Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Great Southern Mining. This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
Great Southern Mining's
is considered below, and whether this is a fair price.
Price based on past earnings
Great Southern Mining's earnings available for a low price, and how does
this compare to other companies in the same industry?
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 Great Southern 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 Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Metals and Mining industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Great Southern Mining
expected to grow at an
Unable to compare Great Southern Mining's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Great Southern Mining's earnings growth to the Australia market average as no estimate data is available.
Unable to compare Great Southern Mining's revenue growth to the Australia market average as no estimate data is available.
Unable to determine if Great Southern Mining is high growth as no earnings estimate data is available.
Unable to determine if Great Southern Mining is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Great Southern Mining's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
Metals and Mining
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Great Southern Mining
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Great Southern Mining's finances.
The net worth of a company is the difference between its assets and liabilities.
Great Southern Mining's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Great Southern Mining has no long term commitments.
This treemap shows a more detailed breakdown of
Great Southern Mining's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is covered by short term assets, assets are 2.9x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
Mr. John Sotirious Terpu, M.A.I.C.D, has been an Executive Chairman of Great Southern Mining Limited (formerly, Forte Consolidated Limited) since July 1, 2013 and serves as its Chief Executive Officer. Mr. Terpu served as Managing Director of Conquest Mining Ltd. from June 15, 1999 to May 12, 2010. Mr. Terpu has over 15 years of commercial and management expertise gained in a broad range of business and investment activities. He is involved in the mining and exploration industry through the acquisition and investment in a number of strategic exploration and mining projects. He has a wide range of contacts in the exploration and mining investment community. He Mr. Terpu has been Chairman of Australasia Consolidated Limited since May 27, 2009. Mr. Terpu served as the Non-Executive Chairman of Forte Consolidated Limited since January 12, 2011 until July 1, 2013. Mr. Terpu served as the Non-Executive Chairman of Adept Solutions Limited from May 27, 2009 to November 18, 2011. He has been an Executive Director of Great Southern Mining Limited since January 12, 2011 and Australasia Consolidated Limited since March 24, 2009. He serves as a Director of Lake Argyle-Bow River Diamonds Ltd. He served as a Non-Executive Director of Adept Solutions Limited from March 24, 2009 to April 19, 2012. He served as a Director of Conquest Mining Ltd. from June 15, 1999 to May 12, 2010.
John's compensation has increased whilst company is loss making.
John's remuneration is lower than average for companies of similar size in Australia.
Executive Chairman & CEO
CFO & Company Secretary
Head of Exploration
Board of Directors Tenure
Average tenure of the
Great Southern Mining
board of directors in years:
The average tenure for the Great Southern Mining board of directors is less than 3 years, this suggests a new board.
Board of Directors
Executive Chairman & CEO
Who owns this company?
Recent Insider Trading
More shares have been bought than sold by Great Southern Mining insiders in the past 3 months, but not in substantial volumes.
Great Southern Mining Limited (ASX:GSN): Time For A Financial Health Check
The direct benefit for Great Southern Mining Limited (ASX:GSN), which sports a zero-debt capital structure, to include debt in its capital structure is the reduced cost of capital. … However, the trade-off is GSN will have to adhere to stricter debt covenants and have less financial flexibility. … Is financial flexibility worth the lower cost of capital.
What Kind Of Share Price Volatility Should You Expect For Great Southern Mining Limited (ASX:GSN)?
Modern finance theory considers volatility to be a measure of risk, and there are two main types of price volatility. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.
Great Southern Mining Limited primarily engages in the exploration and evaluation of gold deposits in Australia. The company also explores for silver, copper, and other minerals. It holds a 100% interest in the Mt Lucky project located in Laverton, Western Australia; and the Black Mountain gold project situated on the northwest of Townsville, North Queensland. The company also holds a 100% interest in the Edinburgh Park gold-silver/copper project and Johnnycake gold project at the northern margin of the Bowen Basin, North Queensland. Great Southern Mining Limited was incorporated in 2011 and is based in Balcatta, Australia.
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