TSX:OGC

Stock Analysis Report

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Executive Summary

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


Snowflake Analysis

High growth potential and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: OGC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0.3%

OGC

5.9%

CA Metals and Mining

0.8%

CA Market


1 Year Return

-5.8%

OGC

37.8%

CA Metals and Mining

-11.3%

CA Market

Return vs Industry: OGC underperformed the Canadian Metals and Mining industry which returned 37.8% over the past year.

Return vs Market: OGC exceeded the Canadian Market which returned -11.3% over the past year.


Shareholder returns

OGCIndustryMarket
7 Day0.3%5.9%0.8%
30 Day7.6%18.2%1.8%
90 Day58.7%31.8%9.5%
1 Year-5.8%-5.8%38.8%37.8%-8.2%-11.3%
3 Year-11.6%-13.1%37.8%35.5%4.1%-5.8%
5 Year29.9%25.4%107.5%101.9%21.6%3.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is OceanaGold 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: OGC (CA$3.11) is trading below our estimate of fair value (CA$7.71)

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: OGC is good value based on its PB Ratio (0.9x) compared to the CA Metals and Mining industry average (2.4x).


Next Steps

Future Growth

How is OceanaGold forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

79.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: OGC is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: OGC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: OGC's is expected to become profitable in the next 3 years.

Revenue vs Market: OGC's revenue (24.5% per year) is forecast to grow faster than the Canadian market (5.5% per year).

High Growth Revenue: OGC's revenue (24.5% per year) is forecast to grow faster 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%).


Next Steps

Past Performance

How has OceanaGold performed over the past 5 years?

-4.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: OGC is currently unprofitable.

Growing Profit Margin: OGC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: OGC is unprofitable, and losses have increased over the past 5 years at a rate of -4.8% per year.

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

Earnings vs Industry: OGC is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (18.3%).


Return on Equity

High ROE: OGC has a negative Return on Equity (-1.58%), as it is currently unprofitable.


Next Steps

Financial Health

How is OceanaGold's financial position?


Financial Position Analysis

Short Term Liabilities: OGC's short term assets ($333.3M) exceed its short term liabilities ($284.6M).

Long Term Liabilities: OGC's short term assets ($333.3M) do not cover its long term liabilities ($368.7M).


Debt to Equity History and Analysis

Debt Level: OGC's debt to equity ratio (13.3%) is considered satisfactory.

Reducing Debt: OGC's debt to equity ratio has increased from 11.1% to 13.3% over the past 5 years.

Debt Coverage: OGC's debt is well covered by operating cash flow (143%).

Interest Coverage: OGC is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

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

0.90%

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.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of OGC'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?

2.9yrs

Average management tenure


CEO

Michael Harvy Holmes

0.33

Tenure

US$1,006,449

Compensation

Mr. Michael Harvy Lou Holmes is President and Director at OceanaGold Corporation since March 18, 2020 and also serves as its Chief Executive Officer since April 6, 2020. Prior to joining the Company, he wa ...


CEO Compensation Analysis

Compensation vs Market: Michael Harvy's total compensation ($USD1.01M) is below average for companies of similar size in the Canadian market ($USD2.03M).

Compensation vs Earnings: Michael Harvy's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Michael Harvy Holmes
President0.33yrUS$1.01m0.13% $2.8m
Scott McQueen
Executive VP & CFO3yrsUS$772.38kno data
Cody Whipperman
Executive VP & Head of Corporate Development2.17yrsUS$781.59k0.023% $483.7k
Mark Cadzow
Executive VP & Chief Development Officer7.92yrsUS$1.07m0.074% $1.6m
Sam Pazuki
Vice President of Investor Relationsno datano datano data
Liang Tang
Executive VP7.5yrsno data0.033% $694.9k
Graham Almond
Executive VP0.75yrno data0.0072% $152.5k
Craig Feebrey
Executive VP & Head of Exploration4.67yrsUS$914.04k0.044% $920.5k
Sharon Flynn
Executive VP and Head of External Affairs & Social Performance2.83yrsno datano data
Jonathan Moore
Chief Geologistno datano datano data
David Carr
Chief Metallurgistno datano datano data
Greg Scanlan
Head of Healthno datano datano data

2.9yrs

Average Tenure

Experienced Management: OGC's management team is considered experienced (2.9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Harvy Holmes
President0.33yrUS$1.01m0.13% $2.8m
Paul Sweeney
Independent Non-Executive Director6yrsUS$118.76k0.0068% $144.3k
Craig Nelsen
Independent Non-Executive Director1.42yrsUS$101.44k0.016% $339.0k
Catherine Gignac
Independent Non-Executive Director0.92yrUS$41.80kno data
Ian Reid
Independent Non-Executive Chairman1.08yrsUS$156.06k0.016% $339.0k
Geoffrey Raby
Independent Non-Executive Director8.92yrsUS$97.58k0.0039% $81.4k

1.3yrs

Average Tenure

66yo

Average Age

Experienced Board: OGC's board of directors are not considered experienced ( 1.3 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: 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

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


Key Information

  • Name: OceanaGold Corporation
  • Ticker: OGC
  • Exchange: TSX
  • Founded: 2003
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$2.110b
  • Shares outstanding: 622.32m
  • Website: https://www.oceanagold.com

Number of Employees


Location

  • OceanaGold Corporation
  • 357 Collins Street
  • Level 14
  • Melbourne
  • Victoria
  • 3000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
OGCASX (Australian Securities Exchange)CDI NPVAUAUDJun 2007
RQQ1DB (Deutsche Boerse AG)CDI NPVDEEURJun 2007
OGDC.FOTCPK (Pink Sheets LLC)CDI NPVUSUSDJun 2007
OGCCHIA (Chi-X Australia)CDI NPVAUAUDJun 2007
OGCTSX (The Toronto Stock Exchange)YesOrdinary SharesCACADJun 2007
RQQDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2007
OCAN.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 2007
0VAQLSE (London Stock Exchange)YesOrdinary SharesGBCADJun 2007

Biography

OceanaGold Corporation, a gold producer, engages in the exploration, development, and operation of mineral properties. It explores for gold, copper, silver, and other minerals. The company operates the Didipio gold-copper mine on Luzon Island in the Philippines; the Macraes goldfield mine on the South Island of New Zealand; the Waihi gold mine on the North Island of New Zealand; and Haile gold mine located in South Carolina, the United States. It also has a pipeline of exploration opportunities in the Americas and the Asia-Pacific regions. The company was incorporated in 2003 and is headquartered in Melbourne, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/13 23:55
End of Day Share Price2020/07/13 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.