company background image
TER

TerraComASX:TER Stock Report

Market Cap

AU$132.1m

7D

24.2%

1Y

36.7%

Updated

18 Oct, 2021

Data

Company Financials
TER fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance0/6
Financial Health0/6
Dividends0/6

TER Overview

TerraCom Limited engages in the exploration, extraction, and production of coal in Australia and South Africa.

TerraCom Competitors

Price History & Performance

Summary of all time highs, changes and price drops for TerraCom
Historical stock prices
Current Share PriceAU$0.20
52 Week HighAU$0.077
52 Week LowAU$0.20
Beta0.74
1 Month Change28.13%
3 Month Change57.69%
1 Year Change36.67%
3 Year Change-65.83%
5 Year Change-47.44%
Change since IPO-88.61%

Recent News & Updates

Shareholder Returns

TERAU Oil and GasAU Market
7D24.2%0.5%0.9%
1Y36.7%48.9%20.2%

Return vs Industry: TER underperformed the Australian Oil and Gas industry which returned 48.9% over the past year.

Return vs Market: TER exceeded the Australian Market which returned 20.2% over the past year.

Price Volatility

Is TER's price volatile compared to industry and market?
TER volatility
TER Beta0.74
Industry Beta1.28
Market Beta1

Stable Share Price: TER is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: TER's weekly volatility (11%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2009n/aCraig Ransleyhttps://www.terracomresources.com

TerraCom Limited engages in the exploration, extraction, and production of coal in Australia and South Africa. It explores for hard and soft coking, thermal, and PCI coal. The company holds interests in the Northern Galilee project comprising the Hughenden and the Pentland properties covering an area of approximately 2,492 square kilometers, as well as the Clyde Park project that covers an area of approximately 132 square kilometers located in the Galilee Basin, Queensland; the Blair Athol Coal Mine project; and the Springsure project covering an area of approximately 1,178 square kilometers situated in the Central-Western Bowen basin coal mining district, Queensland.

TerraCom Fundamentals Summary

How do TerraCom's earnings and revenue compare to its market cap?
TER fundamental statistics
Market CapAU$132.06m
Earnings (TTM)-AU$84.06m
Revenue (TTM)AU$549.01m

0.3x

P/S Ratio

-1.8x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TER income statement (TTM)
RevenueAU$549.01m
Cost of RevenueAU$489.11m
Gross ProfitAU$59.90m
ExpensesAU$143.96m
Earnings-AU$84.06m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.11
Gross Margin10.91%
Net Profit Margin-15.31%
Debt/Equity Ratio-1,162.6%

How did TER perform over the long term?

See historical performance and comparison

Valuation

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


In this section, we usually try to help investors determine whether TerraCom is trading at an attractive price based on the cash flow it is expected to produce in the future. But as TerraCom has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Future Growth

How is TerraCom forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

7.8%

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 TerraCom 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.


Past Performance

How has TerraCom performed over the past 5 years?

-40.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TER is currently unprofitable.

Growing Profit Margin: TER is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TER is unprofitable, and losses have increased over the past 5 years at a rate of 40.2% per year.

Accelerating Growth: Unable to compare TER's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: TER is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-50.5%).


Return on Equity

High ROE: TER's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Financial Health

How is TerraCom's financial position?


Financial Position Analysis

Short Term Liabilities: TER has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: TER has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: TER has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: TER's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


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: TER has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: TER has less than a year of cash runway if free cash flow continues to grow at historical rates of 9.8% each year.


Dividend

What is TerraCom current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate TER'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 TER's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of TER'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?

0.5yrs

Average management tenure


CEO

Craig Ransley (52 yo)

0.50

Tenure

AU$1,250,607

Compensation

Mr. Craig Anthony Ransley serves as Executive Chairman and Chief Executive Officer at TerraCom Limited since April 01, 2021. He had been an Executive Deputy Chairman at TerraCom Limited since April 2020 un...


CEO Compensation Analysis

Compensation vs Market: Craig's total compensation ($USD928.23K) is above average for companies of similar size in the Australian market ($USD302.72K).

Compensation vs Earnings: Craig's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: TER's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Members

Experienced Board: TER's board of directors are not considered experienced ( 1.3 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

TerraCom Limited's employee growth, exchange listings and data sources


Key Information

  • Name: TerraCom Limited
  • Ticker: TER
  • Exchange: ASX
  • Founded: 2009
  • Industry: Coal and Consumable Fuels
  • Sector: Energy
  • Market Cap: AU$132.056m
  • Shares outstanding: 754.61m
  • Website: https://www.terracomresources.com

Location

  • TerraCom Limited
  • Blair Athol Mine Access Road
  • Clermont
  • Queensland
  • 4721
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/18 07:05
End of Day Share Price2021/10/18 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.