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Silver Lake Resources

Market Cap

AU$1.2b

Last Updated

2021/09/22 08:06 UTC

Data Sources

Company Financials +

Executive Summary

Silver Lake Resources Limited, together with its subsidiaries, engages in the exploration, mine development, mine operation, and sale of gold and copper concentrates in Eastern Goldfields and Midwest regions of Western Australia. More Details


Snowflake Analysis

Flawless balance sheet and undervalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SLR is not significantly more volatile than the rest of Australian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SLR's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-3.2%

SLR

-7.9%

AU Metals and Mining

-2.2%

AU Market


1 Year Return

-42.8%

SLR

8.6%

AU Metals and Mining

23.7%

AU Market

Return vs Industry: SLR underperformed the Australian Metals and Mining industry which returned 8.6% over the past year.

Return vs Market: SLR underperformed the Australian Market which returned 23.7% over the past year.


Shareholder returns

SLRIndustryMarket
7 Day-3.2%-7.9%-2.2%
30 Day0.7%-10.2%-2.7%
90 Day-21.0%-13.6%0.1%
1 Year-42.8%-42.8%17.2%8.6%29.0%23.7%
3 Year146.4%146.4%52.8%28.5%33.2%16.9%
5 Year165.7%165.7%112.7%68.5%62.7%30.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Silver Lake 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: SLR (A$1.36) is trading below our estimate of fair value (A$7)

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


Price To Earnings Ratio

PE vs Industry: SLR is poor value based on its PE Ratio (12.2x) compared to the Australian Metals and Mining industry average (11.9x).

PE vs Market: SLR is good value based on its PE Ratio (12.2x) compared to the Australian market (18.5x).


Price to Earnings Growth Ratio

PEG Ratio: SLR's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: SLR is good value based on its PB Ratio (1.3x) compared to the AU Metals and Mining industry average (2.5x).


Future Growth

How is Silver Lake Resources forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

-0.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SLR's earnings are forecast to decline over the next 3 years (-0.8% per year).

Earnings vs Market: SLR's earnings are forecast to decline over the next 3 years (-0.8% per year).

High Growth Earnings: SLR's earnings are forecast to decline over the next 3 years.

Revenue vs Market: SLR's revenue is expected to decline over the next 3 years (-0.3% per year).

High Growth Revenue: SLR's revenue is forecast to decline over the next 3 years (-0.3% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: SLR's Return on Equity is forecast to be low in 3 years time (8.1%).


Past Performance

How has Silver Lake Resources performed over the past 5 years?

69.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SLR has high quality earnings.

Growing Profit Margin: SLR's current net profit margins (16.4%) are lower than last year (45.6%).


Past Earnings Growth Analysis

Earnings Trend: SLR's earnings have grown significantly by 69% per year over the past 5 years.

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

Earnings vs Industry: SLR had negative earnings growth (-61.8%) over the past year, making it difficult to compare to the Metals and Mining industry average (44.4%).


Return on Equity

High ROE: SLR's Return on Equity (11%) is considered low.


Financial Health

How is Silver Lake Resources's financial position?


Financial Position Analysis

Short Term Liabilities: SLR's short term assets (A$405.5M) exceed its short term liabilities (A$110.7M).

Long Term Liabilities: SLR's short term assets (A$405.5M) exceed its long term liabilities (A$84.4M).


Debt to Equity History and Analysis

Debt Level: SLR is debt free.

Reducing Debt: SLR has no debt compared to 5 years ago when its debt to equity ratio was 3.2%.

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

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


Balance Sheet


Dividend

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


Dividend Yield vs Market

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

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

Growing Dividend: Insufficient data to determine if SLR'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 SLR'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?

6.8yrs

Average management tenure


CEO

Luke Tonkin (57 yo)

6.83yrs

Tenure

AU$1,933,334

Compensation

Mr. Luke Tonkin, BEng, MAusIMM, AICD, Min Eng, has been Director of Egan Street Resources Pty Ltd (formerly known as Egan Street Resources Limited) since November 22, 2019. Mr. Tonkin has been the Managing...


CEO Compensation Analysis

Compensation vs Market: Luke's total compensation ($USD1.40M) is above average for companies of similar size in the Australian market ($USD945.21K).

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


Leadership Team

Experienced Management: SLR's management team is seasoned and experienced (6.8 years average tenure).


Board Members

Experienced Board: SLR's board of directors are considered experienced (5.8 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Silver Lake Resources Limited
  • Ticker: SLR
  • Exchange: ASX
  • Founded: 2004
  • Industry: Gold
  • Sector: Materials
  • Market Cap: AU$1.169b
  • Shares outstanding: 885.33m
  • Website: https://www.silverlakeresources.com.au

Number of Employees


Location

  • Silver Lake Resources Limited
  • South Shore Centre
  • Suite 4
  • South Perth
  • Western Australia
  • 6151
  • Australia

Listings


Biography

Silver Lake Resources Limited, together with its subsidiaries, engages in the exploration, mine development, mine operation, and sale of gold and copper concentrates in Eastern Goldfields and Midwest regio...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/22 08:06
End of Day Share Price2021/09/22 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.