TSX:GSC

Stock Analysis Report

Golden Star Resources

Executive Summary

Golden Star Resources Ltd. operates as a gold mining and exploration company.

Snowflake

Fundamentals

Slightly overvalued with concerning outlook.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

4.3%

GSC

0.5%

CA Metals and Mining

0.2%

CA Market


1 Year Return

-16.8%

GSC

15.0%

CA Metals and Mining

3.5%

CA Market

Return vs Industry: GSC underperformed the Canadian Metals and Mining industry which returned 15% over the past year.

Return vs Market: GSC underperformed the Canadian Market which returned 3.5% over the past year.


Shareholder returns

GSCIndustryMarket
7 Day4.3%0.5%0.2%
30 Day-16.3%-8.9%-3.3%
90 Day-29.0%-8.0%-1.9%
1 Year-16.8%-16.8%15.9%15.0%7.3%3.5%
3 Year-34.3%-34.3%-11.6%-13.2%14.7%4.4%
5 Year126.7%126.7%15.4%11.6%26.2%7.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Golden Star Resources 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: GSC (CA$3.91) is trading below our estimate of fair value (CA$15.18)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: GSC is overvalued based on its PB Ratio (3.1x) compared to the CA Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Golden Star Resources forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

88.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GSC is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: GSC is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: GSC is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: GSC's revenue (9.4% per year) is forecast to grow faster than the Canadian market (5.5% per year).

High Growth Revenue: GSC's revenue (9.4% 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 GSC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Golden Star Resources performed over the past 5 years?

56.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GSC is unprofitable, but has reduced losses over the past 5 years at a rate of 56.9% per year.

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

Earnings vs Industry: GSC is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-11.9%).


Return on Equity

High ROE: GSC has a negative Return on Equity (-96.6%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: GSC is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: GSC is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Golden Star Resources's financial position?


Financial Position Analysis

Short Term Liabilities: GSC's short term assets ($113.4M) do not cover its short term liabilities ($132.4M)

Long Term Liabilities: GSC's short term assets (113.4M) do not cover its long term liabilities (244.7M)


Debt to Equity History and Analysis

Debt Level: GSC's debt to equity ratio (312.2%) is considered high

Reducing Debt: GSC had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet

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

Debt Coverage by Assets: GSC's debt is covered by short term assets (assets are 1.182830x 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: Insufficient data to determine if GSC has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if GSC has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.9%industryaverage1.3%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Growing Dividend: Insufficient data to determine if GSC'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 GSC'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 Golden Star Resources's salary, the management and board of directors tenure and is there insider trading?

0.7yrs

Average management tenure


CEO

Andrew Wray (55yo)

0.4yrs

Tenure

US$63,367

Compensation

Mr. Andrew Wray has been the Chief Executive Officer of Golden Star Resources Limited since May 01, 2019. Mr. Wray served as the President of Golden Star Resources Limited from May 01, 2019 to July 8, 2019 ...


Management Age and Tenure

0.7yrs

Average Tenure

54yo

Average Age

Experienced Management: GSC's management team is not considered experienced ( 0.7 years average tenure), which suggests a new team.


Board Age and Tenure

3.3yrs

Average Tenure

62yo

Average Age

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


Insider Trading

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


Recent Insider Transactions

BuyUS$204,94015 Oct 19
Yousriya Loza-Sawiris
EntityIndividual
Shares51,000
Max PriceUS$4.12
BuyUS$136,27411 Oct 19
Yousriya Loza-Sawiris
EntityIndividual
Shares34,000
Max PriceUS$4.01
BuyUS$267,35908 Oct 19
Yousriya Loza-Sawiris
EntityIndividual
Shares68,000
Max PriceUS$3.94
BuyUS$3,119,97307 Oct 19
Yousriya Loza-Sawiris
EntityIndividual
Shares1,050,139
Max PriceUS$2.99
BuyUS$41,76518 Sep 19
Ani Markova
EntityIndividual
Role
Member of the Board of Directors
Director
Shares10,000
Max PriceUS$4.18
BuyUS$7,96117 Sep 19
Anu Dhir
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares1,900
Max PriceUS$4.19
BuyUS$159,15415 Sep 19
Andrew Wray
EntityIndividual
Role
Chief Executive Officer
CEO & Director
Shares37,500
Max PriceUS$4.24
BuyUS$40,58514 Aug 19
Timothy Baker
EntityIndividual
Role
Chairman of the Board
Chair of the Board
Shares10,500
Max PriceUS$3.87
BuyUS$22,05011 Jun 19
Steven Wasel
EntityIndividual
Role
Senior Key Executive
Vice President of Exploration
Shares5,000
Max PriceUS$4.41
BuyUS$60,28003 May 19
Timothy Baker
EntityIndividual
Role
Chairman of the Board
Chair of the Board
Shares11,000
Max PriceUS$5.48
BuyUS$157,94705 Apr 19
Daniel Monney Owiredu
EntityIndividual
Role
President
President
Shares28,160
Max PriceUS$5.61
BuyUS$62,09105 Nov 18
Karen Walsh
EntityIndividual
Shares15,000
Max PriceUS$4.14
BuyUS$72,49505 Nov 18
Samuel Coetzer
EntityIndividual
Shares17,000
Max PriceUS$4.27

Ownership Breakdown


Management Team

  • Daniel Monney Owiredu (61yo)

    President

    • Tenure: 0.3yrs
    • Compensation: US$1.11m
  • Mitch Wasel (54yo)

    Vice President of Exploration

    • Tenure: 12.1yrs
    • Compensation: US$1.29m
  • Andrew Wray (55yo)

    CEO & Director

    • Tenure: 0.4yrs
    • Compensation: US$63.37k
  • Jason Brooks

    VP & Controller

    • Tenure: 5.5yrs
  • Pieter van Niekerk (42yo)

    Executive VP & CFO

    • Tenure: 5.5yrs
    • Compensation: US$764.29k
  • Tania Shaw

    Vice President of Investor Relations & Corporate Affairs

    • Tenure: 0.8yrs
  • Graham Crew (49yo)

    Executive VP & COO

    • Tenure: 0.3yrs
    • Compensation: US$63.37k
  • Robert Vallis

    Senior Vice President of Corporate Development

    • Tenure: 0.7yrs

Board Members

  • Rob Doyle (64yo)

    Independent Director

    • Tenure: 7.7yrs
    • Compensation: US$147.50k
  • Craig Nelsen (67yo)

    Independent Director

    • Tenure: 8.4yrs
    • Compensation: US$145.00k
  • Naguib Onssy Sawiris (65yo)

    Director

    • Tenure: 0.4yrs
  • Anu Dhir (47yo)

    Independent Director

    • Tenure: 5.7yrs
    • Compensation: US$147.50k
  • Gil Clausen (62yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$140.00k
  • Tim Baker (67yo)

    Chair of the Board

    • Tenure: 6.8yrs
    • Compensation: US$236.00k
  • Ani Markova (49yo)

    Director

    • Tenure: 0.08yrs
  • Andrew Wray (55yo)

    CEO & Director

    • Tenure: 0.4yrs
    • Compensation: US$63.37k
  • Mona Quartey (55yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$135.00k

Company Information

Golden Star Resources Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Golden Star Resources Ltd.
  • Ticker: GSC
  • Exchange: TSX
  • Founded: 1992
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$427.146m
  • Shares outstanding: 109.24m
  • Website: https://www.gsr.com

Number of Employees


Location

  • Golden Star Resources Ltd.
  • 150 King Street West
  • Suite 1200
  • Toronto
  • Ontario
  • M5H 1J9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GSSAMEX (NYSE MKT LLC)YesCommon SharesUSUSDJul 1987
GSCTSX (The Toronto Stock Exchange)YesCommon SharesCACADJul 1987
GS5DB (Deutsche Boerse AG)YesCommon SharesDEEURJul 1987
GS51BST (Boerse-Stuttgart)YesCommon SharesDEEURJul 1987

Biography

Golden Star Resources Ltd. operates as a gold mining and exploration company. The company owns and operates the Wassa open-pit gold mine, the Wassa underground mine, and a carbon-in-leach processing plant  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:35
End of Day Share Price2019/10/22 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.