Avalon Advanced Materials Inc., together with its subsidiaries, engages in the exploration and development of mineral properties primarily in Canada.
The last earnings update was 67 days ago.
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Avalon Advanced Materials. This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
Avalon Advanced Materials's
is considered below, and whether this is a fair price.
Price based on past earnings
Avalon Advanced Materials's earnings available for a low price, and how does
this compare to other companies in the same industry?
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 Avalon Advanced Materials 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 Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Metals and Mining industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Avalon Advanced Materials
expected to grow at an
Unable to compare Avalon Advanced Materials's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Avalon Advanced Materials's earnings growth to the Canada market average as no estimate data is available.
Unable to compare Avalon Advanced Materials's revenue growth to the Canada market average as no estimate data is available.
Unable to determine if Avalon Advanced Materials is high growth as no earnings estimate data is available.
Unable to determine if Avalon Advanced Materials is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Avalon Advanced Materials's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
Metals and Mining
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Avalon Advanced Materials
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Avalon Advanced Materials's finances.
The net worth of a company is the difference between its assets and liabilities.
Avalon Advanced Materials's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Avalon Advanced Materials's long term commitments exceed its cash and other short term assets.
This treemap shows a more detailed breakdown of
Avalon Advanced Materials's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is not covered by short term assets, assets are 0.3x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Donald Stephen Bubar, also known as Don, M.Sc., P.Geo has been President and Chief Executive Officer of Avalon Advanced Materials Inc. (formerly Avalon Rare Metals Inc.) since 1995 and has been its Director since February 17, 1995. Mr. Bubar has been a Director of Wolfden Resources Corporation since June 26, 2018. He serves as Chairman of Imperial Mining Group Ltd. He is a Geologist with 40 years of experience in mineral exploration and development in Canada. From 1984 to 1994, he worked for Aur Resources Inc. as Exploration Manager and later VP, Exploration, where he was involved in gold and base metal exploration on numerous projects in the Abitibi region of Quebec. Prior to joining Aur, he was involved in base metal exploration in the NWT with Kidd Creek Mines Ltd. where he participated in the discovery of the Gondor VMS deposit in 1982. He has been Director of ZEN Graphene Solutions Ltd. (formerly known as Zenyatta Ventures Limited) since June 22, 2018 and has been its Co-Chief Executive Officer since 2018. Mr. Bubar founded and served as a Director of the Prospectors and Developers Association of Canada (PDAC) for nine years and Chair of its Aboriginal Affairs Committee from its creation in December, 2004 until retiring from the PDAC Board in March, 2013. Throughout his career, Mr. Bubar has been advocate for increased Aboriginal participation in the mineral industry, first through the PDAC and later through the NWT and Nunavut Chamber of Mines. Mr. Bubar serves on the Advisory Board to the Faculty of Science of McGill University and on the Board of Directors of Mining Matters. Mr. Bubar is a Graduate of McGill University with B.Sc., in 1977 and from Queen’s University with M.Sc., in 1981.
Don's compensation has been consistent with company performance over the past year.
Don's remuneration is higher than average for companies of similar size in Canada.
Management Team Tenure
Average tenure and age of the
Avalon Advanced Materials
management team in years:
The average tenure for the Avalon Advanced Materials management team is over 5 years, this suggests they are a seasoned and experienced team.
VP of Finance
Vice President of Sales & Marketing
Senior Vice President of Metallurgy & Technology Development
Vice President of Sustainability
Senior Legal Counsel
Director of Communications
Vice President of Exploration
Market Development and Energy Consultant
Board of Directors Tenure
Average tenure and age of the
Avalon Advanced Materials
board of directors in years:
The average tenure for the Avalon Advanced Materials board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors
Non-Executive Board Chairman
Alan L. Ferry
Who owns this company?
Recent Insider Trading
Avalon Advanced Materials insiders have only sold shares in the past 3 months, but not in substantial volumes.
What Investors Should Know About Avalon Advanced Materials Inc's (TSE:AVL) Financial Strength
While small-cap stocks, such as Avalon Advanced Materials Inc (TSE:AVL) with its market cap of CA$23.02m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.
Avalon Advanced Materials Inc., together with its subsidiaries, engages in the exploration and development of mineral properties primarily in Canada. The company focuses on rare metals and minerals, including lithium, tantalum, niobium, cesium, indium, gallium, germanium, rare earth elements, yttrium, and zirconium, as well as tin. It focuses on the Nechalacho project, which comprises 5 contiguous mining leases covering an area of 10,449 acres and 3 claims covering an area of 4,597 acres located at Thor Lake in the Mackenzie Mining District of the Northwest Territories; the Separation Rapids Lithium project, which consists of 15 mineral claims and 1 mining claim lease covering an area of approximately 2,869 hectares located in the Paterson Lake Area of the Kenora Mining Division, Ontario; and the East Kemptville Tin-Indium project located northeast of Yarmouth in Yarmouth County, southwestern Nova Scotia. It also owns royalty interests in 2 exploration projects. The company was formerly known as Avalon Rare Metals Inc. and changed its name to Avalon Advanced Materials Inc. in February 2016. Avalon Advanced Materials Inc. was founded in 1991 and is headquartered in Toronto, Canada.
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