TSXV:SUNM

Stock Analysis Report

Executive Summary

Sun Metals Corp. engages in the mineral exploration business in Canada.


Snowflake Analysis

Adequate balance sheet and fair value.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

9.5%

SUNM

4.7%

CA Metals and Mining

0.1%

CA Market


1 Year Return

-76.3%

SUNM

5.4%

CA Metals and Mining

4.5%

CA Market

Return vs Industry: SUNM underperformed the Canadian Metals and Mining industry which returned 5.4% over the past year.

Return vs Market: SUNM underperformed the Canadian Market which returned 4.5% over the past year.


Shareholder returns

SUNMIndustryMarket
7 Day9.5%4.7%0.1%
30 Day-11.5%4.2%0.9%
90 Day-39.5%14.1%3.7%
1 Year-76.3%-76.3%6.0%5.4%7.8%4.5%
3 Yearn/a0.2%-1.5%18.2%7.5%
5 Yearn/a26.6%22.9%33.7%14.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: SUNM (CA$0.12) is trading below our estimate of fair value (CA$2.06)

Significantly Below Fair Value: SUNM is trading below fair value by more than 20%.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: SUNM is good value based on its PB Ratio (0.6x) compared to the CA Metals and Mining industry average (1.6x).


Next Steps

Future Growth

How is Sun Metals forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

13.5%

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 Sun Metals 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 Sun Metals performed over the past 5 years?

3.9%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: SUNM is currently unprofitable.

Growing Profit Margin: SUNM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if SUNM's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: SUNM 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: SUNM has a negative Return on Equity (-26.1%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Sun Metals's financial position?


Financial Position Analysis

Short Term Liabilities: SUNM's short term assets (CA$3.1M) exceed its short term liabilities (CA$1.3M).

Long Term Liabilities: SUNM's short term assets (CA$3.1M) exceed its long term liabilities (CA$132.6K).


Debt to Equity History and Analysis

Debt Level: SUNM is debt free.

Reducing Debt: SUNM has not had any debt for past 5 years.


Balance Sheet

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

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

Forecast Cash Runway: Insufficient data to determine if SUNM has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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

2.0yrs

Average management tenure


CEO

Steve Robertson 0

2.3yrs

Tenure

CA$357,000

Compensation

Mr. Stephen Blake Robertson, also known as Steve, P.Geo., has been President and Chief Executive Officer at Sun Metals Corp. since November 2017 and has been its Director since April 26, 2019. Mr. Robertso ...


CEO Compensation Analysis

Compensation vs Market: Steve's total compensation ($USD270.17K) is above average for companies of similar size in the Canadian market ($USD154.65K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Stephen Robertson
President2.3yrsCA$357.00k2.13% CA$362.2k
Lauren McDougall
CFO & Corporate Secretary2yrsCA$79.89k0.041% CA$6.9k
Ian Neill
Vice-President of Exploration2yrsCA$220.50k0.34% CA$57.5k

2.0yrs

Average Tenure

Experienced Management: SUNM's management team is considered experienced (2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Stephen Robertson
President2.3yrsCA$357.00k2.13% CA$362.2k
Mark O'Dea
Independent Director1.8yrsno data4.98% CA$848.1k
Donald McInnes
Chairman0yrsCA$120.00k3.94% CA$671.2k
Richard Bailes
Independent Director0.8yrsno data1.09% CA$185.6k
Glen Garratt
Independent Director1.8yrsCA$23.33k0.65% CA$110.1k
James Morton
Technical Advisor0yrsno datano data
Peter Kenneth Megaw
Technical Advisor0yrsno datano data
Sean Tetzlaff
Independent Director1.8yrsCA$26.67k2.73% CA$464.6k
Jim Oliver
Technical Advisor0yrsno datano data
Gerry Ray
Technical Advisor0yrsno datano data

1.8yrs

Average Tenure

60.5yo

Average Age

Experienced Board: SUNM's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

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


Insider Trading Volume

Insider Buying: SUNM 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 substantially diluted in the past year, with total shares outstanding growing by 90.8%.


Top Shareholders

Company Information

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


Key Information

  • Name: Sun Metals Corp.
  • Ticker: SUNM
  • Exchange: TSXV
  • Founded: 2017
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$17.021m
  • Shares outstanding: 148.00m
  • Website: https://www.sunmetals.ca

Number of Employees


Location

  • Sun Metals Corp.
  • 1055 West Hastings Street
  • Suite 1900
  • Vancouver
  • British Columbia
  • V6E 2E9
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SUNMTSXV (TSX Venture Exchange)YesCommon SharesCACADMay 2018
SMTT.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDMay 2018

Biography

Sun Metals Corp. engages in the mineral exploration business in Canada. It primarily holds an option to acquire a 100% interest in the Stardust project located in north-central British Columbia, Canada. The company was founded in 2017 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 Analysis2020/02/24 01:11
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.