TSX:PTM

Stock Analysis Report

Platinum Group Metals

Executive Summary

Platinum Group Metals Ltd. engages in the acquisition, exploration, and development of platinum and palladium properties.


Snowflake Analysis

Weak fundamentals or lack of information.

Share Price & News

How has Platinum Group Metals's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

11.0%

PTM

3.5%

CA Metals and Mining

-1.5%

CA Market


1 Year Return

36.7%

PTM

6.8%

CA Metals and Mining

2.5%

CA Market

Return vs Industry: PTM exceeded the Canadian Metals and Mining industry which returned 5.4% over the past year.

Return vs Market: PTM exceeded the Canadian Market which returned 4.5% over the past year.


Shareholder returns

PTMIndustryMarket
7 Day11.0%3.5%-1.5%
30 Day8.7%5.0%-0.7%
90 Day75.8%14.3%1.8%
1 Year36.7%36.7%7.5%6.8%5.7%2.5%
3 Year-86.1%-86.1%2.8%1.0%16.8%6.2%
5 Year-95.4%-95.4%29.1%25.4%32.0%12.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Platinum Group Metals undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Platinum Group Metals is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Platinum Group Metals has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of PTM’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the potential returns from the core activities, the size of each contract's opportunity, and the capacity of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Platinum Group Metals regulatory filings.
  • Explore potentially undervalued companies in the Materials industry.

Future Growth

How is Platinum Group Metals forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

13.0%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Platinum Group Metals has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Platinum Group Metals performed over the past 5 years?

-22.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PTM is currently unprofitable.

Growing Profit Margin: PTM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PTM is unprofitable, and losses have increased over the past 5 years at a rate of -22% per year.

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

Earnings vs Industry: PTM is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.9%).


Return on Equity

High ROE: PTM has a negative Return on Equity (-855.46%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Platinum Group Metals's financial position?


Financial Position Analysis

Short Term Liabilities: PTM's short term assets ($1.7M) do not cover its short term liabilities ($4.3M).

Long Term Liabilities: PTM's short term assets ($1.7M) do not cover its long term liabilities ($36.0M).


Debt to Equity History and Analysis

Debt Level: PTM's debt to equity ratio (2875.6%) is considered high.

Reducing Debt: Insufficient data to determine if PTM's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: PTM's debt is not covered by short term assets (assets are 0x 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: PTM has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: PTM has less than a year of cash runway if free cash flow continues to grow at historical rates of 23.2% each year.


Next Steps

Dividend

What is Platinum Group Metals's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.6%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

Growing Dividend: Insufficient data to determine if PTM'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 PTM'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?

9.1yrs

Average management tenure


CEO

R. Jones (55yo)

20.1yrs

Tenure

US$785,184

Compensation

Mr. R. Michael Jones, B.A.SC., P.Eng has been the President and Chief Executive Officer of West Kirkland Mining Inc. since 2010. Mr. Jones has been President, Chief Executive Officer and Co-Founder of Plat ...


CEO Compensation Analysis

Compensation vs Market: R.'s total compensation ($USD594.22K) is about average for companies of similar size in the Canadian market ($USD663.47K).

Compensation vs Earnings: R.'s compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
R. Jones
President20.1yrsUS$785.18k0.065% $145.7k
Frank Hallam
CFO, Corporate Secretary & Director18yrsUS$701.68k0.037% $82.7k
Kresimir Begic
Vice President of Corporate Development8.3yrsUS$335.25k0.042% $93.6k
Gabriel de Wet
Head of Mine Engineering3yrsno datano data
Carlos Agueero
Chief Executive Officer of Metalico Inc and President of Metalico Inc0yrsno datano data
Amjad Ali
Project Finance Advisor & Member of Advisory Board0yrsno datano data

9.1yrs

Average Tenure

59yo

Average Age

Experienced Management: PTM's management team is seasoned and experienced (9.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
R. Jones
President20.1yrsUS$785.18k0.065% $145.7k
Frank Hallam
CFO, Corporate Secretary & Director18yrsUS$701.68k0.037% $82.7k
Amjad Ali
Project Finance Advisor & Member of Advisory Board0yrsno datano data
John Copelyn
Independent Director1.8yrsUS$82.58kno data
Iain D. McLean
Independent Chairman of the Board0yrsUS$117.18k0.0033% $7.3k
Timothy Marlow
Independent Director8.7yrsUS$94.12k0.00048% $1.1k
Dan Rogness
0yrsno datano data
Diana Walters
Independent Director6.6yrsUS$94.12k0.00064% $1.4k
Gordon Chunnett
9yrsno datano data
Stuart Harshaw
Independent Director0.8yrsUS$46.81k0.0080% $18.0k

8.7yrs

Average Tenure

61yo

Average Age

Experienced Board: PTM's board of directors are considered experienced (8.7 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: PTM insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 76.4%.


Top Shareholders

Company Information

Platinum Group Metals Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Platinum Group Metals Ltd.
  • Ticker: PTM
  • Exchange: TSX
  • Founded: 2000
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Market Cap: CA$224.450m
  • Shares outstanding: 62.35m
  • Website: https://www.platinumgroupmetals.net

Number of Employees


Location

  • Platinum Group Metals Ltd.
  • 1100 Melville Street
  • Suite 838
  • Vancouver
  • British Columbia
  • V6E 4A6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PTMTSX (The Toronto Stock Exchange)YesCommon SharesCACADMar 2001
PLGAMEX (NYSE MKT LLC)YesCommon SharesUSUSDMar 2001
P6MBDB (Deutsche Boerse AG)YesCommon SharesDEEURMar 2001
0VD1LSE (London Stock Exchange)YesCommon SharesGBCADMar 2001

Biography

Platinum Group Metals Ltd. engages in the acquisition, exploration, and development of platinum and palladium properties. It explores for platinum, palladium, rhodium, gold, ruthenium, iridium, copper, and nickel deposits. The company holds 50.02% interest in the Waterberg project located on the North Limb of the Western Bushveld complex, South Africa. Platinum Group Metals Ltd. was founded in 2000 and is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 00:09
End of Day Share Price2020/02/24 00:00
Earnings2019/11/30
Annual Earnings2019/08/31


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.