TSX:IVN

Stock Analysis Report

Executive Summary

Ivanhoe Mines Ltd. engages in the exploration, development, and recovery of minerals and precious metals located primarily in Africa.

Snowflake

Fundamentals

Adequate balance sheet with moderate growth potential.


Similar Companies

Share Price & News

How has Ivanhoe Mines's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.4%

IVN

0.1%

CA Metals and Mining

-0.2%

CA Market


1 Year Return

33.9%

IVN

12.5%

CA Metals and Mining

1.5%

CA Market

Return vs Industry: IVN exceeded the Canadian Metals and Mining industry which returned 12.5% over the past year.

Return vs Market: IVN exceeded the Canadian Market which returned 1.5% over the past year.


Shareholder returns

IVNIndustryMarket
7 Day3.4%0.1%-0.2%
30 Day-6.1%-6.0%-3.5%
90 Day-17.8%-5.0%-1.8%
1 Year33.9%33.9%13.5%12.5%5.1%1.5%
3 Year54.8%54.8%-11.1%-12.8%13.3%3.2%
5 Year277.5%277.5%8.0%3.9%25.2%7.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Ivanhoe Mines 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: IVN (CA$3.36) is trading below our estimate of fair value (CA$32.75)

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


Price To Earnings Ratio

PE vs Industry: IVN is poor value based on its PE Ratio (51.5x) compared to the Metals and Mining industry average (13.6x).

PE vs Market: IVN is poor value based on its PE Ratio (51.5x) compared to the Canadian market (13.7x).


Price to Earnings Growth Ratio

PEG Ratio: IVN is poor value based on its PEG Ratio (1.3x)


Price to Book Ratio

PB vs Industry: IVN is overvalued based on its PB Ratio (1.4x) compared to the CA Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Ivanhoe Mines forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

38.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IVN's forecast earnings growth (38.8% per year) is above the savings rate (1.9%).

Earnings vs Market: IVN's earnings (38.8% per year) are forecast to grow faster than the Canadian market (13.6% per year).

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

Revenue vs Market: Insufficient data to determine if IVN's revenue is forecast to grow faster than the Canadian market.

High Growth Revenue: Insufficient data to determine if IVN's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IVN is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Ivanhoe Mines performed over the past 5 years?

19.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: IVN has become profitable over the past 5 years, growing earnings by 19.1% per year.

Accelerating Growth: IVN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: IVN had negative earnings growth (-72.4%) over the past year, making it difficult to compare to the Metals and Mining industry average (-13.7%).


Return on Equity

High ROE: IVN's Return on Equity (2.2%) is considered low.


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Ivanhoe Mines's financial position?


Financial Position Analysis

Short Term Liabilities: IVN's short term assets ($392.4M) exceeds its short term liabilities ($22.8M)

Long Term Liabilities: IVN's short term assets (392.4M) exceeds its long term liabilities (51.3M)


Debt to Equity History and Analysis

Debt Level: IVN's debt to equity ratio (1.9%) is considered satisfactory

Reducing Debt: IVN's debt to equity ratio has reduced from 9.4% to 1.9% over the past 5 years.

Debt Coverage: IVN's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if IVN's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: IVN's debt is covered by short term assets (assets are 11.169980x debt).


Next Steps

Dividend

What is Ivanhoe Mines's current dividend yield, its reliability and sustainability?

20.43%

Forecast Dividend Yield


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%6.0%industryaverage1.2%forecastin3Years20.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Growing Dividend: Insufficient data to determine if IVN'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 IVN'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 Ivanhoe Mines's salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average management tenure


CEO

Ivanhoe Mines has no CEO, or we have no data on them.


Management Age and Tenure

6.8yrs

Average Tenure

59.5yo

Average Age

Experienced Management: IVN's management team is seasoned and experienced (6.8 years average tenure).


Board Age and Tenure

1.5yrs

Average Tenure

64.5yo

Average Age

Experienced Board: IVN's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


Insider Trading

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


Recent Insider Transactions

BuyUS$820,15010 Oct 19
Tony Giardini
EntityIndividual
Role
President
President
Shares250,000
Max PriceUS$3.29
BuyUS$612,209,52719 Aug 19
CITIC Group Corporation
EntityCompany
Shares153,821,507
Max PriceUS$3.98
SellUS$679,93914 Jul 19
Martin Bawlf
EntityIndividual
Role
Head of Corporate Development
Vice President of Corporate Development
Shares165,100
Max PriceUS$4.17
BuyUS$41,99512 Jul 19
Tadeu Carneiro
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares10,000
Max PriceUS$4.20
BuyUS$90,90624 Jun 19
Tadeu Carneiro
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares22,336
Max PriceUS$4.07
BuyUS$650,74625 Feb 19
Tadeu Carneiro
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares191,650
Max PriceUS$3.51
BuyUS$331,32512 Feb 19
Guy de Selliers de Moranville
EntityIndividual
Role
Member of the Board of Directors
Non-Independent Director
Shares100,000
Max PriceUS$3.38
BuyUS$32,17721 Dec 18
Livia Mahler
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares14,500
Max PriceUS$2.29

Ownership Breakdown


Management Team

  • Robert Martin Friedland (68yo)

    Founder & Executive Co-Chairman

    • Tenure: 1.1yrs
    • Compensation: US$1.24m
  • Louis Watum (56yo)

    Managing Director of DRC Operations

    • Tenure: 0yrs
  • Egizio Bianchini (59yo)

    Executive Vice Chairman

    • Tenure: 1.6yrs
    • Compensation: US$2.72m
  • Mary Vincelli

    VP of Compliance & Corporate Secretary

    • Tenure: 0yrs
  • Warwick Morley-Jepson (60yo)

    Executive VP & COO

    • Tenure: 0yrs
  • Marna Cloete

    Chief Financial Officer

    • Tenure: 9.8yrs
    • Compensation: US$858.09k
  • Martin Bawlf

    Vice President of Corporate Development

    • Tenure: 0yrs
    • Compensation: US$1.08m
  • Jeremy Michaels

    Vice President of Communications & Public Affairs

    • Tenure: 6.8yrs
  • Patricia Makhesha

    Executive VP of Sustainability & Public Affairs

    • Tenure: 5.1yrs
    • Compensation: US$851.77k
  • Tony Giardini

    President

    • Tenure: 0.4yrs

Board Members

  • Livia Mahler (60yo)

    Independent Director

    • Tenure: 4.6yrs
    • Compensation: US$148.32k
  • Robert Martin Friedland (68yo)

    Founder & Executive Co-Chairman

    • Tenure: 1.1yrs
    • Compensation: US$1.24m
  • Peter Meredith (75yo)

    Independent Director

    • Tenure: 21.4yrs
    • Compensation: US$108.85k
  • Guy de Selliers de Moranville (67yo)

    Non-Independent Director

    • Tenure: 8.4yrs
    • Compensation: US$114.32k
  • Bill Hayden (67yo)

    Independent Director

    • Tenure: 12.6yrs
    • Compensation: US$116.32k
  • Jinghe Chen (62yo)

    Independent Director

    • Tenure: 0.3yrs
  • Egizio Bianchini (59yo)

    Executive Vice Chairman

    • Tenure: 1.6yrs
    • Compensation: US$2.72m
  • Miles Sun (54yo)

    Non-Executive Co-Chairman

    • Tenure: 1.1yrs
    • Compensation: US$145.07k
  • Kgalema Motlanthe (69yo)

    Independent Director

    • Tenure: 1.5yrs
    • Compensation: US$83.83k
  • Tadeu Carneiro (59yo)

    Lead Independent Director

    • Tenure: 0.5yrs
    • Compensation: US$27.23k

Company Information

Ivanhoe Mines Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Ivanhoe Mines Ltd.
  • Ticker: IVN
  • Exchange: TSX
  • Founded: 1993
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$4.004b
  • Shares outstanding: 1.19b
  • Website: https://www.ivanhoemines.com

Number of Employees


Location

  • Ivanhoe Mines Ltd.
  • 999 Canada Place
  • Suite 654
  • Vancouver
  • British Columbia
  • V6C 3E1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IVNTSX (The Toronto Stock Exchange)YesClass A Common SharesCACADOct 2012
IYAADB (Deutsche Boerse AG)YesClass A Common SharesDEEUROct 2012
IVPA.FOTCPK (Pink Sheets LLC)YesClass A Common SharesUSUSDOct 2012

Biography

Ivanhoe Mines Ltd. engages in the exploration, development, and recovery of minerals and precious metals located primarily in Africa. The company explores for platinum, palladium, nickel, copper, gold, rho ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 00:22
End of Day Share Price2019/10/21 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.