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Ramelius Resources

Market Cap

AU$1.4b

Last Updated

2021/05/07 08:02 UTC

Data Sources

Company Financials +

Executive Summary

Ramelius Resources Limited, together with its subsidiaries, engages in the exploration, mine development and operation, and production and sale of gold in Australia. More Details


Snowflake Analysis

Flawless balance sheet with outstanding track record.


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Share Price & News

How has Ramelius Resources's share price performed over time and what events caused price changes?


Latest Share Price and Events

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

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


Market Performance


7 Day Return

6.5%

RMS

3.1%

AU Metals and Mining

0.3%

AU Market


1 Year Return

29.3%

RMS

60.0%

AU Metals and Mining

35.9%

AU Market

Return vs Industry: RMS underperformed the Australian Metals and Mining industry which returned 59.8% over the past year.

Return vs Market: RMS underperformed the Australian Market which returned 37.3% over the past year.


Shareholder returns

RMSIndustryMarket
7 Day6.5%3.1%0.3%
30 Day11.0%8.0%1.8%
90 Day24.4%9.9%2.8%
1 Year30.5%29.3%68.4%60.0%39.9%35.9%
3 Year192.4%187.3%69.2%46.8%30.1%14.7%
5 Year328.4%320.9%180.9%131.8%60.1%29.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ramelius Resources undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RMS (A$1.81) is trading below our estimate of fair value (A$3.78)

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


Price To Earnings Ratio

PE vs Industry: RMS is good value based on its PE Ratio (7.9x) compared to the AU Metals and Mining industry average (14x).

PE vs Market: RMS is good value based on its PE Ratio (7.9x) compared to the Australian market (20.6x).


Price to Earnings Growth Ratio

PEG Ratio: RMS is poor value based on its PEG Ratio (6.6x)


Price to Book Ratio

PB vs Industry: RMS's PB Ratio (2.5x) is in line with the AU Metals and Mining industry average.


Future Growth

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

1.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RMS's forecast earnings growth (1.2% per year) is below the savings rate (1.9%).

Earnings vs Market: RMS's earnings (1.2% per year) are forecast to grow slower than the Australian market (14% per year).

High Growth Earnings: RMS's earnings are forecast to grow, but not significantly.

Revenue vs Market: RMS's revenue is expected to decline over the next 3 years (-1.6% per year).

High Growth Revenue: RMS's revenue is forecast to decline over the next 3 years (-1.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RMS's Return on Equity is forecast to be low in 3 years time (19.9%).


Past Performance

How has Ramelius Resources performed over the past 5 years?

43.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RMS has high quality earnings.

Growing Profit Margin: RMS's current net profit margins (27%) are higher than last year (11.5%).


Past Earnings Growth Analysis

Earnings Trend: RMS's earnings have grown significantly by 43.1% per year over the past 5 years.

Accelerating Growth: RMS's earnings growth over the past year (358.9%) exceeds its 5-year average (43.1% per year).

Earnings vs Industry: RMS earnings growth over the past year (358.9%) exceeded the Metals and Mining industry 25.6%.


Return on Equity

High ROE: RMS's Return on Equity (29.9%) is considered high.


Financial Health

How is Ramelius Resources's financial position?


Financial Position Analysis

Short Term Liabilities: RMS's short term assets (A$312.7M) exceed its short term liabilities (A$150.3M).

Long Term Liabilities: RMS's short term assets (A$312.7M) exceed its long term liabilities (A$81.4M).


Debt to Equity History and Analysis

Debt Level: RMS's debt to equity ratio (1.4%) is considered satisfactory.

Reducing Debt: RMS had negative shareholder equity 5 years ago, but is now positive and has therefore improved.

Debt Coverage: RMS's debt is well covered by operating cash flow (4349%).

Interest Coverage: RMS's interest payments on its debt are well covered by EBIT (104.1x coverage).


Balance Sheet


Dividend

What is Ramelius Resources's current dividend yield, its reliability and sustainability?

1.10%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: RMS's dividend (1.1%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.03%).

High Dividend: RMS's dividend (1.1%) is low compared to the top 25% of dividend payers in the Australian market (5.25%).


Stability and Growth of Payments

Stable Dividend: RMS is not paying a notable dividend for the Australian market, therefore no need to check if payments are stable.

Growing Dividend: RMS 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: RMS is not paying a notable dividend for the Australian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of RMS'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?

5.3yrs

Average management tenure


CEO

Mark Zeptner

6.92yrs

Tenure

AU$1,334,077

Compensation

Mr. Mark William Zeptner, BEng (Hons) Mining, MAusIMM, MAICD, AGIA, Life member AIM, FAICD serves as Non-Executive Director at Spectrum Metals Limited since March 2020. He has been the Chief Executive Offi...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD1.04M) is about average for companies of similar size in the Australian market ($USD878.93K).

Compensation vs Earnings: Mark's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: RMS's management team is seasoned and experienced (5.3 years average tenure).


Board Members

Experienced Board: RMS's board of directors are not considered experienced ( 2.8 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: RMS 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 5.4%.


Top Shareholders

Company Information

Ramelius Resources Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ramelius Resources Limited
  • Ticker: RMS
  • Exchange: ASX
  • Founded: 1979
  • Industry: Gold
  • Sector: Materials
  • Market Cap: AU$1.396b
  • Shares outstanding: 814.02m
  • Website: https://www.rameliusresources.com.au

Number of Employees


Location

  • Ramelius Resources Limited
  • 130 Royal Street
  • Level 1
  • East Perth
  • Western Australia
  • 6004
  • Australia

Listings


Biography

Ramelius Resources Limited, together with its subsidiaries, engages in the exploration, mine development and operation, and production and sale of gold in Australia. The company holds interests in the Edna...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/07 08:02
End of Day Share Price2021/05/07 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.