TSX:DPM

Stock Analysis Report

Dundee Precious Metals

Executive Summary

Dundee Precious Metals Inc., a gold mining company, engages in the acquisition, exploration, development, mining, and processing of precious metals.

Snowflake

Fundamentals

Excellent balance sheet and good value.


Similar Companies

Share Price & News

How has Dundee Precious Metals's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.1%

DPM

-2.3%

CA Metals and Mining

-0.3%

CA Market


1 Year Return

27.7%

DPM

11.3%

CA Metals and Mining

0.9%

CA Market

Return vs Industry: DPM exceeded the Canadian Metals and Mining industry which returned 11.3% over the past year.

Return vs Market: DPM exceeded the Canadian Market which returned 0.9% over the past year.


Share holder returns

DPMIndustryMarket
7 Day1.1%-2.3%-0.3%
30 Day-6.5%-2.9%-2.1%
90 Day0.9%0.5%-1.5%
1 Year27.7%27.7%12.3%11.3%4.4%0.9%
3 Year64.9%64.9%-6.6%-8.4%15.7%5.4%
5 Year-3.7%-3.7%4.8%0.8%26.1%7.9%

Price Volatility Vs. Market

How volatile is Dundee Precious Metals's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Dundee Precious Metals undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: DPM (CA$4.47) is trading below our estimate of fair value (CA$22.05)

Significantly Undervalued: DPM is trading below fair value by more than 20%.


Price Based on Earnings

PE vs Industry: DPM is poor value based on its PE Ratio (18.4x) compared to the Metals and Mining industry average (13.5x).

PE vs Market: DPM is poor value based on its PE Ratio (18.4x) compared to the Canadian market (13.7x).


Price Based on Expected Growth

Low PEG Ratio: DPM is good value based on its PEG Ratio (0.3x)


Price Based on Value of Assets

PB vs Industry: DPM is good value based on its PB Ratio (0.9x) compared to the CA Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Dundee Precious Metals expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

55.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: DPM's forecast earnings growth (55.8% per year) is above the savings rate (1.9%).

Earnings vs Market: DPM's earnings (55.8% per year) are forecast to grow faster than the Canadian market (13.3% per year).

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

Revenue vs Market: DPM's revenue (6.3% per year) is forecast to grow faster than the Canadian market (5.7% per year).

High Growth Revenue: DPM's revenue (6.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Dundee Precious Metals performed over the past 5 years?

26.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: DPM has become profitable over the past 5 years, growing earnings by 26.9% per year.

Accelerating Growth: DPM's earnings growth over the past year (58.5%) exceeds its 5-year average (26.9% per year).

Earnings vs Industry: DPM earnings growth over the past year (58.5%) exceeded the Metals and Mining industry -13.7%.


Return on Equity

High ROE: DPM's Return on Equity (4.8%) is considered low.


Return on Assets

ROA vs Industry: DPM's Return on Assets is below or equal to the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: DPM has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Dundee Precious Metals's financial position?


Financial Position Analysis

Short Term Liabilities: DPM's short term assets (CA$105.3M) exceeds its short term liabilities (CA$102.6M)

Long Term Liabilities: DPM's short term assets (CA$105.3M) do not cover its long term liabilities (CA$128.8M)


Debt to Equity History and Analysis

Debt Level: DPM's debt to equity ratio (3.5%) is considered satisfactory

Reducing Debt: DPM's debt to equity ratio has reduced from 16.1% to 3.5% over the past 5 years.

Debt Coverage: DPM's debt is well covered by operating cash flow (388.2%).

Interest Coverage: DPM's interest payments on its debt are well covered by EBIT (8.6x coverage).


Balance Sheet

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

Debt Coverage by Assets: DPM's debt is covered by short term assets (assets are 4.493440x debt).


Next Steps

Dividend

What is Dundee Precious Metals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%6.0%industryaverage1.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

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

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

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


Next Steps

Management

What is the CEO of Dundee Precious Metals's salary, the management and board of directors tenure and is there insider trading?

6.5yrs

Average management tenure


CEO

Rick Howes (61yo)

6.5yrs

Tenure

US$2,875,700

Compensation

Mr. Richard Allen Howes, also known as Rick, is President and Chief Executive Officer at Dundee Precious Metals Inc. Mr. Howes is a Director of Dundee Precious Metals Inc. since 2012. He is a Professional  ...


CEO Compensation Analysis

Compensation vs. Market: Rick's total compensation ($USD2.18M) is about average for companies of similar size in the Canadian market ($USD1.55M).

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


Management Age and Tenure

6.5yrs

Average Tenure

58yo

Average Age

Experienced Management: DPM's management team is seasoned and experienced (6.5 years average tenure).


Board Age and Tenure

7.8yrs

Average Tenure

67yo

Average Age

Experienced Board: DPM's board of directors are considered experienced (7.8 years average tenure).


Insider Trading

Insider Buying: DPM insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$31,17003 Oct 19
GMT Capital Corp.
EntityCompany
Shares7,000
Max PriceUS$4.45
SellUS$372,42701 Oct 19
GMT Capital Corp.
EntityCompany
Shares83,240
Max PriceUS$4.47
SellUS$61,53912 Sep 19
Thomas Claugus
EntityIndividual
Shares11,800
Max PriceUS$5.22
SellUS$1,303,79612 Sep 19
GMT Capital Corp.
EntityCompany
Shares250,000
Max PriceUS$5.22
SellUS$63,05506 Sep 19
Thomas Claugus
EntityIndividual
Shares11,800
Max PriceUS$5.34
SellUS$1,335,91506 Sep 19
GMT Capital Corp.
EntityCompany
Shares250,000
Max PriceUS$5.34
SellUS$36,04028 Aug 19
Thomas Claugus
EntityIndividual
Shares6,400
Max PriceUS$5.63
SellUS$762,48028 Aug 19
GMT Capital Corp.
EntityCompany
Shares135,400
Max PriceUS$5.63
SellUS$30,38927 Aug 19
Thomas Claugus
EntityIndividual
Shares5,400
Max PriceUS$5.63
SellUS$644,91627 Aug 19
GMT Capital Corp.
EntityCompany
Shares114,600
Max PriceUS$5.63
SellUS$220,88025 Jul 19
GMT Capital Corp.
EntityCompany
Shares47,500
Max PriceUS$4.65
SellUS$65,18009 Jul 19
Thomas Claugus
EntityIndividual
Shares14,100
Max PriceUS$4.63
SellUS$1,386,82109 Jul 19
GMT Capital Corp.
EntityCompany
Shares300,000
Max PriceUS$4.63
SellUS$56,02303 Jul 19
Thomas Claugus
EntityIndividual
Shares11,700
Max PriceUS$4.79
SellUS$1,197,07203 Jul 19
GMT Capital Corp.
EntityCompany
Shares250,000
Max PriceUS$4.79
SellUS$794,16627 Jun 19
GMT Capital Corp.
EntityCompany
Shares166,700
Max PriceUS$4.78
SellUS$37,15927 Jun 19
Thomas Claugus
EntityIndividual
Shares7,800
Max PriceUS$4.78
SellUS$31,09025 Jun 19
Thomas Claugus
EntityIndividual
Shares6,300
Max PriceUS$4.93
SellUS$657,82625 Jun 19
GMT Capital Corp.
EntityCompany
Shares133,300
Max PriceUS$4.93
BuyUS$2,34130 Jan 19
Thomas Claugus
EntityIndividual
Shares600
Max PriceUS$3.90
BuyUS$46,43330 Jan 19
GMT Capital Corp.
EntityCompany
Shares11,900
Max PriceUS$3.90
BuyUS$15,98629 Jan 19
Thomas Claugus
EntityIndividual
Shares4,200
Max PriceUS$3.81
BuyUS$331,89829 Jan 19
GMT Capital Corp.
EntityCompany
Shares87,200
Max PriceUS$3.81
BuyUS$69,11015 Jan 19
Thomas Claugus
EntityIndividual
Shares19,500
Max PriceUS$3.54
BuyUS$1,417,63115 Jan 19
GMT Capital Corp.
EntityCompany
Shares400,000
Max PriceUS$3.54
BuyUS$51,87914 Jan 19
Thomas Claugus
EntityIndividual
Shares14,600
Max PriceUS$3.55
BuyUS$1,065,99914 Jan 19
GMT Capital Corp.
EntityCompany
Shares300,000
Max PriceUS$3.55
SellUS$56,88020 Dec 18
Donald Young
EntityIndividual
Role
Member of the Board of Directors
Director
Shares15,800
Max PriceUS$3.60
BuyUS$48,67619 Dec 18
Thomas Claugus
EntityIndividual
Shares13,900
Max PriceUS$3.50
BuyUS$1,001,18219 Dec 18
GMT Capital Corp.
EntityCompany
Shares285,900
Max PriceUS$3.50
BuyUS$2,28618 Dec 18
Thomas Claugus
EntityIndividual
Shares700
Max PriceUS$3.27
BuyUS$47,02318 Dec 18
GMT Capital Corp.
EntityCompany
Shares14,400
Max PriceUS$3.27

Ownership Breakdown


Management Team

  • Kelly Stark-Anderson

    Executive VP of Corporate Affairs

    • Tenure: 2.1yrs
  • Hume Kyle (58yo)

    Executive VP & CFO

    • Tenure: 8.3yrs
    • Compensation: US$1.24m
  • Richard Gosse (60yo)

    Vice President of Exploration

    • Tenure: 6.5yrs
    • Compensation: US$818.60k
  • David Rae (58yo)

    Executive VP & COO

    • Tenure: 6.9yrs
    • Compensation: US$1.32m
  • Rick Howes (61yo)

    President

    • Tenure: 6.5yrs
    • Compensation: US$2.88m
  • Michael Dorfman (41yo)

    Executive Vice President of Corporate Development

    • Tenure: 7.9yrs
    • Compensation: US$790.50k
  • Iliya Garkov

    VP & MD of Bulgaria

    • Tenure: 0.8yrs
  • Alex Wilson

    Vice President of Human Resources

    • Tenure: 1.4yrs
  • Janet Reid

    Manager of Investor Relations

    • Tenure: 0yrs
  • Matthieu Risgallah

    Vice President of Technology

    • Tenure: 0.3yrs

Board Members

  • Tony Walsh (67yo)

    Director

    • Tenure: 7.8yrs
    • Compensation: US$193.30k
  • R. Gillin (70yo)

    Lead Director

    • Tenure: 6.5yrs
    • Compensation: US$234.50k
  • Jonathan Goodman (57yo)

    Chairman of the Board

    • Tenure: 6.5yrs
    • Compensation: US$380.80k
  • Peter Nixon (73yo)

    Director

    • Tenure: 17.3yrs
    • Compensation: US$197.00k
  • Donald Young (73yo)

    Director

    • Tenure: 9.4yrs
    • Compensation: US$211.80k
  • Marie-Anne Tawil (59yo)

    Director

    • Tenure: 3.9yrs
    • Compensation: US$193.00k
  • Jeremy Kinsman (77yo)

    Director

    • Tenure: 12.8yrs
    • Compensation: US$193.30k
  • Rick Howes (61yo)

    President

    • Tenure: 6.5yrs
    • Compensation: US$2.88m
  • Juanita Montalvo (53yo)

    Director

    • Tenure: 2.7yrs
    • Compensation: US$195.50k

Company Information

Dundee Precious Metals Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Dundee Precious Metals Inc.
  • Ticker: DPM
  • Exchange: TSX
  • Founded: 1983
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$801.205m
  • Shares outstanding: 179.24m
  • Website: https://www.dundeeprecious.com

Number of Employees


Location

  • Dundee Precious Metals Inc.
  • 1 Adelaide Street East
  • Suite 500
  • Toronto
  • Ontario
  • M5C 2V9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
DPMTSX (The Toronto Stock Exchange)YesCommon SharesCACADNov 1983
DPUDB (Deutsche Boerse AG)YesCommon SharesDEEURNov 1983
DPML.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDNov 1983

Biography

Dundee Precious Metals Inc., a gold mining company, engages in the acquisition, exploration, development, mining, and processing of precious metals. Its principal operating assets include the Chelopech, wh ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/14 01:40
End of Day Share Price2019/10/11 00:00
Earnings2019/06/30
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.

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