TSXV:SUR

Stock Analysis Report

Surge Exploration

Executive Summary

Surge Exploration Inc. engages in the acquisition and exploration of mineral properties in North America.


Snowflake Analysis

Adequate balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

SUR

-6.0%

CA Metals and Mining

-6.2%

CA Market


1 Year Return

-77.8%

SUR

2.2%

CA Metals and Mining

-2.0%

CA Market

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

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


Shareholder returns

SURIndustryMarket
7 Day0%-6.0%-6.2%
30 Day-33.3%-1.0%-5.0%
90 Day-60.0%4.9%-2.8%
1 Year-77.8%-77.8%2.9%2.2%1.1%-2.0%
3 Year-95.0%-95.0%-2.8%-4.5%10.7%0.6%
5 Year-91.1%-91.1%25.0%21.4%27.6%8.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.87x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: SUR is good value based on its PB Ratio (0.9x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

How is Surge Exploration 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 Surge Exploration 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 Surge Exploration performed over the past 5 years?

-8.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SUR is currently unprofitable.

Growing Profit Margin: SUR is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SUR is unprofitable, and losses have increased over the past 5 years at a rate of -8.4% per year.

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

Earnings vs Industry: SUR 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: SUR has a negative Return on Equity (-137.82%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Surge Exploration's financial position?


Financial Position Analysis

Short Term Liabilities: SUR's short term assets (CA$327.9K) exceed its short term liabilities (CA$208.9K).

Long Term Liabilities: SUR has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: SUR is debt free.

Reducing Debt: SUR had no debt 5 years ago.


Balance Sheet

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

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

Forecast Cash Runway: SUR has less than a year of cash runway if free cash flow continues to reduce at historical rates of -41.9% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%2.1%markettop25%5.9%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

1.4yrs

Average management tenure


CEO

Tim Fernback (50yo)

1.4yrs

Tenure

CA$216,000

Compensation

Mr. Timothy Cyril Fernback, also known as Tim, MBA, CPA, CMA, has been the President and Chief Executive Officer of Surge Exploration Inc. since September 1, 2018 and serves as a Director of Surge Explorat ...


CEO Compensation Analysis

Compensation vs Market: Tim's total compensation ($USD161.65K) is about average for companies of similar size in the Canadian market ($USD157.16K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Timothy Fernback
President1.4yrsCA$216.00k0.66% CA$6.5k
Tak Tso
Chief Financial Officer1yrsno datano data
Lori Pavle
Corporate Secretary1.6yrsno datano data

1.4yrs

Average Tenure

Experienced Management: SUR's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Timothy Fernback
President1.4yrsCA$216.00k0.66% CA$6.5k
David Mallo
Member of Advisory Board9.5yrsno datano data
Robert Culbert
Independent Director8.6yrsno data0.013% CA$131.0
Gordon Jung
Independent Director17.7yrsno data0.0054% CA$54.0
Peter Robinson
Member of Advisory Board7.7yrsno datano data

8.6yrs

Average Tenure

Experienced Board: SUR's board of directors are considered experienced (8.6 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 48.6%.


Top Shareholders

Company Information

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


Key Information

  • Name: Surge Exploration Inc.
  • Ticker: SUR
  • Exchange: TSXV
  • Founded: 1987
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$993.442k
  • Shares outstanding: 99.34m
  • Website: https://surgeexploration.com

Location

  • Surge Exploration Inc.
  • 789 West Pender Street
  • Suite 1220
  • Vancouver
  • British Columbia
  • V6C 1H2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SURTSXV (TSX Venture Exchange)YesCommon SharesCACADJan 1990
DJ5CDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1990
SURJ.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 1990

Biography

Surge Exploration Inc. engages in the acquisition and exploration of mineral properties in North America. The company focuses on gold, copper, cobalt, precious metals, and energy metals. It has option to earn a 60% interests in two principal cobalt properties, The Teledyne Cobalt Property and the Glencore Bucke Cobalt Property located in Ontario, Canada. The company also holds 100% interest in the Gold-Copper Trapper Lake Property consisting of 15 mineral claims located in the prolific golden triangle region of northwestern British Columbia; and an option to purchase a 100% interest in a polymetallic silver, copper, lead, and zinc deposits. The company was formerly known as Copper Creek Gold Corp. and changed its name to Surge Exploration Inc. in April 2018. Surge Exploration Inc. was incorporated in 1987 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 Analysis2020/02/27 23:53
End of Day Share Price2020/02/27 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.