TSXV:KTN

Stock Analysis Report

Executive Summary

Kootenay Silver Inc., an exploration stage company, engages in the acquisition, exploration, and development of mineral projects in the Sierra Madre Region of Mexico and British Columbia, Canada.


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

How has Kootenay Silver's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KTN's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-20.0%

KTN

-6.0%

CA Metals and Mining

-6.2%

CA Market


1 Year Return

92.0%

KTN

2.2%

CA Metals and Mining

-2.0%

CA Market

Return vs Industry: KTN exceeded the Canadian Metals and Mining industry which returned 2.2% over the past year.

Return vs Market: KTN exceeded the Canadian Market which returned -2% over the past year.


Shareholder returns

KTNIndustryMarket
7 Day-20.0%-6.0%-6.2%
30 Day-11.1%-1.0%-5.0%
90 Day6.7%4.9%-2.8%
1 Year92.0%92.0%2.9%2.2%1.1%-2.0%
3 Year-21.3%-21.3%-2.8%-4.5%10.7%0.6%
5 Year-35.1%-35.1%25.0%21.4%27.6%8.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Kootenay Silver undervalued compared to its fair value and its price relative to the market?

0.78x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: KTN is good value based on its PB Ratio (0.8x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

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

15.0%

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 Kootenay Silver 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 Kootenay Silver performed over the past 5 years?

19.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KTN is currently unprofitable.

Growing Profit Margin: KTN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: KTN is unprofitable, but has reduced losses over the past 5 years at a rate of 19.6% per year.

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

Earnings vs Industry: KTN is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.8%).


Return on Equity

High ROE: KTN has a negative Return on Equity (-2.09%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Kootenay Silver's financial position?


Financial Position Analysis

Short Term Liabilities: KTN's short term assets (CA$10.3M) exceed its short term liabilities (CA$563.8K).

Long Term Liabilities: KTN has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: KTN is debt free.

Reducing Debt: KTN has not had any debt for past 5 years.


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if KTN's debt is 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.

Stable Cash Runway: KTN has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: KTN has sufficient cash runway for 1.8 years if free cash flow continues to grow at historical rates of 4.7% each year.


Next Steps

Dividend

What is Kootenay Silver's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.1%markettop25%5.9%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

12.4yrs

Average management tenure


CEO

Jim McDonald (58yo)

14.9yrs

Tenure

CA$262,000

Compensation

Mr. James M. McDonald, also known as Jim, B.Sc., serves as Director at Aldebaran Resources Inc. since July 15, 2019. Mr. McDonald is currently President and Chief Executive Officer of Kootenay Silver Inc.  ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD196.08K) is about average for companies of similar size in the Canadian market ($USD157.16K).

Compensation vs Earnings: Jim's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
James McDonald
President14.9yrsCA$262.00k1.05% CA$727.0k
Rajwant Kang
CFO & Corporate Secretary12.3yrsCA$143.00k0.14% CA$100.0k
Tom Richards
Vice President of Exploration12.4yrsCA$241.52kno data

12.4yrs

Average Tenure

Experienced Management: KTN's management team is seasoned and experienced (12.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
James McDonald
President14.9yrsCA$262.00k1.05% CA$727.0k
Nathaniel Morda
Independent Director8.2yrsCA$21.00k0.0087% CA$6.0k
Brian Groves
Independent Director10.7yrsCA$12.00kno data
Kenneth Berry
Independent Chairman of the Board11.6yrsCA$12.00k0.22% CA$154.5k
Andrea Zaradic
Independent Director3.8yrsCA$87.00k0.092% CA$63.3k
Antonio Reda
Independent Director3.8yrsCA$16.50k0.012% CA$8.4k

9.4yrs

Average Tenure

58yo

Average Age

Experienced Board: KTN's board of directors are considered experienced (9.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: KTN insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 19.5%.


Top Shareholders

Company Information

Kootenay Silver Inc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kootenay Silver Inc
  • Ticker: KTN
  • Exchange: TSXV
  • Founded:
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Market Cap: CA$69.056m
  • Shares outstanding: 287.73m
  • Website: https://www.kootenaysilver.com

Location

  • Kootenay Silver Inc
  • 1075 West Georgia Street
  • Suite 1650
  • Vancouver
  • British Columbia
  • V6E 3C9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KTNTSXV (TSX Venture Exchange)YesCommon SharesCACADMar 2005
KOOY.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMar 2005

Biography

Kootenay Silver Inc., an exploration stage company, engages in the acquisition, exploration, and development of mineral projects in the Sierra Madre Region of Mexico and British Columbia, Canada. It explores for silver, gold, lead, and zinc ores. The company primarily holds interests in the La Cigarra silver project covering approximately 18,000 hectares located within the Parral Mining District, in the state of Chihuahua, north central Mexico; and Promontorio and La Negra silver discoveries situated in Sonora, Mexico. The company was formerly known as Kootenay Gold Inc. and changed its name to Kootenay Silver Inc. in February 2012. Kootenay Silver Inc. is based in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 00:26
End of Day Share Price2020/02/27 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.