Executive Summary
Northern Star Resources Limited engages in the exploration, development, mining, processing, and sale of gold deposits in Australia.
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has Northern Star Resources's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NST's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
3.8%
NST
-0.01%
AU Metals and Mining
0.8%
AU Market
1 Year Return
43.9%
NST
6.6%
AU Metals and Mining
15.3%
AU Market
Return vs Industry: NST exceeded the Australian Metals and Mining industry which returned 6.6% over the past year.
Return vs Market: NST exceeded the Australian Market which returned 15.3% over the past year.
Shareholder returns
| NST | Industry | Market | |
|---|---|---|---|
| 7 Day | 3.8% | -0.01% | 0.8% |
| 30 Day | 14.2% | -4.4% | 0.3% |
| 90 Day | 53.2% | 4.9% | 5.3% |
| 1 Year | 46.0%43.9% | 12.1%6.6% | 20.5%15.3% |
| 3 Year | 243.9%228.3% | 50.2%31.6% | 37.4%18.8% |
| 5 Year | 611.0%547.7% | 85.4%41.9% | 50.7%16.8% |
Price Volatility Vs. Market
How volatile is Northern Star Resources's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Northern Star Resources Limited (ASX:NST) Overpaying Its CEO?2 weeks ago | Simply Wall St
Despite Its High P/E Ratio, Is Northern Star Resources Limited (ASX:NST) Still Undervalued?1 month ago | Simply Wall St
What Kind Of Shareholders Own Northern Star Resources Limited (ASX:NST)?Valuation
Is Northern Star Resources undervalued compared to its fair value and its price relative to the market?
14.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NST (A$14.25) is trading below our estimate of fair value (A$16.72)
Significantly Below Fair Value: NST is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: NST is poor value based on its PE Ratio (45.9x) compared to the Metals and Mining industry average (12.4x).
PE vs Market: NST is poor value based on its PE Ratio (45.9x) compared to the Australian market (18.8x).
Price to Earnings Growth Ratio
PEG Ratio: NST is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: NST is overvalued based on its PB Ratio (5.5x) compared to the AU Metals and Mining industry average (1.4x).
Next Steps
Future Growth
How is Northern Star Resources forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
19.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NST's forecast earnings growth (19.8% per year) is above the savings rate (1.1%).
Earnings vs Market: NST's earnings (19.8% per year) are forecast to grow faster than the Australian market (9.4% per year).
High Growth Earnings: NST's earnings are forecast to grow, but not significantly.
Revenue vs Market: NST's revenue (10.4% per year) is forecast to grow faster than the Australian market (4.2% per year).
High Growth Revenue: NST's revenue (10.4% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NST's Return on Equity is forecast to be low in 3 years time (20%).
Next Steps
Past Performance
How has Northern Star Resources performed over the past 5 years?
13.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NST has high quality earnings.
Growing Profit Margin: NST's current net profit margins (12.5%) are lower than last year (17.1%).
Past Earnings Growth Analysis
Earnings Trend: NST's earnings have grown by 13.1% per year over the past 5 years.
Accelerating Growth: NST's earnings growth over the past year (1.2%) is below its 5-year average (13.1% per year).
Earnings vs Industry: NST earnings growth over the past year (1.2%) underperformed the Metals and Mining industry 18.2%.
Return on Equity
High ROE: NST's Return on Equity (10.4%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Northern Star Resources's financial position?
Financial Position Analysis
Short Term Liabilities: NST's short term assets (A$1.6B) exceed its short term liabilities (A$303.2M).
Long Term Liabilities: NST's short term assets (A$1.6B) exceed its long term liabilities (A$832.7M).
Debt to Equity History and Analysis
Debt Level: NST's debt to equity ratio (25.8%) is considered satisfactory.
Reducing Debt: NST's debt to equity ratio has increased from 11.9% to 25.8% over the past 5 years.
Debt Coverage: NST's debt is well covered by operating cash flow (102.5%).
Interest Coverage: NST's interest payments on its debt are well covered by EBIT (563.4x coverage).
Balance Sheet
Inventory Level: NST has a high level of physical assets or inventory.
Debt Coverage by Assets: NST's debt is covered by short term assets (assets are 3.2x debt).
Next Steps
Dividend
What is Northern Star Resources's current dividend yield, its reliability and sustainability?
1.05%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: NST's dividend (1.05%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.29%).
High Dividend: NST's dividend (1.05%) is low compared to the top 25% of dividend payers in the Australian market (5.49%).
Stability and Growth of Payments
Stable Dividend: NST is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.
Growing Dividend: NST 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: NST is not paying a notable dividend for the Australian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of NST'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?
3.3yrs
Average management tenure
CEO
Stuart Tonkin (43yo)
3.3yrs
Tenure
AU$1,612,817
Compensation
Mr. Stuart Peter Tonkin, BEng(Hons) has been the Chief Executive Officer at Northern Star Resources Limited since November 29, 2016. Mr. Tonkin served as Chief Operating Officer at Northern Star Resources ...
CEO Compensation Analysis
Compensation vs Market: Stuart's total compensation ($USD1.08M) is below average for companies of similar size in the Australian market ($USD2.86M).
Compensation vs Earnings: Stuart's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman | 3.3yrs | AU$3.18m | 0.76% A$80.4m | |
| Chief Executive Officer | 3.3yrs | AU$1.61m | 0.020% A$2.1m | |
| Chief Financial Officer | 1.3yrs | AU$443.82k | no data | |
| Chief Operating Officer | 1.3yrs | AU$552.72k | no data | |
| General Counsel & Company Secretary | 4.1yrs | AU$630.39k | no data | |
| Chief Geological Officer | 4.7yrs | AU$889.25k | no data | |
| Chief Development Officer | 0yrs | no data | no data | |
| General Manager of Exploration | 0yrs | no data | no data | |
| Executive Assistant to Executive Chairman & CEO | 0yrs | no data | no data | |
| Legal Counsel & Assistant Company Secretary | 0yrs | no data | no data |
3.3yrs
Average Tenure
43yo
Average Age
Experienced Management: NST's management team is considered experienced (3.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Executive Chairman | 3.3yrs | AU$3.18m | 0.76% A$80.4m | |
| Lead Independent Director | 3.3yrs | AU$204.32k | 0.0085% A$900.6k | |
| Independent Non-Executive Director | 3.4yrs | AU$174.32k | 0.0072% A$758.2k | |
| Independent Non-Executive Director | 0.6yrs | no data | no data | |
| Independent Non-Executive Director | 7.8yrs | AU$149.32k | 0.054% A$5.7m | |
| Independent Non-Executive Director | 0.6yrs | no data | 0.0013% A$140.3k |
3.3yrs
Average Tenure
60.5yo
Average Age
Experienced Board: NST's board of directors are considered experienced (3.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: NST 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 diluted in the past year, with total shares outstanding growing by 3.9%.
Top Shareholders
Company Information
Northern Star Resources Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Northern Star Resources Limited
- Ticker: NST
- Exchange: ASX
- Founded: 2000
- Industry: Gold
- Sector: Materials
- Market Cap: AU$10.546b
- Shares outstanding: 740.05m
- Website: https://www.nsrltd.com
Number of Employees
Location
- Northern Star Resources Limited
- 388 Hay Street
- Level 1
- Subiaco
- Western Australia
- 6008
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NST | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Dec 2003 |
| NS7 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Dec 2003 |
| NESR.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Dec 2003 |
| NST | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Dec 2003 |
Biography
Northern Star Resources Limited engages in the exploration, development, mining, processing, and sale of gold deposits in Australia. The company holds interests in the Pogo, Jundee, and Kalgoorlie operations, as well as Paulsens and Tanami projects. It has operations primarily in Western Australia, the Northern Territory, and Alaska. The company was founded in 2000 and is based in Subiaco, Australia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/19 10:34 |
| End of Day Share Price | 2020/02/19 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.