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APC

Australian PotashASX:APC Stock Report

Market Cap

AU$78.0m

7D

25.0%

1Y

-25.0%

Updated

19 Oct, 2021

Data

Company Financials +
APC fundamental analysis
Snowflake Score
Valuation0/6
Future Growth3/6
Past Performance0/6
Financial Health4/6
Dividends0/6

APC Overview

Australian Potash Limited engages in the exploration of mineral properties in Australia.

Price History & Performance

Summary of all time highs, changes and price drops for Australian Potash
Historical stock prices
Current Share PriceAU$0.12
52 Week HighAU$0.088
52 Week LowAU$0.25
Beta1.29
1 Month Change25.00%
3 Month Change-7.69%
1 Year Change-25.00%
3 Year Change66.67%
5 Year Change50.00%
Change since IPO-25.00%

Recent News & Updates

Oct 18
Here's Why We're A Bit Worried About Australian Potash's (ASX:APC) Cash Burn Situation

Here's Why We're A Bit Worried About Australian Potash's (ASX:APC) Cash Burn Situation

Even when a business is losing money, it's possible for shareholders to make money if they buy a good business at the...

Jun 06
We Think Australian Potash (ASX:APC) Needs To Drive Business Growth Carefully

We Think Australian Potash (ASX:APC) Needs To Drive Business Growth Carefully

We can readily understand why investors are attracted to unprofitable companies. Indeed, Australian Potash ( ASX:APC...

Shareholder Returns

APCAU Metals and MiningAU Market
7D25.0%3.6%1.7%
1Y-25.0%11.3%20.2%

Return vs Industry: APC underperformed the Australian Metals and Mining industry which returned 13.3% over the past year.

Return vs Market: APC underperformed the Australian Market which returned 20.3% over the past year.

Price Volatility

Is APC's price volatile compared to industry and market?
APC volatility
APC Beta1.29
Industry Beta0.97
Market Beta1

Stable Share Price: APC is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: APC's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2011n/aMatt Shackletonhttps://www.australianpotash.com.au

Australian Potash Limited engages in the exploration of mineral properties in Australia. The company explores for potash, gold, and nickel sulphide minerals. Its flagship property is 100% owned Lake Wells Sulphate of Potash project covering an area of approximately 1,200 square kilometers located in the northeast of Kalgoorlie, Western Australia.

Australian Potash Fundamentals Summary

How do Australian Potash's earnings and revenue compare to its market cap?
APC fundamental statistics
Market CapAU$77.99m
Earnings (TTM)-AU$3.73m
Revenue (TTM)AU$159.36k

500.0x

P/S Ratio

-20.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
APC income statement (TTM)
RevenueAU$159.36k
Cost of RevenueAU$151.46k
Gross ProfitAU$7.90k
ExpensesAU$3.74m
Earnings-AU$3.73m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.0057
Gross Margin4.95%
Net Profit Margin-2,343.30%
Debt/Equity Ratio0%

How did APC perform over the long term?

See historical performance and comparison

Valuation

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

3.26x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: APC (A$0.12) is trading above our estimate of fair value (A$0.04)

Significantly Below Fair Value: APC is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: APC is unprofitable, so we can't compare its PE Ratio to the Australian Metals and Mining industry average.

PE vs Market: APC 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 APC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: APC is overvalued based on its PB Ratio (3.3x) compared to the AU Metals and Mining industry average (2.5x).


Future Growth

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

55.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: APC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: APC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: APC's is expected to become profitable in the next 3 years.

Revenue vs Market: APC is forecast to have no revenue next year.

High Growth Revenue: APC is forecast to have no revenue next year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: APC's Return on Equity is forecast to be low in 3 years time (6.6%).


Past Performance

How has Australian Potash performed over the past 5 years?

32.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: APC is currently unprofitable.

Growing Profit Margin: APC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: APC is unprofitable, but has reduced losses over the past 5 years at a rate of 32.2% per year.

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

Earnings vs Industry: APC is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (35.3%).


Return on Equity

High ROE: APC has a negative Return on Equity (-15.58%), as it is currently unprofitable.


Financial Health

How is Australian Potash's financial position?


Financial Position Analysis

Short Term Liabilities: APC's short term assets (A$8.6M) exceed its short term liabilities (A$5.7M).

Long Term Liabilities: APC's short term assets (A$8.6M) exceed its long term liabilities (A$35.3K).


Debt to Equity History and Analysis

Debt Level: APC is debt free.

Reducing Debt: APC has not had any debt for past 5 years.


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

Forecast Cash Runway: APC has less than a year of cash runway if free cash flow continues to reduce at historical rates of 26.5% each year


Dividend

What is Australian Potash current dividend yield, its reliability and sustainability?

1.67%

Forecast Dividend Yield


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if APC'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 APC'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?

1.9yrs

Average management tenure


CEO

Matt Shackleton (55 yo)

3.17yrs

Tenure

AU$425,738

Compensation

Mr. Matthew William Shackleton, also known as Matt, B.Comm., MBA, CA has been Managing Director and Chief Executive Officer of Australian Potash Limited since August 2018. Mr. Shackleton was the Executive...


CEO Compensation Analysis

Compensation vs Market: Matt's total compensation ($USD315.53K) is about average for companies of similar size in the Australian market ($USD301.95K).

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


Leadership Team

Experienced Management: APC's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

Experienced Board: APC's board of directors are considered experienced (4.4 years average tenure).


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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 33.6%.


Top Shareholders

Company Information

Australian Potash Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Australian Potash Limited
  • Ticker: APC
  • Exchange: ASX
  • Founded: 2011
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: AU$77.990m
  • Shares outstanding: 649.92m
  • Website: https://www.australianpotash.com.au

Location

  • Australian Potash Limited
  • 22 Railway Road
  • Suite 31
  • Subiaco
  • Western Australia
  • 6008
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 15:51
End of Day Share Price2021/10/19 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.