TSXV:RCK

Stock Analysis Report

Rock Tech Lithium

Executive Summary

Rock Tech Lithium Inc. engages in the exploration and development of mineral properties in Canada.


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

How has Rock Tech Lithium's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: RCK has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-9.2%

RCK

4.7%

CA Metals and Mining

0.2%

CA Market


1 Year Return

-27.4%

RCK

4.8%

CA Metals and Mining

4.6%

CA Market

Return vs Industry: RCK underperformed the Canadian Metals and Mining industry which returned 4.8% over the past year.

Return vs Market: RCK underperformed the Canadian Market which returned 4.6% over the past year.


Shareholder returns

RCKIndustryMarket
7 Day-9.2%4.7%0.2%
30 Day-18.8%5.2%0.5%
90 Dayn/a13.4%4.0%
1 Year-27.4%-27.4%5.5%4.8%7.9%4.6%
3 Year-24.2%-24.2%-2.8%-4.4%17.8%7.2%
5 Year1871.4%1871.4%25.5%21.8%33.7%14.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Rock Tech Lithium undervalued compared to its fair value and its price relative to the market?

5.39x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: RCK is overvalued based on its PB Ratio (5.4x) compared to the CA Metals and Mining industry average (1.6x).


Next Steps

Future Growth

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

14.1%

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 Rock Tech Lithium 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 Rock Tech Lithium performed over the past 5 years?

-18.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RCK is currently unprofitable.

Growing Profit Margin: RCK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RCK is unprofitable, and losses have increased over the past 5 years at a rate of -18.9% per year.

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

Earnings vs Industry: RCK is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (11.9%).


Return on Equity

High ROE: RCK has a negative Return on Equity (-41.51%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Rock Tech Lithium's financial position?


Financial Position Analysis

Short Term Liabilities: RCK's short term assets (CA$950.4K) exceed its short term liabilities (CA$208.3K).

Long Term Liabilities: RCK has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: RCK is debt free.

Reducing Debt: RCK has no debt compared to 5 years ago when its debt to equity ratio was 80.3%.


Balance Sheet

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

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

Forecast Cash Runway: RCK has less than a year of cash runway if free cash flow continues to reduce at historical rates of -27.4% each year


Next Steps

Dividend

What is Rock Tech Lithium's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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

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

5.0yrs

Average management tenure


CEO

Martin Stephan 0

5yrs

Tenure

CA$180,000

Compensation

Mr. Martin Stephan has been the Chief Executive Officer of Rock Tech Lithium Inc. since February 16, 2015 and serves as its President. Mr. Stephan serves as Chief Editor of Economics Intent and Co-editor o ...


CEO Compensation Analysis

Compensation vs Market: Martin's total compensation ($USD0.00) is below average for companies of similar size in the Canadian market ($USD154.65K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Martin Stephan
President5yrsCA$180.00k4.83% CA$1.3m
Bradley Barnett
CFO, Corporate Secretary & Director3.4yrsCA$180.00k0.70% CA$187.2k
Christian Schlag
Technical Consultant3.4yrsno datano data

5.0yrs

Average Tenure

Experienced Management: RCK's management team is seasoned and experienced (5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Martin Stephan
President5yrsCA$180.00k4.83% CA$1.3m
Bradley Barnett
CFO, Corporate Secretary & Director3.4yrsCA$180.00k0.70% CA$187.2k
Norbert Steiner
Member of Advisory Board2.1yrsno datano data
Edmund Moriz Forster
Member of Advisory Board2.1yrsno datano data
Heinz Riesenhuber
Chairman of Advisory Board2.1yrsno datano data
Luc Lamarche
Member of the Technical Advisory Board9.8yrsno datano data
Peter Kausch
Independent Director2.6yrsCA$4.00k0.036% CA$9.7k
Dirk Harbecke
Chairman of the Board5yrsCA$180.00k13.52% CA$3.6m
Alain Zubrzycki
Member of the Technical Advisory Board9.8yrsno datano data
Jens Gutzmer
Member of Advisory Board2.1yrsno datano data

3.0yrs

Average Tenure

65yo

Average Age

Experienced Board: RCK's board of directors are considered experienced (3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: RCK 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 5.9%.


Top Shareholders

Company Information

Rock Tech Lithium Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Rock Tech Lithium Inc.
  • Ticker: RCK
  • Exchange: TSXV
  • Founded:
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$26.775m
  • Shares outstanding: 38.80m
  • Website: https://www.rocktechlithium.com

Location

  • Rock Tech Lithium Inc.
  • 777 Hornby Street
  • Suite 600
  • Vancouver
  • British Columbia
  • V6Z 1S4
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RJIBDB (Deutsche Boerse AG)YesCommon SharesDEEUROct 1997
RCKTSXV (TSX Venture Exchange)YesCommon SharesCACADOct 1997
RCKT.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDOct 1997

Biography

Rock Tech Lithium Inc. engages in the exploration and development of mineral properties in Canada. The company holds a 100% interest in the Georgia Lake lithium project comprising 41 leases and 283 claim units covering 5,762 hectares of area located in the Thunder Bay Mining District of Ontario. It also has an option to acquire a 100% interest in the El Nogalito lithium project located in Sonora, Mexico. The company was formerly known as Rock Tech Resources Inc. and changed its name to Rock Tech Lithium Inc. in April 2010. Rock Tech Lithium Inc. is headquartered in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/23 01:51
End of Day Share Price2020/02/21 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.