Executive Summary
Saracen Mineral Holdings Limited, a gold mining company, explores for and develops mineral properties in Australia.
Rewards
Risk Analysis
Snowflake Analysis
Solid track record with reasonable growth potential.
Similar Companies
Share Price & News
How has Saracen Mineral Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SAR's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-2.5%
SAR
3.6%
AU Metals and Mining
2.9%
AU Market
1 Year Return
67.6%
SAR
0.6%
AU Metals and Mining
-13.6%
AU Market
Return vs Industry: SAR exceeded the Australian Metals and Mining industry which returned 0.8% over the past year.
Return vs Market: SAR exceeded the Australian Market which returned -15% over the past year.
Shareholder returns
| SAR | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.5% | 3.6% | 2.9% |
| 30 Day | 24.5% | 14.0% | 8.3% |
| 90 Day | 31.4% | 0.05% | -18.0% |
| 1 Year | 70.9%67.6% | 6.0%0.6% | -10.0%-13.6% |
| 3 Year | 445.1%434.6% | 64.0%41.3% | 9.8%-4.7% |
| 5 Year | 1076.3%1053.7% | 86.5%49.0% | 20.7%-5.4% |
Price Volatility Vs. Market
How volatile is Saracen Mineral Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
How Does Saracen Mineral Holdings's (ASX:SAR) P/E Compare To Its Industry, After Its Big Share Price Gain?2 weeks ago | Simply Wall St
Imagine Holding Saracen Mineral Holdings (ASX:SAR) Shares While The Price Zoomed 810% Higher1 month ago | Simply Wall St
How Does Saracen Mineral Holdings's (ASX:SAR) P/E Compare To Its Industry, After Its Big Share Price Gain?Valuation
Is Saracen Mineral Holdings undervalued compared to its fair value and its price relative to the market?
21.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SAR (A$5.48) is trading below our estimate of fair value (A$6.99)
Significantly Below Fair Value: SAR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SAR is poor value based on its PE Ratio (39.4x) compared to the Metals and Mining industry average (9.2x).
PE vs Market: SAR is poor value based on its PE Ratio (39.4x) compared to the Australian market (14.7x).
Price to Earnings Growth Ratio
PEG Ratio: SAR is poor value based on its PEG Ratio (2.6x)
Price to Book Ratio
PB vs Industry: SAR is overvalued based on its PB Ratio (4.3x) compared to the AU Metals and Mining industry average (1.4x).
Next Steps
Future Growth
How is Saracen Mineral Holdings forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
15.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SAR's forecast earnings growth (15% per year) is above the savings rate (2.3%).
Earnings vs Market: SAR's earnings (15% per year) are forecast to grow faster than the Australian market (14.4% per year).
High Growth Earnings: SAR's earnings are forecast to grow, but not significantly.
Revenue vs Market: SAR's revenue (13% per year) is forecast to grow faster than the Australian market (4.3% per year).
High Growth Revenue: SAR's revenue (13% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SAR's Return on Equity is forecast to be high in 3 years time (21.5%)
Next Steps
Past Performance
How has Saracen Mineral Holdings performed over the past 5 years?
45.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SAR has high quality earnings.
Growing Profit Margin: SAR's current net profit margins (17.4%) are higher than last year (13.3%).
Past Earnings Growth Analysis
Earnings Trend: SAR's earnings have grown significantly by 45.1% per year over the past 5 years.
Accelerating Growth: SAR's earnings growth over the past year (63.5%) exceeds its 5-year average (45.1% per year).
Earnings vs Industry: SAR earnings growth over the past year (63.5%) exceeded the Metals and Mining industry -7.9%.
Return on Equity
High ROE: SAR's Return on Equity (8.4%) is considered low.
Next Steps
Financial Health
How is Saracen Mineral Holdings's financial position?
Financial Position Analysis
Short Term Liabilities: SAR's short term assets (A$530.5M) exceed its short term liabilities (A$268.2M).
Long Term Liabilities: SAR's short term assets (A$530.5M) do not cover its long term liabilities (A$669.6M).
Debt to Equity History and Analysis
Debt Level: SAR's debt to equity ratio (26.8%) is considered satisfactory.
Reducing Debt: SAR's debt to equity ratio has increased from 5.3% to 26.8% over the past 5 years.
Debt Coverage: SAR's debt is well covered by operating cash flow (70.6%).
Interest Coverage: SAR earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Next Steps
Dividend
What is Saracen Mineral Holdings's current dividend yield, its reliability and sustainability?
1.33%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate SAR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate SAR'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 SAR's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if SAR'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 SAR'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?
4.3yrs
Average management tenure
CEO
Raleigh Finlayson (40yo)
7.08yrs
Tenure
AU$1,904,987
Compensation
Mr. Raleigh John Finlayson has been Managing Director of Saracen Mineral Holdings Limited since April 2, 2013 and serves as its Director. Mr. Finlayson is a Member of the Australasian Institute of Mining a ...
CEO Compensation Analysis
Compensation vs Market: Raleigh's total compensation ($USD1.24M) is below average for companies of similar size in the Australian market ($USD2.33M).
Compensation vs Earnings: Raleigh's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Director | 7.08yrs | AU$1.90m | 0.34% A$20.3m | |
| Chief Financial Officer | 3.42yrs | AU$1.29m | 0.0041% A$243.0k | |
| Chief Operating Officer | 2.42yrs | AU$1.54m | no data | |
| Chief Corporate Development Officer | 5.17yrs | AU$870.86k | no data | |
| Manager Legal & Company Secretary | 8.17yrs | no data | no data | |
| General Manager of People | 2.17yrs | AU$1.33m | no data | |
| Consultant | no data | no data | no data |
4.3yrs
Average Tenure
Experienced Management: SAR's management team is considered experienced (4.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Director | 7.08yrs | AU$1.90m | 0.34% A$20.3m | |
| Independent Non-Executive Chairman | 1.67yrs | AU$136.00k | 0.0061% A$361.5k | |
| Non-Executive Director | 7.75yrs | AU$166.70k | 0.0037% A$222.1k | |
| Independent Non-Executive Director | 2.83yrs | AU$120.00k | 0.0012% A$70.3k | |
| Independent Non-Executive Director | 6.58yrs | AU$120.00k | 0.00025% A$14.9k | |
| Independent Non-Executive Director | 1yr | AU$20.00k | no data | |
| Independent Non-Executive Director | no data | no data | no data |
4.7yrs
Average Tenure
58yo
Average Age
Experienced Board: SAR's board of directors are considered experienced (4.7 years average tenure).
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 diluted in the past year, with total shares outstanding growing by 34.5%.
Top Shareholders
Company Information
Saracen Mineral Holdings Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Saracen Mineral Holdings Limited
- Ticker: SAR
- Exchange: ASX
- Founded: 1987
- Industry: Gold
- Sector: Materials
- Market Cap: AU$5.956b
- Shares outstanding: 1.10b
- Website: https://www.saracen.com.au
Number of Employees
Location
- Saracen Mineral Holdings Limited
- 40 The Esplanade
- Level 11
- Perth
- Western Australia
- 6000
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SAR | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Jan 1992 |
| SIH | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| SCEX.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| SAR | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Jan 1992 |
Biography
Saracen Mineral Holdings Limited, a gold mining company, explores for and develops mineral properties in Australia. It explores for gold and nickel deposits. The company owns 100% interests in the Carosue Dam operations located to the north-east of Kalgoorlie, Western Australia; and Thunderbox operations located in the Yandal and the Agnew-Wiluna belts in the North Eastern Goldfields of Western Australia. Saracen Mineral Holdings Limited was incorporated in 1987 and is headquartered in Perth, Australia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/05/25 10:35 |
| End of Day Share Price | 2020/05/25 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.