Is WPM a high-quality business?

AlphaMadera's AlphaQuality grade scores Wheaton Precious Metals Corp. on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how WPM compares to a Buffett-style quality bar.

What is Wheaton Precious Metals Corp.'s AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to WPM based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes WPM a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

WPM - Wheaton Precious Metals Corp.

Price: -- -- | CONSENSUS: Buy DETAILS | PRICE TARGET: $153.75 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Other Commodity Producers

AlphaQuality — archetype-weighted quantitative grade

B 71.1 / 100 composite

Composite Grade

Composite of six pillars weighted for other commodity producers businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 15%

B- 63.1

5yr Avg ROIC 8.4% 52/100
Operating Margin Trend +1.23 pp/yr 88/100

Capital Efficiency

Weight: 10%

C+ 57.8

5yr Avg ROE 9.2% 56/100
5yr Share-Count CAGR 0.2% 61/100

Growth Quality

Weight: 5%

A 88.2

5yr Revenue CAGR 18.3% 97/100
5yr EPS CAGR 18.7% 93/100
Revenue-Growth Years (5) 3/5 60/100

Cash Generation

Weight: 25%

B+ 75.4

5yr FCF Margin 28.5% 98/100
5yr FCF/NI Conversion 0.50x 47/100

Balance Sheet

Weight: 25%

A+ 99.1

Net Debt / EBITDA -0.59x 98/100
Interest Coverage (EBIT/Int) 276.45x 100/100
Altman Z-Score 58.93 100/100

Stability

Weight: 20%

D+ 39.0

EPS Volatility (σ/μ) 0.78 9/100
Piotroski F-Score 6 67/100
Negative-Revenue Years (5) 2/5 60/100

4 of 4 gurus held; 1 new buy; 3 trimmed.

Holders: 4 +1
Avg Δ position: -48.0%
New buys: 1
Full exits: 0

Dalio new
Wood decreased -74%
Cooperman decreased -63%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (15%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (10%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (5%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (25%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (25%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (20%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.