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MGT

Magnetite MinesASX:MGT Stock Report

Market Cap

AU$78.6m

7D

-3.8%

1Y

150.0%

Updated

25 Oct, 2021

Data

Company Financials
MGT fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance0/6
Financial Health6/6
Dividends0/6

MGT Overview

Magnetite Mines Limited explores for mineral properties in South Australia.

Magnetite Mines Competitors

Grange Resources

ASX:GRR

AU$706.0m

Mount Gibson Iron

ASX:MGX

AU$544.8m

Price History & Performance

Summary of all time highs, changes and price drops for Magnetite Mines
Historical stock prices
Current Share PriceAU$0.025
52 Week HighAU$0.007
52 Week LowAU$0.094
Beta4.38
1 Month Change-7.41%
3 Month Change-41.86%
1 Year Change150.00%
3 Year Change212.50%
5 Year Change-30.56%
Change since IPO-92.19%

Recent News & Updates

Shareholder Returns

MGTAU Metals and MiningAU Market
7D-3.8%-1.7%0.6%
1Y150.0%10.8%21.3%

Return vs Industry: MGT exceeded the Australian Metals and Mining industry which returned 10.8% over the past year.

Return vs Market: MGT exceeded the Australian Market which returned 21.3% over the past year.

Price Volatility

Is MGT's price volatile compared to industry and market?
MGT volatility
MGT Beta4.38
Industry Beta0.97
Market Beta1

Stable Share Price: MGT is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 11% a week.

Volatility Over Time: MGT's weekly volatility has decreased from 19% to 11% over the past year.

About the Company

FoundedEmployeesCEOWebsite
2004n/aPeter Schuberthttps://www.magnetitemines.com

Magnetite Mines Limited explores for mineral properties in South Australia. Its flagship project is Razorback Iron project that includes the Razorback Ridge, Iron Peak, and Ironback Hill deposits located in Adelaide, South Australia. The company was formerly known as Royal Resources Limited and changed its name to Magnetite Mines Limited in December 2015.

Magnetite Mines Fundamentals Summary

How do Magnetite Mines's earnings and revenue compare to its market cap?
MGT fundamental statistics
Market CapAU$78.63m
Earnings (TTM)-AU$1.73m
Revenue (TTM)n/a

0x

P/S Ratio

-45.5x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MGT income statement (TTM)
RevenueAU$0
Cost of RevenueAU$0
Gross ProfitAU$0
ExpensesAU$1.73m
Earnings-AU$1.73m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.00055
Gross Margin0.00%
Net Profit Margin0.00%
Debt/Equity Ratio7.3%

How did MGT perform over the long term?

See historical performance and comparison

Valuation

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

2.92x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: MGT is overvalued based on its PB Ratio (2.9x) compared to the AU Metals and Mining industry average (2.6x).


Future Growth

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

-0.5%

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 Magnetite Mines 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 Magnetite Mines performed over the past 5 years?

28.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MGT is currently unprofitable.

Growing Profit Margin: MGT is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MGT is unprofitable, but has reduced losses over the past 5 years at a rate of 28.3% per year.

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

Earnings vs Industry: MGT is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (35.3%).


Return on Equity

High ROE: MGT has a negative Return on Equity (-6.44%), as it is currently unprofitable.


Financial Health

How is Magnetite Mines's financial position?


Financial Position Analysis

Short Term Liabilities: MGT's short term assets (A$16.8M) exceed its short term liabilities (A$834.6K).

Long Term Liabilities: MGT's short term assets (A$16.8M) exceed its long term liabilities (A$2.0M).


Debt to Equity History and Analysis

Debt Level: MGT's debt to equity ratio (7.3%) is considered satisfactory.

Reducing Debt: MGT's debt to equity ratio has reduced from 36% to 7.3% over the 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: MGT has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: MGT has sufficient cash runway for 2.4 years if free cash flow continues to reduce at historical rates of 0.5% each year.


Dividend

What is Magnetite Mines's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

0.8yrs

Average management tenure


CEO

Peter Schubert

0.75

Tenure

AU$444,729

Compensation

Mr. Peter James Schubert serves as CEO since August 2021 and serves as Executive Chairman of the Board at Magnetite Mines Limited since September 3, 2018 and served as its Interim Chief Executive Officer s...


CEO Compensation Analysis

Compensation vs Market: Peter's total compensation ($USD333.38K) is about average for companies of similar size in the Australian market ($USD302.38K).

Compensation vs Earnings: Peter's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: MGT's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: MGT's board of directors are considered experienced (3.1 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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.1%.


Top Shareholders

Company Information

Magnetite Mines Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Magnetite Mines Limited
  • Ticker: MGT
  • Exchange: ASX
  • Founded: 2004
  • Industry: Steel
  • Sector: Materials
  • Market Cap: AU$78.627m
  • Shares outstanding: 3.15b
  • Website: https://www.magnetitemines.com

Location

  • Magnetite Mines Limited
  • 22 Greenhill Road
  • Suite 1
  • Wayville
  • South Australia
  • 5034
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/25 16:50
End of Day Share Price2021/10/25 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.