About SPROTT INC.
Sprott Inc. is a publicly owned asset management holding company. Through its subsidiaries, the firm provides asset management, portfolio management, wealth management, fund management, and administrative and consulting services to its clients. It offers mutual funds, hedge funds, and offshore funds, along with managed accounts.
Further, the firm also provides broker-dealer activities. Sprott Inc. was formed on February 13, 2008 and is based in Toronto, Canada.
SII operates in the Finance, Insurance, And Real Estate | Banking | headquartered in Ontario | approximately 170 employees | led by CEO William W. George.
$1.1 billion 38.0x P/E 3.4x P/B 14.5x EV/EBITDA 15.7% ROE 14.9% rev. growth 2.5% yield
SPROTT INC. earns a Buy rating from our quantitative model with a composite score of 75/100, ranking #12 among 7,333 U.S. stocks. The model sees a stock with an above-average factor profile — not without risks, but with enough quantitative support to warrant a constructive outlook.
The strongest dimension is momentum at 97/100, which places SII in the top 3 percent of all stocks on this measure. quality at 91/100 provides secondary support. No single factor falls below the average threshold, which is a constructive sign.
Within the Finance, Insurance, And Real Estate sector, SII ranks 1st out of 50 peers, placing it in the 98th percentile. At $1.1 billion, the company is a small-cap stock with higher potential but also higher risk.
Quality Analysis
SPROTT INC.'s quality score of 91/100 places it among the top profitability performers in the market. The quality factor evaluates margins, return on equity, return on assets, and earnings consistency — the fundamental building blocks of a durable business.
Return on equity of 15.7% exceeds the sector median of 9.0%. Gross margins of 48.9% are competitive for the sector. Operating margins of 37.0% sit above the 32.0% sector average.
Net margins of 28.8% demonstrate that the company efficiently converts revenue into bottom-line profit.
Valuation Assessment
A value score of 87/100 puts SII in the top 13 percent of all stocks on cheapness — suggesting the market is significantly underpricing the company's fundamentals. Key valuation metrics include a P/E ratio of 38.0x, an EV/EBITDA of 14.5x, a price-to-book of 3.4x, a price-to-sales of 6.4x. Deep value scores like this historically correlate with above-average forward returns, though they can also reflect legitimate concerns about business quality that the value factor does not capture.
Momentum & Timing
SPROTT INC.'s momentum score of 97/100 places it among the strongest trending stocks in the market. The stock has been outperforming roughly 97 percent of all other companies over the relevant measurement window. The academic literature, starting with Jegadeesh and Titman's seminal 1993 research, demonstrates that stocks with this kind of relative strength tend to continue outperforming for three to twelve months.
Revenue growth of 14.9% provides a moderate fundamental underpinning. A beta of 0.90 means SPROTT INC. moves roughly in line with the broader market.
Our entry timing model currently signals Neutral, which warrants caution despite the price trend.
Risk Factors
No investment comes without risks, and honest analysis requires flagging them clearly:
- Model limitations. Quantitative models measure what is measurable — financial ratios, price trends, leverage — but cannot capture qualitative factors like management quality, competitive positioning, or pending litigation. This analysis should be supplemented with fundamental due diligence.
- Market regime risk. Factor-based strategies perform differently across market regimes. The current factor exposures that support SPROTT INC.'s rating may become headwinds if the macro environment shifts — for example, if interest rates move sharply or if sector rotation accelerates.
Bottom Line
SPROTT INC. earns a Buy rating with a composite score of 75/100 and 4 out of 5 stars, ranking #12 among 7,333 stocks. The factor profile is constructive — not without blemishes, but with enough quantitative support to position SII above the majority of the market.
Explore the full SII analysis page for interactive factor breakdowns, or view the complete stock rankings.
Analysis is for informational purposes only and does not constitute investment advice. Always conduct your own research before making investment decisions.
