TSXV:RTH

Stock Analysis Report

Rathdowney Resources

Executive Summary

Rathdowney Resources Ltd., together with its subsidiaries, acquires, explores for, and develops mineral properties.


Snowflake Analysis

Weak fundamentals or lack of information.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

RTH

-6.0%

CA Metals and Mining

-6.2%

CA Market


1 Year Return

-41.7%

RTH

2.2%

CA Metals and Mining

-2.0%

CA Market

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

Return vs Market: RTH underperformed the Canadian Market which returned -2% over the past year.


Shareholder returns

RTHIndustryMarket
7 Day0%-6.0%-6.2%
30 Day-30.0%-1.0%-5.0%
90 Day-22.2%4.9%-2.8%
1 Year-41.7%-41.7%2.9%2.2%1.1%-2.0%
3 Year-78.8%-78.8%-2.8%-4.5%10.7%0.6%
5 Year-78.1%-78.1%25.0%21.4%27.6%8.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


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

Future Growth

How is Rathdowney Resources 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 Rathdowney Resources 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 Rathdowney Resources performed over the past 5 years?

9.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RTH is currently unprofitable.

Growing Profit Margin: RTH is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: RTH is unprofitable, but has reduced losses over the past 5 years at a rate of 9% per year.

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

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


Next Steps

Financial Health

How is Rathdowney Resources's financial position?


Financial Position Analysis

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

Long Term Liabilities: RTH 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: RTH has negative shareholder equity, which is a more serious situation than a high debt level.

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


Balance Sheet

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

Debt Coverage by Assets: RTH has negative shareholder equity (liabilities exceed assets) therefore debt is not 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: RTH has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: RTH has less than a year of cash runway if free cash flow continues to grow at historical rates of 20.2% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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

4.8yrs

Average management tenure


CEO

Dave Copeland (71yo)

0.2yrs

Tenure

Mr. David James Copeland, also known as Dave, P.Eng, is the Chief Executive Officer and Executive Chairman at Heatherdale Resources Ltd. from June 1, 2017 and has been its Director since November 2, 2009. ...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD0.00) is below average for companies of similar size in the Canadian market ($USD157.16K).

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


Leadership Team

NamePositionTenureCompensationOwnership
David Copeland
President0.2yrsno data2.5% CA$282.7k
Andrew Ing
Chief Financial Officer4.8yrsCA$108.13kno data
Lena Brommeland
Senior VP8.3yrsCA$104.48k0.11% CA$13.0k
Trevor Thomas
Secretary8.9yrsCA$3.90kno data

4.8yrs

Average Tenure

52yo

Average Age

Experienced Management: RTH's management team is considered experienced (4.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
David Copeland
President0.2yrsno data2.5% CA$282.7k
Lena Brommeland
Senior VP8.3yrsCA$104.48k0.11% CA$13.0k
George Ireland
Director5.5yrsCA$16.80k0.39% CA$43.8k
Rene Carrier
Independent Director8.9yrsCA$29.04k0.052% CA$5.9k
Terrence Coughlan
Independent Director8.9yrsCA$31.20k0.043% CA$4.9k
Michael Nolan
Independent Director8.9yrsCA$20.16k1.24% CA$140.0k
Robert Konski
Director5.8yrsCA$323.77k0.15% CA$16.8k

8.3yrs

Average Tenure

66.5yo

Average Age

Experienced Board: RTH's board of directors are considered experienced (8.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: RTH 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

Rathdowney Resources Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Rathdowney Resources Ltd.
  • Ticker: RTH
  • Exchange: TSXV
  • Founded: 2008
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$11.319m
  • Shares outstanding: 161.70m
  • Website: https://www.rathdowneyresources.com

Location

  • Rathdowney Resources Ltd.
  • 1040 West Georgia Street
  • 15th Floor
  • Vancouver
  • British Columbia
  • V6E 4H1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RTHTSXV (TSX Venture Exchange)YesCommon SharesCACADMar 2011
2RDDB (Deutsche Boerse AG)YesCommon SharesDEEURMar 2011
RATH.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMar 2011

Biography

Rathdowney Resources Ltd., together with its subsidiaries, acquires, explores for, and develops mineral properties. Its flagship project is the Olza zinc-lead-silver project covering an area of approximately 150 square kilometers located in the Upper Silesian Mineral district in southwestern Poland. The company was founded in 2008 and 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 01:07
End of Day Share Price2020/02/20 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.