TSXV:SDC

Stock Analysis Report

Executive Summary

SolidusGold Inc. focuses on the exploration and development of precious and base metals.

Rewards

Earnings have grown 26.4% per year over the past 5 years

Risk Analysis

Has less than 1 year of cash runway

Does not have a meaningful market cap (CA$3M)

Currently unprofitable and not forecast to become profitable over the next 3 years

Shareholders have been diluted in the past year



Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

n/a

SDC

4.6%

CA Metals and Mining

0.2%

CA Market


1 Year Return

n/a

SDC

4.5%

CA Metals and Mining

4.9%

CA Market

Return vs Industry: Insufficient data to determine how SDC performed against the Canadian Metals and Mining industry.

Return vs Market: Insufficient data to determine how SDC performed against the Canadian Market.


Shareholder returns

SDCIndustryMarket
7 Dayn/a4.6%0.2%
30 Dayn/a3.7%0.4%
90 Dayn/a10.7%3.7%
1 Yearn/a5.1%4.5%8.2%4.9%
3 Yearn/a-5.4%-7.0%15.9%5.5%
5 Yearn/a26.4%22.6%33.8%14.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


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

Future Growth

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

15.8%

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 SolidusGold 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 SolidusGold performed over the past 5 years?

26.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SDC is currently unprofitable.

Growing Profit Margin: SDC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SDC is unprofitable, but has reduced losses over the past 5 years at a rate of 26.4% per year.

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

Earnings vs Industry: SDC is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (10.1%).


Return on Equity

High ROE: SDC'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 SolidusGold's financial position?


Financial Position Analysis

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

Long Term Liabilities: SDC 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: SDC is debt free.

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


Balance Sheet

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

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

Forecast Cash Runway: SDC has less than a year of cash runway if free cash flow continues to grow at historical rates of 15.4% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.9%markettop25%5.3%industryaverage1.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

8.8yrs

Average board tenure


CEO

Sorin Posescu 0

3.3yrs

Tenure

CA$60,000

Compensation

Mr. Sorin Posescu, P.Geo., P.Geol. serves as Vice President of Exploration at Brixton Metals Corp. Mr. Posescu has been the President, Chief Executive Officer and Director of Solidus Gold Inc. since Novemb ...


Board Members

NamePositionTenureCompensationOwnership
Sorin Posescu
CEO, President & Director3.3yrsCA$60.00k2.84% CA$94.9k
Rick Van Nieuwenhuyse
Chairman of the Board0yrsno data19.05% CA$637.2k
Joseph Piekenbrock
Independent Director8.8yrsno data8.07% CA$270.0k
Steven Khan
Director8.8yrsno data9.79% CA$327.4k
Raj Chowdhry
Independent Director8.8yrsno data9.64% CA$322.2k

8.8yrs

Average Tenure

63.5yo

Average Age

Experienced Board: SDC's board of directors are considered experienced (8.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: SDC 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 4%.


Top Shareholders

Company Information

SolidusGold Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SolidusGold Inc.
  • Ticker: SDC
  • Exchange: TSXV
  • Founded: 2011
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$3.344m
  • Shares outstanding: 55.73m
  • Website: https://www.solidusau.com

Location

  • SolidusGold Inc.
  • 595 Howe Street
  • 10th Floor
  • Vancouver
  • British Columbia
  • V6C 2T5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SDCTSXV (TSX Venture Exchange)YesCommon SharesCACADDec 2011

Biography

SolidusGold Inc. focuses on the exploration and development of precious and base metals. It holds a 100% interest in the Honeymoon Property, an early stage gold-silver-copper property that comprises four mineral claims totaling approximately 3,415 hectares located on the west side of Adams Lake, British Columbia. The company was formerly known as Mantra Capital Inc. and changed its name to SolidusGold Inc. in September 2014. SolidusGold Inc. was incorporated in 2011 and 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 Analysis2020/02/19 01:40
End of Day Share Price2020/01/16 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.