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KL

Kirkland Lake GoldTSX:KL Stock Report

Market Cap

CA$12.8b

7D

-4.6%

1Y

-4.7%

Updated

04 Dec, 2021

Data

Company Financials +
KL fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance3/6
Financial Health5/6
Dividends3/6

KL Stock Overview

Kirkland Lake Gold Ltd. engages in the acquisition, production, and operation of gold properties.

Kirkland Lake Gold Competitors

Barrick Gold

TSX:ABX

CA$41.4b

Kinross Gold

TSX:K

CA$9.3b

Endeavour Mining

TSX:EDV

CA$7.1b

B2Gold

TSX:BTO

CA$5.0b

Price History & Performance

Summary of all time highs, changes and price drops for Kirkland Lake Gold
Historical stock prices
Current Share PriceCA$49.21
52 Week HighCA$58.43
52 Week LowCA$40.07
Beta0.50
1 Month Change-4.56%
3 Month Change-6.75%
1 Year Change-4.72%
3 Year Change58.18%
5 Year Change520.56%
Change since IPO502.33%

Recent News & Updates

Aug 02
Do Kirkland Lake Gold's (TSE:KL) Earnings Warrant Your Attention?

Do Kirkland Lake Gold's (TSE:KL) Earnings Warrant Your Attention?

For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to...

Shareholder Returns

KLCA Metals and MiningCA Market
7D-4.6%-3.6%-2.2%
1Y-4.7%-0.9%18.5%

Return vs Industry: KL underperformed the Canadian Metals and Mining industry which returned -1.1% over the past year.

Return vs Market: KL underperformed the Canadian Market which returned 20.3% over the past year.

Price Volatility

Is KL's price volatile compared to industry and market?
KL volatility
KL Average Weekly Movement4.6%
Metals and Mining Industry Average Movement10.7%
Market Average Movement9.4%
10% most volatile stocks in CA Market17.1%
10% least volatile stocks in CA Market3.6%

Stable Share Price: KL is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: KL's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/a1,981Tony Makuchhttps://www.klgold.com

Kirkland Lake Gold Ltd. engages in the acquisition, production, and operation of gold properties. The company holds interest in the Fosterville Mine located in the State of Victoria, Australia; and the Macassa Mine situated in the Municipality of Kirkland Lake, Ontario, Canada, as well as the Detour Lake Mine located in northeastern Ontario, Canada. It has a strategic alliance agreement with Newmont Corporation.

Kirkland Lake Gold Fundamentals Summary


Earnings & Revenue

Key profitability statistics from the latest earnings report
KL income statement (TTM)
RevenueUS$2.57b
Cost of RevenueUS$732.01m
Gross ProfitUS$1.84b
ExpensesUS$948.22m
EarningsUS$892.88m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.39
Gross Margin71.55%
Net Profit Margin34.70%
Debt/Equity Ratio0%

How did KL perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

22%

Payout Ratio

Valuation

Is Kirkland Lake Gold undervalued compared to its fair value and its price relative to the market?

22.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KL (CA$49.21) is trading below our estimate of fair value (CA$63.36)

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


Price To Earnings Ratio

PE vs Industry: KL is poor value based on its PE Ratio (11.4x) compared to the Canadian Metals and Mining industry average (9.5x).

PE vs Market: KL is good value based on its PE Ratio (11.4x) compared to the Canadian market (12x).


Price to Earnings Growth Ratio

PEG Ratio: KL's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: KL is good value based on its PB Ratio (1.9x) compared to the CA Metals and Mining industry average (2.3x).


Future Growth

How is Kirkland Lake Gold forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

-7.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KL's earnings are forecast to decline over the next 3 years (-7.3% per year).

Earnings vs Market: KL's earnings are forecast to decline over the next 3 years (-7.3% per year).

High Growth Earnings: KL's earnings are forecast to decline over the next 3 years.

Revenue vs Market: KL's revenue is expected to decline over the next 3 years (-1.1% per year).

High Growth Revenue: KL's revenue is forecast to decline over the next 3 years (-1.1% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KL's Return on Equity is forecast to be low in 3 years time (10.2%).


Past Performance

How has Kirkland Lake Gold performed over the past 5 years?

45.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KL has high quality earnings.

Growing Profit Margin: KL's current net profit margins (34.7%) are higher than last year (33.2%).


Past Earnings Growth Analysis

Earnings Trend: KL's earnings have grown significantly by 45.9% per year over the past 5 years.

Accelerating Growth: KL's earnings growth over the past year (23.3%) is below its 5-year average (45.9% per year).

Earnings vs Industry: KL earnings growth over the past year (23.3%) underperformed the Metals and Mining industry 118.7%.


Return on Equity

High ROE: KL's Return on Equity (16.7%) is considered low.


Financial Health

How is Kirkland Lake Gold's financial position?


Financial Position Analysis

Short Term Liabilities: KL's short term assets ($1.1B) exceed its short term liabilities ($359.9M).

Long Term Liabilities: KL's short term assets ($1.1B) do not cover its long term liabilities ($1.6B).


Debt to Equity History and Analysis

Debt Level: KL is debt free.

Reducing Debt: KL has no debt compared to 5 years ago when its debt to equity ratio was 11.3%.

Debt Coverage: KL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: KL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Kirkland Lake Gold current dividend yield, its reliability and sustainability?

1.95%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KL's dividend (1.95%) is higher than the bottom 25% of dividend payers in the Canadian market (1.61%).

High Dividend: KL's dividend (1.95%) is low compared to the top 25% of dividend payers in the Canadian market (4.72%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, KL has been paying a dividend for less than 10 years.

Growing Dividend: KL's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (22.5%), KL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KL's dividends in 3 years are forecast to be well covered by earnings (27.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Tony Makuch (63 yo)

5.08yrs

Tenure

US$5,461,578

Compensation

Mr. Anthony Paul Makuch, also known as Tony, B.Sc., M.Sc., M.B.A., P.Eng., has been Member of Advisory Board at Galantas Gold Corporation since June 2021. He has been the Chief Executive Officer, President...


CEO Compensation Analysis

Compensation vs Market: Tony's total compensation ($USD5.46M) is about average for companies of similar size in the Canadian market ($USD5.54M).

Compensation vs Earnings: Tony's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: KL's management team is considered experienced (2.2 years average tenure).


Board Members

Experienced Board: KL's board of directors are considered experienced (3.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if 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

Kirkland Lake Gold Ltd.'s employee growth, exchange listings and data sources


Key Information

  • Name: Kirkland Lake Gold Ltd.
  • Ticker: KL
  • Exchange: TSX
  • Founded: NaN
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$12.829b
  • Shares outstanding: 263.70m
  • Website: https://www.klgold.com

Number of Employees


Location

  • Kirkland Lake Gold Ltd.
  • Royal Bank Plaza
  • Suite 2800
  • Toronto
  • Ontario
  • M5J 2J1
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/04 00:00
End of Day Share Price2021/12/03 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.