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Capstone Mining

Market Cap

CA$1.9b

Last Updated

2021/04/16 23:20 UTC

Data Sources

Company Financials +

Executive Summary

Capstone Mining Corp. engages in the exploration and production of base metals in the United States, Mexico, Canada, and Chile. More Details


Snowflake Analysis

Reasonable growth potential with adequate balance sheet.


Similar Companies

Share Price & News

How has Capstone Mining's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CS is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: CS's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

7.3%

CS

2.7%

CA Metals and Mining

0.5%

CA Market


1 Year Return

912.9%

CS

30.4%

CA Metals and Mining

42.1%

CA Market

Return vs Industry: CS exceeded the Canadian Metals and Mining industry which returned 30.4% over the past year.

Return vs Market: CS exceeded the Canadian Market which returned 42.1% over the past year.


Shareholder returns

CSIndustryMarket
7 Day7.3%2.7%0.5%
30 Day23.9%6.4%1.8%
90 Day65.8%5.3%8.5%
1 Year912.9%912.9%31.7%30.4%46.9%42.1%
3 Year273.8%273.8%55.7%52.1%32.0%19.1%
5 Year511.7%511.7%66.3%60.9%57.1%33.1%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Capstone Mining 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: CS (CA$4.82) is trading below our estimate of fair value (CA$59.42)

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


Price To Earnings Ratio

PE vs Industry: CS is poor value based on its PE Ratio (120.5x) compared to the CA Metals and Mining industry average (18.2x).

PE vs Market: CS is poor value based on its PE Ratio (120.5x) compared to the Canadian market (16.9x).


Price to Earnings Growth Ratio

PEG Ratio: CS is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: CS is good value based on its PB Ratio (2x) compared to the CA Metals and Mining industry average (2.8x).


Future Growth

How is Capstone Mining forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

30.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CS's forecast earnings growth (30.1% per year) is above the savings rate (1.5%).

Earnings vs Market: CS's earnings (30.1% per year) are forecast to grow faster than the Canadian market (20% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: CS's revenue (18.7% per year) is forecast to grow faster than the Canadian market (6.7% per year).

High Growth Revenue: CS's revenue (18.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

How has Capstone Mining performed over the past 5 years?

57.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CS has a large one-off gain of $5.0M impacting its December 31 2020 financial results.

Growing Profit Margin: CS's current net profit margins (2.8%) are higher than last year (2.5%).


Past Earnings Growth Analysis

Earnings Trend: CS has become profitable over the past 5 years, growing earnings by 57.1% per year.

Accelerating Growth: CS's earnings growth over the past year (18%) is below its 5-year average (57.1% per year).

Earnings vs Industry: CS earnings growth over the past year (18%) underperformed the Metals and Mining industry 74.3%.


Return on Equity

High ROE: CS's Return on Equity (1.4%) is considered low.


Financial Health

How is Capstone Mining's financial position?


Financial Position Analysis

Short Term Liabilities: CS's short term assets ($157.9M) exceed its short term liabilities ($93.9M).

Long Term Liabilities: CS's short term assets ($157.9M) do not cover its long term liabilities ($408.5M).


Debt to Equity History and Analysis

Debt Level: CS's debt to equity ratio (20.6%) is considered satisfactory.

Reducing Debt: CS's debt to equity ratio has reduced from 33.9% to 20.6% over the past 5 years.

Debt Coverage: CS's debt is well covered by operating cash flow (80.2%).

Interest Coverage: CS's interest payments on its debt are not well covered by EBIT (2.4x coverage).


Balance Sheet


Dividend

What is Capstone Mining current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

2.5yrs

Average management tenure


CEO

Darren Pylot (52 yo)

26.17yrs

Tenure

US$2,967,475

Compensation

Mr. Darren M. Pylot Founded Capstone Mining Corp. and has been its Chief Executive Officer since February 13, 1995 and serves as its President. Mr. Pylot served as the Chief Executive Officer and President...


CEO Compensation Analysis

Compensation vs Market: Darren's total compensation ($USD2.97M) is above average for companies of similar size in the Canadian market ($USD2.16M).

Compensation vs Earnings: Darren's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CS's management team is considered experienced (2.5 years average tenure).


Board Members

Experienced Board: CS's board of directors are considered experienced (9.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: CS insiders have sold more shares than they have bought 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 2.4%.


Top Shareholders

Company Information

Capstone Mining Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Capstone Mining Corp.
  • Ticker: CS
  • Exchange: TSX
  • Founded: 2009
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$1.855b
  • Shares outstanding: 409.63m
  • Website: https://www.capstonemining.com

Number of Employees


Location

  • Capstone Mining Corp.
  • 510 West Georgia Street
  • Suite 2100
  • Vancouver
  • British Columbia
  • V6B 0M3
  • Canada

Listings


Biography

Capstone Mining Corp. engages in the exploration and production of base metals in the United States, Mexico, Canada, and Chile. The company explores for copper, molybdenum, silver, zinc, lead, iron, and go...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/16 23:20
End of Day Share Price2021/04/16 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.