ASX:SMR

Stock Analysis Report

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Executive Summary

Stanmore Coal Limited explores, produces, and sells metallurgical and thermal coal in Australia. More Details


Snowflake Analysis

Very undervalued with excellent balance sheet.

Share Price & News

How has Stanmore Coal's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SMR's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

9.0%

SMR

1.5%

AU Oil and Gas

0.5%

AU Market


1 Year Return

-47.2%

SMR

-39.6%

AU Oil and Gas

-11.6%

AU Market

Return vs Industry: SMR underperformed the Australian Oil and Gas industry which returned -39.6% over the past year.

Return vs Market: SMR underperformed the Australian Market which returned -12.3% over the past year.


Shareholder returns

SMRIndustryMarket
7 Day9.0%1.5%0.5%
30 Day8.1%-7.3%-3.2%
90 Day-11.0%-12.0%1.1%
1 Year-41.9%-47.2%-37.4%-39.6%-8.3%-11.6%
3 Year115.3%85.7%-21.6%-30.0%17.1%2.1%
5 Year730.6%616.3%-14.7%-29.0%44.8%14.3%

Price Volatility Vs. Market

How volatile is Stanmore Coal's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Stanmore Coal undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SMR (A$0.73) is trading below our estimate of fair value (A$7.39)

Significantly Below Fair Value: SMR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SMR is good value based on its PE Ratio (5.5x) compared to the AU Oil and Gas industry average (22.9x).

PE vs Market: SMR is good value based on its PE Ratio (5.5x) compared to the Australian market (20.1x).


Price to Earnings Growth Ratio

PEG Ratio: SMR is good value based on its PEG Ratio (0.1x)


Price to Book Ratio

PB vs Industry: SMR is good value based on its PB Ratio (1.2x) compared to the AU Oil and Gas industry average (1.4x).


Next Steps

Future Growth

How is Stanmore Coal forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

39.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SMR's forecast earnings growth (39.4% per year) is above the savings rate (2.3%).

Earnings vs Market: SMR's earnings (39.4% per year) are forecast to grow faster than the Australian market (19.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SMR's revenue (2.9% per year) is forecast to grow slower than the Australian market (4.4% per year).

High Growth Revenue: SMR's revenue (2.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SMR's Return on Equity is forecast to be high in 3 years time (39%)


Next Steps

Past Performance

How has Stanmore Coal performed over the past 5 years?

68.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SMR has a high level of non-cash earnings.

Growing Profit Margin: SMR's current net profit margins (9.6%) are lower than last year (22.7%).


Past Earnings Growth Analysis

Earnings Trend: SMR has become profitable over the past 5 years, growing earnings by 68.3% per year.

Accelerating Growth: SMR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SMR had negative earnings growth (-61.9%) over the past year, making it difficult to compare to the Oil and Gas industry average (-61.9%).


Return on Equity

High ROE: SMR's Return on Equity (20.7%) is considered high.


Next Steps

Financial Health

How is Stanmore Coal's financial position?


Financial Position Analysis

Short Term Liabilities: SMR's short term assets (A$118.7M) exceed its short term liabilities (A$47.1M).

Long Term Liabilities: SMR's short term assets (A$118.7M) exceed its long term liabilities (A$81.1M).


Debt to Equity History and Analysis

Debt Level: SMR's debt to equity ratio (7.4%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if SMR's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: SMR's debt is well covered by operating cash flow (51.7%).

Interest Coverage: SMR's interest payments on its debt are well covered by EBIT (11.1x coverage).


Balance Sheet


Next Steps

Dividend

What is Stanmore Coal current dividend yield, its reliability and sustainability?

10.62%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate SMR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate SMR's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if SMR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if SMR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: SMR is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of SMR's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.3yrs

Average management tenure


CEO

Marcelo Matos

0.083

Tenure

Mr. Marcelo Matos serves as Interim Chief Executive Officer at Stanmore Coal Limited since August 2020. He has been a Non-Executive Director of Stanmore Coal Limited since November 27, 2019. He is a nomine ...


Leadership Team

NamePositionTenureCompensationOwnership
Bernie O'Neill
General Manager of Operations3.42yrsAU$603.45k0.11%
A$ 225.6k
Marcelo Matos
Interim CEO & Director0.083yrno datano data
Frederick Kotzee
Interim Chief Financial Officer0.25yrno datano data
Brendan Schilling
Group Manager of Marketing & Logistics1.17yrsno datano data
Nigel Clifford
Senior Geologistno datano datano data
Craig McCabe
Executive Officer0.083yrno datano data
Tristan Garthe
Company Secretary0.25yrno datano data

0.3yrs

Average Tenure

Experienced Management: SMR's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Marcelo Matos
Interim CEO & Director0.083yrno datano data
Mark Trevan
Non-Executive Director0.33yrno datano data
Dwi Prasetyo Suseno
Non-Executive Chairman0.33yrno datano data
Jimmy Lim
Non Executive Director0.92yrno datano data
Richard Majlinder
Non-Executive Director0.33yrno datano data
Mary Carroll
Non-Executive Director0.33yrno datano data

0.3yrs

Average Tenure

Experienced Board: SMR's board of directors are not considered experienced ( 0.3 years average tenure), which suggests a new board.


Ownership

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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.5%.


Top Shareholders

Company Information

Stanmore Coal Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Stanmore Coal Limited
  • Ticker: SMR
  • Exchange: ASX
  • Founded:
  • Industry: Coal and Consumable Fuels
  • Sector: Energy
  • Market Cap: AU$197.396m
  • Shares outstanding: 270.41m
  • Website: https://www.stanmorecoal.com.au

Location

  • Stanmore Coal Limited
  • 133 Mary Street
  • Level 15
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SMRASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2009
S0DDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2009
SMRCHIA (Chi-X Australia)YesOrdinary SharesAUAUDDec 2009

Biography

Stanmore Coal Limited explores, produces, and sells metallurgical and thermal coal in Australia. The company holds interest in the Isaac Plains, Isaac Downs, Belview, The Range, Lilyvale, Mackenzie, and Cl ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/19 19:09
End of Day Share Price2020/09/18 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.