TSX:ER

Stock Analysis Report

Eastmain Resources

Executive Summary

Eastmain Resources Inc., together with its subsidiary, Eastmain Mines Inc., engages in the acquisition and exploration of mineral resource properties in Canada.

Snowflake

Fundamentals

Fair value with mediocre balance sheet.

Risks

  • Eastmain Resources has significant price volatility in the past 3 months.
  • Eastmain Resources is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-13.2%

TSX:ER

-2.7%

CA Metals and Mining

-1.2%

CA Market


1 Year Return

-15.4%

TSX:ER

19.4%

CA Metals and Mining

-4.6%

CA Market

ER underperformed the Metals and Mining industry which returned 19.4% over the past year.

ER underperformed the Market in Canada which returned -4.6% over the past year.


Share holder returns

ERIndustryMarket
7 Day-13.2%-2.7%-1.2%
30 Day-13.2%-1.7%-3.0%
90 Day50.0%19.5%-3.3%
1 Year-15.4%-15.4%20.3%19.4%-1.2%-4.6%
3 Year-78.8%-78.8%-15.6%-17.2%13.5%3.5%
5 Year-52.9%-52.9%-9.6%-13.0%12.2%-3.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Eastmain Resources 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

Eastmain Resources's share price is below the future cash flow value, and at a moderate discount (> 20%).

Eastmain Resources's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Eastmain Resources is loss making, we can't compare its value to the CA Metals and Mining industry average.

Eastmain Resources is loss making, we can't compare the value of its earnings to the Canada market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Eastmain Resources, we can't assess if its growth is good value.


Price Based on Value of Assets

Eastmain Resources is good value based on assets compared to the CA Metals and Mining industry average.


Next Steps

Future Growth

How is Eastmain Resources expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

35.4%

Forecasted Materials industry annual growth in earnings


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 Eastmain Resources 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 SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Eastmain Resources performed over the past 5 years?

21.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Eastmain Resources does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Eastmain Resources's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Eastmain Resources's 1-year growth to the CA Metals and Mining industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Eastmain Resources has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Eastmain Resources has efficiently used its assets last year compared to the CA Metals and Mining industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Eastmain Resources improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Eastmain Resources's financial position?


Financial Position Analysis

Eastmain Resources is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Eastmain Resources's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Eastmain Resources has no debt.

Eastmain Resources has not taken on any debt in the past 5 years.


Balance Sheet

High level of physical assets or inventory.

Eastmain Resources has no debt, it does not need to be covered by short term assets.


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.

Eastmain Resources has less than a year of cash runway based on current free cash flow.

Eastmain Resources has less than a year of cash runway if free cash flow continues to reduce at historical rates of -4.4% each year.


Next Steps

Dividend

What is Eastmain Resources's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Eastmain Resources's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Eastmain Resources's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Eastmain Resources has not reported any payouts.

Unable to verify if Eastmain Resources's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Eastmain Resources has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Eastmain Resources's salary, the management and board of directors tenure and is there insider trading?

3.2yrs

Average management tenure


CEO

Claude Lemasson (54yo)

3.3yrs

Tenure

CA$529,086

Compensation

Mr. Claude Francois Lemasson, P.Eng, MBA, ICD.D has been the Chief Executive Officer and President of Eastmain Resources Inc. since April 28, 2016. Mr. Lemasson served as an Interim Chief Executive Officer ...


CEO Compensation Analysis

Claude's remuneration is higher than average for companies of similar size in Canada.

Claude's compensation has increased whilst company is loss making.


Management Age and Tenure

3.2yrs

Average Tenure

The tenure for the Eastmain Resources management team is about average.


Board Age and Tenure

3.4yrs

Average Tenure

60yo

Average Age

The tenure for the Eastmain Resources board of directors is about average.


Insider Trading

Eastmain Resources individual insiders have only sold shares in the past 3 months, but not in substantial volumes.


Recent Insider Transactions

SellCA$1,80018 Jul 19
Laurence Curtis
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares10,000
Max PriceCA$0.18
BuyCA$20,12521 May 19
Hervé Thiboutot
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares115,000
Max PriceCA$0.17
BuyCA$20,04720 May 19
William McGuinty
EntityIndividual
Role
Senior Key Executive
Vice President of Exploration
Shares148,500
Max PriceCA$0.13
BuyCA$20,25013 May 19
Maura Lendon
EntityIndividual
Role
Member of the Board of Directors
Director
Shares150,000
Max PriceCA$0.13
BuyCA$101,25013 May 19
Blair Schultz
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares750,000
Max PriceCA$0.13
BuyCA$13,50013 May 19
Laurence Curtis
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares100,000
Max PriceCA$0.13
BuyCA$17,00012 May 19
Laurence Curtis
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares100,000
Max PriceCA$0.17
BuyCA$24,99012 May 19
Joseph Fazzini
EntityIndividual
Role
Chief Financial Officer
CFO & VP of Corporate Development
Shares147,000
Max PriceCA$0.17
BuyCA$24,99012 May 19
Michael Hoffman
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares147,000
Max PriceCA$0.17
BuyCA$49,98012 May 19
Claude Lemasson
EntityIndividual
Role
Chief Executive Officer
President
Shares294,000
Max PriceCA$0.17
BuyCA$5,00706 Feb 19
Catherine Beckett
EntityIndividual
Role
Secretary
Secretary
Shares32,300
Max PriceCA$0.15
SellCA$46,69603 Dec 18
Blair Schultz
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares200,000
Max PriceCA$0.23
BuyCA$10,75020 Nov 18
Maura Lendon
EntityIndividual
Role
Member of the Board of Directors
Director
Shares50,000
Max PriceCA$0.21
BuyCA$32,25019 Nov 18
Michael Hoffman
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares150,000
Max PriceCA$0.21
BuyCA$28,51719 Nov 18
Laurence Curtis
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares130,000
Max PriceCA$0.22
BuyCA$11,81419 Nov 18
Claude Lemasson
EntityIndividual
Role
Chief Executive Officer
President
Shares60,000
Max PriceCA$0.20
BuyCA$10,25015 Nov 18
Michael Hoffman
EntityIndividual
Role
Member of the Board of Directors
Independent Non-Executive Director
Shares50,000
Max PriceCA$0.20
BuyCA$17,00006 Nov 18
Claude Lemasson
EntityIndividual
Role
Chief Executive Officer
President
Shares100,000
Max PriceCA$0.18
BuyCA$3,00005 Nov 18
Laurence Curtis
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman of the Board
Shares20,000
Max PriceCA$0.15

Ownership Breakdown


Management Team

  • Neil Hillhouse

    Mining Consultant

    • Tenure: 0.0yrs
  • Richard Hutchinson

    Mining Consultant

    • Tenure: 0.0yrs
    • Compensation: CA$9.50k
  • Claude Lemasson (54yo)

    President

    • Tenure: 3.3yrs
    • Compensation: CA$529.09k
  • Bill McGuinty (61yo)

    Vice President of Exploration

    • Tenure: 3.1yrs
    • Compensation: CA$237.48k
  • Catherine Beckett

    Secretary

    • Tenure: 1.4yrs
  • Joe Fazzini

    CFO & VP of Corporate Development

    • Tenure: 3.3yrs
    • Compensation: CA$334.13k

Board Members

  • Laurie Curtis (71yo)

    Non-Executive Chairman of the Board

    • Tenure: 3.9yrs
    • Compensation: CA$87.69k
  • Claude Lemasson (54yo)

    President

    • Tenure: 3.3yrs
    • Compensation: CA$529.09k
  • Mike Hoffman (60yo)

    Independent Non-Executive Director

    • Tenure: 3.4yrs
    • Compensation: CA$42.53k
  • Hervé Thiboutot (60yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: CA$58.35k
  • Blair Schultz (42yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: CA$50.62k
  • Maura Lendon

    Director

    • Tenure: 1.1yrs
    • Compensation: CA$10.38k

Company Information

Eastmain Resources Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eastmain Resources Inc.
  • Ticker: ER
  • Exchange: TSX
  • Founded: 1982
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$40.007m
  • Shares outstanding: 242.47m
  • Website: https://www.eastmain.com

Number of Employees


Location

  • Eastmain Resources Inc.
  • 601–34 King Street East
  • Toronto
  • Ontario
  • M5C 2X8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ERTSX (The Toronto Stock Exchange)YesCommon SharesCACADMar 1987
EM5DB (Deutsche Boerse AG)YesCommon SharesDEEURMar 1987
EANR.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMar 1987

Biography

Eastmain Resources Inc., together with its subsidiary, Eastmain Mines Inc., engages in the acquisition and exploration of mineral resource properties in Canada. The company primarily explores for gold, sil ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 23:34
End of Day Share Price2019/08/19 00:00
Earnings2019/04/30
Annual Earnings2018/10/31


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.