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OGC

OceanaGold TSX:OGC Stock Report

Last Price

CA$2.08

Market Cap

CA$1.5b

7D

-7.6%

1Y

-5.5%

Updated

17 Aug, 2022

Data

Company Financials +
OGC fundamental analysis
Snowflake Score
Valuation3/6
Future Growth3/6
Past Performance2/6
Financial Health5/6
Dividends0/6

OGC Stock Overview

OceanaGold Corporation, a gold producer, engages in the exploration, development, and operation of mineral properties.

OceanaGold Competitors

Price History & Performance

Summary of all time highs, changes and price drops for OceanaGold
Historical stock prices
Current Share PriceCA$2.08
52 Week HighCA$3.41
52 Week LowCA$1.79
Beta1.35
1 Month Change-12.61%
3 Month Change-24.64%
1 Year Change-5.46%
3 Year Change-30.20%
5 Year Change-44.97%
Change since IPO-40.57%

Recent News & Updates

Aug 17
These 4 Measures Indicate That OceanaGold (TSE:OGC) Is Using Debt Reasonably Well

These 4 Measures Indicate That OceanaGold (TSE:OGC) Is Using Debt Reasonably Well

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it might be obvious that you need to...

Shareholder Returns

OGCCA Metals and MiningCA Market
7D-7.6%1.2%3.2%
1Y-5.5%-12.7%2.1%

Return vs Industry: OGC exceeded the Canadian Metals and Mining industry which returned -12.7% over the past year.

Return vs Market: OGC underperformed the Canadian Market which returned 2.1% over the past year.

Price Volatility

Is OGC's price volatile compared to industry and market?
OGC volatility
OGC Average Weekly Movement8.7%
Metals and Mining Industry Average Movement11.5%
Market Average Movement10.6%
10% most volatile stocks in CA Market18.9%
10% least volatile stocks in CA Market4.3%

Stable Share Price: OGC is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: OGC's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2003n/aGerard Bondhttps://oceanagold.com

OceanaGold Corporation, a gold producer, engages in the exploration, development, and operation of mineral properties. It explores for gold, copper, and silver deposits. The company operates the Didipio gold-copper mine located in the Nueva Vizcaya and Quirino provinces on the island of Luzon in the Philippines; the Macraes goldfield mine on the South Island of New Zealand and the Waihi gold mine on the North Island of New Zealand; and the Haile gold mine located in South Carolina, the United States.

OceanaGold Fundamentals Summary

How do OceanaGold's earnings and revenue compare to its market cap?
OGC fundamental statistics
Market CapCA$1.46b
Earnings (TTM)CA$60.61m
Revenue (TTM)CA$1.20b

24.2x

P/E Ratio

1.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
OGC income statement (TTM)
RevenueUS$928.30m
Cost of RevenueUS$420.50m
Gross ProfitUS$507.80m
Other ExpensesUS$460.90m
EarningsUS$46.90m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)0.067
Gross Margin54.70%
Net Profit Margin5.05%
Debt/Equity Ratio12.6%

How did OGC perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is OGC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for OGC?

Other financial metrics that can be useful for relative valuation.

OGC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.4x
Enterprise Value/EBITDA3.2x
PEG Ratio0.6x

Price to Earnings Ratio vs Peers

How does OGC's PE Ratio compare to its peers?

OGC PE Ratio vs Peers
The above table shows the PE ratio for OGC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average18.6x
SSL Sandstorm Gold
26.2xn/aCA$2.1b
DPM Dundee Precious Metals
5.8x28.3%CA$1.2b
WDO Wesdome Gold Mines
38.7x78.6%CA$1.2b
CGG China Gold International Resources
3.8x5.8%CA$1.4b
OGC OceanaGold
24.2x39.7%CA$1.5b

Price-To-Earnings vs Peers: OGC is expensive based on its Price-To-Earnings Ratio (24.2x) compared to the peer average (18.6x).


Price to Earnings Ratio vs Industry

How does OGC's PE Ratio compare vs other companies in the CA Metals and Mining Industry?

Price-To-Earnings vs Industry: OGC is expensive based on its Price-To-Earnings Ratio (24.2x) compared to the Canadian Metals and Mining industry average (9.9x)


Price to Earnings Ratio vs Fair Ratio

What is OGC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

OGC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio24.2x
Fair PE Ratio24.8x

Price-To-Earnings vs Fair Ratio: OGC is good value based on its Price-To-Earnings Ratio (24.2x) compared to the estimated Fair Price-To-Earnings Ratio (24.8x).


Share Price vs Fair Value

What is the Fair Price of OGC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: OGC (CA$2.08) is trading below our estimate of fair value (CA$25.15)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is OceanaGold forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


39.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OGC's forecast earnings growth (39.7% per year) is above the savings rate (1.6%).

Earnings vs Market: OGC's earnings (39.7% per year) are forecast to grow faster than the Canadian market (7.8% per year).

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

Revenue vs Market: OGC's revenue (4.7% per year) is forecast to grow slower than the Canadian market (6.5% per year).

High Growth Revenue: OGC's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: OGC's Return on Equity is forecast to be low in 3 years time (12.8%).


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Past Performance

How has OceanaGold performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-45.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: OGC has high quality earnings.

Growing Profit Margin: OGC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: OGC's earnings have declined by 45.3% per year over the past 5 years.

Accelerating Growth: OGC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: OGC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-16%).


Return on Equity

High ROE: OGC's Return on Equity (2.9%) is considered low.


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Financial Health

How is OceanaGold's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: OGC's short term assets ($344.8M) exceed its short term liabilities ($193.7M).

Long Term Liabilities: OGC's short term assets ($344.8M) do not cover its long term liabilities ($431.0M).


Debt to Equity History and Analysis

Debt Level: OGC's net debt to equity ratio (3.4%) is considered satisfactory.

Reducing Debt: OGC's debt to equity ratio has reduced from 20.5% to 12.6% over the past 5 years.

Debt Coverage: OGC's debt is well covered by operating cash flow (195.4%).

Interest Coverage: OGC's interest payments on its debt are well covered by EBIT (4.4x coverage).


Balance Sheet


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Dividend

What is OceanaGold current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


0.62%

Forecast Dividend Yield

Dividend Yield vs Market

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

High Dividend: Unable to evaluate OGC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if OGC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if OGC's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: OGC is not paying a notable dividend for the Canadian market.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as OGC has not reported any payouts.


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Management

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

2.1yrs

Average management tenure


CEO

Gerard Bond (54 yo)

0.33yr

Tenure

Mr. Gerard Michael Bond has extensive experience in global finance and the resources industry and has held numerous senior executive roles across Europe and Australia. Most recently, he was the Finance Dir...


Leadership Team

Experienced Management: OGC's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: OGC's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: OGC 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

OceanaGold Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: OceanaGold Corporation
  • Ticker: OGC
  • Exchange: TSX
  • Founded: 2003
  • Industry: Gold
  • Sector: Materials
  • Implied Market Cap: CA$1.465b
  • Shares outstanding: 704.21m
  • Website: https://oceanagold.com

Number of Employees


Location

  • OceanaGold Corporation
  • 99 Melbourne Street
  • Level 3
  • South Brisbane
  • Queensland
  • 4101
  • Australia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/17 00:00
End of Day Share Price2022/08/17 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


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.