TSXV:NZN

Stock Analysis Report

Executive Summary

Nevada Zinc Corporation, a mineral exploration company, primarily focuses on the acquisition, exploration, and development of mineral properties in Nevada, as well as in Yukon, Canada.


Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

How has Nevada Zinc's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

18.2%

NZN

-1.3%

CA Metals and Mining

-4.8%

CA Market


1 Year Return

-31.6%

NZN

6.3%

CA Metals and Mining

0.1%

CA Market

Return vs Industry: NZN underperformed the Canadian Metals and Mining industry which returned 6.3% over the past year.

Return vs Market: NZN underperformed the Canadian Market which returned 0.1% over the past year.


Shareholder returns

NZNIndustryMarket
7 Day18.2%-1.3%-4.8%
30 Day44.4%3.6%-3.2%
90 Day62.5%9.3%-1.0%
1 Year-31.6%-31.6%7.1%6.3%3.3%0.1%
3 Year-82.9%-82.9%1.3%-0.5%12.9%2.7%
5 Year-80.3%-80.3%27.5%23.8%29.2%10.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Nevada Zinc undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Nevada Zinc is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Nevada Zinc 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 NZN’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 Nevada Zinc regulatory filings.
  • Explore potentially undervalued companies in the Materials industry.

Future Growth

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

15.1%

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 Nevada Zinc 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 Nevada Zinc performed over the past 5 years?

-3.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NZN is currently unprofitable.

Growing Profit Margin: NZN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NZN is unprofitable, and losses have increased over the past 5 years at a rate of -3% per year.

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

Earnings vs Industry: NZN 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: NZN's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Nevada Zinc's financial position?


Financial Position Analysis

Short Term Liabilities: NZN has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: NZN has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: NZN is debt free.

Reducing Debt: NZN's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: NZN has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if NZN'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: NZN has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: NZN has less than a year of cash runway if free cash flow continues to reduce at historical rates of -21.3% each year


Next Steps

Dividend

What is Nevada Zinc's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.8%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

3.1yrs

Average board tenure


CEO

Duane Durham (67yo)

10.1yrs

Tenure

CA$60,000

Compensation

Mr. Robert Bruce Durham, also known as Duane, M.Sc., P.Geo., B.Sc. (Geology), serves as the President and Chief Executive Officer of Nevada Zinc Corporation since 2010. Mr. Durham has been Chief Operating  ...


CEO Compensation Analysis

Compensation vs Market: Duane's total compensation ($USD45.10K) is below average for companies of similar size in the Canadian market ($USD156.06K).

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


Board Members

NamePositionTenureCompensationOwnership
Robert Durham
Chairman10.1yrsCA$60.00k6.69% CA$323.6k
Donald Christie
CFO, Secretary & Director8.9yrsCA$132.00k3.33% CA$161.0k
Michael Wilson
Independent Director8.8yrsno data0.40% CA$19.5k
Eugene Lee
Independent Director2.5yrsno datano data
Jim Beqaj
Independent Director3.1yrsno data1.2% CA$57.9k

3.1yrs

Average Tenure

60.5yo

Average Age

Experienced Board: NZN's board of directors are considered experienced (3.1 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Nevada Zinc Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Nevada Zinc Corporation
  • Ticker: NZN
  • Exchange: TSXV
  • Founded: 2010
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$4.835m
  • Shares outstanding: 74.39m
  • Website: https://www.nevadazinc.com

Location

  • Nevada Zinc Corporation
  • 141 Adelaide Street West
  • Suite 1660
  • Toronto
  • Ontario
  • M5H 3L5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NZNTSXV (TSX Venture Exchange)YesCommon SharesCACADAug 2011
GDSK.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 2011
6GXDB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2011

Biography

Nevada Zinc Corporation, a mineral exploration company, primarily focuses on the acquisition, exploration, and development of mineral properties in Nevada, as well as in Yukon, Canada. The company explores for zinc and lead. Its flagship property is the 100% owned Lone Mountain zinc project, which includes 231 claims covering approximately 4,000 acres located near Eureka, Nevada. The company was formerly known as Goldspike Exploration Inc. and changed its name to Nevada Zinc Corporation in March 2015. Nevada Zinc Corporation was incorporated in 2010 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 Analysis2020/02/27 02:26
End of Day Share Price2020/02/24 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.