TSX:CGG

Stock Analysis Report

China Gold International Resources

Executive Summary

China Gold International Resources Corp. Ltd., a gold and base metal mining company, principally engages in the acquisition, exploration, development, and mining of mineral reserves in the People’s Republic of China.


Snowflake Analysis

Moderate growth potential and overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

4.9%

CGG

-6.0%

CA Metals and Mining

-6.2%

CA Market


1 Year Return

-41.2%

CGG

2.2%

CA Metals and Mining

-2.0%

CA Market

Return vs Industry: CGG underperformed the Canadian Metals and Mining industry which returned 2.2% over the past year.

Return vs Market: CGG underperformed the Canadian Market which returned -2% over the past year.


Shareholder returns

CGGIndustryMarket
7 Day4.9%-6.0%-6.2%
30 Day-0.9%-1.0%-5.0%
90 Day5.9%4.9%-2.8%
1 Year-41.2%-41.2%2.9%2.2%1.1%-2.0%
3 Year-59.3%-59.3%-2.8%-4.5%10.7%0.6%
5 Year-26.7%-26.7%25.0%21.4%27.6%8.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is China Gold International Resources undervalued compared to its fair value and its price relative to the market?

0.22x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: CGG is good value based on its PB Ratio (0.2x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

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

104.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CGG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.4%).

Earnings vs Market: CGG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: CGG's is expected to become profitable in the next 3 years.

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

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


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CGG's Return on Equity is forecast to be low in 3 years time (8.8%).


Next Steps

Past Performance

How has China Gold International Resources performed over the past 5 years?

-20.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CGG is currently unprofitable.

Growing Profit Margin: CGG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CGG is unprofitable, and losses have increased over the past 5 years at a rate of -20.8% per year.

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

Earnings vs Industry: CGG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.8%).


Return on Equity

High ROE: CGG has a negative Return on Equity (-2.06%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is China Gold International Resources's financial position?


Financial Position Analysis

Short Term Liabilities: CGG's short term assets ($498.1M) do not cover its short term liabilities ($887.9M).

Long Term Liabilities: CGG's short term assets ($498.1M) do not cover its long term liabilities ($828.9M).


Debt to Equity History and Analysis

Debt Level: CGG's debt to equity ratio (85.1%) is considered high.

Reducing Debt: CGG's debt to equity ratio has increased from 82.4% to 85.1% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: CGG's debt is not covered by short term assets (assets are 0.4x 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: CGG has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: CGG has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is China Gold International Resources's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.1%markettop25%5.9%industryaverage1.2%forecastin3Years0%

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if CGG'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 CGG'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

Liangyou Jiang (53yo)

1.3yrs

Tenure

US$44,997

Compensation

Mr. Liangyou Jiang is the Chief Executive Officer of China Gold International Resources Corp. Ltd. since November 13, 2018 and had been Senior Executive Vice President of China Gold International Resources ...


CEO Compensation Analysis

Compensation vs Market: Liangyou's total compensation ($USD45.00K) is below average for companies of similar size in the Canadian market ($USD1.05M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Liangyou Jiang
CEO & Executive Director1.3yrsUS$45.00kno data
Derrick Zhang
Chief Financial Officer9yrsUS$153.41kno data
Jerry Xie
Executive VP & Corporate Secretary0yrsUS$170.95kno data
Guo Zhongxin
Chief Engineer1.3yrsUS$176.24kno data
Huan Cai
Senior Engineer0yrsUS$180.24kno data
Michael Page
Executive VP16.3yrsUS$129.51kno data
Shiliang Guan
VP & Executive Director0.7yrsno datano data
Wai Fung Ngai
Company Secretary6.1yrsno datano data
Saundra Karlson
Assistant Secretary0yrsno datano data

3.7yrs

Average Tenure

53yo

Average Age

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


Board Members

NamePositionTenureCompensationOwnership
Liangyou Jiang
CEO & Executive Director1.3yrsUS$45.00kno data
Shiliang Guan
VP & Executive Director0.7yrsno datano data
Ying Bin He
Lead Independent Non Executive Director1.3yrsUS$54.00k0.038% $160.5k
Wei Shao
Non Executive Independent Director0.7yrsno datano data
Kang Fuzhen
Non-Executive Director1.3yrsno datano data
Teng Yongqing
Non-Executive Director1.3yrsno datano data
Ruixia Han
Non-Executive Independent Director0.7yrsno datano data
Bielin Shi
Non-Executive Independent Director0.7yrsno datano data

1.0yrs

Average Tenure

52yo

Average Age

Experienced Board: CGG's board of directors are not considered experienced ( 1 years average tenure), which suggests a new board.


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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

China Gold International Resources Corp. Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Gold International Resources Corp. Ltd.
  • Ticker: CGG
  • Exchange: TSX
  • Founded: 2000
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$424.163m
  • Shares outstanding: 396.41m
  • Website: https://www.chinagoldintl.com

Number of Employees


Location

  • China Gold International Resources Corp. Ltd.
  • One Bentall Centre
  • Suite 660
  • Vancouver
  • British Columbia
  • V7X 1M4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CGGTSX (The Toronto Stock Exchange)YesCommon SharesCACADApr 2001
JI3DB (Deutsche Boerse AG)YesCommon SharesDEEURApr 2001
2099SEHK (The Stock Exchange of Hong Kong Ltd.)YesCommon SharesHKHKDApr 2001
JINF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 2001
2099SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesCommon SharesHKHKDApr 2001
2099SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesCommon SharesHKHKDApr 2001

Biography

China Gold International Resources Corp. Ltd., a gold and base metal mining company, principally engages in the acquisition, exploration, development, and mining of mineral reserves in the People’s Republic of China. It primarily holds 96.5% interest in the Chang Shan Hao Gold Mine that comprise a licensed area of 36 square kilometers in the western part of inner Mongolia, northern China; and 100% interest in the Jiama Copper-Gold Polymetallic Mine that hosts copper, gold, molybdenum, silver, lead, and zinc metals located in Metrorkongka County in Tibet. The company was formerly known as Jinshan Gold Mines Inc. China Gold International Resources Corp. Ltd. was incorporated in 2000 and is headquartered in Vancouver, Canada. The company is considered as a Red Chip company due to its listing on the Hong Kong Stock Exchange. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 00:24
End of Day Share Price2020/02/27 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.