ASX:DEG

Stock Analysis Report

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Executive Summary

De Grey Mining Limited explore for and develops mineral properties in Australia.


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

How has De Grey Mining's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-12.6%

DEG

1.5%

AU Metals and Mining

-2.0%

AU Market


1 Year Return

703.0%

DEG

-0.3%

AU Metals and Mining

-12.3%

AU Market

Return vs Industry: DEG exceeded the Australian Metals and Mining industry which returned -0.3% over the past year.

Return vs Market: DEG exceeded the Australian Market which returned -12.3% over the past year.


Shareholder returns

DEGIndustryMarket
7 Day-12.6%1.5%-2.0%
30 Day26.2%0.5%-3.6%
90 Day218.0%21.9%11.9%
1 Year827.3%703.0%5.0%-0.3%-8.7%-12.3%
3 Year2139.1%1839.0%66.0%43.0%14.9%-0.4%
5 Year4490.1%3875.0%109.9%68.5%28.3%0.6%

Price Volatility Vs. Market

How volatile is De Grey Mining's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is De Grey Mining undervalued compared to its fair value and its price relative to the market?

17.86x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate DEG's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate DEG's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: DEG is overvalued based on its PB Ratio (17.9x) compared to the AU Metals and Mining industry average (1.8x).


Next Steps

Future Growth

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

3.1%

Forecasted Materials 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 De Grey Mining 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.


Next Steps

Past Performance

How has De Grey Mining performed over the past 5 years?

-23.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: DEG is currently unprofitable.

Growing Profit Margin: DEG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: DEG is unprofitable, and losses have increased over the past 5 years at a rate of -23.7% per year.

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

Earnings vs Industry: DEG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-8.4%).


Return on Equity

High ROE: DEG has a negative Return on Equity (-5.06%), as it is currently unprofitable.


Next Steps

Financial Health

How is De Grey Mining's financial position?


Financial Position Analysis

Short Term Liabilities: DEG's short term assets (A$8.1M) exceed its short term liabilities (A$1.9M).

Long Term Liabilities: DEG's short term assets (A$8.1M) exceed its long term liabilities (A$362.0K).


Debt to Equity History and Analysis

Debt Level: DEG is debt free.

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

Forecast Cash Runway: DEG has less than a year of cash runway if free cash flow continues to reduce at historical rates of 47.7% each year


Next Steps

Dividend

What is De Grey Mining current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

2.4yrs

Average management tenure


CEO

Glenn R. Jardine (57yo)

0.17

Tenure

Mr. Glenn R. A. Jardine, BEng, MAICD, FAusIMM, Mausimm, serves as Managing Director at De Grey Mining Limited since May 4, 2020 and its Director since May 11, 2020. He served as Chief Executive Officer of  ...


Leadership Team

NamePositionTenureCompensationOwnership
Craig Nelmes
Joint Company Secretary & CFO6.75yrsAU$251.52k0.31% A$2.9m
Andrew Beckwith
Technical Director & Operations Manager and Director2.75yrsAU$477.62k0.65% A$6.1m
Patrick Holywell
Joint Company Secretary2yrsAU$65.13kno data
Glenn R. Jardine
MD & Director0.17yrno datano data
Philip Tornatora
Exploration Managerno datano datano data

2.4yrs

Average Tenure

Experienced Management: DEG's management team is considered experienced (2.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Andrew Beckwith
Technical Director & Operations Manager and Director2.75yrsAU$477.62k0.65% A$6.1m
Glenn R. Jardine
MD & Director0.17yrno datano data
Jeffrey Parncutt
Non Executive Director1yrno datano data
Eduard Eshuys
Non Executive Director1yrno datano data
Peter Hood
Lead Independent Director0.17yrAU$30.00k0.26% A$2.4m
Simon Lill
Chairman of the Board4.58yrsAU$342.23k1.13% A$10.5m

1.0yrs

Average Tenure

63.5yo

Average Age

Experienced Board: DEG's board of directors are not considered experienced ( 1 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 substantially diluted in the past year, with total shares outstanding growing by 174.3%.


Top Shareholders

Company Information

De Grey Mining Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: De Grey Mining Limited
  • Ticker: DEG
  • Exchange: ASX
  • Founded: 2002
  • Industry: Gold
  • Sector: Materials
  • Market Cap: AU$932.595m
  • Shares outstanding: 1.17b
  • Website: https://www.degreymining.com.au

Location

  • De Grey Mining Limited
  • 22 Railway Road
  • Suites 24-26
  • Subiaco
  • Western Australia
  • 6008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DGML.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJul 2002
DEGASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJul 2002
DGDDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJul 2002
DEGCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJul 2002

Biography

De Grey Mining Limited explore for and develops mineral properties in Australia. The company primarily explores for gold, silver, zinc, lead, and lithium deposits. It primarily holds interests in the Pilbara project covering an area of approximately 1,500 square kilometer located to the south west of Port Hedland in the Pilbara region of Western Australia. De Grey Mining Limited was founded in 2002 and is based in Subiaco, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/11 10:34
End of Day Share Price2020/07/10 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.