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SSL

Sandstorm Gold TSX:SSL Stock Report

Last Price

CA$8.18

Market Cap

CA$1.7b

7D

8.5%

1Y

-6.3%

Updated

12 Aug, 2022

Data

Company Financials +
SSL fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance5/6
Financial Health6/6
Dividends0/6

SSL Stock Overview

Sandstorm Gold Ltd. operates as a gold royalty company.

Sandstorm Gold Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sandstorm Gold
Historical stock prices
Current Share PriceCA$8.18
52 Week HighCA$11.61
52 Week LowCA$6.86
Beta0.96
1 Month Change9.65%
3 Month Change2.51%
1 Year Change-6.30%
3 Year Change2.51%
5 Year Change47.39%
Change since IPO1,158.46%

Recent News & Updates

Shareholder Returns

SSLCA Metals and MiningCA Market
7D8.5%4.4%3.0%
1Y-6.3%-14.2%0.7%

Return vs Industry: SSL exceeded the Canadian Metals and Mining industry which returned -14.7% over the past year.

Return vs Market: SSL underperformed the Canadian Market which returned -0.2% over the past year.

Price Volatility

Is SSL's price volatile compared to industry and market?
SSL volatility
SSL Average Weekly Movement6.1%
Metals and Mining Industry Average Movement11.6%
Market Average Movement10.6%
10% most volatile stocks in CA Market19.0%
10% least volatile stocks in CA Market4.3%

Stable Share Price: SSL is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: SSL's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2007n/aNolan Watsonhttps://www.sandstormgold.com

Sandstorm Gold Ltd. operates as a gold royalty company. The company focuses on acquiring royalties and gold and other metals purchase agreements (streams) from companies that have advanced stage development projects or operating mines. It offers upfront payments for companies to acquire a stream or royalty and receives the right to purchase a percentage of a mine’s production for the life of the mine at a fixed price per unit or at a fixed percentage of the spot price.

Sandstorm Gold Fundamentals Summary

How do Sandstorm Gold's earnings and revenue compare to its market cap?
SSL fundamental statistics
Market CapUS$1.32b
Earnings (TTM)US$62.85m
Revenue (TTM)US$128.75m

20.9x

P/E Ratio

10.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SSL income statement (TTM)
RevenueUS$128.75m
Cost of RevenueUS$27.39m
Gross ProfitUS$101.37m
Other ExpensesUS$38.51m
EarningsUS$62.85m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Aug 12, 2022

Earnings per share (EPS)0.31
Gross Margin78.73%
Net Profit Margin48.82%
Debt/Equity Ratio0%

How did SSL perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

10%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is SSL 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 SSL?

Other financial metrics that can be useful for relative valuation.

SSL 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/Revenue10x
Enterprise Value/EBITDA14.5x
PEG Ration/a

Price to Earnings Ratio vs Peers

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

SSL PE Ratio vs Peers
The above table shows the PE ratio for SSL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average19.9x
WDO Wesdome Gold Mines
43.2x75.5%CA$1.4b
OGC OceanaGold
25.9x39.7%CA$1.6b
DPM Dundee Precious Metals
6.3x28.3%CA$1.3b
CGG China Gold International Resources
4.1x5.8%CA$1.5b
SSL Sandstorm Gold
20.9xn/aCA$1.7b

Price-To-Earnings vs Peers: SSL is expensive based on its Price-To-Earnings Ratio (20.9x) compared to the peer average (19.9x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: SSL is expensive based on its Price-To-Earnings Ratio (20.9x) compared to the Canadian Metals and Mining industry average (10.4x)


Price to Earnings Ratio vs Fair Ratio

What is SSL'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.

SSL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate SSL's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

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

Below Fair Value: SSL (CA$8.18) is trading below our estimate of fair value (CA$29.55)

Significantly Below Fair Value: SSL 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 and analysts are within a statistically confident range of agreement.


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Future Growth

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

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


16.1%

Forecasted annual revenue growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if SSL's forecast earnings growth is above the savings rate (1.6%).

Earnings vs Market: Insufficient data to determine if SSL's earnings are forecast to grow faster than the Canadian market

High Growth Earnings: Insufficient data to determine if SSL's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SSL's revenue (16.1% per year) is forecast to grow faster than the Canadian market (6.4% per year).

High Growth Revenue: SSL's revenue (16.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if SSL's Return on Equity is forecast to be high in 3 years time


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Past Performance

How has Sandstorm Gold performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


41.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SSL has high quality earnings.

Growing Profit Margin: SSL's current net profit margins (48.8%) are higher than last year (27.7%).


Past Earnings Growth Analysis

Earnings Trend: SSL's earnings have grown significantly by 41.5% per year over the past 5 years.

Accelerating Growth: SSL's earnings growth over the past year (105.2%) exceeds its 5-year average (41.5% per year).

Earnings vs Industry: SSL earnings growth over the past year (105.2%) exceeded the Metals and Mining industry -16.5%.


Return on Equity

High ROE: SSL's Return on Equity (10.1%) is considered low.


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Financial Health

How is Sandstorm Gold's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: SSL's short term assets ($35.3M) exceed its short term liabilities ($14.2M).

Long Term Liabilities: SSL's short term assets ($35.3M) exceed its long term liabilities ($26.7M).


Debt to Equity History and Analysis

Debt Level: SSL is debt free.

Reducing Debt: SSL had no debt 5 years ago.

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

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


Balance Sheet


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Dividend

What is Sandstorm Gold 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


0.95%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: SSL's dividend (0.95%) isn’t notable compared to the bottom 25% of dividend payers in the Canadian market (1.82%).

High Dividend: SSL's dividend (0.95%) is low compared to the top 25% of dividend payers in the Canadian market (5.32%).


Stability and Growth of Payments

Stable Dividend: SSL is not paying a notable dividend for the Canadian market, therefore no need to check if payments are stable.

Growing Dividend: SSL is not paying a notable dividend for the Canadian market, therefore no need to check if payments are increasing.


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: SSL is not paying a notable dividend for the Canadian market.


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Management

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

6.6yrs

Average management tenure


CEO

Nolan Watson (42 yo)

13.92yrs

Tenure

US$1,860,779

Compensation

Mr. Nolan Allan Watson, BComm, CA, CFA, F.C.A., FCPA, has been the Chief Executive Officer and President of Sandstorm Gold Ltd. (also known as, Sandstorm Resources Ltd.) since September 23, 2008. He serves...


CEO Compensation Analysis

Compensation vs Market: Nolan's total compensation ($USD1.86M) is about average for companies of similar size in the Canadian market ($USD2.22M).

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


Leadership Team

Experienced Management: SSL's management team is seasoned and experienced (6.6 years average tenure).


Board Members

Experienced Board: SSL's board of directors are seasoned and experienced ( 13.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SSL 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 diluted in the past year, with total shares outstanding growing by 5.6%.


Top Shareholders

Company Information

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


Key Information

  • Name: Sandstorm Gold Ltd.
  • Ticker: SSL
  • Exchange: TSX
  • Founded: 2007
  • Industry: Gold
  • Sector: Materials
  • Implied Market Cap: CA$1.683b
  • Shares outstanding: 205.73m
  • Website: https://www.sandstormgold.com

Number of Employees


Location

  • Sandstorm Gold Ltd.
  • 400 Burrard Street
  • Suite 1400
  • Vancouver
  • British Columbia
  • V6C 3A6
  • Canada

Listings


Company Analysis and Financial Data Status

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