Emerald Resources (ASX:EMR) - Share price, News & Analysis

EMR fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	0/6
Past Performance	2/6
Financial Health	1/6
Dividends	0/6

EMR Stock Overview

Emerald Resources NL engages in the exploration and development of mineral reserves in the Cambodia and Australia.

Rewards

Became profitable this year

Risk Analysis

Interest payments are not well covered by earnings

High level of non-cash earnings

Shareholders have been diluted in the past year

Emerald Resources Peers

Capricorn Metals

ASX:CMM

AU$1.3b

Firefinch

ASX:FFX

AU$1.1b

Catalyst Metals

ASX:CYL

AU$162.0m

Strickland Metals

ASX:STK

AU$94.8m

Price History & Performance

Summary of all time highs, changes and price drops for Emerald Resources
Historical stock prices
Current Share Price	AU$1.19
52 Week High	AU$1.33
52 Week Low	AU$0.77
Beta	1.28
1 Month Change	-3.25%
3 Month Change	7.21%
1 Year Change	22.68%
3 Year Change	197.50%
5 Year Change	183.33%
Change since IPO	-99.82%

Recent News & Updates

Mar 23

We Think That There Are Issues Underlying Emerald Resources' (ASX:EMR) Earnings

Emerald Resources NL's ( ASX:EMR ) stock was strong after they reported robust earnings. However, our analysis suggests...

Shareholder Returns

	EMR	AU Metals and Mining	AU Market
7D	10.7%	5.5%	3.5%
1Y	22.7%	3.0%	2.1%

Return vs Industry: EMR exceeded the Australian Metals and Mining industry which returned 3% over the past year.

Return vs Market: EMR exceeded the Australian Market which returned 2.1% over the past year.

Price Volatility

Is EMR's price volatile compared to industry and market?
EMR volatility
EMR Average Weekly Movement	5.8%
Metals and Mining Industry Average Movement	11.2%
Market Average Movement	9.5%
10% most volatile stocks in AU Market	16.7%
10% least volatile stocks in AU Market	4.3%

Stable Share Price: EMR is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: EMR's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1969	n/a	Morgan Hart	https://www.emeraldresources.com.au

Emerald Resources NL engages in the exploration and development of mineral reserves in the Cambodia and Australia. The company exploration tenements include a combination of 100% owned granted licenses, applications, and earn-in and joint venture agreements covering a combined area of 1,239 square kilometers. Its principal property is the Okvau Gold project located in the city of Phnom Penh, province of Mondulkiri.

Emerald Resources Fundamentals Summary

How do Emerald Resources's earnings and revenue compare to its market cap?
EMR fundamental statistics
Market Cap	AU$690.49m
Earnings (TTM)	AU$3.26m
Revenue (TTM)	AU$63.49m

212.1x

P/E Ratio

10.9x

P/S Ratio

Is EMR overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
EMR income statement (TTM)
Revenue	AU$63.49m
Cost of Revenue	AU$32.27m
Gross Profit	AU$31.22m
Other Expenses	AU$27.96m
Earnings	AU$3.26m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.0056
Gross Margin	49.17%
Net Profit Margin	5.13%
Debt/Equity Ratio	70.1%

How did EMR perform over the long term?

See historical performance and comparison

New valuation analysis is now available for all ASX stocks. This is in beta.

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

-6.9%

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 Emerald Resources 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 Emerald Resources performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-2.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: EMR has a high level of non-cash earnings.

Growing Profit Margin: EMR became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: EMR has become profitable over the past 5 years, growing earnings by -2.5% per year.

Accelerating Growth: EMR has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: EMR has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (57.8%).

Return on Equity

High ROE: EMR's Return on Equity (2.3%) is considered low.

Financial Health

How is Emerald Resources's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: EMR's short term assets (A$54.5M) do not cover its short term liabilities (A$72.6M).

Long Term Liabilities: EMR's short term assets (A$54.5M) do not cover its long term liabilities (A$112.7M).

Debt to Equity History and Analysis

Debt Level: EMR's net debt to equity ratio (57.4%) is considered high.

Reducing Debt: Insufficient data to determine if EMR's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: EMR's debt is well covered by operating cash flow (27.9%).

Interest Coverage: EMR's interest payments on its debt are not well covered by EBIT (2.9x coverage).

Balance Sheet

Dividend

What is Emerald Resources's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

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

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

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

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as EMR has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.2yrs

Average management tenure

CEO

Morgan Hart (53 yo)

7.75yrs

Tenure

AU$357,427

Compensation

Mr. Morgan Cain Hart has been Managing Director of Emerald Resources NL since August 20, 2014 and serves as its Executive Director since July 30, 2014. Mr. Hart served as a Chief Operating Officer and Exec...

CEO Compensation Analysis

Compensation vs Market: Morgan's total compensation ($USD249.81K) is below average for companies of similar size in the Australian market ($USD811.54K).

Compensation vs Earnings: Morgan's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: EMR's management team is seasoned and experienced (5.2 years average tenure).

Board Members

Experienced Board: EMR's board of directors are considered experienced (5.7 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.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.6%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/19 00:00
End of Day Share Price	2022/05/19 00:00
Earnings	2021/12/31
Annual Earnings	2021/06/30