Board Change • May 20
No independent directors No new directors have joined the board in the last 3 years. The company's board is composed of: No new directors. 3 experienced directors. 2 highly experienced directors. No independent directors (5 non-independent directors). Deputy CEO & Director Jonas Dahllof was the last director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Lack of independent directors. Insufficient board refreshment. New Risk • Oct 15
New major risk - Market cap size The company's market capitalization is less than US$10m. Market cap: kr103.8m (US$9.96m) This is considered a major risk. Companies with a small market capitalization are most likely businesses that have not yet released a product to market or are simply a very small company without a wide reach. Either way, risk is elevated with these companies because there is a chance the product may not come to fruition or the company's addressable market or demand may not be as large as expected. In addition, if the company's size is the main factor, it is less likely to have many investors and analysts following it and scrutinizing its performance and outlook. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-kr15m free cash flow). Share price has been highly volatile over the past 3 months (13% average weekly change). Revenue is less than US$1m. Market cap is less than US$10m (kr103.8m market cap, or US$9.96m). Minor Risk Shareholders have been diluted in the past year (22% increase in shares outstanding). Recent Insider Transactions • Sep 09
Director recently bought kr124k worth of stock On the 6th of September, Jonas Dahllof bought around 90k shares on-market at roughly kr1.38 per share. This transaction amounted to 4.3% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought kr248k more in shares than they have sold in the last 12 months. New Risk • Aug 17
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of Swedish stocks, typically moving 13% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-kr21m free cash flow). Share price has been highly volatile over the past 3 months (13% average weekly change). Revenue is less than US$1m. Market cap is less than US$10m (kr101.2m market cap, or US$9.69m). Minor Risk Shareholders have been diluted in the past year (22% increase in shares outstanding). New Risk • Jun 04
New minor risk - Financial data availability The company's latest financial reports are more than 6 months old. Last reported fiscal period ended September 2023. This is considered a minor risk. If the company has not reported its earnings on time, it may have been delayed due to audit problems or it may be finding it difficult to reconcile its accounts. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-kr21m free cash flow). Revenue is less than US$1m. Market cap is less than US$10m (kr90.1m market cap, or US$8.61m). Minor Risks Latest financial reports are more than 6 months old (reported September 2023 fiscal period end). Shareholders have been diluted in the past year (20% increase in shares outstanding). Recent Insider Transactions • Oct 30
CEO & Director recently bought kr201k worth of stock On the 27th of October, Peter Hjorth bought around 162k shares on-market at roughly kr1.24 per share. This transaction amounted to 4.7% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Despite this recent buy, Peter has been a net seller over the last 12 months, reducing personal holdings by kr81k. Recent Insider Transactions • Jan 17
CEO & Director recently sold kr282k worth of stock On the 12th of January, Peter Hjorth sold around 124k shares on-market at roughly kr2.28 per share. This transaction amounted to 3.5% of their direct individual holding at the time of the trade. This was the largest sale by an insider in the last 3 months. This was Peter's only on-market trade for the last 12 months. Board Change • Nov 16
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 5 non-independent directors. Director Jonas Dahllof was the last director to join the board, commencing their role in 2020. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Board Change • Apr 27
No independent directors Following the recent departure of a director, there are no independent directors on the board. The company's board is composed of: No independent directors. 5 non-independent directors. Director Jonas Dahllof was the last director to join the board, commencing their role in 2020. The company's lack of independent directors is a risk according to the Simply Wall St Risk Model. Valuation Update With 7 Day Price Move • Feb 09
Investor sentiment deteriorated over the past week After last week's 18% share price decline to kr3.16, the stock trades at a trailing P/E ratio of 7.4x. Average trailing P/E is 13x in the Metals and Mining industry in Sweden. Total loss to shareholders of 56% over the past three years. Valuation Update With 7 Day Price Move • Jan 17
Investor sentiment improved over the past week After last week's 17% share price gain to kr1.58, the stock trades at a trailing P/E ratio of 3.6x. Average trailing P/E is 13x in the Metals and Mining industry in Sweden. Total loss to shareholders of 80% over the past three years. Valuation Update With 7 Day Price Move • Dec 29
Investor sentiment improved over the past week After last week's 19% share price gain to kr1.28, the stock trades at a trailing P/E ratio of 2.9x. Average trailing P/E is 12x in the Metals and Mining industry in Sweden. Total loss to shareholders of 77% over the past three years. Valuation Update With 7 Day Price Move • Dec 08
Investor sentiment improved over the past week After last week's 18% share price gain to kr1.23, the stock trades at a trailing P/E ratio of 2.8x. Average trailing P/E is 12x in the Metals and Mining industry in Sweden. Total loss to shareholders of 78% over the past three years. Is New 90 Day High Low • Jan 26
New 90-day low: kr1.13 The company is down 9.0% from its price of kr1.24 on 28 October 2020. The Swedish market is up 14% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Metals and Mining industry, which is up 20% over the same period.