Pilbara Minerals (ASX:PLS) - Share price, News & Analysis

PLS fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	6/6
Past Performance	2/6
Financial Health	5/6
Dividends	0/6

PLS Stock Overview

Pilbara Minerals Limited explores for, develops, and operates mineral resources in Australia.

Rewards

Trading at 58.6% below our estimate of its fair value

Earnings are forecast to grow 51.72% per year

Became profitable this year

Risk Analysis

Large one-off items impacting financial results

Shareholders have been diluted in the past year

Pilbara Minerals Competitors

Mineral Resources

ASX:MIN

AU$11.3b

Nickel Mines

ASX:NIC

AU$3.3b

Lynas Rare Earths

ASX:LYC

AU$8.5b

IGO

ASX:IGO

AU$9.1b

Price History & Performance

Summary of all time highs, changes and price drops for Pilbara Minerals
Historical stock prices
Current Share Price	AU$2.91
52 Week High	AU$3.89
52 Week Low	AU$1.21
Beta	2.15
1 Month Change	11.92%
3 Month Change	6.20%
1 Year Change	137.55%
3 Year Change	304.17%
5 Year Change	609.76%
Change since IPO	18,087.50%

Recent News & Updates

Apr 12

Pilbara Minerals (ASX:PLS) Might Have The Makings Of A Multi-Bagger

Finding a business that has the potential to grow substantially is not easy, but it is possible if we look at a few key...

Shareholder Returns

	PLS	AU Metals and Mining	AU Market
7D	2.1%	-1.1%	-0.4%
1Y	137.6%	1.7%	-1.1%

Return vs Industry: PLS exceeded the Australian Metals and Mining industry which returned 1.7% over the past year.

Return vs Market: PLS exceeded the Australian Market which returned -1.1% over the past year.

Price Volatility

Is PLS's price volatile compared to industry and market?
PLS volatility
PLS Average Weekly Movement	8.6%
Metals and Mining Industry Average Movement	10.9%
Market Average Movement	9.3%
10% most volatile stocks in AU Market	16.4%
10% least volatile stocks in AU Market	4.2%

Stable Share Price: PLS is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: PLS's weekly volatility (9%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2005	300	Ken Brinsden	https://www.pilbaraminerals.com.au

Pilbara Minerals Limited explores for, develops, and operates mineral resources in Australia. The company primarily holds a 100% interest in the Pilgangoora lithium-tantalum project located in the Pilbara region of Western Australia. The company was incorporated in 2005 and is headquartered in West Perth, Australia.

Pilbara Minerals Fundamentals Summary

How do Pilbara Minerals's earnings and revenue compare to its market cap?
PLS fundamental statistics
Market Cap	AU$8.36b
Earnings (TTM)	AU$83.71m
Revenue (TTM)	AU$408.45m

103.5x

P/E Ratio

21.2x

P/S Ratio

Is PLS overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
PLS income statement (TTM)
Revenue	AU$408.45m
Cost of Revenue	AU$231.13m
Gross Profit	AU$177.32m
Other Expenses	AU$93.61m
Earnings	AU$83.71m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.028
Gross Margin	43.41%
Net Profit Margin	20.49%
Debt/Equity Ratio	20.4%

How did PLS perform over the long term?

See historical performance and comparison

New valuation analysis is now available for all ASX stocks. This is in beta.

Future Growth

How is Pilbara Minerals forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

6/6

Future Growth Score 6/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

51.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: PLS's forecast earnings growth (51.7% per year) is above the savings rate (1.8%).

Earnings vs Market: PLS's earnings (51.7% per year) are forecast to grow faster than the Australian market (6.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PLS's revenue (42.2% per year) is forecast to grow faster than the Australian market (4.9% per year).

High Growth Revenue: PLS's revenue (42.2% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: PLS's Return on Equity is forecast to be very high in 3 years time (55.8%).

Past Performance

How has Pilbara Minerals performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

4.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: PLS has a large one-off loss of A$64.4M impacting its December 31 2021 financial results.

Growing Profit Margin: PLS became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: PLS has become profitable over the past 5 years, growing earnings by 4% per year.

Accelerating Growth: PLS has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PLS has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (57.8%).

Return on Equity

High ROE: PLS's Return on Equity (10%) is considered low.

Financial Health

How is Pilbara Minerals's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: PLS's short term assets (A$312.7M) exceed its short term liabilities (A$153.6M).

Long Term Liabilities: PLS's short term assets (A$312.7M) exceed its long term liabilities (A$200.7M).

Debt to Equity History and Analysis

Debt Level: PLS has more cash than its total debt.

Reducing Debt: PLS's debt to equity ratio has increased from 1% to 20.4% over the past 5 years.

Debt Coverage: PLS's debt is well covered by operating cash flow (75.5%).

Interest Coverage: PLS's interest payments on its debt are well covered by EBIT (12.5x coverage).

Balance Sheet

Dividend

What is Pilbara Minerals's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

3.05%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if PLS's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as PLS has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average management tenure

CEO

Ken Brinsden

6.33yrs

Tenure

AU$2,208,626

Compensation

Mr. Kenneth Edward Brinsden, also known as Ken, B.Eng (Mining), WASM, MAusIMM, MAICD, has been the Chief Executive Officer at Pilbara Minerals Limited since January 18, 2016 and has been its Managing Direc...

CEO Compensation Analysis

Compensation vs Market: Ken's total compensation ($USD1.56M) is below average for companies of similar size in the Australian market ($USD2.42M).

Compensation vs Earnings: Ken's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: PLS's management team is seasoned and experienced (5.8 years average tenure).

Board Members

Experienced Board: PLS's board of directors are considered experienced (5.5 years average tenure).

Ownership

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

Insider Trading Volume

Insider Buying: PLS 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 2.8%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/27 00:00
End of Day Share Price	2022/05/27 00:00
Earnings	2021/12/31
Annual Earnings	2021/06/30