TSX:PG

Stock Analysis Report

Premier Gold Mines

Executive Summary

Premier Gold Mines Limited explores for, develops, and produces gold and silver deposits in Canada, the United States, and Mexico.

Snowflake

Fundamentals

High growth potential with mediocre balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PG has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-6.4%

PG

2.0%

CA Metals and Mining

0.5%

CA Market


1 Year Return

17.4%

PG

23.8%

CA Metals and Mining

7.9%

CA Market

Return vs Industry: PG underperformed the Canadian Metals and Mining industry which returned 23.8% over the past year.

Return vs Market: PG exceeded the Canadian Market which returned 7.9% over the past year.


Shareholder returns

PGIndustryMarket
7 Day-6.4%2.0%0.5%
30 Day0%1.7%3.2%
90 Day-15.6%-3.4%3.9%
1 Year17.4%17.4%24.8%23.8%11.5%7.9%
3 Year-17.1%-17.1%-2.2%-4.0%17.1%6.6%
5 Year-18.2%-18.2%20.7%16.7%27.7%9.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Premier Gold Mines undervalued compared to its fair value and its price relative to the market?

1.07x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: PG (CA$1.89) is trading above our estimate of fair value (CA$0.77)

Significantly Below Fair Value: PG is trading above our estimate of fair value.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: PG is good value based on its PB Ratio (1.1x) compared to the CA Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Premier Gold Mines forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

117.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

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

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

Revenue vs Market: PG's revenue (32.5% per year) is forecast to grow faster than the Canadian market (4.7% per year).

High Growth Revenue: PG's revenue (32.5% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PG's Return on Equity is forecast to be low in 3 years time (3.9%).


Next Steps

Past Performance

How has Premier Gold Mines performed over the past 5 years?

13.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PG has large one-off items impacting its financial results.

Growing Profit Margin: PG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PG is unprofitable, but has reduced losses over the past 5 years at a rate of 13.5% per year.

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

Earnings vs Industry: PG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-15.5%).


Return on Equity

High ROE: PG has a negative Return on Equity (-8.51%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Premier Gold Mines's financial position?


Financial Position Analysis

Short Term Liabilities: PG's short term assets ($75.2M) exceeds its short term liabilities ($48.2M)

Long Term Liabilities: PG's short term assets ($75.2M) exceeds its long term liabilities (50.0M)


Debt to Equity History and Analysis

Debt Level: PG's debt to equity ratio (9.7%) is considered satisfactory.

Reducing Debt: PG's debt to equity ratio has increased from 1.9% to 9.7% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: PG's debt is covered by short term assets (assets are 2.8x 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: PG has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: PG has less than a year of cash runway if free cash flow continues to reduce at historical rates of -58.4% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.7%industryaverage1.1%forecastin3Years0%

Current dividend yield vs market & industry

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

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

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

5.2yrs

Average management tenure


CEO

Ewan Downie (52yo)

13.5yrs

Tenure

US$1,750,306

Compensation

Mr. Ewan Stewart Downie has been the Chief Executive Officer and President of Premier Gold Mines Limited, a subsidiary of Wolfden Resources Inc. (Zinifex Canada Inc) since May 29, 2006. Mr. Downie founded  ...


CEO Compensation Analysis

Compensation vs Market: Ewan's total compensation ($USD1.32M) is about average for companies of similar size in the Canadian market ($USD1.08M).

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


Management Age and Tenure

5.2yrs

Average Tenure

52yo

Average Age

Experienced Management: PG's management team is seasoned and experienced (5.2 years average tenure).


Board Age and Tenure

5.2yrs

Average Tenure

56yo

Average Age

Experienced Board: PG's board of directors are considered experienced (5.2 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$45,53001 Apr 19
Matthew Gollat
EntityIndividual
Role
Other Key Executive
Vice President of Business Development
Shares29,000
Max PriceUS$1.57
BuyUS$68,52915 Mar 19
Ewan Downie
EntityIndividual
Role
Chief Executive Officer
President
Shares40,000
Max PriceUS$1.73
BuyUS$44,00013 Mar 19
Ewan Downie
EntityIndividual
Role
Chief Executive Officer
President
Shares25,000
Max PriceUS$1.76
BuyUS$44,00012 Mar 19
Ewan Downie
EntityIndividual
Role
Chief Executive Officer
President
Shares25,000
Max PriceUS$1.76
BuyUS$11,056,50104 Feb 19
Orion Mine Finance
EntityCompany
Shares7,000,000
Max PriceUS$1.58
BuyUS$30,52806 Dec 18
Brent Kristof
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Operations
Shares20,000
Max PriceUS$1.53
BuyUS$14,00006 Dec 18
John Seaman
EntityIndividual
Role
Lead Director
Lead Director
Shares10,000
Max PriceUS$1.40
BuyUS$14,50005 Dec 18
John Seaman
EntityIndividual
Role
Lead Director
Lead Director
Shares10,000
Max PriceUS$1.45
BuyUS$37,46405 Dec 18
Ewan Downie
EntityIndividual
Role
Chief Executive Officer
President
Shares25,000
Max PriceUS$1.53
BuyUS$3,10829 Nov 18
John Begeman
EntityIndividual
Role
Chairman of the Board
Executive Chairman
Shares2,000
Max PriceUS$1.55
BuyUS$22,12527 Nov 18
Ewan Downie
EntityIndividual
Role
Chief Executive Officer
President
Shares15,000
Max PriceUS$1.48
BuyUS$13,12022 Nov 18
Ewan Downie
EntityIndividual
Role
Chief Executive Officer
President
Shares8,000
Max PriceUS$1.64

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.4%.


Management Team

  • John Begeman (65yo)

    Executive Chairman

    • Tenure: 4.4yrs
    • Compensation: US$1.14m
  • Ewan Downie (52yo)

    President

    • Tenure: 13.5yrs
    • Compensation: US$1.75m
  • Shaun Drake (52yo)

    Secretary

    • Tenure: 0yrs
  • Steve Filipovic (50yo)

    Chief Financial Officer

    • Tenure: 7.4yrs
    • Compensation: US$965.24k
  • Stephen McGibbon (60yo)

    Executive Vice President of Corporate & Project Development

    • Tenure: 8.3yrs
    • Compensation: US$804.36k
  • Matt Gollat

    Vice President of Business Development

    • Tenure: 1.8yrs
  • Brent Kristof

    Senior Vice President of Operations

    • Tenure: 2.9yrs
    • Compensation: US$940.86k
  • Peter Van Alphen

    Chief Operating Officer

    • Tenure: 0.2yrs

Board Members

  • John Begeman (65yo)

    Executive Chairman

    • Tenure: 4.4yrs
    • Compensation: US$1.14m
  • Ewan Downie (52yo)

    President

    • Tenure: 13.5yrs
    • Compensation: US$1.75m
  • John Seaman (51yo)

    Lead Director

    • Tenure: 0yrs
    • Compensation: US$165.00k
  • Ron Little (56yo)

    Independent Director

    • Tenure: 4.3yrs
    • Compensation: US$160.00k
  • Claude Lemasson (54yo)

    Independent Director

    • Tenure: 7.4yrs
    • Compensation: US$155.00k
  • Tony Makuch (61yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: US$155.00k
  • Mike Vitton (62yo)

    Independent Director

    • Tenure: 5.9yrs
    • Compensation: US$160.00k

Company Information

Premier Gold Mines Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Premier Gold Mines Limited
  • Ticker: PG
  • Exchange: TSX
  • Founded: 2006
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$397.770m
  • Shares outstanding: 210.46m
  • Website: https://www.premiergoldmines.com

Number of Employees


Location

  • Premier Gold Mines Limited
  • 1100 Russell Street
  • Suite 200
  • Thunder Bay
  • Ontario
  • P7B 5N2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PGTSX (The Toronto Stock Exchange)YesCommon SharesCACADAug 2006
P2ODB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2006
PIRG.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 2006
0R3FLSE (London Stock Exchange)YesCommon SharesGBCADAug 2006
PGMSWX (SIX Swiss Exchange)YesCommon SharesCHCHFAug 2006

Biography

Premier Gold Mines Limited explores for, develops, and produces gold and silver deposits in Canada, the United States, and Mexico. It principally holds a 100% interest in the Mercedes Mine property located ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/19 23:58
End of Day Share Price2019/11/19 00:00
Earnings2019/09/30
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.