AVINO SILVER & GOLD MINES LTD

Where It Passes

Where It Falls Short

• Valuation0% pass✗ 28▾

  All 13 investors flag ASM's valuation

  Price / 3-yr avg EPS

  ✗Graham<= 15x

  Price-to-Book Ratio4.8x

  ✗Graham<= 1.5x

  P/E x P/B

  ✗Graham<= 22.5

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  EBIT / Enterprise Value2.1%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=2.1%, ROC=28.6%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Price / EPS71.5x

  ✗Dreman< 12x✗Templeton< 12x (fixed ceiling; proxy for the market's cheapest 40%)

  Price / (CFO / Shares)26.1x

  ✗Dreman< 8x

  Price / Book Value per Share4.8x

  ✗Dreman< 1.2x✗Templeton< 1.5x✗SchlossP/B <= 0.80x (app cutoff)

  Valuation ReasonablenessP/E=71.5x, OE Yield=1.4%

  ✗MungerP/E < 25 or Owner Earnings Yield > 5%

  P/E or FCF YieldP/E=71.5x

  ✗PabraiP/E < 15 or FCF Yield > 10%

  P/B or P/E vs. Historical AverageP/E=71.5x, P/B=4.8x

  ✗MarksP/E < 15 or P/B < 2.0

  Discount to Intrinsic Value

  ✗Marks>= 20% below intrinsic value

  Price / FCF per Share

  ✗Ackman<= 25

  Price vs. Trailing Low361% of trailing low ($1.19)

  ✗Templeton<= 120% of trailing low (certified split-adjusted live window)

  Net income / market capitalization+1.11%; #2953/6340 (top 46.6%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Positive book equity / market capitalization+0.1723; #4340/6449 (top 67.3%)

  ✗AsnessTop 30% of eligible cross-section

  Price / Diluted EPS71.5x

  ✗NeffP/E <= 15x (app proxy for a P/E 40%-60% below the market)

  (EPS CAGR % + Dividend Yield %) / P/E

  ✗Neff> 0.7 (Neff's published traditional edge)

  Price / Tangible Book Value per Share4.81x

  ✗SchlossP/TBV <= 1.00x (app cutoff)

  Book Value per Share Change

  ✗SchlossLatest BVPS >= earliest BVPS over >= 3 years (app rule)

  Revenue / market capitalization+0.0909; #4381/5247 (top 83.5%)

  ✗OshaughnessyTop 10% of eligible cross-section

  (Operating cash flow - capex) / market capitalization

  ✗OshaughnessyTop 10% of eligible cross-section

  Trailing six-month price return through the evaluation date-39.06%; #4774/6202 (top 77.0%)

  ✗OshaughnessyTop 10% of eligible cross-section
• Valuation models0% pass✗ 4▾

  ASM overvalued: all 4 models price fair value below $4.29 (median $0.51)

  Graham fair value$1.10

  ✗Graham-290.0% margin vs $4.29

  Greenblatt fair value$0.42

  ✗Greenblatt-921.4% margin vs $4.29

  Pabrai fair value$0.41

  ✗Pabrai-946.3% margin vs $4.29

  Akre fair value$0.60

  ✗Akre-615.0% margin vs $4.29
• Profitability6% pass✓ 7✗ 28▾

  15 of 16 flag ASM's profitability — Graham, Buffett, Lynch +12 more

  Positive EPS (10 years)6/11 years positive

  ✗GrahamPositive EPS every year for 10 years

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Net Income Positive (10+ years)7/11 years positive

  ✗BuffettPositive every year for 10+ years

  ROE (up to 5-year arithmetic mean)-1.1%

  ✗Buffett> 15% arithmetic mean (app rule)

  Operating Margin (10-yr trend)

  ✗BuffettStable or rising over 10 years

  Free Cash Flow Proxy$0.3M

  ✓BuffettPositive and growing

  Earnings Variance (10-yr CoV)

  ✗BuffettCoV < 0.3

  Retained Earnings Effectiveness

  ✗Buffett$1 retained -> > $1 market value created

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  ROE6.5%

  ✗Lynch> 15%

  EBIT / Enterprise Value2.1%

  ✗Greenblatt> 10%

  Earnings Yield + ROC AssessmentEY=2.1%, ROC=28.6%

  ✗GreenblattBoth EY > 10% and ROC > 25%

  Net Income / Total Assets5.45%

  ✓PiotroskiROA > 0

  ROA Change YoY0.42% -> 5.45% (delta: +5.02%)

  ✓PiotroskiCurrent ROA > Prior ROA

  (CFO / Total Assets) vs ROACFO/Assets=15.55%, ROA=5.45%

  ✓PiotroskiCFO/Assets > ROA

  Gross Margin Change YoY17.8% -> 35.1%

  ✓PiotroskiImproved YoY

  Pre-Tax Income / Revenue21.8%

  ✓Dreman>= 8%

  Net Income / Shareholders' Equity6.5%

  ✗Dreman> 12%

  Margin of SafetyP/E=71.5x, P/B=4.8x

  ✗PabraiP/B < 1.5 or P/E < 15

  Return on Equity3.4% (3-yr avg)

  ✗AkreROE > 20% (3-year avg)

  Discount to Intrinsic Value

  ✗Marks>= 20% below intrinsic value

  Positive Net Income Frequency7/10 years positive

  ✓MarksPositive net income in >= 7 of last 10 years

  Operating Income / Revenue

  ✗Ackman>= 15%

  Net Income / Shareholders Equity6.5%

  ✗Ackman>= 15%

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Operating Margin Trend

  ✗TempletonNon-negative operating-margin trend over 3 years

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  Net income / market capitalization+1.11%; #2953/6340 (top 46.6%)

  ✗AsnessTop 30% of eligible cross-section✗OshaughnessyTop 10% of eligible cross-section

  Gross profit / total assets+15.60%; #2391/3702 (top 64.6%)

  ✗AsnessTop 30% of eligible cross-section

  Net income / positive book equity+6.46%; #2291/5226 (top 43.8%)

  ✗AsnessTop 30% of eligible cross-section

  Negative 5-year standard deviation of ROA-0.0567; #2733/5884 (top 46.4%)

  ✗AsnessTop 30% of eligible cross-section

  3-5 Year Diluted EPS CAGR-9.7% over 5 years

  ✗Neff7%-20% annualized

  Positive Diluted-EPS Years6/10 years positive

  ✗Schloss>= 70% positive over 5-10 observed years (app rule)
• Debt & Leverage8% pass✓ 3✗ 12▾

  11 of 12 flag ASM's debt & leverage — Graham, Buffett, Lynch +8 more

  LT Debt vs Net Current Assets

  ✗GrahamLT Debt <= Net Current Assets

  Debt/Equity & Interest Coverage

  ✗BuffettD/E < 0.5 AND Interest Coverage > 5x

  Total Debt / Equity

  ✗Lynch< 0.33

  Cash - Long-term Debt

  ✗LynchPositive preferred

  LT Debt / Total Assets Change0.00% -> 0.00%

  ✓PiotroskiDecreased YoY

  Current Assets / Current Liabilities2.62

  ✓Dreman> 1.5✓SchlossCurrent ratio >= 1.50x (app cutoff)

  Total Debt / Shareholders' Equity

  ✗Dreman< 0.8✗Templeton< 1.0 (fixed cap; proxy for below-sector-median leverage)✗SchlossD/E < 1.00x

  Debt Levels

  ✗MungerDebt/Equity < 0.5✗AkreDebt/Equity < 0.3

  Interest Coverage & Debt/EBITDAIC=38.3x, D/EBITDA=N/A

  ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x

  Total Debt / Shareholders Equity

  ✗Ackman<= 1.0

  Negative debt-to-equity (higher means less debt)

  ✗AsnessTop 30% of eligible cross-section
• Growth13% pass✓ 4✗ 9▾

  7 of 8 flag ASM's growth — Graham, Lynch, Dreman +4 more

  EPS Growth (3-yr avg, 10-yr window)

  ✗Graham>= 33% growth

  Basic earnings-growth PEG (dividends excluded)

  ✗Lynch< 1.0 (ideally < 0.5)

  3-5 Year EPS CAGR

  ✗Lynch15-30% (Fast Grower); > 0% to pass

  Inventory Growth vs Revenue GrowthInv: -13.8% vs Rev: 50.8%

  ✓LynchInventory growth < Revenue growth

  EPS Growth Direction

  ✗DremanPositive over recent years

  EPS CAGR

  ✗Dreman> 5% annualized

  Positive Net Income Frequency7/10 years positive

  ✓MarksPositive net income in >= 7 of last 10 years

  3yr Median Revenue Growth50.8%

  ✓Ackman>= 5%

  Positive EPS Growth Frequency

  ✗AckmanPositive EPS growth in >= 3 of last 5 years

  5-Year EPS CAGR

  ✗Templeton> 0% (5-year EPS CAGR)

  Revenue growth vs. gross and operating margin trend

  ✗SleepRevenue rising; gross margin flat or falling; operating margin holding

  5-year Revenue CAGR15.8%

  ✓SleepCAGR > 7%

  3-5 Year Diluted EPS CAGR-9.7% over 5 years

  ✗Neff7%-20% annualized
• Verdicts13% pass✓ 2✗ 13▾

  Split decision: 12 FAIL · 2 NEUTRAL · 1 BUY · 1 PASS

  Overall verdict

  ✗GrahamFAIL (1/9)✗BuffettFAIL (1/9)✗LynchFAIL (1/7)✗GreenblattRank #1394✓PiotroskiBUY (F-Score 8)✗DremanFAIL (2/11)✗MungerFAIL (0/4)✗PabraiFAIL (0/3)✗AkreFAIL (0/6)✗MarksFAIL (2/5)✗AckmanFAIL (2/9)✗TempletonFAIL (1/8)✓SleepPASS (3/6)•AsnessNEUTRAL (Not ranked)✗NeffFAIL (1/6)✗SchlossFAIL (1/7)•OshaughnessyNEUTRAL (Not ranked)
• Cash Flow40% pass✓ 5✗ 7▾

  6 of 10 flag ASM's cash flow — Lynch, Dreman, Pabrai +3 more

  Free Cash Flow Proxy$0.3M

  ✓BuffettPositive and growing

  FCF Positive and Growing$1.1M

  ✗LynchPositive and growing

  Operating Cash Flow$23.1M

  ✓PiotroskiCFO > 0

  (CFO / Total Assets) vs ROACFO/Assets=15.55%, ROA=5.45%

  ✓PiotroskiCFO/Assets > ROA

  Price / (CFO / Shares)26.1x

  ✗Dreman< 8x

  P/E or FCF YieldP/E=71.5x

  ✗PabraiP/E < 15 or FCF Yield > 10%

  FCF Positive3/3 years FCF positive

  ✓MarksPositive FCF in majority of recent years

  (OCF - CapEx) / Market Cap

  ✗Ackman>= 4%

  Price / FCF per Share

  ✗Ackman<= 25

  Positive Operating Cash Flow frequency8/10 years positive

  ✓SleepPositive OCF in >= 70% of available years

  Operating Cash Flow - Capital Expenditures

  ✗Neff> $0 (app proxy for a strong fundamental case)

  (Operating cash flow - capex) / market capitalization

  ✗OshaughnessyTop 10% of eligible cross-section
• Efficiency50% pass✓ 5✗ 6▾

  4 of 8 pass — Buffett, Munger, Akre +1 more object

  Current Ratio2.62

  ✓Graham>= 2.0

  ROIC (3-5 yr avg)

  ✗Buffett> 10%

  ROIC - WACC

  ✗BuffettPositive (WACC = 10%)

  EBIT / (NWC + Net Fixed Assets)28.6%

  ✓Greenblatt> 25%

  Current Ratio Change YoY1.70 -> 2.62

  ✓PiotroskiIncreased YoY

  Revenue / Total Assets Change YoY0.34x -> 0.45x

  ✓PiotroskiImproved YoY

  Current Assets / Current Liabilities2.62

  ✓Dreman> 1.5

  Return on Invested Capital

  ✗Munger> 15%

  ROIC (high and growing)FY2022: ROIC=unavailable; FY2023: ROIC=unavailable; FY2024: ROIC=unavailable

  ✗AkreLatest 3 consecutive FYs: ROIC > 15% in each

  Reinvestment Rate x ROIC

  ✗AkreReinvestment Rate * ROIC > 10%

  ROIC (5-year)

  ✗SleepROIC > 12% in a majority of years