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K92 Mining

TSXV:KNT
Snowflake Description

Excellent balance sheet and good value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
KNT
TSXV
CA$304M
Market Cap
  1. Home
  2. CA
  3. Materials
Company description

K92 Mining Inc. engages in the exploration, development, and mining of mineral deposits in Papua New Guinea. The last earnings update was 15 days ago. More info.


Add to Portfolio Compare Print
  • K92 Mining has significant price volatility in the past 3 months.
KNT Share Price and Events
7 Day Returns
6.9%
TSXV:KNT
-1.7%
CA Metals and Mining
0.6%
CA Market
1 Year Returns
116.9%
TSXV:KNT
-15.2%
CA Metals and Mining
-1.2%
CA Market
KNT Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
K92 Mining (KNT) 6.9% 0.7% 30.5% 116.9% 40% -
CA Metals and Mining -1.7% -4.7% -8.7% -15.2% -14.9% -20.5%
CA Market 0.6% -1.6% 1.6% -1.2% 12.2% 5.5%
1 Year Return vs Industry and Market
  • KNT outperformed the Metals and Mining industry which returned -15.2% over the past year.
  • KNT outperformed the Market in Canada which returned -1.2% over the past year.
Price Volatility
KNT
Industry
5yr Volatility vs Market

Value

 Is K92 Mining undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of K92 Mining to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for K92 Mining.

TSXV:KNT Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 8.3%
Perpetual Growth Rate 10-Year CA Government Bond Rate 1.9%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for TSXV:KNT
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year CA Govt Bond Rate 1.9%
Equity Risk Premium S&P Global 6%
Metals and Mining Unlevered Beta Simply Wall St/ S&P Global 1.09
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.092 (1 + (1- 26.5%) (2.21%))
1.074
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.07
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.95% + (1.074 * 5.96%)
8.35%

Discounted Cash Flow Calculation for TSXV:KNT using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for K92 Mining is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

TSXV:KNT DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 8.35%)
2019 24.53 Est @ 4.69% 22.64
2020 25.48 Est @ 3.87% 21.71
2021 26.32 Est @ 3.29% 20.69
2022 27.08 Est @ 2.89% 19.65
2023 27.78 Est @ 2.61% 18.61
2024 28.45 Est @ 2.41% 17.59
2025 29.10 Est @ 2.27% 16.60
2026 29.73 Est @ 2.17% 15.66
2027 30.36 Est @ 2.11% 14.76
2028 30.98 Est @ 2.06% 13.90
Present value of next 10 years cash flows $181.81
TSXV:KNT DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $30.98 × (1 + 1.95%) ÷ (8.35% – 1.95%)
$493.61
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $493.61 ÷ (1 + 8.35%)10
$221.44
TSXV:KNT Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $181.81 + $221.44
$403.25
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $403.25 / 197.58
$2.04
TSXV:KNT Discount to Share Price
Calculation Result
Exchange Rate USD/CAD
(Reporting currency to currency of TSXV:KNT)
1.342
Value per Share
(CAD)
= Value per Share in USD x Exchange Rate (USD/CAD)
= $2.04 x 1.342
CA$2.74
Value per share (CAD) From above. CA$2.74
Current discount Discount to share price of CA$1.54
= -1 x (CA$1.54 - CA$2.74) / CA$2.74
43.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price K92 Mining is available for.
Intrinsic value
44%
Share price is CA$1.54 vs Future cash flow value of CA$2.74
Current Discount Checks
For K92 Mining to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • K92 Mining's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • K92 Mining's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for K92 Mining's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are K92 Mining's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
TSXV:KNT PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $0.22
TSXV:KNT Share Price ** TSXV (2019-05-22) in CAD CA$1.54
TSXV:KNT Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.745 $1.15
Canada Metals and Mining Industry PE Ratio Median Figure of 112 Publicly-Listed Metals and Mining Companies 12.94x
Canada Market PE Ratio Median Figure of 542 Publicly-Listed Companies 15.02x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of K92 Mining.

TSXV:KNT PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSXV:KNT Share Price ÷ EPS (both in USD)

= 1.15 ÷ 0.22

5.13x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • K92 Mining is good value based on earnings compared to the CA Metals and Mining industry average.
  • K92 Mining is good value based on earnings compared to the Canada market.
Price based on expected Growth
Does K92 Mining's expected growth come at a high price?
Raw Data
TSXV:KNT PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 5.13x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
Canada Metals and Mining Industry PEG Ratio Median Figure of 36 Publicly-Listed Metals and Mining Companies 0.61x
Canada Market PEG Ratio Median Figure of 249 Publicly-Listed Companies 1.17x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for K92 Mining, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on K92 Mining's assets?
Raw Data
TSXV:KNT PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $0.39
TSXV:KNT Share Price * TSXV (2019-05-22) in CAD CA$1.54
TSXV:KNT Share Price converted to USD reporting currency Exchange rate (CAD/ USD) 0.745 $1.15
Canada Metals and Mining Industry PB Ratio Median Figure of 1,090 Publicly-Listed Metals and Mining Companies 1.29x
Canada Market PB Ratio Median Figure of 2,403 Publicly-Listed Companies 1.44x
TSXV:KNT PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSXV:KNT Share Price ÷ Book Value per Share (both in USD)

= 1.15 ÷ 0.39

2.92x

* Primary Listing of K92 Mining.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • K92 Mining is overvalued based on assets compared to the CA Metals and Mining industry average.
X
Value checks
We assess K92 Mining's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Metals and Mining industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Metals and Mining industry average (and greater than 0)? (1 check)
  5. K92 Mining has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is K92 Mining expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

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 K92 Mining 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 Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
25.3%
Expected Metals and Mining industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is K92 Mining expected to grow at an attractive rate?
  • Unable to compare K92 Mining's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare K92 Mining's earnings growth to the Canada market average as no estimate data is available.
  • Unable to compare K92 Mining's revenue growth to the Canada market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
TSXV:KNT Future Growth Rates Data Sources
Data Point Source Value (per year)
Canada Metals and Mining Industry Earnings Growth Rate Market Cap Weighted Average 25.3%
Canada Metals and Mining Industry Revenue Growth Rate Market Cap Weighted Average 5.9%
Canada Market Earnings Growth Rate Market Cap Weighted Average 14.3%
Canada Market Revenue Growth Rate Market Cap Weighted Average 6%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
TSXV:KNT Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
TSXV:KNT Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31
TSXV:KNT Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 69 23 41
2018-12-31 53 18 39
2018-09-30 32 7 4
2018-06-30 22 3 2
2018-03-31 9 -7 -3
2017-12-31 -8 -12
2016-12-31 -14 -12
2016-08-31 -12 -15
2016-05-31 -2 -7

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if K92 Mining is high growth as no earnings estimate data is available.
  • Unable to determine if K92 Mining is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
TSXV:KNT Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from K92 Mining Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSXV:KNT Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31
TSXV:KNT Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 0.22
2018-12-31 0.22
2018-09-30 0.02
2018-06-30 0.01
2018-03-31 -0.02
2017-12-31 -0.08
2016-12-31 -0.11
2016-08-31 -0.26
2016-05-31 -0.09

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if K92 Mining will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Examine whether K92 Mining is trading at K92 Mining'san attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
  2. K92 Mining's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Materials companies here
  3. K92 Mining's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess K92 Mining's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Canada market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Canada market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
K92 Mining has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has K92 Mining performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare K92 Mining's growth in the last year to its industry (Metals and Mining).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • K92 Mining has delivered over 20% year on year earnings growth in the past 5 years.
  • K92 Mining has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • K92 Mining has become profitable in the last year making it difficult to compare the CA Metals and Mining industry average.
Earnings and Revenue History
K92 Mining's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from K92 Mining Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

TSXV:KNT Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 68.63 40.84 6.58
2018-12-31 53.16 39.06 5.59
2018-09-30 31.65 3.65 4.89
2018-06-30 22.26 1.99 3.95
2018-03-31 8.53 -3.11 4.05
2017-12-31 -12.07 4.15
2016-12-31 -12.28 18.69
2016-08-31 -15.37 8.64
2016-05-31 -6.84 4.92
2015-08-31 -3.45 3.59
2014-08-31 -0.56 0.54

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • K92 Mining made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%).
  • K92 Mining used its assets more efficiently than the CA Metals and Mining industry average last year based on Return on Assets.
  • K92 Mining has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess K92 Mining's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Metals and Mining industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
K92 Mining has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is K92 Mining's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up K92 Mining's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • K92 Mining is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • K92 Mining's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of K92 Mining's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from K92 Mining Company Filings, last reported 1 month ago.

TSXV:KNT Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 76.10 5.01 9.86
2018-12-31 69.81 6.53 6.21
2018-09-30 35.86 6.44 3.02
2018-06-30 36.44 6.61 4.77
2018-03-31 29.47 8.61 3.79
2017-12-31 21.34 8.44 1.16
2016-12-31 9.19 7.33 4.29
2016-08-31 6.75 9.82 7.67
2016-05-31 -0.59 0.04 1.95
2015-08-31 -1.16 1.43 0.16
2014-08-31 1.60 0.00 1.15
  • K92 Mining's level of debt (6.6%) compared to net worth is satisfactory (less than 40%).
  • Unable to establish if K92 Mining's debt level has increased without past 5-year debt data.
  • Debt is well covered by operating cash flow (467.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 55.2x coverage).
X
Financial health checks
We assess K92 Mining's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. K92 Mining has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is K92 Mining's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from K92 Mining dividends.
If you bought CA$2,000 of K92 Mining shares you are expected to receive CA$0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate K92 Mining's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate K92 Mining's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
TSXV:KNT Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
Canada Metals and Mining Industry Average Dividend Yield Market Cap Weighted Average of 28 Stocks 1.4%
Canada Market Average Dividend Yield Market Cap Weighted Average of 331 Stocks 3.5%
Canada Minimum Threshold Dividend Yield 10th Percentile 1.2%
Canada Bottom 25% Dividend Yield 25th Percentile 2%
Canada Top 25% Dividend Yield 75th Percentile 5.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

TSXV:KNT Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as K92 Mining has not reported any payouts.
  • Unable to verify if K92 Mining's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of K92 Mining's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as K92 Mining 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.
X
Income/ dividend checks
We assess K92 Mining's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.2%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can K92 Mining afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. K92 Mining has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of K92 Mining's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
John Lewins
COMPENSATION $356,139
AGE 60
TENURE AS CEO 1.8 years
CEO Bio

Mr. John Derek Lewins, B.Sc. (Mineral Eng), Grad Dip Management, has been the Chief Executive Officer of K92 Mining Inc. since August 2017 and served as its Chief Operating Officer since May 20, 2016 until August 2017. Mr. Lewins served as the Managing Director of Platinum Australia Limited. Mr. Lewins is an Engineer. He has more than 20 years experience in Senior Mining Management roles, including development of mining projects from a resource stage through feasibility studies and commissioning of mines to sustained profitable mining operations. He served at Sterlite Gold Ltd. since September 23, 1996 as a Senior Vice President of Engineering and Construction. Mr. Lewins served as an Acting President and Acting Chief Executive Officer of Geopromining Gold Ltd. from May 29, 1999 to February 28, 2000. He has been a Non-Independent Director of K92 Mining Inc (formerly known as Otterburn Resources Corp.) since May 20, 2016. He served as an Executive Director of Platinum Australia Limited from May 3, 2001 to December 22, 20141. Mr. Lewins obtained B.Sc. in Mineral Engineering and a Graduate Diploma in Management.

CEO Compensation
  • John's compensation has increased in line with K92 Mining recently becoming profitable.
  • John's remuneration is lower than average for companies of similar size in Canada.
Management Team Tenure

Average tenure and age of the K92 Mining management team in years:

2.2
Average Tenure
43
Average Age
  • The tenure for the K92 Mining management team is about average.
Management Team

John Lewins

TITLE
CEO & Director
COMPENSATION
$356K
AGE
60
TENURE
1.8 yrs

Justin Blanchet

TITLE
Chief Financial Officer
COMPENSATION
$101K
AGE
37
TENURE
3 yrs

Gavin Ferguson

TITLE
Senior Vice President Operations
TENURE
1.6 yrs

Chris Muller

TITLE
Vice President of Exploration
AGE
43
TENURE
2.7 yrs

Allison Snetsinger

TITLE
Corporate Secretary

Nancy Couvée

TITLE
Corporate Secretary
TENURE
0.9 yrs

Peter du Plessis

TITLE
Executive Director of External Affairs
TENURE
2.8 yrs
Board of Directors Tenure

Average tenure and age of the K92 Mining board of directors in years:

3
Average Tenure
60
Average Age
  • The tenure for the K92 Mining board of directors is about average.
Board of Directors

Tookie Angus

TITLE
Chairman of the Board
COMPENSATION
$75K
AGE
69
TENURE
3 yrs

John Lewins

TITLE
CEO & Director
COMPENSATION
$356K
AGE
60
TENURE
3 yrs

Saurabh Handa

TITLE
Director
COMPENSATION
$12K
AGE
41
TENURE
3 yrs

Mark Eaton

TITLE
Director
COMPENSATION
$12K
AGE
54
TENURE
3 yrs

Ian Stalker

TITLE
Director
COMPENSATION
$400K
AGE
67
TENURE
3 yrs

Graham Wheelock

TITLE
Director
COMPENSATION
$12K
AGE
60
TENURE
3 yrs
Who owns this company?
Recent Insider Trading
  • K92 Mining insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (CA$) Value (CA$)
11. May 19 Sell Graham Wheelock Individual 25. Apr 19 26. Apr 19 -216,000 CA$1.50 CA$-322,076
19. Jun 18 Buy Justin Blanchet Individual 18. Jun 18 18. Jun 18 10,000 CA$0.87 CA$8,700
X
Management checks
We assess K92 Mining's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. K92 Mining has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Can You Imagine How K92 Mining's (CVE:KNT) Shareholders Feel About The 97% Share Price Increase?

(CVE:KNT) shareholders might be concerned after seeing the share price drop 15% in the last month. … While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. … When a company has just transitioned to profitability, earnings per share growth is not always the best way to look at the share price action.

Simply Wall St -

How Many K92 Mining Inc. (CVE:KNT) Shares Do Institutions Own?

Generally speaking, as a company grows, institutions will increase their ownership. … We also tend to see lower insider ownership in companies that were previously publicly owned. … Taking a look at our data on the ownership groups (below), it's seems that.

Simply Wall St -

What Kind Of Share Price Volatility Should You Expect For K92 Mining Inc. (CVE:KNT)?

(CVE:KNT), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.

Simply Wall St -

What Can We Make Of K92 Mining Inc.’s (CVE:KNT) High Return On Capital?

In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.

Simply Wall St -

How Many K92 Mining Inc. (CVE:KNT) Shares Do Institutions Own?

We also tend to see lower insider ownership in companies that were previously publicly owned. … Taking a look at the our data on the ownership groups (below), it's seems that. … We can zoom in on the different ownership groups, to learn more about KNT

Simply Wall St -

With A Return On Equity Of 10%, Has K92 Mining Inc's (CVE:KNT) Management Done Well?

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Another way to think of that is that for every CA$1 worth of equity in the company, it was able to earn CA$0.10. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

One Thing To Remember About The K92 Mining Inc (CVE:KNT) Share Price

Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Some investors use beta as a measure of how much a certain stock is impacted by market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.

Simply Wall St -

How Did K92 Mining Inc's (CVE:KNT) 5.47% ROE Fare Against The Industry?

K92 Mining Inc’s (CVE:KNT) most recent return on equity was a substandard 5.47% relative to its industry performance of 11.58% over the past year. … Though KNT's recent performance is underwhelming, it is useful to understand what ROE is made up of and how it should be interpreted. … Knowing these components can change your views on KNT's below-average returns.

Simply Wall St -

What You Must Know About K92 Mining Inc's (CVE:KNT) Financial Strength

Given that KNT is not presently profitable, it’s crucial to understand the current state of its operations and pathway to profitability. … TSXV:KNT Historical Debt Mar 6th 18 Is KNT’s debt level acceptable? … Maintaining a high level of debt, while revenues are still below costs, can be dangerous as liquidity tends to dry up in unexpected downturns.Next Steps: KNT’s cash flow coverage indicates it could improve its operating efficiency in order to meet demand for debt repayments should unforeseen events arise.

Simply Wall St -

What Can We Expect for K92 Mining Inc (TSXV:KNT) Moving Forward?

K92 Mining Inc (TSXV:KNT), a CADCA$78.87M small-cap, operates in the basic materials industry which is sensitive to changes in the business cycle, as it supplies materials for construction activities. … If your initial investment thesis is around the growth prospects of KNT, there are other metals and mining companies that have delivered higher growth, and perhaps trading at a discount to the industry average. … Although its growth has delivered lower growth relative to its metals and mining peers in the near term, the market may be pessimistic on the stock, leading to a potential undervaluation.

Simply Wall St -

Company Info

Description

K92 Mining Inc. engages in the exploration, development, and mining of mineral deposits in Papua New Guinea. The company produces gold, copper, and silver concentrates. Its principal property is the Kainantu gold mine that includes the Irumafimpa and Kora deposits covering an area of approximately 410 square kilometers located in the Eastern Highlands province. The company is headquartered in Vancouver, Canada.

Details
Name: K92 Mining Inc.
KNT
Exchange: TSXV
Founded:
CA$304,268,097
197,576,687
Website: http://www.k92mining.com
Address: K92 Mining Inc.
1090 West Georgia Street,
Suite 488,
Vancouver,
British Columbia, V6E 3V7,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSXV KNT Common Shares TSX Venture Exchange CA CAD 24. May 2016
OTCPK KNTN.F Common Shares Pink Sheets LLC US USD 24. May 2016
DB 92K Common Shares Deutsche Boerse AG DE EUR 24. May 2016
Number of employees
Current staff
Staff numbers
0
K92 Mining employees.
Industry
Diversified Metals and Mining
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 05:57
End of day share price update: 2019/05/22 00:00
Last estimates confirmation: 2019/05/14
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.