ASX:OBM

Stock Analysis Report

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Executive Summary

Ora Banda Mining Limited engages in the exploration and evaluation of mineral properties in Australia. More Details


Snowflake Analysis

High growth potential with mediocre balance sheet.


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Share Price & News

How has Ora Banda Mining's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: OBM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-10.7%

OBM

-2.8%

AU Metals and Mining

1.2%

AU Market


1 Year Return

71.8%

OBM

9.5%

AU Metals and Mining

-10.3%

AU Market

Return vs Industry: OBM exceeded the Australian Metals and Mining industry which returned 9.5% over the past year.

Return vs Market: OBM exceeded the Australian Market which returned -10.3% over the past year.


Shareholder returns

OBMIndustryMarket
7 Day-10.7%-2.8%1.2%
30 Day4.7%-4.1%-2.6%
90 Day9.8%6.9%3.0%
1 Year73.5%71.8%14.6%9.5%-7.1%-10.3%
3 Yearn/a67.7%44.4%18.6%3.3%
5 Yearn/a152.1%103.7%46.1%15.4%

Price Volatility Vs. Market

How volatile is Ora Banda Mining's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Ora Banda Mining undervalued compared to its fair value and its price relative to the market?

4.12x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: OBM is overvalued based on its PB Ratio (4.1x) compared to the AU Metals and Mining industry average (2.3x).


Next Steps

Future Growth

How is Ora Banda Mining forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

55.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OBM is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.3%).

Earnings vs Market: OBM is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: OBM's is expected to become profitable in the next 3 years.

Revenue vs Market: OBM's revenue (71.4% per year) is forecast to grow faster than the Australian market (4.4% per year).

High Growth Revenue: OBM's revenue (71.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OBM's Return on Equity is forecast to be low in 3 years time (0.2%).


Next Steps

Past Performance

How has Ora Banda Mining performed over the past 5 years?

-0.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OBM is currently unprofitable.

Growing Profit Margin: OBM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: OBM is unprofitable, and losses have increased over the past 5 years at a rate of 0.9% per year.

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

Earnings vs Industry: OBM is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (14.9%).


Return on Equity

High ROE: OBM has a negative Return on Equity (-13.9%), as it is currently unprofitable.


Next Steps

Financial Health

How is Ora Banda Mining's financial position?


Financial Position Analysis

Short Term Liabilities: OBM's short term assets (A$12.0M) exceed its short term liabilities (A$4.5M).

Long Term Liabilities: OBM's short term assets (A$12.0M) do not cover its long term liabilities (A$19.4M).


Debt to Equity History and Analysis

Debt Level: OBM is debt free.

Reducing Debt: OBM currently has no debt however we can't compare to 5 years ago as we have no data for that period.


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

Forecast Cash Runway: OBM has less than a year of cash runway if free cash flow continues to reduce at historical rates of 23.3% each year


Next Steps

Dividend

What is Ora Banda Mining current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

1.4yrs

Average management tenure


CEO

David Quinlivan (65 yo)

1.42yrs

Tenure

AU$289,591

Compensation

Mr. David Francis Quinlivan, B.App Sci, MinEng, Grad. Dip. Fin Serv, FAusImm, FFINSA, MMICA founded Borden Mining Services in 1989 and serves as its Principal. Mr. Quinlivan has been Director of Egan Stree ...


Leadership Team

NamePositionTenureCompensationOwnership
David Quinlivan
MD & Director1.42yrsAU$289.59k0.35%
A$ 976.2k
Anthony Brazier
CFO & Company Secretary1.42yrsAU$288.63kno data
Neil Porter
Chief Commercial Officerno datano datano data
Susan Hunter
Company Secretary1.42yrsno datano data

1.4yrs

Average Tenure

Experienced Management: OBM's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
David Quinlivan
MD & Director1.42yrsAU$289.59k0.35%
A$ 976.2k
Mark Wheatley
Non-Executive Director1.42yrsAU$33.97k0.19%
A$ 535.1k
Peter Mansell
Non-Executive Chairmanno dataAU$237.23k0.53%
A$ 1.5m
Keith Jones
Non-Executive Director1.42yrsAU$33.97k0.24%
A$ 676.9k

1.4yrs

Average Tenure

65yo

Average Age

Experienced Board: OBM's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


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 been substantially diluted in the past year, with total shares outstanding growing by 54.1%.


Top Shareholders

Company Information

Ora Banda Mining Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ora Banda Mining Limited
  • Ticker: OBM
  • Exchange: ASX
  • Founded: 2002
  • Industry: Gold
  • Sector: Materials
  • Market Cap: AU$280.867m
  • Shares outstanding: 838.41m
  • Website: https://www.orabandamining.com.au

Location

  • Ora Banda Mining Limited
  • 2 Kings Park Road
  • Level 1
  • West Perth
  • Western Australia
  • 6005
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OBMASX (Australian Securities Exchange)YesOrdinary SharesAUAUDOct 2002
M6NDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 2002
OBMCHIA (Chi-X Australia)YesOrdinary SharesAUAUDOct 2002
ESGF.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDOct 2002

Biography

Ora Banda Mining Limited engages in the exploration and evaluation of mineral properties in Australia. It explores for gold, nickel, and copper deposits. The company was formerly known as Eastern Goldfield ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/27 19:03
End of Day Share Price2020/09/25 00:00
Earnings2020/06/30
Annual Earnings2020/06/30


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.