TSXV:CKG

Stock Analysis Report

Executive Summary

Chesapeake Gold Corp., a development stage company, focuses on the exploration and development of precious metals projects in North and Central America.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-9.7%

CKG

-6.0%

CA Metals and Mining

-6.2%

CA Market


1 Year Return

46.6%

CKG

2.2%

CA Metals and Mining

-2.0%

CA Market

Return vs Industry: CKG exceeded the Canadian Metals and Mining industry which returned 2.2% over the past year.

Return vs Market: CKG exceeded the Canadian Market which returned -2% over the past year.


Shareholder returns

CKGIndustryMarket
7 Day-9.7%-6.0%-6.2%
30 Day-5.1%-1.0%-5.0%
90 Day-1.1%4.9%-2.8%
1 Year46.6%46.6%2.9%2.2%1.1%-2.0%
3 Year-28.6%-28.6%-2.8%-4.5%10.7%0.6%
5 Year31.5%31.5%25.0%21.4%27.6%8.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.5x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate CKG's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate CKG's fair value to establish if it is undervalued.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: CKG is overvalued based on its PB Ratio (1.5x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

How is Chesapeake Gold forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.0%

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 Chesapeake Gold 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 Chesapeake Gold performed over the past 5 years?

16.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CKG is currently unprofitable.

Growing Profit Margin: CKG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: CKG is unprofitable, but has reduced losses over the past 5 years at a rate of 16.8% per year.

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

Earnings vs Industry: CKG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.8%).


Return on Equity

High ROE: CKG has a negative Return on Equity (-2.94%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Chesapeake Gold's financial position?


Financial Position Analysis

Short Term Liabilities: CKG's short term assets (CA$18.1M) exceed its short term liabilities (CA$2.1M).

Long Term Liabilities: CKG's short term assets (CA$18.1M) exceed its long term liabilities (CA$6.3M).


Debt to Equity History and Analysis

Debt Level: CKG's debt to equity ratio (0.7%) is considered satisfactory.

Reducing Debt: CKG's debt to equity ratio has reduced from 0.9% to 0.7% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: CKG's debt is covered by short term assets (assets are 25.8x 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: CKG has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: CKG has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 21.3% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.1%markettop25%5.9%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

9.6yrs

Average management tenure


CEO

P. Reifel (66yo)

CA$250,000

Compensation

Mr. P. Randy Reifel has been the President of Chesapeake Gold Corp. since April 2002 and also serves as its Acting Chief Executive Officer. Mr. Reifel has been the President of Gunpoint Exploration Ltd. si ...


CEO Compensation Analysis

Compensation vs Market: P.'s total compensation ($USD187.10K) is about average for companies of similar size in the Canadian market ($USD157.16K).

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


Leadership Team

NamePositionTenureCompensationOwnership
P. Reifel
President0yrsCA$250.00k6.59% CA$9.5m
Sam Wong
Chief Financial Officer8yrsCA$63.00kno data
Gerald Sneddon
Executive VP of Operations & Director17.8yrsCA$38.91k0.48% CA$681.7k
Alberto Galicia
Vice President of Exploration4.9yrsCA$155.10kno data
Bernard Poznanski
Corporate Secretary0yrsno datano data
Gary Parkison
Vice President of Development11.2yrsCA$153.45kno data

9.6yrs

Average Tenure

65.5yo

Average Age

Experienced Management: CKG's management team is seasoned and experienced (9.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
P. Reifel
President0yrsCA$250.00k6.59% CA$9.5m
Gerald Sneddon
Executive VP of Operations & Director17.8yrsCA$38.91k0.48% CA$681.7k
John Perston
Independent Director17.8yrsno data0.58% CA$833.8k
Christian Falck
Independent Director0.2yrsno data0.53% CA$763.0k
Lian Li
Independent Director6.2yrsno data0.017% CA$23.8k
Gregory Smith
Independent Director6.2yrsno data0.0039% CA$5.6k

6.2yrs

Average Tenure

66yo

Average Age

Experienced Board: CKG's board of directors are considered experienced (6.2 years average tenure).


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

Chesapeake Gold Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Chesapeake Gold Corp.
  • Ticker: CKG
  • Exchange: TSXV
  • Founded: 2002
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Market Cap: CA$143.477m
  • Shares outstanding: 51.24m
  • Website: https://www.chesapeakegold.com

Number of Employees


Location

  • Chesapeake Gold Corp.
  • 1512 Yew Street
  • Suite 201
  • Vancouver
  • British Columbia
  • V6K 3E4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CKGTSXV (TSX Venture Exchange)YesCommon SharesCACADJul 2002
CKGDB (Deutsche Boerse AG)YesCommon SharesDEEURJul 2002
CHPG.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJul 2002

Biography

Chesapeake Gold Corp., a development stage company, focuses on the exploration and development of precious metals projects in North and Central America. The company primarily explores for gold, silver, and zinc deposits. Its primary asset is the 100% owned Metates gold-silver project, which comprises 14 mineral concessions totaling 14,727 hectares located in Durango State, Mexico. The company also holds 100% interest in the La Cecilia gold project comprising an area of 794 hectare located in Sonora State, Mexico. In addition, the company holds interests in Tatatila property in Veracruz State, Mexico; and La Gitana property in Oaxaca State, Mexico, and Talapoosa property in Nevada, the United States. Chesapeake Gold Corp. was incorporated in 2002 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 Analysis2020/02/28 00:31
End of Day Share Price2020/02/27 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.