ASX:RRL

Stock Analysis Report

Executive Summary

Regis Resources Limited, together with its subsidiaries, explores for, evaluates, and develops gold projects in Australia.

Snowflake

Fundamentals

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.9%

RRL

-1.4%

AU Metals and Mining

0.1%

AU Market


1 Year Return

15.9%

RRL

10.2%

AU Metals and Mining

11.9%

AU Market

Return vs Industry: RRL exceeded the Australian Metals and Mining industry which returned 10.2% over the past year.

Return vs Market: RRL exceeded the Australian Market which returned 11.9% over the past year.


Shareholder returns

RRLIndustryMarket
7 Day1.9%-1.4%0.1%
30 Day0%-6.2%-1.1%
90 Day-15.6%-11.8%-1.4%
1 Year19.4%15.9%18.2%10.2%18.5%11.9%
3 Year64.3%47.4%57.7%38.7%36.4%18.1%
5 Year311.7%243.1%70.4%29.8%50.9%16.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

34.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RRL (A$4.82) is trading below our estimate of fair value (A$7.32)

Significantly Below Fair Value: RRL is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: RRL is poor value based on its PE Ratio (15x) compared to the Metals and Mining industry average (13x).

PE vs Market: RRL is good value based on its PE Ratio (15x) compared to the Australian market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: RRL is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: RRL is overvalued based on its PB Ratio (3.4x) compared to the AU Metals and Mining industry average (1.5x).


Next Steps

Future Growth

How is Regis Resources forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

14.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RRL's forecast earnings growth (14.1% per year) is above the savings rate (2.3%).

Earnings vs Market: RRL's earnings (14.1% per year) are forecast to grow faster than the Australian market (10.2% per year).

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

Revenue vs Market: RRL's revenue (8.8% per year) is forecast to grow faster than the Australian market (3.6% per year).

High Growth Revenue: RRL's revenue (8.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RRL's Return on Equity is forecast to be high in 3 years time (23.4%)


Next Steps

Past Performance

How has Regis Resources performed over the past 5 years?

44.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: RRL has become profitable over the past 5 years, growing earnings by 44.4% per year.

Accelerating Growth: RRL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RRL had negative earnings growth (-6.4%) over the past year, making it difficult to compare to the Metals and Mining industry average (14.4%).


Return on Equity

High ROE: RRL's Return on Equity (22.8%) is considered high.


Return on Assets

ROA vs Industry: RRL has a higher Return on Assets than the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: RRL's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Regis Resources's financial position?


Financial Position Analysis

Short Term Liabilities: RRL's short term assets (A$254.9M) exceeds its short term liabilities (A$84.1M)

Long Term Liabilities: RRL's short term assets (254.9M) exceeds its long term liabilities (153.4M)


Debt to Equity History and Analysis

Debt Level: RRL is debt free.

Reducing Debt: RRL has no debt compared to 5 years ago when its debt to equity ratio was 12.4%.

Debt Coverage: RRL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: RRL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: RRL has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if RRL's debt is covered by short term assets.


Next Steps

Dividend

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

3.32%

Current Dividend Yield


Dividend Yield vs Market

company3.3%marketbottom25%2.4%markettop25%5.6%industryaverage4.8%forecastin3Years4.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: RRL's dividend (3.32%) is higher than the bottom 25% of dividend payers in the Australian market (2.44%).

High Dividend: RRL's dividend (3.32%) is low compared to the top 25% of dividend payers in the Australian market (5.58%).

Stable Dividend: RRL has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: RRL's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (49.7%), RRL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RRL's dividends in 3 years are forecast to be well covered by earnings (44.3% payout ratio).


Next Steps

Management

What is the CEO of Regis Resources's salary, the management and board of directors tenure and is there insider trading?

0.8yrs

Average management tenure


CEO

Jim Beyer 0

1yrs

Tenure

AU$1,077,273

Compensation

Mr. Jim Beyer, B.Eng (Mining), Mausimm, has been Chief Executive Officer and Managing Director at Regis Resources Limited since October 15, 2018 and serves as its Director. He was the Chief Executive Offic ...


CEO Compensation Analysis

Compensation vs. Market: Jim has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the Australian market.

Compensation vs Earnings: Insufficient data to compare Jim's compensation with company performance.


Management Age and Tenure

0.8yrs

Average Tenure

Experienced Management: RRL's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Age and Tenure

1.9yrs

Average Tenure

Experienced Board: RRL's board of directors are not considered experienced ( 1.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: RRL insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyAU$39,95802 Sep 19
Stephen Scudamore
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares7,589
Max PriceAU$5.27
BuyAU$51,36228 Aug 19
James Mactier
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares10,000
Max PriceAU$5.14
SellAU$199,46118 Mar 19
Van Eck Associates Corporation
EntityCompany
Shares38,836
Max PriceAU$5.19
BuyAU$2,310,81518 Mar 19
Van Eck Associates Corporation
EntityCompany
Shares423,872
Max PriceAU$5.53
SellAU$39,704,46516 Jan 19
Van Eck Associates Corporation
EntityCompany
Shares8,685,441
Max PriceAU$4.73
BuyAU$30,086,30616 Jan 19
Van Eck Associates Corporation
EntityCompany
Shares6,786,175
Max PriceAU$4.57
BuyAU$124,24905 Nov 18
Jim Beyer
EntityIndividual
Role
Chief Executive Officer
CEO, MD & Director
Shares29,000
Max PriceAU$4.28
SellAU$727,66625 Oct 18
Paul Thomas
EntityIndividual
Shares168,415
Max PriceAU$4.32

Ownership Breakdown


Management Team

  • Jon Latto

    Company Secretary & CFO

    • Tenure: 0.3yrs
    • Compensation: AU$433.14k
  • Jim Beyer

    CEO, MD & Director

    • Tenure: 1yrs
    • Compensation: AU$1.08m
  • Tara French

    General Manager of Exploration

    • Tenure: 0.8yrs

Board Members

  • Terrence Kestel (63yo)

    Independent Non-Executive Director

    • Tenure: 10.3yrs
    • Compensation: AU$142.35k
  • Steve Scudamore (67yo)

    Independent Non-Executive Director

    • Tenure: 0.4yrs
    • Compensation: AU$18.53k
  • Jim Beyer

    CEO, MD & Director

    • Tenure: 1yrs
    • Compensation: AU$1.08m
  • James Mactier

    Non-Executive Chairman

    • Tenure: 0.9yrs
    • Compensation: AU$157.96k
  • Fiona Morgan

    Independent Non-Executive Director

    • Tenure: 2.9yrs
    • Compensation: AU$125.93k

Company Information

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


Key Information

  • Name: Regis Resources Limited
  • Ticker: RRL
  • Exchange: ASX
  • Founded: 1986
  • Industry: Gold
  • Sector: Materials
  • Market Cap: AU$2.444b
  • Shares outstanding: 508.18m
  • Website: https://www.regisresources.com.au

Location

  • Regis Resources Limited
  • 516 Hay Street
  • Level 2
  • Perth
  • Western Australia
  • 6008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RGRN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
RRLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDJan 1992
RKQDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJan 1992
RRLCHIA (Chi-X Australia)YesOrdinary SharesAUAUDJan 1992

Biography

Regis Resources Limited, together with its subsidiaries, explores for, evaluates, and develops gold projects in Australia. The company primarily owns 100% interests in the Duketon project located in the No ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 10:32
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2019/06/30


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.