Investors often find themselves caught between chasing high-growth names at extreme valuations and parking money in cheap stocks with no momentum. The Growth At a Reasonable Price (GARP) strategy aims to bridge that gap, targeting companies that deliver solid earnings expansion without demanding sky-high multiples. One way to identify these candidates is through an "Affordable Growth" stock screen, which applies a multi-layered filter: it requires a ChartMill Growth rating above 7, a Valuation score above 5, and decent scores on both Health and Profitability. When you run these criteria across the market, few names fit the bill cleanly. One of them is SSR Mining Inc (NASDAQ:SSRM).
Valuation: Where The ‘Reasonable Price’ Comes From
The core of a GARP thesis is that you aren’t paying speculative prices for future growth. On that front, SSR Mining scores a 9 out of 10 on ChartMill’s Valuation rating, which is near-perfect. The trailing Price/Earnings ratio stands at 10.08, making the stock cheaper than roughly 88% of its peers in the Metals & Mining industry. That’s a stark contrast to the industry average P/E of about 52.5. Even more striking is the forward P/E of 5.76, which suggests that analysts expect earnings to ramp up significantly in the near term. For context, the S&P 500 trades at a forward multiple north of 21. This discount is also visible in other metrics: the Enterprise Value to EBITDA ratio sits well below the industry median, and the Price/Free Cash Flow ratio is cheaper than roughly 85% of comparable companies. In short, you are getting exposure to a growing mining operation without the premium pricing that usually accompanies such momentum.
Growth: Solid Expansion Backed By Estimates
The valuation discount only matters if the underlying business is actually growing. SSR Mining delivers on this front as well, earning a Growth rating of 7 out of 10. The headline numbers are strong: earnings per share surged by 521% over the past year, and revenue grew by 75%. That kind of jump often raises questions about sustainability, but the longer-term trend supports the story. Over the past several years, EPS has compounded at an average annual rate of 9.34%, while revenue has grown at 13.82% per year. Looking ahead, analysts expect EPS to continue expanding at nearly 15% annually on average, with revenue growth projected around 8.6%. Importantly, the EPS growth rate is actually accelerating compared to the past, which fits well with the GARP framework: you want growth that is not only present but picking up pace.
A useful sanity check is the PEG ratio, which accounts for the price relative to the growth rate. SSR Mining registers a low PEG, confirming that the current valuation does not fully price in the expected earnings trajectory. This is exactly the kind of setup the Affordable Growth screen is designed to surface.
Profitability And Health: The Backbone Of The Strategy
A common trap in growth investing is buying a company that expands revenue but bleeds cash or carries too much debt. The GARP strategy avoids this by requiring decent profitability and health metrics. SSR Mining posts a Profitability rating of 7 out of 10. The company operates with a profit margin of 12.17%, an operating margin of 40.54%, and a gross margin of 56.31%. That operating margin is better than nearly 78% of industry peers. Return on Invested Capital came in at 11.96%, which beats about 75% of competitors and is also a marked improvement over the company’s three-year average of 4.90%. That upward trend signals that the business is not just growing, but growing more efficiently.
On the health side, the rating is also a 7 out of 10, with a particularly strong showing in solvency and liquidity. The Debt/Equity ratio sits at just 0.02, meaning the company carries almost no leverage relative to its equity base. The current ratio of 5.33 and quick ratio of 4.57 indicate ample short-term liquidity. An Altman-Z score of 2.99 points to low bankruptcy risk. For a GARP investor, these figures matter because they reduce the risk that a growth story gets derailed by financial distress or margin compression.
The Big Picture
SSR Mining currently presents a rare combination: a company that is growing earnings and revenue at an above-average clip, trading at a significant discount to both its industry and the broader market, while maintaining strong profitability and a clean balance sheet. The Affordable Growth screen is designed to surface exactly this kind of profile—companies where the market hasn’t yet fully re-priced the growth potential. While no single metric guarantees future performance, the alignment of a Valuation score of 9, a Growth score of 7, and solid Health and Profitability ratings makes this a name worth examining further.
If you'd like to explore the full fundamental breakdown and see the underlying data, the detailed fundamental report is available here.
For investors who want to run this screen themselves and look for additional candidates, more results can be found via this Affordable Growth stock screen link.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
Read full article here »
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SSR Mining Inc (NASDAQ:SSRM) Shines as a Rare GARP Opportunity with a 9/10 Valuation Score
Investors often find themselves caught between chasing high-growth names at extreme valuations and parking money in cheap stocks with no momentum. The Growth At a Reasonable Price (GARP) strategy aims to bridge that gap, targeting companies that deliver solid earnings expansion without demanding sky-high multiples. One way to identify these candidates is through an "Affordable Growth" stock screen, which applies a multi-layered filter: it requires a ChartMill Growth rating above 7, a Valuation score above 5, and decent scores on both Health and Profitability. When you run these criteria across the market, few names fit the bill cleanly. One of them is SSR Mining Inc (NASDAQ:SSRM).
Valuation: Where The ‘Reasonable Price’ Comes From
The core of a GARP thesis is that you aren’t paying speculative prices for future growth. On that front, SSR Mining scores a 9 out of 10 on ChartMill’s Valuation rating, which is near-perfect. The trailing Price/Earnings ratio stands at 10.08, making the stock cheaper than roughly 88% of its peers in the Metals & Mining industry. That’s a stark contrast to the industry average P/E of about 52.5. Even more striking is the forward P/E of 5.76, which suggests that analysts expect earnings to ramp up significantly in the near term. For context, the S&P 500 trades at a forward multiple north of 21. This discount is also visible in other metrics: the Enterprise Value to EBITDA ratio sits well below the industry median, and the Price/Free Cash Flow ratio is cheaper than roughly 85% of comparable companies. In short, you are getting exposure to a growing mining operation without the premium pricing that usually accompanies such momentum.
Growth: Solid Expansion Backed By Estimates
The valuation discount only matters if the underlying business is actually growing. SSR Mining delivers on this front as well, earning a Growth rating of 7 out of 10. The headline numbers are strong: earnings per share surged by 521% over the past year, and revenue grew by 75%. That kind of jump often raises questions about sustainability, but the longer-term trend supports the story. Over the past several years, EPS has compounded at an average annual rate of 9.34%, while revenue has grown at 13.82% per year. Looking ahead, analysts expect EPS to continue expanding at nearly 15% annually on average, with revenue growth projected around 8.6%. Importantly, the EPS growth rate is actually accelerating compared to the past, which fits well with the GARP framework: you want growth that is not only present but picking up pace.
A useful sanity check is the PEG ratio, which accounts for the price relative to the growth rate. SSR Mining registers a low PEG, confirming that the current valuation does not fully price in the expected earnings trajectory. This is exactly the kind of setup the Affordable Growth screen is designed to surface.
Profitability And Health: The Backbone Of The Strategy
A common trap in growth investing is buying a company that expands revenue but bleeds cash or carries too much debt. The GARP strategy avoids this by requiring decent profitability and health metrics. SSR Mining posts a Profitability rating of 7 out of 10. The company operates with a profit margin of 12.17%, an operating margin of 40.54%, and a gross margin of 56.31%. That operating margin is better than nearly 78% of industry peers. Return on Invested Capital came in at 11.96%, which beats about 75% of competitors and is also a marked improvement over the company’s three-year average of 4.90%. That upward trend signals that the business is not just growing, but growing more efficiently.
On the health side, the rating is also a 7 out of 10, with a particularly strong showing in solvency and liquidity. The Debt/Equity ratio sits at just 0.02, meaning the company carries almost no leverage relative to its equity base. The current ratio of 5.33 and quick ratio of 4.57 indicate ample short-term liquidity. An Altman-Z score of 2.99 points to low bankruptcy risk. For a GARP investor, these figures matter because they reduce the risk that a growth story gets derailed by financial distress or margin compression.
The Big Picture
SSR Mining currently presents a rare combination: a company that is growing earnings and revenue at an above-average clip, trading at a significant discount to both its industry and the broader market, while maintaining strong profitability and a clean balance sheet. The Affordable Growth screen is designed to surface exactly this kind of profile—companies where the market hasn’t yet fully re-priced the growth potential. While no single metric guarantees future performance, the alignment of a Valuation score of 9, a Growth score of 7, and solid Health and Profitability ratings makes this a name worth examining further.
If you'd like to explore the full fundamental breakdown and see the underlying data, the detailed fundamental report is available here.
For investors who want to run this screen themselves and look for additional candidates, more results can be found via this Affordable Growth stock screen link.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
Read full article here »