TSXV:GGM

Stock Analysis Report

Granada Gold Mine

Executive Summary

Granada Gold Mine Inc., a junior natural resource company, acquires, explores for, and develops mineral properties in Canada.

Snowflake

Fundamentals

Worrying balance sheet with weak fundamentals.

Risks

  • Granada Gold Mine has significant price volatility in the past 3 months.
  • Granada Gold Mine is not covered by any analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-4.3%

TSXV:GGM

0.3%

CA Metals and Mining

-0.6%

CA Market


1 Year Return

-42.1%

TSXV:GGM

20.3%

CA Metals and Mining

-4.9%

CA Market

GGM underperformed the Metals and Mining industry which returned 12.6% over the past year.

GGM underperformed the Market in Canada which returned -4.8% over the past year.


Share holder returns

GGMIndustryMarket
7 Day-4.3%0.3%-0.6%
30 Day-15.4%-0.6%-2.6%
90 Day22.2%24.9%-2.0%
1 Year-42.1%-42.1%21.3%20.3%-1.5%-4.9%
3 Year-86.9%-86.9%-10.6%-12.3%14.0%3.9%
5 Year-77.1%-78.8%-8.8%-12.1%12.3%-3.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Granada Gold Mine undervalued based on future cash flows and its price relative to the stock market?


In this section, we usually try to help investors determine whether Granada Gold Mine is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Granada Gold Mine has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of GGM’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.
  • When valuing a company like this, investors focus more on how they perceive the potential returns from the core activities, the size of each contract's opportunity, and the capacity of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Granada Gold Mine regulatory filings.
  • Explore potentially undervalued companies in the Materials industry.

Future Growth

How is Granada Gold Mine expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

34.8%

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 Granada Gold Mine 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 Granada Gold Mine performed over the past 5 years?

23.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Granada Gold Mine does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Granada Gold Mine's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Granada Gold Mine's 1-year growth to the CA Metals and Mining industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Granada Gold Mine has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.


Return on Assets

It is difficult to establish if Granada Gold Mine has efficiently used its assets last year compared to the CA Metals and Mining industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Granada Gold Mine improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to its liabilities exceeding its assets.


Next Steps

Financial Health

How is Granada Gold Mine's financial position?


Financial Position Analysis

Granada Gold Mine's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Granada Gold Mine has no long term commitments.


Debt to Equity History and Analysis

Granada Gold Mine has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.

Irrelevant to check if Granada Gold Mine's debt level has increased considering it has negative shareholder equity.


Balance Sheet

High level of physical assets or inventory.

Granada Gold Mine has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


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.

Granada Gold Mine has less than a year of cash runway based on current free cash flow.

Granada Gold Mine has less than a year of cash runway if free cash flow continues to reduce at historical rates of -4.8% each year.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Granada Gold Mine's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Granada Gold Mine's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Granada Gold Mine has not reported any payouts.

Unable to verify if Granada Gold Mine's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Granada Gold Mine has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Granada Gold Mine's salary, the management and board of directors tenure and is there insider trading?

10.1yrs

Average management tenure


CEO

Frank Basa 0

15.2yrs

Tenure

CA$300,000

Compensation

Mr. Frank Joseph Basa, P.Eng., has been the Chief Executive Officer and President of Takara Resources Inc. since September 15, 2015. Mr. Basa serves as the Chief Executive Officer and President of Castle S ...


CEO Compensation Analysis

Frank's remuneration is higher than average for companies of similar size in Canada.

Frank's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

10.1yrs

Average Tenure

The average tenure for the Granada Gold Mine management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

6.7yrs

Average Tenure

The tenure for the Granada Gold Mine board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

BuyCA$78,82123 Oct 18
Frank Basa
EntityIndividual
Role
Chief Executive Officer
President
Shares525,474
Max PriceCA$0.15

Ownership Breakdown


Management Team

  • Frank Basa

    President

    • Tenure: 15.2yrs
    • Compensation: CA$300.00k
  • Tom Devlin

    Chief Financial Officer

    • Tenure: 10.1yrs
    • Compensation: CA$96.00k
  • White Whyte

    Corporate Secretary

    • Tenure: 3.3yrs

Board Members

  • Frank Basa

    President

    • Tenure: 15.2yrs
    • Compensation: CA$300.00k
  • Jacques Monette (74yo)

    Director

    • Tenure: 11.1yrs
    • Compensation: CA$1.50k
  • Dianne Tookenay

    Director

    • Tenure: 2.3yrs
    • Compensation: CA$73.50k
  • Robert Setter

    Director

    • Tenure: 1.3yrs
    • Compensation: CA$1.50k

Company Information

Granada Gold Mine Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Granada Gold Mine Inc.
  • Ticker: GGM
  • Exchange: TSXV
  • Founded: 1985
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$7.844m
  • Shares outstanding: 71.31m
  • Website: https://www.granadagoldmine.com

Location

  • Granada Gold Mine Inc.
  • 3028 Quadra Court
  • Coquitlam
  • British Columbia
  • V3B 5X6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GGMTSXV (TSX Venture Exchange)YesCommon SharesCACADSep 1988
B6DDB (Deutsche Boerse AG)YesCommon SharesDEEURSep 1988
GBBF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDSep 1988

Biography

Granada Gold Mine Inc., a junior natural resource company, acquires, explores for, and develops mineral properties in Canada. It explores for gold and silver deposits. The company focuses on the Granada go ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/21 00:37
End of Day Share Price2019/08/20 00:00
Earnings2019/03/31
Annual Earnings2018/06/30


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.