# Industrias Peñoles (PE&OLES.MX)

Canonical: https://gigainvestors.com/s/PE%26OLES.MX

Analysis as of: 2026-10-16T07:34:48.263Z. Financial observations: FY2013–FY2025.

Listing currency: MXN. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: MXN 879.71 per share; close as of 2026-10-15.

Estimated value: low MXN 214.21 per share, central MXN 223.29 per share, high MXN 234.31 per share. Buy at or below the central value MXN 223.29 per share. Valuation as of 2026-10-16T07:34:48.263Z; scenarios are not confidence intervals.

Expected annual return: 4.4% at the stated quote. About 4.4% a year at today's price (required return 13.3%). required return 13.3% a year (MX 10-year bond 9.3% + 4 points).

## Checklist

### understandable: fail

- 3 revenue declines in the last 10 years (informational)

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 3

- Years with a net loss: 1

- Operating margin variation: 0.55×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.22×

- FY2017: 0.26×

- FY2018: 0.16×

- FY2019: 0.06×

- FY2020: 0.16×

- FY2021: 0.16×

- FY2022: 0.06×

- FY2023: 0.01×

- FY2024: 0.16×

- FY2025: 0.30×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 12.1%

- ROIC, second-lowest year: 4.1%

- Typical minus recent gross margin: -0.2 pp

- Typical gross margin (annual median): 26.2%

- Recent gross margin (lower of latest and 3-year median): 26.4%

- Years with nonpositive capital: 0

- Capital spending / revenue: 13.2%

- ROIC including acquisitions, ten-year median: 2.2%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 17.3%

- FY2017: 28.3%

- FY2018: 11.4%

- FY2019: 4.1%

- FY2020: 11.9%

- FY2021: 15.0%

- FY2022: 6.3%

- FY2023: 0.9%

- FY2024: 12.3%

- FY2025: 38.1%

### economics: fail

- incremental invested capital return below threshold

- Owner earnings / net income, 5-yr: 1.08×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $2.3B

- Net income, five-year total: $2.2B

- Return on incremental invested capital: 0.0%

- Working capital / revenue, annual change: -42.1 pp

- Working capital / revenue, change between three-year averages: -269.5 pp

- Working capital / revenue, final three-year average: 28.3%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.94×

- FY2022: 0.74×

- FY2023: 1.24×

- FY2024: 2.50×

- FY2025: 1.06×

### management: fail

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 17.3% vs 12.3%

- Per-share earnings: 0.77 to 0.37 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 0.0%

- Market cap gain: $12B

- Cumulative retained earnings: -$37B

- Diluted shares, 5-year annual growth: 0.0%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: -9.9%

- Per-share value change: -$0.40

- Per-share value, starting three-year median: $0.77

- Per-share value, ending three-year median: $0.37

- Buybacks concentrated in cheaper years (correlation): 1.00

- Average buyback yield: 0.0%

- Buyback history: 2 years

- Debt-funded buybacks: No

- Acquisition spending: $12M

- Cumulative net income, 10 years: $3.3B

- ROIC, first three-year median: 17.3%

- ROIC, last three-year median: 12.3%

Chart: Earnings per share; fiscal year observations.

- FY2016: $0.70

- FY2017: $1.39

- FY2018: $0.77

- FY2019: $0.09

- FY2020: -$0.09

- FY2021: $0.98

- FY2022: $0.46

- FY2023: $0.37

- FY2024: $0.18

- FY2025: $3.45

### accounting: pass

- Sloan accruals: -8.6%

- Receivables to sales index (DSRI): 1.30×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.82×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.00×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -353.8%

- FY2017: -5.8%

- FY2018: -5.7%

- FY2019: -6.5%

- FY2020: -12.4%

- FY2021: -7.9%

- FY2022: -4.8%

- FY2023: -3.3%

- FY2024: -11.9%

- FY2025: -8.6%

## Holders

## Price story

Price needs cash profits to grow 28% a year for ten years · sales +30%

Story as of 2026-10-16T10:00:02.572Z; price observation 2026-10-15.

Price needs cash profits to grow 28% a year for ten years

### Sales · FY2024–2025

sales +30%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: $4.0B 

- FY2017: $4.3B 

- FY2018: $4.3B 

- FY2019: $4.5B 

- FY2020: $4.7B 

- FY2021: $6.0B 

- FY2022: $5.5B 

- FY2023: $5.9B 

- FY2024: $6.7B 

- FY2025: $8.6B 

### Gross margin · FY2025

gross margin 38.3%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 28.8% 

- FY2017: 33.2% 

- FY2018: 24.0% 

- FY2019: 14.6% 

- FY2020: 26.7% 

- FY2021: 26.1% 

- FY2022: 18.7% 

- FY2023: 13.6% 

- FY2024: 26.4% 

- FY2025: 38.3% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in other industrial metals & mining; annual sales are USD 8.6 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2025: revenue 8647273000; grossProfit 3310799000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); PE&OLES.MX: Industrias Peñoles, S.A.B. de C.V., together with its subsidiaries, engages in the exploration, extraction, and sale of mineral concentrates and minerals in Mexico, Europe, Canada, Asia, the United States, South America, and internationally. It operates through Mines of Precious Metal, Base Metals Mines, Metallurgical, and Other segments. The company primarily explores for zinc, lead, copper, gold, silver, cadmium, and magnesium deposits. It is also involved in the smelting and refining of non-ferrous metals. In addition, the company produces and sells chemical products, such as sodium sulfate, magnesium oxide, magnesium hydroxide, and magnesium sulfate, as well as copper sulfate, zinc sulfate, ammonium sulphate and bisulfite, deprezinc, sodium chloride, sulfuric acid, and antimony trioxide; production of inorganic chemical products. The company was founded in 1887 and is based in Mexico City, Mexico.

### Why customers stay

Margins ranged from 13.6% to 38.3% during 2023–25; it earns 12.1% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2023: grossProfit / revenue = 13.6%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2024: grossProfit / revenue = 26.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2025: grossProfit / revenue = 38.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); 10-year return on capital observations [[2016,0.173474802189292],[2017,0.28254049294988376],[2018,0.11372542328411983],[2019,0.041487061473421974],[2020,0.11937136184176217],[2021,0.14985916886193978],[2022,0.06277592069031827],[2023,0.009331152998469091],[2024,0.12298816676688347],[2025,0.38149287620521044]]; median 0.12117976430432281. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2017: growth capex 0; upkeep 909470621.18; owner earnings 84084521.3900001. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2019: growth capex 208533717.08613968; upkeep 705981282.9138603; owner earnings 201317.08613967896. Growth capex / owner earnings = 1035.8470862301954.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2020: growth capex 0; upkeep 563784000; owner earnings 94330800. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2021: growth capex 43401000; upkeep 724785000; owner earnings 369746800. Growth capex / owner earnings = 0.11738032621242428.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2022: growth capex 0; upkeep 752585000; cash acquisitions 12016000; owner earnings 136275415.3918452. Growth capex plus acquisitions / owner earnings = 0.08817437808169062.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2023: growth capex 0; upkeep 599866000; cash acquisitions 0; owner earnings 182316837.3607505. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2024: growth capex 0; upkeep 456375000; cash acquisitions 0; owner earnings 183061171.87268475. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); FY2025: growth capex 0; upkeep 544955000; cash acquisitions 0; owner earnings 1461038610.9211035. Growth capex plus acquisitions / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); Dividend observations: [[2016,936462000],[2017,4315904000],[2018,276553732.4],[2019,155243000],[2020,3000],[2021,49902000],[2022,2000],[2023,8000],[2024,74151000],[2025,268614000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 52.8% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); PE&OLES.MX SharesStats.PercentInsiders = 52.800000000000004 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 28% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:48.263Z); Ten-year compound average after fade. Initial solved rate 0.39681224013522676. Price 879.71; FX 18.44337882700111; discount 0.13252; same standard ten-year fade to terminal 0.03.  Closing-price date 2026-10-15.

## Monthly share-price history (MXN per share)

- 2016-10: MXN 458.39 per share

- 2016-11: MXN 441.78 per share

- 2016-12: MXN 386.06 per share

- 2017-01: MXN 493.14 per share

- 2017-02: MXN 477.32 per share

- 2017-03: MXN 483.01 per share

- 2017-04: MXN 458.15 per share

- 2017-05: MXN 405.41 per share

- 2017-06: MXN 409.53 per share

- 2017-07: MXN 437.67 per share

- 2017-08: MXN 464.53 per share

- 2017-09: MXN 452.31 per share

- 2017-10: MXN 445.69 per share

- 2017-11: MXN 390.94 per share

- 2017-12: MXN 409.65 per share

- 2018-01: MXN 431.35 per share

- 2018-02: MXN 411.94 per share

- 2018-03: MXN 367.26 per share

- 2018-04: MXN 392.54 per share

- 2018-05: MXN 336.88 per share

- 2018-06: MXN 356.04 per share

- 2018-07: MXN 316.01 per share

- 2018-08: MXN 324.74 per share

- 2018-09: MXN 322.37 per share

- 2018-10: MXN 286.30 per share

- 2018-11: MXN 231.88 per share

- 2018-12: MXN 239.94 per share

- 2019-01: MXN 261.05 per share

- 2019-02: MXN 255.40 per share

- 2019-03: MXN 242.58 per share

- 2019-04: MXN 217.57 per share

- 2019-05: MXN 219.31 per share

- 2019-06: MXN 248.30 per share

- 2019-07: MXN 177.39 per share

- 2019-08: MXN 240.62 per share

- 2019-09: MXN 262.67 per share

- 2019-10: MXN 230.84 per share

- 2019-11: MXN 207.30 per share

- 2019-12: MXN 198.21 per share

- 2020-01: MXN 197.37 per share

- 2020-02: MXN 177.44 per share

- 2020-03: MXN 157.88 per share

- 2020-04: MXN 186.08 per share

- 2020-05: MXN 210.87 per share

- 2020-06: MXN 234.65 per share

- 2020-07: MXN 332.09 per share

- 2020-08: MXN 365.05 per share

- 2020-09: MXN 357.29 per share

- 2020-10: MXN 337.76 per share

- 2020-11: MXN 296.59 per share

- 2020-12: MXN 336.78 per share

- 2021-01: MXN 306.75 per share

- 2021-02: MXN 287.15 per share

- 2021-03: MXN 263.63 per share

- 2021-04: MXN 260.87 per share

- 2021-05: MXN 302.59 per share

- 2021-06: MXN 275.16 per share

- 2021-07: MXN 280.70 per share

- 2021-08: MXN 284.59 per share

- 2021-09: MXN 243.30 per share

- 2021-10: MXN 263.99 per share

- 2021-11: MXN 262.89 per share

- 2021-12: MXN 235.56 per share

- 2022-01: MXN 220.99 per share

- 2022-02: MXN 255.62 per share

- 2022-03: MXN 251.29 per share

- 2022-04: MXN 224.71 per share

- 2022-05: MXN 231.45 per share

- 2022-06: MXN 186.20 per share

- 2022-07: MXN 205.08 per share

- 2022-08: MXN 165.59 per share

- 2022-09: MXN 195.78 per share

- 2022-10: MXN 224.76 per share

- 2022-11: MXN 259.38 per share

- 2022-12: MXN 239.66 per share

- 2023-01: MXN 268.36 per share

- 2023-02: MXN 218.91 per share

- 2023-03: MXN 265.80 per share

- 2023-04: MXN 276.29 per share

- 2023-05: MXN 270.68 per share

- 2023-06: MXN 240.43 per share

- 2023-07: MXN 239.43 per share

- 2023-08: MXN 241.16 per share

- 2023-09: MXN 205.45 per share

- 2023-10: MXN 201.27 per share

- 2023-11: MXN 254.75 per share

- 2023-12: MXN 248.24 per share

- 2024-01: MXN 226.34 per share

- 2024-02: MXN 213.58 per share

- 2024-03: MXN 234.97 per share

- 2024-04: MXN 248.61 per share

- 2024-05: MXN 268.52 per share

- 2024-06: MXN 237.75 per share

- 2024-07: MXN 272.18 per share

- 2024-08: MXN 236.34 per share

- 2024-09: MXN 261.34 per share

- 2024-10: MXN 314.31 per share

- 2024-11: MXN 293.12 per share

- 2024-12: MXN 266.20 per share

- 2025-01: MXN 293.15 per share

- 2025-02: MXN 314.45 per share

- 2025-03: MXN 379.70 per share

- 2025-04: MXN 391.09 per share

- 2025-05: MXN 409.94 per share

- 2025-06: MXN 521.75 per share

- 2025-07: MXN 497.25 per share

- 2025-08: MXN 608.48 per share

- 2025-09: MXN 818.50 per share

- 2025-10: MXN 769.09 per share

- 2025-11: MXN 772.78 per share

- 2025-12: MXN 946.74 per share

- 2026-01: MXN 1,012.80 per share

- 2026-02: MXN 1,093.64 per share

- 2026-03: MXN 796.61 per share

- 2026-04: MXN 880.70 per share

- 2026-05: MXN 1,010.00 per share

- 2026-06: MXN 763.29 per share

- 2026-07: MXN 796.35 per share

- 2026-08: MXN 897.80 per share

- 2026-09: MXN 870.60 per share

- 2026-10: MXN 896.51 per share

## Annual estimated value (MXN per share)

- FY2020: low MXN 69.64 per share, central MXN 69.65 per share, high MXN 69.66 per share

- FY2021: low MXN 120.94 per share, central MXN 124.89 per share, high MXN 129.67 per share

- FY2022: low MXN 76.22 per share, central MXN 80.02 per share, high MXN 84.65 per share

- FY2023: low MXN 75.38 per share, central MXN 80.37 per share, high MXN 86.44 per share

- FY2024: low MXN 95.62 per share, central MXN 101.87 per share, high MXN 109.46 per share

- FY2025: low MXN 216.81 per share, central MXN 225.89 per share, high MXN 236.91 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:40:36.274Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.