company background image
IGO

IGOASX:IGO Stock Report

Last Price

AU$12.80

Market Cap

AU$9.7b

7D

0.6%

1Y

81.6%

Updated

22 Jan, 2022

Data

Company Financials +
IGO fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance4/6
Financial Health6/6
Dividends0/6

IGO Stock Overview

IGO Limited operates as an exploration and mining company that engages in discovering, developing, and operating assets focused on metals to enable clean energy in Australia.

IGO Competitors

South32

ASX:S32

AU$19.0b

Mineral Resources

ASX:MIN

AU$12.0b

Pilbara Minerals

ASX:PLS

AU$10.6b

Allkem

ASX:AKE

AU$6.6b

Price History & Performance

Summary of all time highs, changes and price drops for IGO
Historical stock prices
Current Share PriceAU$12.80
52 Week HighAU$13.37
52 Week LowAU$6.03
Beta1.03
1 Month Change15.63%
3 Month Change34.03%
1 Year Change81.56%
3 Year Change210.68%
5 Year Change224.87%
Change since IPO4,640.74%

Recent News & Updates

Nov 21
IGO Limited's (ASX:IGO) Intrinsic Value Is Potentially 27% Above Its Share Price

IGO Limited's (ASX:IGO) Intrinsic Value Is Potentially 27% Above Its Share Price

Does the November share price for IGO Limited ( ASX:IGO ) reflect what it's really worth? Today, we will estimate the...

Nov 06
Should You Be Adding IGO (ASX:IGO) To Your Watchlist Today?

Should You Be Adding IGO (ASX:IGO) To Your Watchlist Today?

It's only natural that many investors, especially those who are new to the game, prefer to buy shares in 'sexy' stocks...

Shareholder Returns

IGOAU Metals and MiningAU Market
7D0.6%-2.0%-2.8%
1Y81.6%7.0%5.8%

Return vs Industry: IGO exceeded the Australian Metals and Mining industry which returned 7% over the past year.

Return vs Market: IGO exceeded the Australian Market which returned 5.8% over the past year.

Price Volatility

Is IGO's price volatile compared to industry and market?
IGO volatility
IGO Average Weekly Movement4.9%
Metals and Mining Industry Average Movement10.8%
Market Average Movement8.6%
10% most volatile stocks in AU Market15.4%
10% least volatile stocks in AU Market3.7%

Stable Share Price: IGO is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: IGO's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2000n/aPeter J. Bradfordhttps://www.igo.com.au

IGO Limited operates as an exploration and mining company that engages in discovering, developing, and operating assets focused on metals to enable clean energy in Australia. It owns and operates a 100% interest in the Nova nickel-copper-cobalt operation located in the Great Western Woodlands, northeast of Norseman. The company’s primary properties are the Fraser Range nickel-copper and Paterson copper projects.

IGO Fundamentals Summary

How do IGO's earnings and revenue compare to its market cap?
IGO fundamental statistics
Market CapAU$9.71b
Earnings (TTM)AU$116.77m
Revenue (TTM)AU$671.74m

83.1x

P/E Ratio

14.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IGO income statement (TTM)
RevenueAU$671.74m
Cost of RevenueAU$179.18m
Gross ProfitAU$492.56m
ExpensesAU$375.80m
EarningsAU$116.77m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Jan 31, 2022

Earnings per share (EPS)0.15
Gross Margin73.33%
Net Profit Margin17.38%
Debt/Equity Ratio0%

How did IGO perform over the long term?

See historical performance and comparison

Dividends

0.8%

Current Dividend Yield

58%

Payout Ratio

Valuation

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

1.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: IGO (A$12.8) is trading below our estimate of fair value (A$12.93)

Significantly Below Fair Value: IGO is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: IGO is poor value based on its PE Ratio (83.1x) compared to the Australian Metals and Mining industry average (16.4x).

PE vs Market: IGO is poor value based on its PE Ratio (83.1x) compared to the Australian market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: IGO is poor value based on its PEG Ratio (3.6x)


Price to Book Ratio

PB vs Industry: IGO is overvalued based on its PB Ratio (3x) compared to the AU Metals and Mining industry average (2.8x).


Future Growth

How is IGO forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

22.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IGO's forecast earnings growth (22.9% per year) is above the savings rate (1.9%).

Earnings vs Market: IGO's earnings (22.9% per year) are forecast to grow faster than the Australian market (11.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: IGO's revenue (4.5% per year) is forecast to grow slower than the Australian market (4.8% per year).

High Growth Revenue: IGO's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IGO's Return on Equity is forecast to be low in 3 years time (15%).


Past Performance

How has IGO performed over the past 5 years?

45.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IGO has high quality earnings.

Growing Profit Margin: IGO's current net profit margins (17.4%) are higher than last year (14.4%).


Past Earnings Growth Analysis

Earnings Trend: IGO has become profitable over the past 5 years, growing earnings by 45% per year.

Accelerating Growth: IGO's earnings growth over the past year (35.3%) is below its 5-year average (45% per year).

Earnings vs Industry: IGO earnings growth over the past year (35.3%) exceeded the Metals and Mining industry 33%.


Return on Equity

High ROE: IGO's Return on Equity (3.6%) is considered low.


Financial Health

How is IGO's financial position?


Financial Position Analysis

Short Term Liabilities: IGO's short term assets (A$758.6M) exceed its short term liabilities (A$232.4M).

Long Term Liabilities: IGO's short term assets (A$758.6M) exceed its long term liabilities (A$176.5M).


Debt to Equity History and Analysis

Debt Level: IGO is debt free.

Reducing Debt: IGO has no debt compared to 5 years ago when its debt to equity ratio was 18.1%.

Debt Coverage: IGO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: IGO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is IGO current dividend yield, its reliability and sustainability?

0.78%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: IGO's dividend (0.78%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.25%).

High Dividend: IGO's dividend (0.78%) is low compared to the top 25% of dividend payers in the Australian market (5.52%).


Stability and Growth of Payments

Stable Dividend: IGO is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.

Growing Dividend: IGO is not paying a notable dividend for the Australian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: IGO is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IGO'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?

5.0yrs

Average management tenure


CEO

Peter J. Bradford (62 yo)

7.83yrs

Tenure

AU$2,557,791

Compensation

Mr. Peter J. L. Bradford, B.App.Sc., Extractive Metallurgy, FAusIMM, MSMME, MAIC, has been the Chief Executive Officer and Managing Director of IGO Limited (formerly known as Independence Group NL) since M...


CEO Compensation Analysis

Compensation vs Market: Peter J.'s total compensation ($USD1.84M) is about average for companies of similar size in the Australian market ($USD2.37M).

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


Leadership Team

Experienced Management: IGO's management team is seasoned and experienced (5 years average tenure).


Board Members

Experienced Board: IGO's board of directors are considered experienced (5.1 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

IGO Limited's employee growth, exchange listings and data sources


Key Information

  • Name: IGO Limited
  • Ticker: IGO
  • Exchange: ASX
  • Founded: 2000
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Implied Market Cap: AU$9.706b
  • Shares outstanding: 758.26m
  • Website: https://www.igo.com.au

Number of Employees


Location

  • IGO Limited
  • South Shore Centre
  • Suite 4, Level 5
  • Perth
  • Western Australia
  • 6151
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/22 07:02
End of Day Share Price2022/01/21 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.