East Africa Metals Inc., a mineral exploration company, focuses on the identification, acquisition, exploration, development, and sale of base and precious mineral resource properties in the Federal Democratic Republic of Ethiopia and the United Republic of Tanzania.
Imperfect balance sheet and overvalued.
Share Price & News
How has East Africa Metals's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: EAM has not had significant price volatility in the past 3 months.
7 Day Return
CA Metals and Mining
1 Year Return
CA Metals and Mining
Return vs Industry: EAM underperformed the Canadian Metals and Mining industry which returned 4.3% over the past year.
Return vs Market: EAM underperformed the Canadian Market which returned 5.8% over the past year.
Price Volatility Vs. Market
How volatile is East Africa Metals's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 months ago | Simply Wall StIf You Had Bought East Africa Metals (CVE:EAM) Stock Five Years Ago, You Could Pocket A 79% Gain Today
1 year ago | Simply Wall StIs East Africa Metals Inc's (CVE:EAM) Balance Sheet A Threat To Its Future?
1 year ago | Simply Wall StEast Africa Metals Inc (CVE:EAM): What Does It Mean For Your Portfolio?
Is East Africa Metals undervalued compared to its fair value and its price relative to the market?
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate EAM's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate EAM's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: EAM is unprofitable, so we can't compare its PE Ratio to the Metals and Mining industry average.
PE vs Market: EAM 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 EAM's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: EAM is good value based on its PB Ratio (1.4x) compared to the CA Metals and Mining industry average (1.5x).
How is East Africa Metals forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 East Africa 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.
- Take a look at our analysis of EAM’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.
- East Africa Metals competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Materials industry.
How has East Africa Metals performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: EAM is currently unprofitable.
Growing Profit Margin: EAM is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: EAM is unprofitable, but has reduced losses over the past 5 years at a rate of 11.6% per year.
Accelerating Growth: Unable to compare EAM's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: EAM 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: EAM has a negative Return on Equity (-16.32%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
How is East Africa Metals's financial position?
Financial Position Analysis
Short Term Liabilities: EAM's short term assets (CA$2.1M) do not cover its short term liabilities (CA$2.5M).
Long Term Liabilities: EAM's short term assets (CA$2.1M) exceed its long term liabilities (CA$796.5K).
Debt to Equity History and Analysis
Debt Level: EAM's debt to equity ratio (1.7%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if EAM's debt to equity ratio has reduced over the past 5 years.
Inventory Level: EAM has a high level of physical assets or inventory.
Debt Coverage by Assets: EAM's debt is covered by short term assets (assets are 5.6x 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: EAM has less than a year of cash runway based on its current free cash flow.
Forecast Cash Runway: EAM has less than a year of cash runway if free cash flow continues to reduce at historical rates of -10.6% each year
What is East Africa Metals's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate EAM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate EAM'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 EAM's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if EAM'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 EAM's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.
How experienced are the management team and are they aligned to shareholders interests?
Average board tenure
Andy Smith (62yo)
Mr. Andrew Lee Smith, also known as Andy, B.Sc., P.Geo. has been an Interim Chief Executive Officer of True North Gems Inc. since February 20, 2017. Mr. Smith has been Director of Nickel North Exploration ...
CEO Compensation Analysis
Compensation vs Market: Andy's total compensation ($USD195.06K) is about average for companies of similar size in the Canadian market ($USD155.16K).
Compensation vs Earnings: Andy's compensation has been consistent with company performance over the past year.
|Chief Geologist||0yrs||CA$94.80k||no data|
|Independent Director||5.7yrs||CA$16.00k||0.21% CA$52.3k|
|Independent Director||6.9yrs||CA$8.75k||no data|
|Director & Mining Advisory Committee Member||3.9yrs||CA$89.70k||0.064% CA$15.6k|
|Chairman of the Board||6.9yrs||CA$17.00k||0.60% CA$146.4k|
|Mining Advisory Committee Member||0yrs||no data||no data|
|Independent Director & Mining Advisory Committee Member||0yrs||CA$7.50k||0.048% CA$11.8k|
|Mining Advisory Committee Member||0yrs||no data||no data|
Experienced Board: EAM's board of directors are considered experienced (6.9 years average tenure).
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
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.9%.
East Africa Metals Inc.'s company bio, employee growth, exchange listings and data sources
- Name: East Africa Metals Inc.
- Ticker: EAM
- Exchange: TSXV
- Founded: 2012
- Industry: Diversified Metals and Mining
- Sector: Materials
- Market Cap: CA$24.373m
- Shares outstanding: 180.54m
- Website: https://www.eastafricametals.com
Number of Employees
- East Africa Metals Inc.
- 595 Howe Street
- Suite 1100
- British Columbia
- V6C 2T5
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|EAM||TSXV (TSX Venture Exchange)||Yes||Common Shares||CA||CAD||Jul 2013|
|EFRM.F||OTCPK (Pink Sheets LLC)||Yes||Common Shares||US||USD||Jul 2013|
|EA1||DB (Deutsche Boerse AG)||Yes||Common Shares||DE||EUR||Jul 2013|
East Africa Metals Inc., a mineral exploration company, focuses on the identification, acquisition, exploration, development, and sale of base and precious mineral resource properties in the Federal Democratic Republic of Ethiopia and the United Republic of Tanzania. The company primarily explores for gold, copper, silver, and zinc deposits. Its principal assets and interests include a 70% interest in the Harvest project comprising 3 contiguous exploration concessions that covers an area of approximately 86 square kilometers located in the Tigray region, as well as a 100% interest in the Adyabo project covering 195.5 square kilometers situated in the Arabian Nubian Shield in northern Ethiopia; and an interest in the Handeni property comprising 2 mining licenses covering 9.9 square kilometers, and contiguous mineral tenures totaling approximately 83.5 square kilometers located in northeastern Tanzania. The company was incorporated in 2012 and is headquartered in Vancouver, Canada.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/02/17 01:10|
|End of Day Share Price||2020/02/14 00:00|
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.