Buffett Brain · Research note
Score updated 27 Oct 2026 · analysis from 22 Sept 2026
HL· Materials
Hecla Mining
Hecla Mining's top-quintile margins in its sector are overshadowed by a high P/E of 43, suggesting limited margin of safety.
Buffett fit
Partial fit
Owner
42
Durability
38
Management
67
Price
7
Score updated 27 Oct 2026 · analysis from 22 Sept 2026
Buffett's checklist
Each number against Buffett's bar, and where it ranks among Materials stocks in our database.
How much profit the business makes on each dollar invested in it. Higher is better.
What is left of each sale after the cost of making the product. A high number often means pricing power.
The cash the business earns for its owners, compared with the price of the whole company.
How fast sales grew each year over the last five years.
How many years of today's profit you pay for at today's price. Lower means cheaper.
How much the company owes compared with what it owns outright. Lower is safer.
The four pillars
How the business measures up on each of Buffett's four tests.
Owning 100% of Hecla Mining would involve managing a portfolio of mines with varying production costs and output.
The full reasoning comes with a free account.
The durability of Hecla Mining is tied to its ability to manage operational costs and navigate commodity price cycles.
The full reasoning comes with a free account.
Hecla Mining's management has shown some discipline with a net debt/EBITDA of -0.38, indicating a net cash position.
The full reasoning comes with a free account.
The current valuation of Hecla Mining, with a of 43.2 and an yield of 2.62%, suggests limited .
The full reasoning comes with a free account.
Free account
Read the full Hecla Mining analysis free
- The full reasoning behind all four pillars
- The 5-year price target and the return it implies
- What would change the call
- Graham, Lynch and Greenblatt on the same stock
3 full analyses a week · no card needed
For and against
The strongest points on each side, with the numbers behind them.
In its favor
6- 1 of 44.4% is top-quintile in the Basic Materials sector.
- 2 of 50.9% exceeds the sector's top-quintile cutoff of 47.3%.
- 3Interest coverage of 19.6 indicates strong ability to service debt.
- 4Net debt/EBITDA of -0.38 reflects a net cash position.
Concerns
6- 1 of 43.2 suggests the stock is priced for high growth, which may not be sustainable.
- 25-year average of 1.9% is below the sector's top-quintile threshold.
- 3Share count CAGR of 5.01% indicates shareholder dilution.
- 4Dividend CAGR of -16.41% over five years raises questions about cash flow management.
Price history
$13.98+141.9%· 5-year return
Weekly closing prices. Touch or hover the line for a date.
The business
How the business works
Hecla Mining Company operates in the precious and base metals sector, primarily mining silver, gold, lead, and zinc. The company owns several mines across the U.S., Canada, and Mexico, with revenue generated through the sale of concentrates and doré to smelters and traders. Despite a strong of 44.4%, the business is capital-intensive, with a 5-year average of just 1.9%, indicating challenges in reinvestment returns.
How this analysis has moved
The call has held across 6 reviews.
Sep 27, 2026 → Oct 27, 2026
What other investors would say
The same company, judged by three other documented playbooks.
Keep researching
Similar companies in Materials
Free weekly email
Liked the read on HL? Get the next ones on Monday.
Every Monday: the stocks most of the seven investors newly agree on. One email, unsubscribe any time.
Research, not investment advice.
See the Buffett analysis of Hecla Mining
The score, the checklist and the full reasoning open with a free account. You get 3 full analyses a week, and this stock is the first one. No card needed.
Create a free account3 full analyses a week · no card needed
Already have an account? Sign in