Mount Gibson Iron
Mount Gibson Iron Limited, together with its subsidiaries, engages in the mining, exploration, crushing, transportation, and sale of hematite iron ore deposits in Australia. The last earnings update was 65 days ago. More info.
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- Mount Gibson Iron has significant price volatility in the past 3 months.
MGX Share Price and Events
7 Day Returns
1 Year Returns
MGX Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Mount Gibson Iron (MGX) | 8.4% | 26.8% | 100% | 169.8% | 427.3% | 58.9% |
| AU Metals and Mining | -2.3% | 0.8% | 14.6% | 11.2% | 77% | 7.7% |
| AU Market | 0.5% | 1.9% | 8% | 4.9% | 19.5% | 6.3% |
1 Year Return vs Industry and Market
- MGX outperformed the Metals and Mining industry which returned 11.2% over the past year.
- MGX outperformed the Market in Australia which returned 4.9% over the past year.
MGX Value
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
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Mount Gibson Iron
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Mount Gibson Iron.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 1 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 8.8% |
| Perpetual Growth Rate | 10-Year AU Government Bond Rate | 2.3% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year AU Govt Bond Rate | 2.3% |
| Equity Risk Premium | S&P Global | 6% |
| Metals and Mining Unlevered Beta | Simply Wall St/ S&P Global | 1.13 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.132 (1 + (1- 30%) (0%)) |
1.088 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.09 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.31% + (1.088 * 5.96%) |
8.8% |
Discounted Cash Flow Calculation for ASX:MGX using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Mount Gibson Iron is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (AUD, Millions) | Source |
Present Value Discounted (@ 8.8%) |
|
|---|---|---|---|
| 2019 | 1.13 | Est @ -85.59% | 1.04 |
| 2020 | 0.46 | Est @ -59.22% | 0.39 |
| 2021 | 0.27 | Est @ -40.76% | 0.21 |
| 2022 | 0.20 | Est @ -27.84% | 0.14 |
| 2023 | 0.16 | Est @ -18.79% | 0.11 |
| 2024 | 0.14 | Est @ -12.46% | 0.08 |
| 2025 | 0.13 | Est @ -8.03% | 0.07 |
| 2026 | 0.12 | Est @ -4.93% | 0.06 |
| 2027 | 0.12 | Est @ -2.76% | 0.06 |
| 2028 | 0.12 | Est @ -1.24% | 0.05 |
| Present value of next 10 years cash flows | A$2.21 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= A$0.12 × (1 + 2.31%) ÷ (8.8% – 2.31%) |
A$1.86 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= A$1.86 ÷ (1 + 8.8%)10 |
A$0.80 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= A$2.21 + A$0.80 |
A$3.01 |
| Equity Value per Share (AUD) |
= Total value / Shares Outstanding
= A$3.01 / 1,128.37 |
A$0 |
| Calculation | Result | |
|---|---|---|
| Value per share (AUD) | From above. | A$0.00 |
| Current discount | Discount to share price of
A$1.16
= -1 x (A$1.16 - A$0.00) / A$0.00 |
-43376.9% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
- The current share price of Mount Gibson Iron is above its future cash flow value.
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 Mount Gibson Iron's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Mount Gibson Iron's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in AUD | A$0.06 |
| ASX:MGX Share Price ** | ASX (2019-04-24) in AUD | A$1.16 |
| Australia Metals and Mining Industry PE Ratio | Median Figure of 78 Publicly-Listed Metals and Mining Companies | 12.61x |
| Australia Market PE Ratio | Median Figure of 544 Publicly-Listed Companies | 16.19x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Mount Gibson Iron.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = ASX:MGX Share Price ÷ EPS (both in AUD) = 1.16 ÷ 0.06 |
19.88x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Mount Gibson Iron is overvalued based on earnings compared to the AU Metals and Mining industry average.
- Mount Gibson Iron is overvalued based on earnings compared to the Australia market.
Price based on expected Growth
Does
Mount Gibson Iron's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 19.88x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts |
7.5%per year |
| Australia Metals and Mining Industry PEG Ratio | Median Figure of 38 Publicly-Listed Metals and Mining Companies | 0.67x |
| Australia Market PEG Ratio | Median Figure of 359 Publicly-Listed Companies | 1.38x |
*Line of best fit is calculated by linear regression .
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unable to calculate PEG ratio for Mount Gibson Iron, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Mount Gibson Iron's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in AUD | A$0.46 |
| ASX:MGX Share Price * | ASX (2019-04-24) in AUD | A$1.16 |
| Australia Metals and Mining Industry PB Ratio | Median Figure of 584 Publicly-Listed Metals and Mining Companies | 1.51x |
| Australia Market PB Ratio | Median Figure of 1,676 Publicly-Listed Companies | 1.68x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = ASX:MGX Share Price ÷ Book Value per Share (both in AUD) = 1.16 ÷ 0.46 |
2.5x |
* Primary Listing of Mount Gibson Iron.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Mount Gibson Iron is overvalued based on assets compared to the AU Metals and Mining industry average.
Value checks
We assess Mount Gibson Iron's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Metals and Mining industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Metals and Mining industry average (and greater than 0)? (1 check) Mount Gibson Iron has a total score of 0/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
MGX Future Performance
- No analysts cover Mount Gibson Iron, future earnings growth has been estimated based on fundamentals.
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
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 it right!
Earnings growth vs Low Risk Savings
- Mount Gibson Iron's earnings growth is expected to exceed the low risk savings rate of 2.3%.
Growth vs Market Checks
- Mount Gibson Iron's earnings growth is expected to exceed the Australia market average.
- Unable to compare Mount Gibson Iron's revenue growth to the Australia market average as no estimate data is available.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| ASX:MGX Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 1 Analysts | 7.5% |
| Australia Metals and Mining Industry Earnings Growth Rate | Market Cap Weighted Average | 1.2% |
| Australia Metals and Mining Industry Revenue Growth Rate | Market Cap Weighted Average | 0.2% |
| Australia Market Earnings Growth Rate | Market Cap Weighted Average | 6.7% |
| Australia Market Revenue Growth Rate | Market Cap Weighted Average | 3% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 1 Analyst Estimates (S&P Global) | See Below |
| Date (Data in AUD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-06-30 | ||||
| 2020-06-30 | ||||
| 2019-06-30 |
| Date (Data in AUD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 314 | 75 | 64 |
| 2018-09-30 | 284 | 87 | 82 |
| 2018-06-30 | 254 | 99 | 99 |
| 2017-12-31 | 206 | 77 | 85 |
| 2017-09-30 | 194 | 41 | 55 |
| 2017-06-30 | 183 | 5 | 26 |
| 2016-12-31 | 205 | 7 | 117 |
| 2016-09-30 | 220 | 6 | 98 |
| 2016-06-30 | 235 | 6 | 80 |
| 2016-03-31 | 248 | -3 | 8 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (3 months ago) | See Below |
| Future Estimates | Average of up to 1 Analyst Estimates (S&P Global) | See Below |
All data from Mount Gibson Iron Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in AUD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2021-06-30 | ||||
| 2020-06-30 | ||||
| 2019-06-30 |
| Date (Data in AUD Millions) | EPS * |
|---|---|
| 2018-12-31 | 0.06 |
| 2018-09-30 | 0.07 |
| 2018-06-30 | 0.09 |
| 2017-12-31 | 0.08 |
| 2017-09-30 | 0.05 |
| 2017-06-30 | 0.02 |
| 2016-12-31 | 0.11 |
| 2016-09-30 | 0.09 |
| 2016-06-30 | 0.07 |
| 2016-03-31 | 0.01 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Mount Gibson Iron's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Australia market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Australia market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Mount Gibson Iron has a total score of 2/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
MGX Past Performance
How has Mount Gibson Iron performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Mount Gibson Iron has delivered over 20% year on year earnings growth in the past 5 years.
- Mount Gibson Iron's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Mount Gibson Iron's 1-year earnings growth is negative, it can't be compared to the AU Metals and Mining industry average.
Earnings and Revenue History
All data from Mount Gibson Iron Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in AUD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 314.49 | 64.11 | 12.77 | |
| 2018-09-30 | 284.31 | 81.60 | 13.29 | |
| 2018-06-30 | 254.13 | 99.10 | 13.81 | |
| 2017-12-31 | 205.90 | 84.63 | 19.19 | |
| 2017-09-30 | 194.29 | 55.12 | 18.79 | |
| 2017-06-30 | 182.69 | 25.60 | 18.40 | |
| 2016-12-31 | 204.98 | 116.65 | 17.85 | |
| 2016-09-30 | 220.09 | 98.48 | 18.88 | |
| 2016-06-30 | 235.19 | 80.31 | 19.90 | |
| 2016-03-31 | 247.54 | 8.03 | 21.82 | |
| 2015-12-31 | 259.89 | -64.24 | 23.74 | |
| 2015-09-30 | 287.77 | -476.87 | 27.51 | |
| 2015-06-30 | 315.64 | -889.51 | 31.28 | |
| 2014-12-31 | 330.40 | -828.54 | 30.95 | |
| 2014-09-30 | 495.28 | -369.18 | 29.45 | |
| 2014-06-30 | 660.16 | 90.17 | 27.96 | |
| 2014-03-31 | 922.09 | 147.45 | 28.03 | |
| 2013-12-31 | 946.22 | 198.54 | 28.11 | |
| 2013-09-30 | 899.55 | 177.94 | 29.45 | |
| 2013-06-30 | 852.87 | 157.34 | 30.80 | |
| 2013-03-31 | 770.33 | 113.26 | 28.71 | |
| 2012-12-31 | 687.78 | 69.18 | 26.62 | |
| 2012-09-30 | 668.12 | 115.60 | 25.09 | |
| 2012-06-30 | 648.46 | 162.02 | 23.56 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Mount Gibson Iron has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Mount Gibson Iron used its assets less efficiently than the AU Metals and Mining industry average last year based on Return on Assets.
- Mount Gibson Iron has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
Past performance checks
We assess Mount Gibson Iron'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)
Mount Gibson Iron has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
MGX Health
How is Mount Gibson Iron's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Mount Gibson Iron's finances.
The net worth of a company is the difference between its assets and liabilities.
- Mount Gibson Iron is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Mount Gibson Iron's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Mount Gibson Iron has no debt, it does not need to be covered by short term assets.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
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.
All data from Mount Gibson Iron Company Filings, last reported 3 months ago.
| Date (Data in AUD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 523.48 | 0.00 | 431.00 |
| 2018-09-30 | 523.48 | 0.00 | 431.00 |
| 2018-06-30 | 496.82 | 0.00 | 457.53 |
| 2017-12-31 | 476.98 | 0.00 | 477.45 |
| 2017-09-30 | 476.98 | 0.00 | 477.45 |
| 2017-06-30 | 418.98 | 0.00 | 446.78 |
| 2016-12-31 | 415.12 | 0.00 | 446.57 |
| 2016-09-30 | 415.12 | 0.00 | 446.57 |
| 2016-06-30 | 391.94 | 0.42 | 400.09 |
| 2016-03-31 | 391.94 | 0.42 | 400.09 |
| 2015-12-31 | 290.20 | 3.51 | 345.53 |
| 2015-09-30 | 290.20 | 3.51 | 345.53 |
| 2015-06-30 | 305.57 | 2.74 | 334.00 |
| 2014-12-31 | 341.96 | 8.11 | 354.43 |
| 2014-09-30 | 341.96 | 8.11 | 354.43 |
| 2014-06-30 | 1,262.02 | 9.46 | 519.77 |
| 2014-03-31 | 1,262.02 | 9.46 | 519.77 |
| 2013-12-31 | 1,239.62 | 21.37 | 483.94 |
| 2013-09-30 | 1,239.62 | 21.37 | 483.94 |
| 2013-06-30 | 1,182.05 | 28.39 | 376.02 |
| 2013-03-31 | 1,182.05 | 28.39 | 376.02 |
| 2012-12-31 | 1,085.99 | 37.12 | 278.68 |
| 2012-09-30 | 1,085.99 | 37.12 | 278.68 |
| 2012-06-30 | 1,071.34 | 47.02 | 292.68 |
- Mount Gibson Iron has no debt.
- Mount Gibson Iron has no debt compared to 5 years ago when it was 1.7%.
- Mount Gibson Iron has no debt, it does not need to be covered by operating cash flow.
- Mount Gibson Iron has no debt, therefore coverage of interest payments is not a concern.
Financial health checks
We assess Mount Gibson Iron's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Mount Gibson Iron has a total score of 6/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
MGX Dividends
What is Mount Gibson Iron's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
A$2,000 of
Mount Gibson Iron
shares you are expected to receive
A$52
in your first year as a dividend.
Dividend Amount
- Mount Gibson Iron's pays a higher dividend yield than the bottom 25% of dividend payers in Australia (2.52%).
- Mount Gibson Iron's dividend is below the markets top 25% of dividend payers in Australia (5.72%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 1 Analyst Estimates (S&P Global) | See Below |
| Australia Metals and Mining Industry Average Dividend Yield | Market Cap Weighted Average of 36 Stocks | 3.7% |
| Australia Market Average Dividend Yield | Market Cap Weighted Average of 417 Stocks | 4.3% |
| Australia Minimum Threshold Dividend Yield | 10th Percentile | 1.6% |
| Australia Bottom 25% Dividend Yield | 25th Percentile | 2.5% |
| Australia Top 25% Dividend Yield | 75th Percentile | 5.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in A$) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2021-06-30 | 0.04 | 2.00 |
| 2020-06-30 | 0.04 | 2.00 |
| 2019-06-30 | 0.03 | 2.00 |
| Date (Data in A$) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2018-08-14 | 0.030 | 5.100 |
| 2017-08-15 | 0.020 | 4.798 |
| 2016-02-16 | 0.000 | 0.000 |
| 2015-08-19 | 0.000 | 0.000 |
| 2014-08-19 | 0.040 | 15.523 |
| 2013-08-22 | 0.040 | 4.826 |
| 2013-02-18 | 0.040 | 7.362 |
| 2012-08-22 | 0.040 | 5.296 |
| 2012-02-10 | 0.040 | 3.919 |
| 2011-08-11 | 0.040 | 2.898 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Whilst dividend payments have been stable, Mount Gibson Iron has been paying a dividend for less than 10 years.
- Mount Gibson Iron has only been paying a dividend for 8 years, and since then dividends per share have fallen.
Income/ dividend checks
We assess Mount Gibson Iron's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1.6%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Mount Gibson Iron afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Mount Gibson Iron has a total score of 3/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
MGX Management
CEO
| COMPENSATION | A$626,142 |
| TENURE AS CEO | 0.5 years |
CEO Bio
Mr. Peter W. Kerr, B.Comm, CA, F.Fin, M.AusIMM, M.AICD., has been the Chief Executive Officer at Mount Gibson Iron Limited since October 19, 2018. He served as the Chief Financial Officer of Mount Gibson Iron Limited since September 13, 2012 until October 19, 2018. Mr. Kerr served as the Chief Financial Officer of Bannerman Resources Limited from February 2, 2009 to September 10, 2012. At Bannerman, Mr. Kerr was closely involved in progressing the large-scale Etango Uranium Project in Namibia from exploration through to completion of the feasibility assessment stage, as well as various associated financing and corporate transactions. Mr. Kerr served as the Managing Director and Company Secretary of Northern Gold NL since February 1, 2002. He is an adviser to, the gold industry in Australia and North America. Mr. Kerr served as Chief Financial Officer of GBS Gold International Inc. from December 6, 2005 to January 2009. Mr. Kerr is a Chartered Accountant with over 15 years' experience within and as an advisor to the mining industry in Australia and Canada. Mr. Kerr served as Manager of Corporate at Northern Gold and its former parent entity, PacMin Mining Corporation Limited. From 1999 to 2002, he served as General Manager -Gold for diversified mining house Teck Cominco Limited in Vancouver, Canada. He serves as a Director of Northern Gold NL. He served as a Director of GBS Gold International Inc. from December 6, 2005 to January 2009. He served as a Director of Bannerman Mining Resources (Namibia) Pty Ltd. Mr. Kerr is a Member of the Institute of Chartered Accountants in Australia, as well as a Member of the Canadian Institute of Mining, Metallurgy and Petroleum.
CEO Compensation
- Peter's compensation has been consistent with company performance over the past year.
- Peter's remuneration is lower than average for companies of similar size in Australia.
Management Team Tenure
Average tenure of the Mount Gibson Iron management team in years:
- The tenure for the Mount Gibson Iron management team is about average.
Management Team
Peter Kerr
Chief Executive Officer
A$626K
0.5 yrs
Scott de Kruijff
Chief Operating Officer
A$660K
3.8 yrs
David Stokes
Company Secretary & General Counsel
A$492K
7 yrs
Gillian Dobson
Chief Financial Officer
0.5 yrs
J. Fitzgerald
Group Financial Controller
Board of Directors Tenure
Average tenure and age of the Mount Gibson Iron board of directors in years:
- The tenure for the Mount Gibson Iron board of directors is about average.
Board of Directors
Seng-Hui Lee
Non-Executive Chairman
A$105K
49
5.2 yrs
Alan Jones
Independent Non-Executive Director
A$100K
75
12.8 yrs
Paul Dougas
Independent Non-Executive Director
A$87K
7.4 yrs
Simon Bird
Lead Independent Non-Executive Director
A$107K
5.3 yrs
Shaofeng Li
Non-Executive Director
51
7.2 yrs
Russell Barwick
Independent Non-Executive Director
A$100K
7.4 yrs
Andrew Ferguson
Alternate Director
45
6.6 yrs
Who owns this company?
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (A$) | Value (A$) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 16. Apr 19 | Sell | Alan Jones | Individual | 12. Apr 19 | 12. Apr 19 | -100,000 | A$1.17 | A$-116,670 | ||
| 06. Dec 18 | Buy | Simon Bird | Individual | 05. Dec 18 | 06. Dec 18 | 24,000 | A$0.53 | A$12,679 | ||
| 29. Oct 18 | Buy | Alan Jones | Individual | 26. Oct 18 | 26. Oct 18 | 100,000 | A$0.51 | A$50,500 | ||
| 17. Oct 18 | Sell | Paradice Investment Management Pty Ltd. | Company | 01. Aug 18 | 21. Sep 18 | -319,533 | A$0.47 | A$-142,315 | ||
| 17. Oct 18 | Buy | Paradice Investment Management Pty Ltd. | Company | 16. Jul 18 | 13. Sep 18 | 6,867,181 | A$0.52 | A$3,462,978 | ||
| 03. Oct 18 | Buy | Paul Dougas | Individual | 03. Oct 18 | 03. Oct 18 | 200,000 | A$0.46 | A$91,000 | ||
| 01. Oct 18 | Buy | Paul Dougas | Individual | 28. Sep 18 | 28. Sep 18 | 100,000 | A$0.46 | A$46,000 | ||
| 19. Sep 18 | Buy | Paul Dougas | Individual | 18. Sep 18 | 18. Sep 18 | 100,000 | A$0.48 | A$48,000 | ||
| 19. Sep 18 | Sell | Spheria Asset Management Pty Ltd | Company | 29. Aug 18 | 19. Sep 18 | -1,519,802 | A$0.51 | A$-742,137 | ||
| 10. Jul 18 | Sell | Pinnacle Fund Services Limited | Company | 15. Jun 18 | 15. Jun 18 | -368,341 | A$0.45 | A$-166,176 | ||
| 10. Jul 18 | Buy | Pinnacle Fund Services Limited | Company | 14. Mar 18 | 09. Jul 18 | 20,622,788 | A$0.39 | A$8,041,392 | ||
| 10. Jul 18 | Sell | Spheria Asset Management Pty Ltd | Company | 15. Jun 18 | 15. Jun 18 | -368,341 | A$0.45 | A$-166,454 | ||
| 10. Jul 18 | Buy | Spheria Asset Management Pty Ltd | Company | 14. Mar 18 | 09. Jul 18 | 20,622,788 | A$0.44 | A$8,221,411 | ||
| 30. May 18 | Buy | APAC Resources Limited | Company | 29. May 18 | 29. May 18 | 28,662,489 | A$0.42 | A$12,038,215 | ||
Management checks
We assess Mount Gibson Iron's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Mount Gibson Iron has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
MGX News
Simply Wall St News
Have Insiders Been Buying Mount Gibson Iron Limited (ASX:MGX) Shares?
So before you buy or sell Mount Gibson Iron Limited (ASX:MGX), you may well want to know whether insiders have been buying or selling. … The Last 12 Months Of Insider Transactions At Mount Gibson Iron. … In total, Mount Gibson Iron insiders bought more than they sold over the last year
Simply Wall St - – Full articleShould We Worry About Mount Gibson Iron Limited's (ASX:MGX) P/E Ratio?
We'll show how you can use Mount Gibson Iron Limited's (ASX:MGX) P/E ratio to inform your assessment of the investment opportunity. … Based on the last twelve months, Mount Gibson Iron's P/E ratio is 18.08. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
Simply Wall St - – Full articleDo Institutions Own Shares In Mount Gibson Iron Limited (ASX:MGX)?
A look at the shareholders of Mount Gibson Iron Limited (ASX:MGX) can tell us which group is most powerful. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … Mount Gibson Iron is not a large company by global standards.
Simply Wall St - – Full articleImagine Holding Mount Gibson Iron Shares While The Price Zoomed 303% Higher
Take, for example, the Mount Gibson Iron Limited (ASX:MGX) share price, which skyrocketed 303% over three years. … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers)
Simply Wall St - – Full articleWhy We Think Mount Gibson Iron Limited (ASX:MGX) Could Be Worth Looking At
Building up an investment case requires looking at a stock holistically. … Today I've chosen to put the spotlight on Mount Gibson Iron Limited (ASX:MGX) due to its excellent fundamentals in more than one area.
Simply Wall St - – Full articleHow Do Mount Gibson Iron Limited’s (ASX:MGX) Returns On Capital Compare To Peers?
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Simply Wall St - – Full articleIs Mount Gibson Iron Limited (ASX:MGX) A Great Dividend Stock?
Historically, Mount Gibson Iron Limited (ASX:MGX) has paid a dividend to shareholders. … Let's take a look at Mount Gibson Iron in more detail. … View our latest analysis for Mount Gibson Iron
Simply Wall St - – Full articleIs Mount Gibson Iron Limited (ASX:MGX) A Financially Sound Company?
Mount Gibson Iron Limited (ASX:MGX), which has zero-debt on its balance sheet, can maximize capital returns by increasing debt due to its lower cost of capital. … However, the trade-off is MGX will have to follow strict debt obligations which will reduce its financial flexibility. … Is financial flexibility worth the lower cost of capital.
Simply Wall St - – Full articleHow Many Mount Gibson Iron Limited (ASX:MGX) Shares Do Institutions Own?
If you want to know who really controls Mount Gibson Iron Limited (ASX:MGX), then you'll have to look at the makeup of its share registry. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … Mount Gibson Iron is not a large company by global standards.
Simply Wall St - – Full articleWhy Mount Gibson Iron Limited (ASX:MGX) Is An Attractive Investment To Consider
As an investor, I look for investments which does not compromise one fundamental factor for another. … By this I mean, I look at stocks holistically, from their financial health to their future outlook. … is a company with great financial health as well as a.
Simply Wall St - – Full articleMGX Company Info
Description
Mount Gibson Iron Limited, together with its subsidiaries, engages in the mining, exploration, crushing, transportation, and sale of hematite iron ore deposits in Australia. The company primarily operates the Koolan Island mine located in the Kimberley coast of Western Australia; and the Extension Hill/Iron Hill mine located in the Mount Gibson range in the mid-west region of Western Australia. Mount Gibson Iron Limited was founded in 1996 and is based in West Perth, Australia.
Details
| Name: | Mount Gibson Iron Limited |
| MGX | |
| Exchange: | ASX |
| Founded: | 1996 |
| A$1,252,490,400 | |
| 1,128,369,730 | |
| Website: | http://www.mtgibsoniron.com.au |
| Address: |
Mount Gibson Iron Limited 2 Kings Park Road, Level 1, West Perth, Western Australia, 6005, Australia |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| ASX | MGX | Ordinary Shares | Australian Securities Exchange | AU | AUD | 17. Jan 2002 | |
| OTCPK | MTGR.F | Ordinary Shares | Pink Sheets LLC | US | USD | 17. Jan 2002 | |
| DB | FWQ | Ordinary Shares | Deutsche Boerse AG | DE | EUR | 17. Jan 2002 | |
| CHIA | MGX | Ordinary Shares | Chi-X Australia | AU | AUD | 17. Jan 2002 | |
| OTCPK | MTGR.Y | ADR | Pink Sheets LLC | US | USD | 03. Jan 2012 |
Number of employees
Current staff
Industry
| Steel | |
| Materials |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/04/24 10:31 |
| End of day share price update: | 2019/04/24 00:00 |
| Last estimates confirmation: | 2019/03/31 |
| Last earnings filing: | 2019/02/18 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/06/30 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
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.
