GET DAILY SIGNALSSprott Inc. (SII) Reports +67% Net Income Growth in Q3 Despite Revenue Miss
Key Takeaways
- Sprott Inc. reported third-quarter 2026 (three months ended September 30, 2026) net income of $22.0 million, up 67% from $13.2 million a year earlier.
- Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) rose 44% to $46.0 million, versus $31.9 million in the prior-year quarter.
- Assets under management (AUM) grew by $1.8 billion during the quarter to $57.3 billion, despite $200 million in net redemptions concentrated in the physical silver trust.
- Diluted EPS (earnings per share) was $0.86, up from $0.51 a year ago, while adjusted EPS of $0.86 came in below the $0.971 consensus estimate.
- Total net revenues of $66.88 million missed the roughly $70.99 million consensus estimate by about 5.8%.
- The board announced a 25% dividend increase, marking a third consecutive year of double-digit dividend growth.
- For deeper context, explore Sprott's Major News, Today's Price Move, Price Targets, and Forecast pages.
Why These Results Matter
Sprott Inc. (SII) specializes in precious metals and critical materials, offering physical trusts, ETFs, managed equities, and private strategies. Its quarterly updates draw attention because they reflect commodity price movements, geopolitical shifts, and investor interest in gold, silver, uranium, and rare earths. The third quarter played out against notable volatility, particularly in silver after Indian import restrictions reduced a key physical buyer. For investors, the report shows how Sprott is turning a growing asset base into stronger operating results, even with uneven flows in its largest silver product.
Breaking Down the Q3 Figures
Sprott delivered third-quarter net income of $22.0 million, a 67% increase from $13.2 million in the same quarter last year. Year-to-date net income reached $85.5 million, compared with $38.6 million a year earlier. Adjusted EBITDA climbed 44% to $46.0 million for the quarter and surged 95% to $154.7 million over nine months. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Total net revenues totaled $66.88 million, short of the roughly $70.99 million consensus. Management linked the gap mainly to timing in physical trust flows rather than any core operational issue. Diluted EPS came in at $0.86 versus $0.51 a year ago, while adjusted EPS of $0.86 missed the $0.971 analyst consensus.
AUM rose $1.8 billion in the quarter to $57.3 billion, up 3% from June 30 but down 4% year-over-year. The firm saw $200 million in net redemptions, driven primarily by $421 million of outflows from the Sprott Physical Silver Trust (PSLV). In contrast, the Sprott Physical Gold Trust (PHYS) attracted $380 million in net inflows, and critical materials strategies added more than $200 million in net sales.
Market Reaction and Sentiment
Even with the revenue and adjusted EPS shortfalls, Sprott shares advanced about 1.83% to $150.04 after the release. Investors appeared to emphasize the improved fundamentals, including the 44% rise in adjusted EBITDA, better operating leverage, and the 25% dividend hike. The stock has traded in a 52-week range of roughly $111.41 to $230.43, mirroring volatility in precious metals sentiment. Near-term views on the name remain tied to commodity prices, with silver weakness acting as the main drag while gold and critical materials offer support.
Key Factors to Watch Ahead
Sprott’s path forward will depend on several elements worth monitoring. Commodity prices stay central: gold’s strength has bolstered the physical gold trust, while silver continues to face pressure from Indian import restrictions and higher duties. Critical materials look like a significant growth area, with management highlighting solid fundamentals in uranium and rare earths, including 79 reactors under construction globally and China’s dominance in rare earth supply chains. Operating leverage and capital allocation also merit attention. Sprott has lifted its adjusted EBITDA margin from 53% to 71% over five years and holds more than $200 million in cash with no debt. The 25% dividend increase reflects management’s confidence in the business. Finally, flow trends across products, especially stabilization in the silver trust and continued momentum in critical materials ETFs, will likely influence investor views more than any single quarter’s numbers.
My Take on Using AI Tools for Research
When analyzing names like Sprott, I often turn to Tickeron’s AI Daily Buy/Sell Signals to quickly gauge momentum across related asset managers and commodity plays. The platform helps surface comparable setups and pattern-based ideas without hours of manual screening, which keeps my process efficient while staying focused on the fundamentals driving these results.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
SII's RSI Indicator ascending out of oversold territory
The RSI Oscillator for SII moved out of oversold territory on November 03, 2026. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 21 similar instances when the indicator left oversold territory. In 18 of the 21 cases the stock moved higher. This puts the odds of a move higher at 86%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 36 of 54 cases where SII's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 67%.
The Momentum Indicator moved above the 0 level on November 04, 2026. You may want to consider a long position or call options on SII as a result. In 56 of 84 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 67%.
The Moving Average Convergence Divergence (MACD) for SII just turned positive on November 03, 2026. Looking at past instances where SII's MACD turned positive, the stock continued to rise in 36 of 49 cases over the following month. The odds of a continued upward trend are 73%.
Following a +10.26% 3-day Advance, the price is estimated to grow further. Considering data from situations where SII advanced for three days, in 257 of 348 cases, the price rose further within the following month. The odds of a continued upward trend are 74%.
Bearish Trend Analysis
The 10-day moving average for SII crossed bearishly below the 50-day moving average on October 05, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 8 of 19 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 42%.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where SII declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 64%.
SII broke above its upper Bollinger Band on November 04, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for SII entered a downward trend on November 04, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is 35 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 36 (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 80, placing this stock slightly better than average.
The Tickeron Price Growth Rating for this company is 60 (best 1 - 100 worst), indicating fairly steady price growth. SII’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 85 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Valuation Rating of 87 (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.397) is normal, around the industry mean (2.440). P/E Ratio (27.632) is within average values for comparable stocks, (-3.350). Projected Growth (PEG Ratio) (0.480) is also within normal values, averaging (1.319). Dividend Yield (0.014) settles around the average of (0.267) among similar stocks. P/S Ratio (8.285) is also within normal values, averaging (15.694).
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
Advertisement
General Information
a provider of investment advisory services
Industry InvestmentManagers
Advertisement