Executive Summary
Kinross Gold Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of gold properties in the United States, the Russian Federation, Brazil, Chile, Ghana, and Mauritania.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -14.7% per year for the next 3 years
Snowflake Analysis
Excellent balance sheet and fair value.
Similar Companies
Share Price & News
How has Kinross Gold's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: K's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
17.3%
K
4.7%
CA Metals and Mining
0.1%
CA Market
1 Year Return
64.6%
K
5.2%
CA Metals and Mining
4.7%
CA Market
Return vs Industry: K exceeded the Canadian Metals and Mining industry which returned 5.2% over the past year.
Return vs Market: K exceeded the Canadian Market which returned 4.7% over the past year.
Shareholder returns
| K | Industry | Market | |
|---|---|---|---|
| 7 Day | 17.3% | 4.7% | 0.1% |
| 30 Day | 21.5% | 4.2% | 0.8% |
| 90 Day | 40.7% | 15.2% | 3.7% |
| 1 Year | 64.6%64.6% | 5.8%5.2% | 7.9%4.7% |
| 3 Year | 57.3%57.3% | -2.4%-4.0% | 17.9%7.3% |
| 5 Year | 123.0%123.0% | 25.6%22.0% | 33.8%14.4% |
Price Volatility Vs. Market
How volatile is Kinross Gold's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Is Kinross Gold (TSE:K) Using Too Much Debt?3 weeks ago | Simply Wall St
Should You Worry About Kinross Gold Corporation's (TSE:K) CEO Pay?1 month ago | Simply Wall St
A Look At The Intrinsic Value Of Kinross Gold Corporation (TSE:K)Valuation
Is Kinross Gold undervalued compared to its fair value and its price relative to the market?
10.35x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: K (CA$7.85) is trading above our estimate of fair value (CA$7.77)
Significantly Below Fair Value: K is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: K is good value based on its PE Ratio (10.4x) compared to the Metals and Mining industry average (17.4x).
PE vs Market: K is good value based on its PE Ratio (10.4x) compared to the Canadian market (16.2x).
Price to Earnings Growth Ratio
PEG Ratio: K's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: K is good value based on its PB Ratio (1.4x) compared to the CA Metals and Mining industry average (1.6x).
Next Steps
Future Growth
How is Kinross Gold forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
-14.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: K's earnings are forecast to decline over the next 3 years (-14.7% per year).
Earnings vs Market: K's earnings are forecast to decline over the next 3 years (-14.7% per year).
High Growth Earnings: K's earnings are forecast to decline over the next 3 years.
Revenue vs Market: K's revenue (1.3% per year) is forecast to grow slower than the Canadian market (4.7% per year).
High Growth Revenue: K's revenue (1.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: K's Return on Equity is forecast to be low in 3 years time (8.6%).
Next Steps
Past Performance
How has Kinross Gold performed over the past 5 years?
71.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: K has a large one-off gain of $162.9M impacting its December 31 2019 financial results.
Growing Profit Margin: K became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: K has become profitable over the past 5 years, growing earnings by 71.1% per year.
Accelerating Growth: K has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: K has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.9%).
Return on Equity
High ROE: K's Return on Equity (13.4%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Kinross Gold's financial position?
Financial Position Analysis
Short Term Liabilities: K's short term assets ($1.8B) exceed its short term liabilities ($615.5M).
Long Term Liabilities: K's short term assets ($1.8B) do not cover its long term liabilities ($3.1B).
Debt to Equity History and Analysis
Debt Level: K's debt to equity ratio (34.5%) is considered satisfactory.
Reducing Debt: K's debt to equity ratio has reduced from 42% to 34.5% over the past 5 years.
Balance Sheet
Inventory Level: K has a high level of physical assets or inventory.
Debt Coverage by Assets: K's debt is not covered by short term assets (assets are 1x 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: K is profitable, therefore cash runway is not a concern.
Forecast Cash Runway: K is profitable, therefore cash runway is not a concern.
Next Steps
Dividend
What is Kinross Gold's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate K's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate K'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 K's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if K's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: K is not paying a notable dividend for the Canadian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of K'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?
0.8yrs
Average management tenure
CEO
J. Rollinson (57yo)
7.5yrs
Tenure
US$6,157,108
Compensation
Mr. J. Paul Rollinson has served as Chief Executive Officer and Director of Kinross Gold Corporation since August 1, 2012. Mr. Rollinson serves as President of Kinross Gold Corporation. He was appointed Ex ...
CEO Compensation Analysis
Compensation vs Market: J.'s total compensation ($USD6.16M) is above average for companies of similar size in the Canadian market ($USD3.73M).
Compensation vs Earnings: J.'s compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 7.5yrs | US$6.16m | 0.31% $30.3m | |
| Executive VP & CTO | 3.1yrs | US$1.51m | 0.040% $3.9m | |
| Executive VP of Corporate Development & External Relations and Chief Legal Officer | 12yrs | US$2.68m | 0.13% $12.4m | |
| Senior VP & CFO | 0.8yrs | no data | 0.020% $2.0m | |
| Senior Vice President of Investor Relations & Corporate Development | 4.1yrs | no data | 0.034% $3.4m | |
| Senior Vice-President of Legal | 0yrs | no data | no data | |
| Senior Vice-President of Geology & Brownfields Exploration | 0.8yrs | no data | 0.016% $1.6m | |
| Senior Vice-President of Russia Operations | 0.8yrs | no data | 0.020% $1.9m | |
| Senior VP of Legal & General Counsel | 0.8yrs | no data | 0.024% $2.4m | |
| Senior Vice-President of West Africa Operations | 0.8yrs | no data | 0.014% $1.3m |
0.8yrs
Average Tenure
Experienced Management: K's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 7.5yrs | US$6.16m | 0.31% $30.3m | |
| Independent Director | 4yrs | US$222.65k | no data | |
| Independent Chairman | 1.1yrs | US$209.82k | 0.00098% $96.5k | |
| Independent Director | 26.1yrs | US$225.03k | no data | |
| Independent Director | 2.3yrs | US$208.91k | 0.0032% $317.9k | |
| Independent Director | 4.8yrs | US$205.85k | no data | |
| Independent Director | 0.8yrs | no data | no data | |
| Corporate Director | 4.8yrs | US$211.65k | no data | |
| Director | 1.1yrs | no data | no data |
4.0yrs
Average Tenure
59yo
Average Age
Experienced Board: K's board of directors are considered experienced (4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: K insiders have only sold shares 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
Kinross Gold Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Kinross Gold Corporation
- Ticker: K
- Exchange: TSX
- Founded: 1993
- Industry: Gold
- Sector: Materials
- Market Cap: CA$9.843b
- Shares outstanding: 1.25b
- Website: https://www.kinross.com
Number of Employees
Location
- Kinross Gold Corporation
- 25 York Street
- 17th Floor
- Toronto
- Ontario
- M5J 2V5
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| KGC | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Jun 1993 |
| K | TSX (The Toronto Stock Exchange) | Yes | Common Shares | CA | CAD | Jun 1993 |
| KIN2 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jun 1993 |
| KIN2 | XTRA (XETRA Trading Platform) | Yes | Common Shares | DE | EUR | Jun 1993 |
| KG | SWX (SIX Swiss Exchange) | Yes | Common Shares | CH | CHF | Jun 1993 |
| 0R2D | LSE (London Stock Exchange) | Yes | Common Shares | GB | CAD | Jun 1993 |
Biography
Kinross Gold Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of gold properties in the United States, the Russian Federation, Brazil, Chile, Ghana, and Mauritania. It is also involved in the reclamation of gold mining properties; and production and sale of silver. As of December 31, 2018, its proven and probable mineral reserves included approximately 25.5 million ounces of gold, as well as 53.9 million ounces of silver. The company was founded in 1993 and is headquartered in Toronto, Canada.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 01:20 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.