Resource Generation Limited, together with its subsidiaries, operates as a coal producer in South Africa.
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Overvalued with weak fundamentals.
Share Price & News
How has Resource Generation's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RES's share price has been volatile over the past 3 months.
7 Day Return
AU Oil and Gas
1 Year Return
AU Oil and Gas
Return vs Industry: RES underperformed the Australian Oil and Gas industry which returned -48.2% over the past year.
Return vs Market: RES underperformed the Australian Market which returned -22.9% over the past year.
Price Volatility Vs. Market
How volatile is Resource Generation's share price compared to the market and industry in the last 5 years?
Simply Wall St News
3 weeks ago | Simply Wall StIntroducing Resource Generation (ASX:RES), The Stock That Dropped 19% In The Last Five Years
2 months ago | Simply Wall StWhat Type Of Shareholder Owns Resource Generation Limited's (ASX:RES)?
3 months ago | Simply Wall StIs Resource Generation (ASX:RES) Using Too Much Debt?
Is Resource Generation undervalued compared to its fair value and its price relative to the market?
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate RES's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate RES's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: RES is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.
PE vs Market: RES is unprofitable, so we can't compare its PE Ratio to the Australian market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate RES's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: RES is good value based on its PB Ratio (0.2x) compared to the AU Oil and Gas industry average (0.7x).
How is Resource Generation forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
Forecasted Energy industry annual growth in earnings
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Resource Generation has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.
- Take a look at our analysis of RES’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
- Resource Generation competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Energy industry.
How has Resource Generation performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RES is currently unprofitable.
Growing Profit Margin: RES is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: RES is unprofitable, and losses have increased over the past 5 years at a rate of -8.7% per year.
Accelerating Growth: Unable to compare RES's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: RES is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-16%).
Return on Equity
High ROE: RES has a negative Return on Equity (-2.36%), as it is currently unprofitable.
How is Resource Generation's financial position?
Financial Position Analysis
Short Term Liabilities: RES's short term assets (A$1.6M) do not cover its short term liabilities (A$15.8M).
Long Term Liabilities: RES's short term assets (A$1.6M) do not cover its long term liabilities (A$89.2M).
Debt to Equity History and Analysis
Debt Level: RES's debt to equity ratio (85.9%) is considered high.
Reducing Debt: RES's debt to equity ratio has increased from 13.5% to 85.9% over the past 5 years.
Inventory Level: RES has a high level of physical assets or inventory.
Debt Coverage by Assets: RES's debt is not covered by short term assets (assets are 0x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: RES has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: RES has less than a year of cash runway if free cash flow continues to grow at historical rates of 22.3% each year.
What is Resource Generation's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate RES's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate RES's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if RES's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if RES's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RES's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Papi Radiala Molotsane (59yo)
Mr. Leapeetswe Rapula Radiala Molotsane, also known as Papi, B.Eng Tech, BSc, MSc, SEP served as the Chief Executive Officer of Telkom SA SOC Limited from September 1, 2005 to April 5, 2007. Mr. Molotsane ...
CEO Compensation Analysis
Compensation vs Market: Papi's total compensation ($USD257.16K) is about average for companies of similar size in the Australian market ($USD245.34K).
Compensation vs Earnings: Papi's compensation has been consistent with company performance over the past year.
|Interim MD||2yrs||AU$419.27k||no data|
|Chief Operating Officer||3.67yrs||AU$427.11k||0.70% A$179.0k|
|Head of Marketing & Logistics||no data||AU$173.94k||0.0052% A$1.3k|
|General Manager of Operations||11.33yrs||AU$445.82k||0.61% A$156.2k|
|Head of Human Resources & Communities||no data||no data||no data|
|Head of Environmental||no data||no data||no data|
|Company Secretary||4.33yrs||AU$43.23k||no data|
Experienced Management: RES's management team is considered experienced (4 years average tenure).
|Interim MD||2yrs||AU$419.27k||no data|
|Non-Executive Director||0.83yr||no data||no data|
|Independent Non-Executive Director||1.33yrs||AU$43.75k||no data|
|Independent Non-Executive Director||4.33yrs||AU$75.00k||no data|
|Non-Executive Chairman||2.33yrs||AU$71.00k||no data|
|Independent Non-Executive Director||4.33yrs||AU$42.60k||no data|
|Lead Independent Non-Executive Director||1.33yrs||AU$42.60k||no data|
|Alternate Director||0.83yr||no data||no data|
Experienced Board: RES's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Resource Generation Limited's company bio, employee growth, exchange listings and data sources
- Name: Resource Generation Limited
- Ticker: RES
- Exchange: ASX
- Industry: Coal and Consumable Fuels
- Sector: Energy
- Market Cap: AU$25.575m
- Shares outstanding: 581.24m
- Website: https://www.resgen.com.au
Number of Employees
- Resource Generation Limited
- Ironwood House
- Ground Floor
- South Africa
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|RES||ASX (Australian Securities Exchange)||Yes||Ordinary Shares||AU||AUD||Oct 2003|
|RSG||JSE (The Johannesburg Securities Exchange)||Yes||Ordinary Shares||ZA||ZAR||Oct 2003|
|54R||DB (Deutsche Boerse AG)||Yes||Ordinary Shares||DE||EUR||Oct 2003|
Resource Generation Limited, together with its subsidiaries, operates as a coal producer in South Africa. It owns interest in the Boikarabelo coal mine located in the Waterberg region of South Africa. The company was formerly known as Comdek Limited and changed its name to Resource Generation Limited in September 2008. Resource Generation Limited is based in Bryanston, South Africa.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/03/29 10:36|
|End of Day Share Price||2020/03/27 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.