ASX:PRN

Stock Analysis Report

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Executive Summary

Perenti Global Limited operates as a mining services company worldwide. More Details


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has Perenti Global's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PRN is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: PRN's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

-17.4%

PRN

3.5%

AU Metals and Mining

-0.3%

AU Market


1 Year Return

-15.6%

PRN

47.1%

AU Metals and Mining

7.6%

AU Market

Return vs Industry: PRN underperformed the Australian Metals and Mining industry which returned 47.1% over the past year.

Return vs Market: PRN underperformed the Australian Market which returned 7.6% over the past year.


Shareholder returns

PRNIndustryMarket
7 Day-17.4%3.5%-0.3%
30 Day-15.9%3.4%0.4%
90 Day-13.3%20.8%5.1%
1 Year-10.0%-15.6%54.9%47.1%11.2%7.6%
3 Year-44.1%-56.2%83.9%58.9%30.6%14.9%
5 Year338.3%235.3%219.0%160.8%65.8%33.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Perenti Global undervalued compared to its fair value and its price relative to the market?

41.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PRN (A$1.14) is trading below our estimate of fair value (A$1.94)

Significantly Below Fair Value: PRN is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: PRN is good value based on its PB Ratio (0.6x) compared to the AU Metals and Mining industry average (2.8x).


Next Steps

Future Growth

How is Perenti Global forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

91.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PRN is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

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

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

Revenue vs Market: PRN's revenue (2.4% per year) is forecast to grow slower than the Australian market (5.2% per year).

High Growth Revenue: PRN's revenue (2.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PRN's Return on Equity is forecast to be low in 3 years time (8.3%).


Next Steps

Past Performance

How has Perenti Global performed over the past 5 years?

-4.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRN is currently unprofitable.

Growing Profit Margin: PRN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PRN is unprofitable, and losses have increased over the past 5 years at a rate of 4.9% per year.

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

Earnings vs Industry: PRN is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (22.2%).


Return on Equity

High ROE: PRN has a negative Return on Equity (-5.64%), as it is currently unprofitable.


Next Steps

Financial Health

How is Perenti Global's financial position?


Financial Position Analysis

Short Term Liabilities: PRN's short term assets (A$822.5M) exceed its short term liabilities (A$366.2M).

Long Term Liabilities: PRN's short term assets (A$822.5M) do not cover its long term liabilities (A$826.0M).


Debt to Equity History and Analysis

Debt Level: PRN's debt to equity ratio (50.9%) is considered high.

Reducing Debt: PRN's debt to equity ratio has reduced from 72.5% to 50.9% over the past 5 years.

Debt Coverage: PRN's debt is well covered by operating cash flow (50.2%).

Interest Coverage: PRN is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Perenti Global current dividend yield, its reliability and sustainability?

6.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PRN's dividend (6.14%) is higher than the bottom 25% of dividend payers in the Australian market (2.06%).

High Dividend: PRN's dividend (6.14%) is in the top 25% of dividend payers in the Australian market (5.24%)


Stability and Growth of Payments

Stable Dividend: PRN's dividend payments have been volatile in the past 10 years.

Growing Dividend: PRN's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: PRN is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: PRN's dividends in 3 years are forecast to be well covered by earnings (47.5% payout ratio).


Next Steps

Management

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

2.3yrs

Average management tenure


CEO

Mark Alexander Norwell (44 yo)

2.42yrs

Tenure

AU$1,720,850

Compensation

Mr. Mark Alexander John Norwell, BE (Hons), MBA, MAICD has been Group Managing Director, Chief Executive Officer and Director at Perenti Global Limited since September 17, 2018. He serves as Executive Dire...


CEO Compensation Analysis

Compensation vs Market: Mark Alexander's total compensation ($USD1.37M) is above average for companies of similar size in the Australian market ($USD955.18K).

Compensation vs Earnings: Mark Alexander's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Mark Alexander Norwell
Group MD2.42yrsAU$1.72m0.023%
A$ 192.0k
Peter Bryant
Group Chief Financial Officer2yrsAU$940.08k0.021%
A$ 177.4k
Paul Muller
Chief Executive Officer of Underground Mining3.08yrsAU$1.79m0.021%
A$ 174.3k
Scott Winter
Chief Executive Officer of Surface Mining2.08yrsAU$1.01m0.00092%
A$ 7.7k
Donald James
Chief Executive Officer of Investmentsno dataAU$8.01mno data
Engelbert Bets
General Manager of Corporate Finance & Investor Relationsno datano datano data
Robert Chatterton
Chief Technology Officerno datano datano data
Justine Passaportis
Company Secretary & Senior Legal Counselno datano datano data
Ben Davis
Chief People Officer1.75yrsno datano data
Blair Sessions
Chief Operating Officer of African Underground Mining Services6.75yrsno datano data
Roy Coates
Chief Operating Officer of Australia Operationsno dataAU$529.17kno data
Jeff Court
Chief Development Officerno datano datano data

2.3yrs

Average Tenure

Experienced Management: PRN's management team is considered experienced (2.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mark Alexander Norwell
Group MD2.42yrsAU$1.72m0.023%
A$ 192.0k
Robert Cole
Deputy Chairman0.67yrAU$133.21k0.0085%
A$ 71.1k
Mark Hine
Independent Non-Executive Director6yrsAU$133.19k0.017%
A$ 144.3k
Andrea Hall
Non-Executive Director1.17yrsAU$68.21k0.010%
A$ 85.3k
Ian Cochrane
Non-Executive Chairman3.17yrsAU$200.10k0.15%
A$ 1.3m
Alexandra Atkins
Non-Executive Director2.58yrsAU$120.48k0.0058%
A$ 48.3k

2.5yrs

Average Tenure

57yo

Average Age

Experienced Board: PRN's board of directors are not considered experienced ( 2.5 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: PRN 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 2.5%.


Top Shareholders

Company Information

Perenti Global Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Perenti Global Limited
  • Ticker: PRN
  • Exchange: ASX
  • Founded: 1987
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: AU$834.590m
  • Shares outstanding: 704.30m
  • Website: https://www.perentigroup.com

Number of Employees


Location

  • Perenti Global Limited
  • 202 Pier Street
  • Level 2
  • Perth
  • Western Australia
  • 6000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AUSD.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDFeb 1994
PRNASX (Australian Securities Exchange)YesOrdinary SharesAUAUDFeb 1994
FWGDB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 1994
PRNCHIA (Chi-X Australia)YesOrdinary SharesAUAUDFeb 1994

Biography

Perenti Global Limited operates as a mining services company worldwide. It operates through Surface Mining, Underground Mining, and Investment segments. The Surface Mining segment offers exploration drilli...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/02/26 07:06
End of Day Share Price2021/02/26 00:00
Earnings2020/12/31
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.