TerraCom Limited engages in the exploration, extraction, and production of coal in Australia and South Africa. More Details
Unattractive dividend payer with worrying balance sheet.
Share Price & News
How has TerraCom's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: TER is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 9% a week.
Volatility Over Time: TER's weekly volatility (9%) has been stable over the past year.
7 Day Return
AU Oil and Gas
1 Year Return
AU Oil and Gas
Return vs Industry: TER underperformed the Australian Oil and Gas industry which returned -28.3% over the past year.
Return vs Market: TER underperformed the Australian Market which returned -1.6% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is TerraCom's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall StNeed To Know: TerraCom Limited (ASX:TER) Insiders Have Been Buying Shares
5 months ago | Simply Wall StCould The TerraCom Limited (ASX:TER) Ownership Structure Tell Us Something Useful?
6 months ago | Simply Wall StAre Insiders Buying TerraCom Limited (ASX:TER) Stock?
Is TerraCom undervalued compared to its fair value and its price relative to the market?
Share Price vs. Fair Value
Below Fair Value: TER (A$0.15) is trading above our estimate of fair value (A$0.04)
Significantly Below Fair Value: TER is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: TER is unprofitable, so we can't compare its PE Ratio to the AU Oil and Gas industry average.
PE vs Market: TER 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 TER's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: TER has negative assets, so we can't compare its PB Ratio to the AU Oil and Gas industry average.
How is TerraCom 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 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.
- Take a look at our analysis of TER’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.
- TerraCom competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Energy industry.
How has TerraCom performed over the past 5 years?
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, but has reduced losses over the past 5 years at a rate of 38.9% 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 (-44.9%).
Return on Equity
High ROE: TER has a negative Return on Equity (-49.07%), as it is currently unprofitable.
How is TerraCom's financial position?
Financial Position Analysis
Short Term Liabilities: TER's short term assets (A$88.3M) do not cover its short term liabilities (A$331.2M).
Long Term Liabilities: TER's short term assets (A$88.3M) do not cover its long term liabilities (A$235.7M).
Debt to Equity History and Analysis
Debt Level: TER's debt to equity ratio (421.3%) is considered high.
Reducing Debt: TER's debt to equity ratio has reduced from 555% to 421.3% over the past 5 years.
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: TER has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: TER has less than a year of cash runway if free cash flow continues to grow at historical rates of 43% each year.
What is TerraCom current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: TER's dividend (13.79%) is higher than the bottom 25% of dividend payers in the Australian market (2.06%).
High Dividend: TER's dividend (13.79%) is in the top 25% of dividend payers in the Australian market (5.1%)
Stability and Growth of Payments
Stable Dividend: Too early to tell whether TER's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if TER's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: TER is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mr. Danny McCarthy is Chief Executive Officer at TerraCom Limited since December 1, 2018. Prior to joining TerraCom in December 2018, Mr. McCarthy was Chief Operating Officer of Mineral Resources Limited s...
CEO Compensation Analysis
Compensation vs Market: Danny's total compensation ($USD643.98K) is above average for companies of similar size in the Australian market ($USD280.83K).
Compensation vs Earnings: Danny's compensation has increased whilst the company is unprofitable.
|Chief Executive Officer||1.92yrs||AU$874.91k||no data|
|Executive Deputy Chairman||0.75yr||AU$1.20m||0.00056% |
|Chief Commercial Officer||0.17yr||AU$632.79k||no data|
|Chief Financial Officer||0.17yr||no data||no data|
|Company Secretary & EGM of Corporate Affairs||1yr||no data||no data|
|Exploration Manager - Mongolia||no data||no data||no data|
Experienced Management: TER's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.
|Executive Deputy Chairman||0.75yr||AU$1.20m||0.00056% |
|Independent Non-Executive Chairman of the Board||3.17yrs||AU$306.12k||0.28% |
|Independent Non-Executive Director||0.33yr||no data||no data|
|Non-Executive Director||2.83yrs||AU$83.59k||0.21% |
|Non-Executive Director||0.92yr||AU$73.00k||0.11% |
|Non-Executive Director||0.17yr||no data||no data|
Experienced Board: TER's board of directors are not considered experienced ( 0.8 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.
Recent Insider Transactions
Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 50.2%.
TerraCom Limited's company bio, employee growth, exchange listings and data sources
- Name: TerraCom Limited
- Ticker: TER
- Exchange: ASX
- Founded: 2009
- Industry: Coal and Consumable Fuels
- Sector: Energy
- Market Cap: AU$109.273m
- Shares outstanding: 753.61m
- Website: https://www.terracomresources.com
- TerraCom Limited
- PO Box 131
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|TER||ASX (Australian Securities Exchange)||Yes||Ordinary Shares||AU||AUD||Jul 2010|
|2GF||DB (Deutsche Boerse AG)||Yes||Ordinary Shares||DE||EUR||Jul 2010|
|TER||CHIA (Chi-X Australia)||Yes||Ordinary Shares||AU||AUD||Jul 2010|
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 th...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/11/27 07:04|
|End of Day Share Price||2020/11/27 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.