TSXV:KBLT

Stock Analysis Report

Cobalt 27 Capital

Executive Summary

Cobalt 27 Capital Corp. operates as a metals streaming and royalty company.

Snowflake

Fundamentals

High growth potential and slightly overvalued.

Share Price & News

How has Cobalt 27 Capital's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-1.3%

KBLT

-1.9%

CA Metals and Mining

0.1%

CA Market


1 Year Return

-13.2%

KBLT

11.8%

CA Metals and Mining

1.6%

CA Market

Return vs Industry: KBLT underperformed the Canadian Metals and Mining industry which returned 11.8% over the past year.

Return vs Market: KBLT underperformed the Canadian Market which returned 1.6% over the past year.


Shareholder returns

KBLTIndustryMarket
7 Day-1.3%-1.9%0.1%
30 Day9.4%-4.7%-2.9%
90 Day8.3%-5.0%-1.4%
1 Year-13.2%-13.2%12.7%11.8%5.2%1.6%
3 Year121.0%121.0%-11.3%-13.0%13.8%3.7%
5 Year-33.7%-33.7%6.9%2.8%25.3%7.2%

Price Volatility Vs. Market

How volatile is Cobalt 27 Capital's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cobalt 27 Capital undervalued compared to its fair value and its price relative to the market?

28.6%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: KBLT (CA$4.42) is trading below our estimate of fair value (CA$6.19)

Significantly Undervalued: KBLT is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

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

PE vs Market: KBLT is unprofitable, so we can't compare its PE Ratio to the Canadian market.


Price to Earnings Growth Ratio

Low PEG Ratio: Insufficient data to calculate KBLT's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: KBLT is good value based on its PB Ratio (0.7x) compared to the CA Metals and Mining industry average (1.3x).


Next Steps

Future Growth

How is Cobalt 27 Capital forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

71.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KBLT is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: KBLT is forecast to become profitable over the next 3 year, which is considered above average market growth.

High Growth Earnings: KBLT's loss is forecast to worsen by 0% next year.

Revenue vs Market: KBLT's revenue (47.9% per year) is forecast to grow faster than the Canadian market (5.8% per year).

High Growth Revenue: KBLT's revenue (47.9% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: KBLT's Return on Equity is forecast to be low in 3 years time (5%).


Next Steps

Past Performance

How has Cobalt 27 Capital performed over the past 5 years?

-96.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: KBLT is unprofitable, and losses have increased over the past 5 years at a rate of -96.4% per year.

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

Earnings vs Industry: KBLT is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-13.7%).


Return on Equity

High ROE: KBLT has a negative Return on Equity (-59.48%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: KBLT is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: KBLT is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Cobalt 27 Capital's financial position?


Financial Position Analysis

Short Term Liabilities: KBLT's short term assets ($27.5M) exceeds its short term liabilities ($13.1M)

Long Term Liabilities: KBLT's short term assets (27.5M) do not cover its long term liabilities (157.1M)


Debt to Equity History and Analysis

Debt Level: KBLT's debt to equity ratio (42.1%) is considered high

Reducing Debt: Insufficient data to determine if KBLT's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: KBLT's debt is not covered by short term assets (assets are 0.2x 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: KBLT has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if KBLT has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Cobalt 27 Capital's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%6.0%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

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

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

Stable Dividend: Insufficient data to determine if KBLT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if KBLT'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 KBLT's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

What is the CEO of Cobalt 27 Capital's salary, the management and board of directors tenure and is there insider trading?

2.5yrs

Average management tenure


CEO

Tony Milewski (38yo)

2.5yrs

Tenure

US$1,215,000

Compensation

Mr. Anthony D. Milewski, Jr., also known as Tony, CPA, CA, M.A., J.D., LL.M. serves as a Managing Director at Pala Investments Limited and served as its Vice President. Mr. Milewski serves as an Independe ...


CEO Compensation Analysis

Compensation vs. Market: Tony's total compensation ($USD925.21K) is about average for companies of similar size in the Canadian market ($USD686.22K).

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


Management Age and Tenure

2.5yrs

Average Tenure

40yo

Average Age

Experienced Management: KBLT's management team is considered experienced (2.5 years average tenure).


Board Age and Tenure

1.8yrs

Average Tenure

46yo

Average Age

Experienced Board: KBLT's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$2,183,41029 Mar 19
Pala Investments Limited
EntityCompany
Shares540,700
Max PriceUS$4.10
BuyUS$18,950,00126 Feb 19
Pala Investments Limited
EntityCompany
Shares5,000,000
Max PriceUS$4.00
BuyUS$44,23422 Jan 19
Anthony D. Milewski
EntityIndividual
Role
Chief Executive Officer
Chairman & CEO
Shares11,000
Max PriceUS$4.03
SellUS$220,00016 Jan 19
Pala Investments Limited
EntityCompany
Shares50,000
Max PriceUS$4.40
BuyUS$4,400,00015 Jan 19
Pala Investments Limited
EntityCompany
Shares1,000,000
Max PriceUS$4.40
BuyUS$4,620,00009 Nov 18
Pala Investments Limited
EntityCompany
Shares700,000
Max PriceUS$6.60

Ownership Breakdown


Management Team

  • Betty Leblanc

    Director of Corporate Communications

    • Tenure: 0yrs
  • Tony Milewski (38yo)

    Chairman & CEO

    • Tenure: 2.5yrs
    • Compensation: US$1.22m
  • Kathryn Witter

    Corporate Secretary and Controller

    • Tenure: 8.9yrs
    • Compensation: US$58.00k
  • Justin Cochrane (38yo)

    President

    • Tenure: 1.8yrs
    • Compensation: US$889.23k
  • Martin Vydra (54yo)

    Head of Strategy

    • Tenure: 1.3yrs
  • Conor Kearns

    Vice President of Finance

    • Tenure: 0yrs
  • Cindy Davis (42yo)

    Chief Financial Officer

    • Tenure: 2.5yrs
    • Compensation: US$23.08k

Board Members

  • Eyler Estergaard (79yo)

    Director

    • Tenure: 2.5yrs
    • Compensation: US$50.00k
  • Jon Hykawy (54yo)

    Chairman of Advisory board

    • Tenure: 1.8yrs
  • Neil Warburton (63yo)

    Member of Advisory Board

    • Tenure: 0yrs
  • Andrew Ferguson (46yo)

    Member of Advisory Board

    • Tenure: 0yrs
  • Candace MacGibbon (44yo)

    Director

    • Tenure: 1.8yrs
    • Compensation: US$30.00k
  • Nick French (66yo)

    Lead Director

    • Tenure: 0yrs
    • Compensation: US$50.00k
  • Tony Milewski (38yo)

    Chairman & CEO

    • Tenure: 2.5yrs
    • Compensation: US$1.22m
  • Phil Williams (45yo)

    Director

    • Tenure: 1.2yrs
    • Compensation: US$17.00k
  • Justin Cochrane (38yo)

    President

    • Tenure: 1.8yrs
    • Compensation: US$889.23k
  • Robert Mitchell

    Member of Advisory Board

    • Tenure: 0yrs

Company Information

Cobalt 27 Capital Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cobalt 27 Capital Corp.
  • Ticker: KBLT
  • Exchange: TSXV
  • Founded: 2006
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$377.799m
  • Shares outstanding: 85.47m
  • Website: https://www.cobalt27.com

Number of Employees


Location

  • Cobalt 27 Capital Corp.
  • 4 King Street West
  • Suite 401
  • Toronto
  • Ontario
  • M5H 1B6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KBLTTSXV (TSX Venture Exchange)YesCommon SharesCACADJan 2010
CBLL.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 2010
27ODB (Deutsche Boerse AG)YesCommon SharesDEEURJan 2010
0UPZLSE (London Stock Exchange)YesCommon SharesGBCADJan 2010

Biography

Cobalt 27 Capital Corp. operates as a metals streaming and royalty company. It holds physical cobalt material; owns a cobalt stream on Voisey's Bay mine; and manages a portfolio of 11 royalties. The compan ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 00:04
End of Day Share Price2019/10/17 00:00
Earnings2019/06/30
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.