TSXV:PA

Stock Analysis Report

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Executive Summary

Palamina Corp., through its subsidiary, Palamina S.A.


Snowflake Analysis

Mediocre balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-3.7%

PA

-4.0%

CA Metals and Mining

4.1%

CA Market


1 Year Return

-42.2%

PA

26.4%

CA Metals and Mining

-8.6%

CA Market

Return vs Industry: PA underperformed the Canadian Metals and Mining industry which returned 26.4% over the past year.

Return vs Market: PA underperformed the Canadian Market which returned -8.6% over the past year.


Shareholder returns

PAIndustryMarket
7 Day-3.7%-4.0%4.1%
30 Day0%-4.4%7.9%
90 Day-43.5%17.2%-3.4%
1 Year-42.2%-42.2%27.3%26.4%-5.5%-8.6%
3 Year-40.9%-40.9%11.0%9.1%3.6%-6.1%
5 Yearn/a53.1%48.9%21.4%3.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


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

Future Growth

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

24.9%

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 Palamina 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 Palamina performed over the past 5 years?

-28.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PA is currently unprofitable.

Growing Profit Margin: PA is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: PA is unprofitable, and losses have increased over the past 5 years at a rate of -28.3% per year.

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

Earnings vs Industry: PA is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (1.6%).


Return on Equity

High ROE: PA's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Palamina's financial position?


Financial Position Analysis

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

Long Term Liabilities: PA 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: PA is debt free.

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


Balance Sheet


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: PA has sufficient cash runway for 0 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: PA is forecast to have sufficient cash runway for 0 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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

3.6yrs

Average board tenure


CEO

Andrew Thomson (53yo)

no data

Tenure

CA$196,875

Compensation

Mr. Andrew Willard Thomson serves as the Chief Executive Officer and President of Palamina Corp. Mr. Thomson has been a Director of Winshear Gold Corp. (Formerly, Helio Resource Corporation) since October  ...


CEO Compensation Analysis

Compensation vs Market: Andrew's total compensation ($USD146.85K) is about average for companies of similar size in the Canadian market ($USD163.24K).

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


Board Members

NamePositionTenureCompensationOwnership
Andrew Thomson
Presidentno dataCA$196.88k8.26% CA$484.7k
Douglas Reeson
Member of Advisory Board4.5yrsno datano data
Alistair Waddell
Independent Director2.58yrsCA$14.50k0.65% CA$38.4k
Phillip Walford
Member of Advisory Board4.5yrsno datano data
Jose Vizquerra-Benavides
Member of Advisory Board2.58yrsCA$9.96kno data
Christina McCarthy
Member of Advisory Board0.50yrno datano data
Hugh Agro
Independent Director3.58yrsCA$16.50k2.32% CA$136.2k

3.6yrs

Average Tenure

53.5yo

Average Age

Experienced Board: PA's board of directors are considered experienced (3.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: PA insiders have bought more shares than they have sold 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 24.6%.


Top Shareholders

Company Information

Palamina Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Palamina Corp.
  • Ticker: PA
  • Exchange: TSXV
  • Founded: 2015
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$5.868m
  • Shares outstanding: 45.13m
  • Website: https://www.palamina.com

Location

  • Palamina Corp.
  • 145 King Street West
  • Suite 2870
  • Toronto
  • Ontario
  • M5H 1J8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PATSXV (TSX Venture Exchange)YesCommon SharesCACADNov 2015
PLMN.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDNov 2015

Biography

Palamina Corp., through its subsidiary, Palamina S.A. de C.V., focuses on the exploration of mineral deposits in Mexico, Canada, and Peru. The company explores for gold, lead, zinc, silver, copper, manganese, and silver deposits. It owns 100% interests in the Coasa, Bendi, Cori, and Orco gold projects located at south-eastern Peru; the Tinka iron oxide copper-gold project covering an area of 1,800 hectares located in southern Peru; the Lagos silver copper project covering an area of 7,900 hectares located at south-eastern Peru; and the El Santuario property located in the Cardonal district, Hidalgo State, Mexico. Palamina Corp. was incorporated in 2015 and is headquartered in Toronto, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 06:17
End of Day Share Price2020/06/04 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


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.