ASX:DEG

Stock Analysis Report

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Executive Summary

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


Snowflake Analysis

Flawless balance sheet with weak fundamentals.


Similar Companies

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

-9.2%

DEG

-0.9%

AU Metals and Mining

-0.3%

AU Market


1 Year Return

1,970.2%

DEG

13.1%

AU Metals and Mining

-6.9%

AU Market

Return vs Industry: DEG exceeded the Australian Metals and Mining industry which returned 13.1% over the past year.

Return vs Market: DEG exceeded the Australian Market which returned -6.9% over the past year.


Shareholder returns

DEGIndustryMarket
7 Day-9.2%-0.9%-0.3%
30 Day-7.5%2.0%5.1%
90 Day40.5%-0.4%4.2%
1 Year1,970.2%1,970.2%19.1%13.1%-3.5%-6.9%
3 Year548.9%461.9%58.6%36.3%18.1%3.0%
5 Year6,712.9%5,800.0%141.5%97.3%44.2%15.1%

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?

18.39x

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 (18.4x) compared to the AU Metals and Mining industry average (2.6x).


Next Steps

Future Growth

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

51.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DEG is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: DEG is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: DEG is forecast to remain unprofitable over the next 3 years.

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

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


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DEG is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

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

-20.6%

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 20.6% 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 (22.2%).


Return on Equity

High ROE: DEG has a negative Return on Equity (-5.28%), 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$28.7M) exceed its short term liabilities (A$3.1M).

Long Term Liabilities: DEG's short term assets (A$28.7M) exceed its long term liabilities (A$1.4M).


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 sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: DEG has sufficient cash runway for 1.2 years if free cash flow continues to reduce at historical rates of 50.9% 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?

2.6yrs

Average management tenure


CEO

Glenn R. Jardine (57 yo)

0.42

Tenure

AU$353,727

Compensation

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 ...


CEO Compensation Analysis

Compensation vs Market: Glenn R.'s total compensation ($USD251.57K) is below average for companies of similar size in the Australian market ($USD935.63K).

Compensation vs Earnings: Insufficient data to compare Glenn R.'s compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Glenn R. Jardine
MD & Director0.42yrAU$353.73kno data
Craig Nelmes
Joint Company Secretary & CFO7yrsAU$266.43k0.37%
A$ 5.5m
Andrew Beckwith
Technical Director & Operations Manager and Director3yrsAU$316.20k0.55%
A$ 8.3m
Patrick Holywell
Joint Company Secretary2.25yrsAU$110.76k0.012%
A$ 177.0k
Philip Tornatora
Exploration Managerno datano datano data

2.6yrs

Average Tenure

Experienced Management: DEG's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Glenn R. Jardine
MD & Director0.42yrAU$353.73kno data
Andrew Beckwith
Technical Director & Operations Manager and Director3yrsAU$316.20k0.55%
A$ 8.3m
Jeffrey Parncutt
Non Executive Director1.25yrsAU$45.00kno data
Eduard Eshuys
Non Executive Director1.25yrsAU$55.00kno data
Peter Hood
Lead Independent Director0.42yrAU$48.00k0.31%
A$ 4.7m
Simon Lill
Chairman of the Board6.75yrsAU$298.41k1.08%
A$ 16.2m

1.3yrs

Average Tenure

63.5yo

Average Age

Experienced Board: DEG'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: DEG insiders have only sold shares 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 35.8%.


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$1.504b
  • Shares outstanding: 1.27b
  • 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 Malli ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/25 10:38
End of Day Share Price2020/10/23 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.