Wheaton Precious Metals Corp. (WPM) Down 4.7% — Should I Turn This Into Liquidity?
Wheaton Precious Metals Corp. (WPM) is losing ground in today’s session, with the stock sliding 4.7% to $118.39, retreating from a prior close of $124.22 and surrendering $5.83 in value. The move leaves shares under pressure just days after touching a new 52-week high of $124.30 on Dec. 26, 2025, putting the current price only modestly below that peak but signaling that recent momentum is starting to fade. From a technical standpoint, the setback marks a notable pullback from the upper end of the stock’s annual trading range, suggesting that buyers who chased recent strength are now seeing positions move against them.
Trading activity is also subdued, adding to the sense that the stock is facing headwinds. Volume stands at 992,627 shares, running well below the 90-day average of 2,129,901, indicating that the latest leg down is occurring in a relatively thin tape. That combination of declining price on lighter participation can reflect a market that is stepping back rather than stepping in, leaving WPM vulnerable to further slippage if selling pressure persists. Within the precious metals space, several peers such as Southern Copper Corporation (SCCO), Newmont Corporation (NEM), and Agnico Eagle Mines Limited (AEM) have generally shown stronger resilience at or near their own recent highs, underscoring that Wheaton’s current pullback stands out as comparatively weaker price action. For now, the stock remains under pressure near short-term support, with recent gains increasingly at risk of being unwound.
Why Wheaton Precious Metals Corp. Price is Moving Lower
Recent trading in Wheaton Precious Metals Corp. comes against a backdrop of limited company-specific catalysts, leaving the stock more vulnerable to valuation pressure and shifting sentiment toward the precious metals space. After a steady climb into the CA$166 range, the shares are now drifting lower as investors reassess a rich earnings multiple of about 48 times EPS of $2.20. That level of pricing embeds high expectations for sustained growth and metal price strength. Any cooling in gold and silver momentum, or even a pause in bullish sentiment, can lead investors to lock in gains and rotate toward cheaper, higher-yielding names in the Materials sector.
Caution is also warranted given how WPM stacks up against large-cap peers such as Southern Copper, Newmont, and Agnico Eagle. These competitors offer more substantial dividend yields and, in some cases, lower valuation multiples, making WPM’s sub‑1% yield look relatively unattractive for income-focused investors. Even with strong revenue growth of 54.5% and robust profit margins near 55%, the market appears increasingly reluctant to pay a premium for future optionality when other miners provide more immediate cash returns. The recent analyst upgrade to “Outperform” with a $130 target may have already been priced in during the earlier advance, leaving less upside to justify the current valuation. As a result, incremental buyers are becoming scarce, and modest selling pressure can have an outsized effect, pushing the price lower despite otherwise solid fundamentals.
What is the Wheaton Precious Metals Corp. Rating - Should I Sell?
Weiss Ratings assigns WPM a B rating. Current recommendation is Buy. Even with that positive overall stance, investors should not ignore the elevated risks embedded in this stock. WPM posts an Extremely expensive forward P/E near 56, which leaves very little room for disappointment in future results. Any slip in commodity prices or company performance could trigger outsized downside, especially for shareholders who are late to the story.
Operationally, WPM looks impressive on paper: the Excellent Growth Index, Excellent Efficiency Index, and Excellent Solvency Index mirror strong expansion, solid profitability and a sturdy balance sheet. Revenue growth above 50% and profit margins over 50% are rare strengths. However, these positives can lure investors into overlooking valuation risk. High-quality fundamentals have already been heavily priced in, so additional upside may be limited unless growth keeps accelerating.
Market-based gauges are more tempered. The Good Total Return Index and Good Volatility Index indicate that past performance and price swings have been favorable but not exceptional enough to fully justify the premium multiple. In addition, the Weak Dividend Index is a concern for income-focused investors, as shareholders are taking substantial equity risk without a correspondingly strong income stream to compensate for volatility.
Relative to other materials names, WPM’s B rating puts it on par with Southern Copper Corporation (SCCO, B) and Newmont Corporation (NEM, B), but behind Agnico Eagle Mines Limited (AEM, A). Given its stretched valuation and modest income support, WPM may be vulnerable if sector sentiment turns, even though its core business metrics remain strong. Caution is warranted at current levels.
About Wheaton Precious Metals Corp.
Wheaton Precious Metals Corp. is a precious metals streaming company operating within the Materials sector, with a primary focus on gold, silver and, to a lesser extent, palladium production. Unlike traditional mining companies that explore for and operate mines, Wheaton acquires rights to purchase a portion of production from third-party mining assets owned and operated by other firms. Through long-term streaming agreements, it typically pays an upfront deposit to mine operators in exchange for the right to buy metal at a predetermined, often heavily discounted, price. This structure leaves the company dependent on the operational performance, cost discipline and environmental practices of its counterparties, while still exposing it to commodity price swings.
The company’s portfolio is concentrated in a limited number of large mining partners and projects, many of which are located in jurisdictions with elevated political, regulatory or social risks. Any disruptions, cost overruns, permitting challenges or community opposition at these mines can directly impact Wheaton’s access to metal streams and delivery volumes, without the firm having full operational control to address issues on the ground. In addition, the streaming model requires a steady pipeline of new deals to offset depletion and contract expirations, pressuring management to continually source transactions in a competitive landscape where mining companies may demand increasingly aggressive terms. This reliance on counterparties, concentration in a cyclical commodity industry and exposure to long-dated contractual commitments can reduce flexibility and heighten operational and strategic risk within the Materials sector.
Investor Outlook
Despite its B (Buy) Weiss Rating, investors may want to exercise caution with Wheaton Precious Metals Corp. (WPM), closely watching how broader Materials-sector sentiment and precious metals price trends influence its risk/reward profile. Any deterioration in the factors underpinning its current Buy rating — including operational performance and overall volatility — could pressure the stock and potentially impact future rating changes. See full rankings of all B-rated Materials stocks inside the Weiss Stock Screener.
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