ASX:MRQ

Stock Analysis Report

Executive Summary

MRG Metals Ltd, together with its subsidiaries, explores for and develops mineral properties.


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

How has MRG Metals's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MRQ's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-22.2%

MRQ

-6.0%

AU Metals and Mining

-6.2%

AU Market


1 Year Return

40.0%

MRQ

-0.4%

AU Metals and Mining

7.9%

AU Market

Return vs Industry: MRQ exceeded the Australian Metals and Mining industry which returned 1.9% over the past year.

Return vs Market: MRQ exceeded the Australian Market which returned 10.9% over the past year.


Shareholder returns

MRQIndustryMarket
7 Day-22.2%-6.0%-6.2%
30 Day-50.0%-10.0%-5.9%
90 Day-36.4%-3.5%-2.7%
1 Year40.0%40.0%4.6%-0.4%12.6%7.9%
3 Year-44.7%-50.0%51.4%32.7%31.3%13.8%
5 Year-87.7%-92.2%75.8%34.4%42.6%10.6%

Price Volatility Vs. Market

How volatile is MRG Metals's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

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

2.95x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: MRQ is overvalued based on its PB Ratio (3x) compared to the AU Metals and Mining industry average (1.3x).


Next Steps

Future Growth

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

-1.2%

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 MRG Metals 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.


Next Steps

Past Performance

How has MRG Metals performed over the past 5 years?

23.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MRQ is currently unprofitable.

Growing Profit Margin: MRQ is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MRQ is unprofitable, but has reduced losses over the past 5 years at a rate of 23.5% per year.

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

Earnings vs Industry: MRQ is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (24.1%).


Return on Equity

High ROE: MRQ has a negative Return on Equity (-227.96%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is MRG Metals's financial position?


Financial Position Analysis

Short Term Liabilities: MRQ's short term assets (A$1.0M) exceed its short term liabilities (A$114.5K).

Long Term Liabilities: MRQ has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: MRQ is debt free.

Reducing Debt: MRQ has not had any debt for past 5 years.


Balance Sheet

Inventory Level: MRQ has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if MRQ's debt is covered by short term assets.


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: MRQ has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: MRQ has less than a year of cash runway if free cash flow continues to grow at historical rates of 9% each year.


Next Steps

Dividend

What is MRG Metals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.4%markettop25%5.7%industryaverage4.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate MRQ's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MRQ's dividends per share have been stable in the past.

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

6.5yrs

Average board tenure


CEO

MRG Metals has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Shane Turner
CFO, Company Secretary & Independent Non-Executive Director9.1yrsAU$121.66k1.68% A$124.7k
Andrew Van Der Zwan
Independent Non Executive Chairman6.3yrsAU$116.91k2.64% A$195.3k
Christopher Gregory
Independent Non-Executive Director6.5yrsAU$126.91k5.35% A$395.9k

6.5yrs

Average Tenure

Experienced Board: MRQ's board of directors are considered experienced (6.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: MRQ 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 substantially diluted in the past year, with total shares outstanding growing by 52.5%.


Top Shareholders

Company Information

MRG Metals Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: MRG Metals Ltd
  • Ticker: MRQ
  • Exchange: ASX
  • Founded: 2011
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: AU$7.407m
  • Shares outstanding: 1.06b
  • Website: https://www.mrgmetals.com.au

Location

  • MRG Metals Ltd
  • 12 Anderson Street West
  • Ballarat
  • Victoria
  • 3350
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MRQASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJun 2011
MRQCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJun 2011

Biography

MRG Metals Ltd, together with its subsidiaries, explores for and develops mineral properties. The company explores for gold, base metals, heavy mineral sands, and other commodities in Australia, Sweden and Mozambique. It holds interest in Mozambique HMS project comprising the Corridor Project, which covers 387 km2; the Linhuane Project that consists of 113 km2; and the Marao/Marruca Project, which covers 491 km2. The company was incorporated in 2011 and is based in Ballarat, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/26 10:35
End of Day Share Price2020/02/26 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.