Executive Summary
African Gold Group, Inc., an exploration and development company, engages in the acquisition, exploration, and development of gold properties in West Africa. More Details
Rewards
Risk Analysis
Shareholders have been substantially diluted in the past year
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Adequate balance sheet and fair value.
Similar Companies
Share Price & News
How has African Gold Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AGG is not significantly more volatile than the rest of Canadian stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: AGG's weekly volatility has decreased from 16% to 8% over the past year.
Market Performance
7 Day Return
-6.1%
AGG
1.9%
CA Metals and Mining
-0.2%
CA Market
1 Year Return
-24.4%
AGG
33.4%
CA Metals and Mining
1.5%
CA Market
Return vs Industry: AGG underperformed the Canadian Metals and Mining industry which returned 33.7% over the past year.
Return vs Market: AGG underperformed the Canadian Market which returned 1.4% over the past year.
Shareholder returns
| AGG | Industry | Market | |
|---|---|---|---|
| 7 Day | -6.1% | 1.9% | -0.2% |
| 30 Day | -8.8% | -0.6% | 2.7% |
| 90 Day | -22.5% | -2.4% | 12.5% |
| 1 Year | -24.4%-24.4% | 34.6%33.4% | 5.2%1.5% |
| 3 Year | -54.1%-54.1% | 39.6%36.6% | 13.5%2.7% |
| 5 Year | -48.3%-48.3% | 161.0%152.6% | 60.0%35.5% |
Long-Term Price Volatility Vs. Market
How volatile is African Gold Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
10 months ago | Simply Wall St
Should You Be Concerned About African Gold Group, Inc.'s (CVE:AGG) Historical Volatility?1 year ago | Simply Wall St
Who Has Been Buying African Gold Group, Inc. (CVE:AGG) Shares?2 years ago | Simply Wall St
Breaking Down African Gold Group Inc's (CVE:AGG) Ownership StructureValuation
Is African Gold Group 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: AGG (CA$0.16) is trading below our estimate of fair value (CA$18.57)
Significantly Below Fair Value: AGG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AGG is unprofitable, so we can't compare its PE Ratio to the CA Metals and Mining industry average.
PE vs Market: AGG 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 AGG's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: AGG is good value based on its PB Ratio (0.6x) compared to the CA Metals and Mining industry average (3x).
Next Steps
Future Growth
How is African Gold Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
61.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AGG is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: AGG is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: AGG is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: Insufficient data to determine if AGG's revenue is forecast to grow faster than the Canadian market.
High Growth Revenue: Insufficient data to determine if AGG's revenue is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AGG is forecast to be unprofitable in 3 years.
Next Steps
Past Performance
How has African Gold Group performed over the past 5 years?
-43.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AGG is currently unprofitable.
Growing Profit Margin: AGG is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: AGG is unprofitable, and losses have increased over the past 5 years at a rate of 43.9% per year.
Accelerating Growth: Unable to compare AGG's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: AGG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (78.3%).
Return on Equity
High ROE: AGG has a negative Return on Equity (-21.18%), as it is currently unprofitable.
Next Steps
Financial Health
How is African Gold Group's financial position?
Financial Position Analysis
Short Term Liabilities: AGG's short term assets ($3.4M) exceed its short term liabilities ($1.9M).
Long Term Liabilities: AGG has no long term liabilities.
Debt to Equity History and Analysis
Debt Level: AGG is debt free.
Reducing Debt: AGG has not had any debt for past 5 years.
Balance Sheet
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: AGG has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: AGG has less than a year of cash runway if free cash flow continues to reduce at historical rates of 16.9% each year
Next Steps
Dividend
What is African Gold Group current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate AGG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate AGG'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 AGG's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if AGG'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 AGG'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?
1.6yrs
Average management tenure
CEO
Danny Callow (48 yo)
0.58
Tenure
US$151,506
Compensation
Mr. Daniel John Callow, also known as Danny, P. Eng, MBA, has been Director at African Gold Group, Inc. since August 06, 2020. Mr. Callow serves as an Independent Director of Euro Sun Mining Inc. since Oct...
CEO Compensation Analysis
Compensation vs Market: Danny's total compensation ($USD151.51K) is about average for companies of similar size in the Canadian market ($USD152.85K).
Compensation vs Earnings: Insufficient data to compare Danny's compensation with company performance.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 0.58yr | US$151.51k | 0.60% $ 139.5k | |
| Chief Financial Officer | 3.5yrs | US$46.26k | 0.060% $ 13.9k | |
| Vice President of Corporate Development | 1.42yrs | no data | 0.21% $ 49.6k | |
| Executive Director | no data | US$1.00m | no data | |
| Vice President of Exploration | 1.58yrs | no data | 0.027% $ 6.2k | |
| Corporate Secretary | 1.58yrs | no data | 0.067% $ 15.5k |
1.6yrs
Average Tenure
48yo
Average Age
Experienced Management: AGG's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 0.58yr | US$151.51k | 0.60% $ 139.5k | |
| Lead Independent Director | 0.58yr | no data | 0.11% $ 25.3k | |
| Independent Director | 3.5yrs | no data | 0.27% $ 62.0k | |
| Independent Vice Chairman | 0.58yr | no data | 0.27% $ 62.0k | |
| Independent Non-Executive Chairman | 0.58yr | no data | 0.40% $ 93.0k |
0.6yrs
Average Tenure
66yo
Average Age
Experienced Board: AGG's board of directors are not considered experienced ( 0.6 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: AGG 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 94.9%.
Top Shareholders
Company Information
African Gold Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: African Gold Group, Inc.
- Ticker: AGG
- Exchange: TSXV
- Founded: 2002
- Industry: Gold
- Sector: Materials
- Market Cap: CA$23.090m
- Shares outstanding: 148.97m
- Website: https://www.africangoldgroup.com
Location
- African Gold Group, Inc.
- 65 Queen Street West
- Suite 805
- Toronto
- Ontario
- M5H 2M5
- Canada
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AGG | TSXV (TSX Venture Exchange) | Yes | Common Shares | CA | CAD | Jul 1990 |
| 3A61 | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jul 1990 |
| AGGF.F | OTCPK (Pink Sheets LLC) | Yes | Common Shares | US | USD | Jul 1990 |
Biography
African Gold Group, Inc., an exploration and development company, engages in the acquisition, exploration, and development of gold properties in West Africa. It focuses on the development of the Kobada gol...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/24 00:24 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.