold · NYSE
Current Price
$133.69
PE Ratio (TTM)
29.6x
Intrinsic Value
$145.43
+8.1% margin of safety
COMPETITIVE MOAT
↑Long-term streaming agreements
WPM secures a percentage of future production from mines at a fixed cost. This provides predictable revenue and margins, insulating it from commodity price volatility.
↑Diversified asset portfolio
WPM holds streams on a global portfolio of mines producing gold, silver, and other precious metals. This diversification reduces single-mine or single-commodity risk.
↑Low operating costs
As a streaming company, WPM does not incur the significant capital expenditures and operational costs associated with mine development and operation. This leads to higher profitability.
INVESTMENT RISKS
↓Commodity price fluctuations
Although WPM's streaming model mitigates some price risk, significant and sustained drops in gold and silver prices would still negatively impact its revenue and profitability.
↓Geopolitical and regulatory changes
Operations are spread globally, exposing WPM to risks from political instability, changes in mining regulations, taxation, or environmental policies in host countries.
↓Counterparty risk
WPM relies on its mining partners to operate their mines efficiently and fulfill their contractual obligations. Financial distress or operational failures at a partner mine could impact WPM's revenue.
Base case
WPM base case PE valuation
A base case PE valuation for WPM estimates a fair value of about $145.43 per share, against a current price of $133.69. The model assumes 8.3% annual earnings growth, a 29.64x target PE multiple, and a 10% discount rate.
Intrinsic Value
$145.43
Margin of safety
+8.1%
Expected annual return
+1.7%
Base case assumptions: 8.3% annual earnings growth, 29.64x target PE, 10% discount rate, 5 year projection. Data as of 2026-10-07.
This base case uses default assumptions and is not financial advice. The fair value changes significantly when the target PE or earnings growth rate changes. Open the calculator to set your own assumptions and see the full sensitivity range.
Customize the WPM PE valuation
Adjust the target PE, earnings growth, and discount rate to see how the fair value and margin of safety for Wheaton Precious Metals Corp. respond.
Open PE Calculator for WPMCompany Overview
Wheaton Precious Metals Corp. functions as a streaming enterprise, primarily engaged in the global distribution of valuable metals. Its offerings encompass deposits of gold, silver, palladium, and cobalt. The company maintains a substantial portfolio, holding stakes in 23 operational mines and an additional 13 development ventures. Founded in 2004, the firm's headquarters are located in Vancouver, Canada. It operated under the name Silver Wheaton Corp. until May 2017, when it rebranded to its current title.
Financial Metrics — WPM PE Stock Valuation Data
PE Ratio (TTM)
29.6x
PEG Ratio
0.18
Earnings Yield
3.38%
ROE (TTM)
23.0%
Revenue/Share (TTM)
$6.99
Dividend Yield
0.56%
Debt/Equity
0.20x
Frequently Asked Questions
What is the PE ratio of WPM?
The trailing twelve-month PE ratio of WPM reflects how much investors pay per dollar of Wheaton Precious Metals Corp.'s earnings. This metric is most useful when compared to Gold peers and the company's own historical range.
Is WPM overvalued based on PE ratio?
WPM's PE of 29.6x combined with a PEG ratio of 0.18 provides a growth-adjusted perspective. A PEG below 1.0 means the P/E is low relative to the earnings growth rate. Keep in mind that PE-based valuation works best for profitable, mature companies — for high-growth or cyclical Gold, a DCF analysis may be more appropriate.
How do I value WPM stock using PE ratio?
To value Wheaton Precious Metals Corp. using PE: (1) Compare the current PE (29.6x) against the Gold median to assess relative pricing, (2) check the PEG ratio (0.18) to adjust for growth expectations, (3) review the 5-year PE range to identify where the stock sits historically, and (4) estimate fair value by multiplying a target PE by forward EPS estimates. This relative approach complements DCF's absolute valuation.
What is the PEG ratio of WPM?
WPM's PEG ratio is 0.18, calculated by dividing the PE ratio (29.6x) by the expected earnings growth rate. A PEG below 1.0 means the P/E is low relative to the expected earnings growth rate. Note that PEG accuracy depends on the reliability of growth estimates.
Should I use PE ratio or DCF for WPM stock valuation?
PE ratio gives a quick relative read — how WPM is priced versus Gold peers. DCF provides an absolute value based on projected free cash flows. For WPM, with a strong ROE of 23.0%, both methods are worth using — PE for a market-relative check, DCF to stress-test whether fundamentals justify the price. Each method has blind spots: PE ignores capital structure and cash flow quality, while DCF is sensitive to growth and discount rate assumptions.
Learn More
- See WPM DCF Valuation → — Intrinsic value via Discounted Cash Flow analysis
- PE Methodology — Step-by-step guide to PE ratio stock valuation
- DCF Methodology — Guide to discounted cash flow analysis
- PE Ratio — Understanding the price-to-earnings ratio
- Intrinsic Value — How to evaluate stock fair value
Related PE Valuations
All Basic Materials valuationsP/E and DCF value WPM with different methods and assumptions, so the two conclusions can differ. Compare the DCF intrinsic value.
Price as of 2026-10-07. Financial data from Financial Modeling Prep (trailing twelve months) · Valuation methodology by Charlie Wang.
This is an estimate, not investment advice.