TSX:AUG

Stock Analysis Report

Executive Summary

Auryn Resources Inc., an exploration stage company, engages in the acquisition, exploration, and development of mineral resource properties.


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AUG has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.8%

AUG

3.5%

CA Metals and Mining

-1.5%

CA Market


1 Year Return

19.3%

AUG

6.8%

CA Metals and Mining

2.5%

CA Market

Return vs Industry: AUG exceeded the Canadian Metals and Mining industry which returned 6.8% over the past year.

Return vs Market: AUG exceeded the Canadian Market which returned 2.5% over the past year.


Shareholder returns

AUGIndustryMarket
7 Day-3.8%3.5%-1.5%
30 Day4.7%5.0%-0.7%
90 Day5.3%14.3%1.8%
1 Year19.3%19.3%7.5%6.8%5.7%2.5%
3 Year-42.3%-42.3%2.8%1.0%16.8%6.2%
5 Year22.6%22.6%29.1%25.4%32.0%12.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

4.33x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

PE vs Market: AUG is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AUG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AUG is overvalued based on its PB Ratio (4.3x) compared to the CA Metals and Mining industry average (1.6x).


Next Steps

Future Growth

How is Auryn Resources forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-1.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AUG is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: AUG is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: AUG is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if AUG's revenue is forecast to grow faster than the Canadian market.

High Growth Revenue: Insufficient data to determine if AUG's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if AUG's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Auryn Resources performed over the past 5 years?

-40.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AUG is currently unprofitable.

Growing Profit Margin: AUG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AUG is unprofitable, and losses have increased over the past 5 years at a rate of -40.4% per year.

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

Earnings vs Industry: AUG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.9%).


Return on Equity

High ROE: AUG has a negative Return on Equity (-33.68%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Auryn Resources's financial position?


Financial Position Analysis

Short Term Liabilities: AUG's short term assets (CA$4.3M) do not cover its short term liabilities (CA$4.5M).

Long Term Liabilities: AUG's short term assets (CA$4.3M) exceed its long term liabilities (CA$2.2M).


Debt to Equity History and Analysis

Debt Level: AUG's debt to equity ratio (7.1%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if AUG's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: AUG's debt is covered by short term assets (assets are 1.5x debt).


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: AUG has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: AUG has less than a year of cash runway if free cash flow continues to reduce at historical rates of -33.2% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.6%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

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


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.7yrs

Average management tenure


CEO

Shawn Wallace (49yo)

6.8yrs

Tenure

CA$375,663

Compensation

Mr. Shawn Kristen Wallace has been the Chief Executive Officer and President of Auryn Resources Inc. (formerly Georgetown Capital Corp.) since May 23, 2013. Mr. Wallace has been an Advisor of Full Metal Mi ...


CEO Compensation Analysis

Compensation vs Market: Shawn's total compensation ($USD283.03K) is above average for companies of similar size in the Canadian market ($USD154.48K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Ivan Bebek
Executive Chairman5yrsCA$443.16k4.86% CA$8.9m
Shawn Wallace
President6.8yrsCA$375.66k2.87% CA$5.3m
Michael Henrichsen
Chief Geologist & COO6.3yrsCA$372.03k0.20% CA$363.8k
Russell Starr
Senior Vice President of Corporate Finance1.7yrsCA$309.53k1.09% CA$2.0m
David Smithson
Vice President of Exploration4.1yrsCA$334.53kno data
Stacy Rowa
Chief Financial Officer0.8yrsno data0.0087% CA$16.0k
Natasha Frakes
Manager of Corporate Communications1.8yrsno datano data

3.7yrs

Average Tenure

Experienced Management: AUG's management team is considered experienced (3.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ivan Bebek
Executive Chairman5yrsCA$443.16k4.86% CA$8.9m
Shawn Wallace
President6.8yrsCA$375.66k2.87% CA$5.3m
Jeffrey Mason
Independent Director1yrsno data0.79% CA$1.4m
Gordon Fretwell
Independent Director6.3yrsno data0.084% CA$155.3k
Steven Cook
Independent Director6.3yrsno data1.01% CA$1.9m
Antonio Arribas
Independent Director4.5yrsno datano data
Michael Kosowan
Director3.3yrsno data2.91% CA$5.3m

5.0yrs

Average Tenure

62yo

Average Age

Experienced Board: AUG's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: AUG 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 11.7%.


Top Shareholders

Company Information

Auryn Resources Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Auryn Resources Inc.
  • Ticker: AUG
  • Exchange: TSX
  • Founded: 2008
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$183.795m
  • Shares outstanding: 101.54m
  • Website: https://www.aurynresources.com

Number of Employees


Location

  • Auryn Resources Inc.
  • 1199 West Hastings Street
  • Suite 600
  • Vancouver
  • British Columbia
  • V6E 3T5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AUGTSX (The Toronto Stock Exchange)YesCommon SharesCACADOct 2008
AUGAMEX (NYSE MKT LLC)YesCommon SharesUSUSDOct 2008
AUNDB (Deutsche Boerse AG)YesCommon SharesDEEUROct 2008
0UJKLSE (London Stock Exchange)YesCommon SharesGBCADOct 2008

Biography

Auryn Resources Inc., an exploration stage company, engages in the acquisition, exploration, and development of mineral resource properties. Its two flagships properties are the Committee Bay gold project located in Nunavut, Canada; and the Sombrero copper-gold project located in Ayacucho province of Southwestern Peru. The company was formerly known as Georgetown Capital Corp. and changed its name to Auryn Resources Inc. in October 2013. Auryn Resources Inc. was incorporated in 2008 and is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 00:41
End of Day Share Price2020/02/24 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.