ASX:ZNC

Stock Analysis Report

Executive Summary

Zenith Minerals Limited, together with its subsidiaries, engages in the identification, exploration, and development of base, industrial, and precious metals in Australia, Turkey, Mexico, and the United States.

Snowflake

Fundamentals

Adequate balance sheet with weak fundamentals.

Share Price & News

How has Zenith Minerals's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-10.0%

ZNC

-3.4%

AU Metals and Mining

0.4%

AU Market


1 Year Return

-25.0%

ZNC

8.1%

AU Metals and Mining

9.8%

AU Market

Return vs Industry: ZNC underperformed the Australian Metals and Mining industry which returned 8.1% over the past year.

Return vs Market: ZNC underperformed the Australian Market which returned 9.8% over the past year.


Shareholder returns

ZNCIndustryMarket
7 Day-10.0%-3.4%0.4%
30 Day0%-7.4%-1.3%
90 Day-19.2%-13.2%-0.5%
1 Year-25.0%-25.0%15.6%8.1%16.1%9.8%
3 Year-47.5%-47.5%55.8%37.1%36.1%17.9%
5 Year-19.0%-21.2%53.9%19.0%49.4%15.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Zenith Minerals undervalued compared to its fair value and its price relative to the market?

3.02x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ZNC's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ZNC's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: ZNC is overvalued based on its PB Ratio (3x) compared to the AU Metals and Mining industry average (1.5x).


Next Steps

Future Growth

How is Zenith Minerals forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

2.9%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Zenith Minerals has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Zenith Minerals performed over the past 5 years?

38.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ZNC is unprofitable, but has reduced losses over the past 5 years at a rate of 38.3% per year.

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

Earnings vs Industry: ZNC is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (1.3%).


Return on Equity

High ROE: ZNC has a negative Return on Equity (-15.68%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ZNC is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ZNC is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Zenith Minerals's financial position?


Financial Position Analysis

Short Term Liabilities: ZNC's short term assets (A$1.1M) exceeds its short term liabilities (A$195.9K)

Long Term Liabilities: ZNC has no long term liabilities


Debt to Equity History and Analysis

Debt Level: ZNC is debt free.

Reducing Debt: ZNC has not had any debt for past 5 years.


Balance Sheet

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

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


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ZNC has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: ZNC has less than a year of cash runway if free cash flow continues to reduce at historical rates of -13.8% each year


Next Steps

Dividend

What is Zenith Minerals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.4%markettop25%5.6%industryaverage4.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

High Dividend: Unable to evaluate ZNC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ZNC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ZNC'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 ZNC's dividend in 3 years as they are not forecast to pay a notable one for the Australian market.


Next Steps

Management

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

6.0yrs

Average board tenure


CEO

Mick Clifford 0

5.6yrs

Tenure

AU$295,894

Compensation

Mr. Michael Joseph Clifford, also known as Mick, BSc (Hons), MSc, MAIG), has been Managing Director of Zenith Minerals Limited since March 18, 2014 and serves as its Chief Executive Officer. Mr. Clifford s ...


CEO Compensation Analysis

Compensation vs. Market: Mick's total compensation ($USD202.57K) is about average for companies of similar size in the Australian market ($USD257.37K).

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


Board Age and Tenure

6.0yrs

Average Tenure

Experienced Board: ZNC's board of directors are considered experienced (6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyAU$17,61227 May 19
Julian Goldsworthy
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares271,870
Max PriceAU$0.065
BuyAU$6,73008 Feb 19
Michael Clifford
EntityIndividual
Role
Chief Executive Officer
MD & Director
Shares100,000
Max PriceAU$0.067
BuyAU$14916 Nov 18
Rodney Joyce
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares1,870
Max PriceAU$0.08

Ownership Breakdown


Management Team

  • Mick Clifford

    MD & Director

    • Tenure: 5.6yrs
    • Compensation: AU$295.89k
  • Melinda Nelmes

    Company Secretary & CFO

    • Tenure: 5.6yrs
    • Compensation: AU$112.60k

Board Members

  • Graham Riley (67yo)

    Non-Executive Director

    • Tenure: 1.4yrs
    • Compensation: AU$32.85k
  • Stan Macdonald (78yo)

    Non-Executive Director

    • Tenure: 13.5yrs
    • Compensation: AU$32.85k
  • Mike Joyce

    Non-Executive Chairman

    • Tenure: 6yrs
    • Compensation: AU$43.80k
  • Mick Clifford

    MD & Director

    • Tenure: 5.6yrs
    • Compensation: AU$295.89k
  • Julian Goldsworthy

    Non-Executive Director

    • Tenure: 6.2yrs
    • Compensation: AU$32.85k

Company Information

Zenith Minerals Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Zenith Minerals Limited
  • Ticker: ZNC
  • Exchange: ASX
  • Founded: 2006
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: AU$13.426m
  • Shares outstanding: 213.11m
  • Website: https://www.zenithminerals.com.au

Number of Employees


Location

  • Zenith Minerals Limited
  • 33 Ord Street
  • 2nd Floor
  • West Perth
  • Western Australia
  • 6005
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ZNCASX (Australian Securities Exchange)YesOrdinary SharesAUAUDMay 2007
ZCBDB (Deutsche Boerse AG)YesOrdinary SharesDEEURMay 2007
ZNCCHIA (Chi-X Australia)YesOrdinary SharesAUAUDMay 2007

Biography

Zenith Minerals Limited, together with its subsidiaries, engages in the identification, exploration, and development of base, industrial, and precious metals in Australia, Turkey, Mexico, and the United St ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/21 10:33
End of Day Share Price2019/10/21 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.