Should WPM Stock Be Part of Your Portfolio Post Q4 Results?

Wheaton Precious Metals Corp. WPM reported year-over-year improvements in its top and bottom lines in its fourth-quarter 2025 results on Thursday. The company reported record revenues for 2025, with total Gold Equivalent Ounces (GEO) production exceeding the guidance.

Wheaton Precious Metals shares have surged 112.3% in a year, outpacing the industry's 52.5% growth. In comparison, the Zacks Basic Materials sector and the S&P 500 have returned 47.5% and 24.6%, respectively.

Image Source: Zacks Investment Research

Let us take a closer look at Wheaton Precious Metals’ fourth-quarter results to assess if this is the right time to buy WPM shares.

WPM Posts Record Revenues Amid High Operating Costs

Wheaton Precious Metals generated record revenues of around $865 million in the fourth quarter, which soared 127.2% on a year-over-year basis. The upside was driven by a 69% increase from the higher average realized gold equivalent price and a 35% rise in gold equivalent ounces (GEOs) sold in the quarter. Gold sales contributed around 59% to the quarter’s revenues. Silver sales contributed 39% to the company’s revenues, palladium accounted for 1% and cobalt contributed 1%.

Gold production in the fourth quarter increased 10.4% year over year to 130,676 ounces, while Silver production rose 3.4% to 6,064 thousand ounces. Attributable gold equivalent production in the quarter was 205,037 ounces, up 8.5% from the prior-year quarter’s 189,059 ounces.

Wheaton Precious Metals’ 2025 gold equivalent production came in at 689,864 ounces, marking an 8.6% year-over-year increase and surpassing the company’s guidance of 600,000-670,000 ounces. The upside was driven by a solid performance at Salobo due to higher gold grades. Recoveries, higher throughput and grades at Peñasquito, and higher grades at Constancia also aided the improvement. However, the gains were partially offset by lower production from Goose and Mineral Park due to slower ramp-up progress.

The higher production resulted in record revenues of $2.3 billion for 2025, which rose 80.2% on a year-over-year basis. WPM’s bottom line skyrocketed 178.4% year over year in the fourth quarter and 165% in 2025.

However, Wheaton Precious Metals reported average cash costs of $597 per GEO in the fourth quarter of 2025, which marked an increase from $444 per GEO in the prior-year quarter. The cash operating margin in the quarter increased 76% to $3,941 per GEO.

Wheaton Precious Metals Reports Record Cash Flow in 2025

Wheaton Precious Metals had $1.15 billion of cash in hand at the end of 2025 compared with $0.82 billion at the end of 2024. The company reported a record operating cash flow of $1.9 billion in 2025 compared with $1.03 billion in 2024.

The company reported record annual dividends of 66 cents per share for 2025. Backed by a strong 2025 performance, WPM raised its first-quarter 2026 dividend 19.5 cents, marking an increase of 18% from the fourth quarter.

Metal Prices to Support WPM’s 2026 Outlook

Gold price is benefiting from safe-haven demand, heightened geopolitical risks and trade tensions. The prices of gold are currently trending near $5,000 per ounce, backed by continued geopolitical tensions. Silver prices have increased a whopping 131.7% year over year on resilient industrial demand and mounting supply deficits. This pickup in gold and silver prices is likely to improve Wheaton Precious Metals’ results in the upcoming quarters.

WPM’s peers, SSR Mining Inc. SSRM and Hudbay Minerals Inc. HBM, have also been benefiting from higher gold and silver prices.

WPM expects 2026 production of 860,000-940,000 GEOs, marking a year-over-year increase of 30.5% at the mid-point. Along with higher gold and silver prices, the upside will be driven by 70,000 GEOs at Antamina. Newly operating assets like Blackwater, Mineral Park, Fenix, Hemlo, Goose and Platreef will also aid growth. However, lower production from Constancia post the depletion of the Pampacancha pit in late December 2025 will partially offset the gains.

Wheaton Precious Metals’ Long-Term Growth Remains Solid

WPM is poised to gain from its diversified portfolio of high-quality and long-life assets. The company continues to add streams, which lead to immediate production, as well as medium and long-term growth, to its portfolio of assets.

Wheaton Precious Metals expects production to increase 50% to 1,200,000 GEOs by 2030. This will be primarily due to growth from operating assets, including Antamina, Aljustrel and Marmato, and development assets, including Blackwater, Mineral Park, Goose, Platreef, Fenix, Kurmuk and the Kone projects. Development projects that are in construction and/or permitted will also boost growth.

Along with other projects, the company expects Salobo to be a significant growth driver. The company maintains attributable production from 2031 to 2035 at 1,200,000 GEOs annually, incorporating additional incremental production from pre-development assets.

WPM Sees Positive Estimate Revision Activity

The Zacks Consensus Estimate for Wheaton Precious Metals’ 2026 sales is $3.03 billion, indicating a 30.8% year-over-year jump. The consensus mark for the year’s earnings is pegged at $4.18 per share, suggesting a year-over-year rally of 37.9%.

The Zacks Consensus Estimate for 2027 sales implies a 5.2% year-over-year rise. The same for earnings suggests a dip of 0.3%.

Image Source: Zacks Investment Research

EPS estimates for 2026 and 2027 have moved north over the past 60 days.

Image Source: Zacks Investment Research

Wheaton Precious Metals Stock Trades at a Premium

WPM is currently trading at a forward 12-month price-to-earnings multiple of 33.45X, a premium to the industry average of 13.59X.

Image Source: Zacks Investment Research

In comparison, SSR Mining and Hudbay Minerals are trading at much cheaper valuations. SSR Mining is trading at 7.37X, whereas Hudbay Minerals is trading at 12.40X.

How Should Investors Approach WPM Stock Post Q4 Earnings?

Backed by solid assets, production profile and rising gold prices, WPM is well-positioned for growth. However, lower production from Constancia, higher costs and premium valuation suggest caution for new investors. Existing shareholders should stay invested in the WPM stock to benefit from its solid long-term growth prospects.

The company’s Zacks Rank #3 (Hold) supports our thesis. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Zacks' Research Chief Picks Stock Most Likely to "At Least Double"

Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren’t winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%.

See Our Top Stock to Double (Plus 4 Runners Up) >>

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

HudBay Minerals Inc (HBM): Free Stock Analysis Report

Silver Standard Resources Inc. (SSRM): Free Stock Analysis Report

Wheaton Precious Metals Corp. (WPM): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research