TSXV:GAL

Stock Analysis Report

Executive Summary

Galantas Gold Corporation engages in the acquisition, exploration, and development of gold properties primarily in Omagh, Northern Ireland.

Risk Analysis

Has less than 1 year of cash runway

Shareholders have been substantially diluted in the past year

Makes less than USD$1m in revenue (CA$6K)

Does not have a meaningful market cap (CA$6M)

+ 1 more risk


Snowflake Analysis

Mediocre balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

GAL

2.4%

CA Metals and Mining

0.6%

CA Market


1 Year Return

-77.8%

GAL

4.4%

CA Metals and Mining

5.8%

CA Market

Return vs Industry: GAL underperformed the Canadian Metals and Mining industry which returned 4.3% over the past year.

Return vs Market: GAL underperformed the Canadian Market which returned 5.8% over the past year.


Shareholder returns

GALIndustryMarket
7 Day0%2.4%0.6%
30 Dayn/a1.2%0.5%
90 Day-33.3%6.6%3.6%
1 Year-77.8%-77.8%5.0%4.4%9.1%5.8%
3 Year-84.0%-84.0%-10.4%-11.9%15.4%5.0%
5 Year-69.2%-69.2%22.9%19.2%33.6%14.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.45x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: GAL is good value based on its PB Ratio (0.4x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

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

15.6%

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 Galantas 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 Galantas Gold performed over the past 5 years?

12.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GAL is currently unprofitable.

Growing Profit Margin: GAL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GAL is unprofitable, but has reduced losses over the past 5 years at a rate of 12.3% per year.

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

Earnings vs Industry: GAL 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: GAL has a negative Return on Equity (-23.26%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Galantas Gold's financial position?


Financial Position Analysis

Short Term Liabilities: GAL's short term assets (CA$1.8M) do not cover its short term liabilities (CA$6.9M).

Long Term Liabilities: GAL's short term assets (CA$1.8M) exceed its long term liabilities (CA$1.6M).


Debt to Equity History and Analysis

Debt Level: GAL's debt to equity ratio (30.8%) is considered satisfactory.

Reducing Debt: GAL's debt to equity ratio has reduced from 39.2% to 30.8% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: GAL's debt is not covered by short term assets (assets are 0.4x 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: GAL has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: GAL has less than a year of cash runway if free cash flow continues to reduce at historical rates of -27% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.9%markettop25%5.3%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

11.3yrs

Average management tenure


CEO

Roland Phelps 0

17yrs

Tenure

CA$362,049

Compensation

Mr. Roland Phelps, C.Eng MIMMM has been the President of Galantas Gold Corp. since February 17, 2003 and its Chief Executive Officer since February 17, 2003. Mr. Phelps serves as Managing director of Welsh ...


CEO Compensation Analysis

Compensation vs Market: Roland's total compensation ($USD273.20K) is above average for companies of similar size in the Canadian market ($USD155.16K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Roland Phelps
President17yrsCA$362.05k15.26% CA$986.8k
Leo O'Shaughnessy
Chief Financial Officer11.3yrsCA$82.80k0.099% CA$6.4k
George Duguay
Corporate Secretary0yrsno data0.012% CA$800.3
Courtenay Heading
Investor Relations Consultant8.8yrsno datano data

11.3yrs

Average Tenure

Experienced Management: GAL's management team is seasoned and experienced (11.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Roland Phelps
President17yrsCA$362.05k15.26% CA$986.8k
James Golla
Independent Director18.7yrsCA$10.21k0.0062% CA$400.1
Ronald Alexander
Independent Non-Executive Director23.4yrsCA$9.21k0.044% CA$2.8k
James Clancy
Independent Non Executive Director18.7yrsCA$11.71k0.011% CA$736.9
David Cather
Non-Executive Director0.7yrsno datano data
Roisin Magee
Non-Executive Chairperson0.7yrsCA$1.50k0.15% CA$10.0k

17.8yrs

Average Tenure

67.5yo

Average Age

Experienced Board: GAL's board of directors are seasoned and experienced ( 17.8 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 been substantially diluted in the past year, with total shares outstanding growing by 56%.


Top Shareholders

Company Information

Galantas Gold Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Galantas Gold Corporation
  • Ticker: GAL
  • Exchange: TSXV
  • Founded: 1996
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$6.464m
  • Shares outstanding: 323.22m
  • Website: https://www.galantas.com

Number of Employees


Location

  • Galantas Gold Corporation
  • 82 Richmond Street East
  • Toronto
  • Ontario
  • M5C 1P1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GALTSXV (TSX Venture Exchange)YesCommon SharesCACADOct 2000
GALAIM (London Stock Exchange AIM Market)YesCommon SharesGBGBPOct 2000
GALK.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDOct 2000

Biography

Galantas Gold Corporation engages in the acquisition, exploration, and development of gold properties primarily in Omagh, Northern Ireland. It owns and operates a producing open pit gold mine near Omagh. It also produces silver and lead. The company was formerly known as European Gold Resources Inc. and changed its name to Galantas Gold Corporation in May 2004. Galantas Gold Corporation was founded in 1996 and is based in Toronto, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/16 23:55
End of Day Share Price2020/02/12 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.