TSX:EDV

Stock Analysis Report

Endeavour Mining

Executive Summary

Endeavour Mining Corporation operates as an intermediate gold producer in West Africa.

Rewards

Earnings are forecast to grow 73.95% per year

Risk Analysis

No risks detected for EDV from our risk checks.


Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

4.6%

EDV

4.6%

CA Metals and Mining

0.2%

CA Market


1 Year Return

19.8%

EDV

4.5%

CA Metals and Mining

4.9%

CA Market

Return vs Industry: EDV exceeded the Canadian Metals and Mining industry which returned 4.5% over the past year.

Return vs Market: EDV exceeded the Canadian Market which returned 4.9% over the past year.


Shareholder returns

EDVIndustryMarket
7 Day4.6%4.6%0.2%
30 Day3.9%3.7%0.4%
90 Day9.9%10.7%3.7%
1 Year19.8%19.8%5.1%4.5%8.2%4.9%
3 Year-2.4%-2.4%-5.4%-7.0%15.9%5.5%
5 Year366.8%366.8%26.4%22.6%33.8%14.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Endeavour Mining undervalued compared to its fair value and its price relative to the market?

2.63x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: EDV (CA$26.14) is trading above our estimate of fair value (CA$24.88)

Significantly Below Fair Value: EDV is trading above our estimate of fair value.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: EDV is overvalued based on its PB Ratio (2.6x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

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

73.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

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

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

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

Revenue vs Market: EDV's revenue (6.4% per year) is forecast to grow faster than the Canadian market (4.9% per year).

High Growth Revenue: EDV's revenue (6.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EDV's Return on Equity is forecast to be low in 3 years time (16.8%).


Next Steps

Past Performance

How has Endeavour Mining performed over the past 5 years?

56.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EDV is currently unprofitable.

Growing Profit Margin: EDV is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EDV is unprofitable, but has reduced losses over the past 5 years at a rate of 56.7% per year.

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

Earnings vs Industry: EDV is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (10.1%).


Return on Equity

High ROE: EDV has a negative Return on Equity (-6.72%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Endeavour Mining's financial position?


Financial Position Analysis

Short Term Liabilities: EDV's short term assets ($343.2M) exceed its short term liabilities ($210.6M).

Long Term Liabilities: EDV's short term assets ($343.2M) do not cover its long term liabilities ($831.6M).


Debt to Equity History and Analysis

Debt Level: EDV's debt to equity ratio (69.2%) is considered high.

Reducing Debt: EDV's debt to equity ratio has increased from 37.2% to 69.2% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: EDV's debt is not covered by short term assets (assets are 0.5x 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: Whilst unprofitable EDV has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: EDV is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -14.2% per year.


Next Steps

Dividend

What is Endeavour Mining's current dividend yield, its reliability and sustainability?

0.42%

Forecast Dividend Yield


Dividend Yield vs Market

company0%marketbottom25%1.9%markettop25%5.3%industryaverage1.1%forecastin3Years0.4%

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if EDV's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: EDV is not paying a notable dividend for the Canadian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of EDV'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?

2.0yrs

Average management tenure


CEO

Sébastien de Montessus (44yo)

3.6yrs

Tenure

US$6,811,267

Compensation

Mr. Sébastien de Montessus has been the President of Endeavour Mining Corporation since November 27, 2015 and as its Chief Executive Officer since June 28, 2016. Mr. de Montessus is a Co-Founder and Market ...


CEO Compensation Analysis

Compensation vs Market: Sébastien's total compensation ($USD6.81M) is above average for companies of similar size in the Canadian market ($USD2.12M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Sébastien de Montessus
CEO, President & Director3.6yrsUS$6.81m0.60% $17.3m
Morgan Carroll
Executive VP of Corporate Finance0yrsUS$2.30m0.17% $4.8m
Louis Irvine
Executive VP & CFO0.5yrsno datano data
Mark Morcombe
Chief Operating Officer0.8yrsno datano data
Martino De Ciccio
Vice President of Strategy & Investor Relations0yrsno datano data
Henri de Joux
Executive Vice President of People & IT3.3yrsno data0.080% $2.3m
Pascal Bernasconi
Executive VP of Public Affairs0yrsno data0.0083% $239.9k
Peder Olsen
Head of Projects0yrsno datano data
Ryan Eisenhammer
Operations Analysis Manager0yrsno datano data

2.0yrs

Average Tenure

44yo

Average Age

Experienced Management: EDV's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Sébastien de Montessus
CEO, President & Director3.6yrsUS$6.81m0.60% $17.3m
Livia Mahler
Independent Non-Executive Director3.3yrsUS$170.00kno data
Michael Beckett
Independent Chairman of the Board0yrsUS$270.00kno data
James Askew
Independent Non-Executive Director2.6yrsUS$160.00kno data
Wayne McManus
Independent Non-Executive Director9.4yrsUS$190.00kno data
Naguib Onssy Sawiris
Independent Non-Executive Director4.3yrsUS$140.00k30.02% $862.5m
Sofia Bianchi
Independent Non-Executive Director0.3yrsno datano data
Olivier Colom
Independent Non-Executive Director3.3yrsUS$170.00kno data

3.3yrs

Average Tenure

63.5yo

Average Age

Experienced Board: EDV's board of directors are considered experienced (3.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: EDV insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Endeavour Mining Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Endeavour Mining Corporation
  • Ticker: EDV
  • Exchange: TSX
  • Founded: 2002
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$2.873b
  • Shares outstanding: 109.93m
  • Website: https://www.endeavourmining.com

Number of Employees


Location

  • Endeavour Mining Corporation
  • 5 Young Street
  • Kensington
  • London
  • Greater London
  • W8 5EH
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EDVTSX (The Toronto Stock Exchange)YesVoting SharesCACADAug 2002
E5Y1DB (Deutsche Boerse AG)YesVoting SharesDEEURAug 2002
EDVM.FOTCPK (Pink Sheets LLC)YesVoting SharesUSUSDAug 2002
0YYCLSE (London Stock Exchange)YesVoting SharesGBCADAug 2002

Biography

Endeavour Mining Corporation operates as an intermediate gold producer in West Africa. Its flagship properties are the Houndé mine located in Burkina Faso and the Ity CIL project situated in Côte d’Ivoire. As of December 31, 2018, the company had proved and probable reserves of 8.0 million ounces, as well as measured and indicated resources of 13.9 million ounces of gold. The company was formerly known as Endeavour Financial Corporation and changed its name to Endeavour Mining Corporation in September 2010. Endeavour Mining Corporation was incorporated in 2002 and is based in London, the United Kingdom. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 00:14
End of Day Share Price2020/02/18 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.