TSXV:TSN

Stock Analysis Report

Executive Summary

Telson Mining Corporation engages in acquisition, exploration, and development of mineral resource projects in Mexico.

Risk Analysis

Earnings have declined by -23.04% per year over past 5 years

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

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year

+ 1 more risk


Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

TSN

2.4%

CA Metals and Mining

0.6%

CA Market


1 Year Return

-72.8%

TSN

4.4%

CA Metals and Mining

5.8%

CA Market

Return vs Industry: TSN underperformed the Canadian Metals and Mining industry which returned 4.3% over the past year.

Return vs Market: TSN underperformed the Canadian Market which returned 5.8% over the past year.


Shareholder returns

TSNIndustryMarket
7 Day0%2.4%0.6%
30 Day-12.0%1.2%0.5%
90 Day0%6.6%3.6%
1 Year-72.8%-72.8%5.0%4.4%9.1%5.8%
3 Year-63.3%-63.3%-10.4%-11.9%15.4%5.0%
5 Year1000.0%1000.0%22.9%19.2%33.6%14.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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


Share Price vs. Fair Value

Below Fair Value: TSN (CA$0.11) is trading above our estimate of fair value (CA$0.09)

Significantly Below Fair Value: TSN is trading above our estimate of fair value.


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: TSN has negative assets, so we can't compare its PB Ratio to the CA Metals and Mining industry average.


Next Steps

Future Growth

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

15.6%

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 Telson Mining 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 Telson Mining performed over the past 5 years?

-23.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TSN is currently unprofitable.

Growing Profit Margin: TSN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: TSN is unprofitable, and losses have increased over the past 5 years at a rate of -23% per year.

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

Earnings vs Industry: TSN 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: TSN'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 Telson Mining's financial position?


Financial Position Analysis

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

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

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


Balance Sheet

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

Debt Coverage by Assets: TSN 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: TSN has sufficient cash runway for more than a year based on its current free cash flow.

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


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.9%markettop25%5.3%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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

4.0yrs

Average management tenure


CEO

José Berlanga Balderas 0

4.2yrs

Tenure

CA$330,539

Compensation

Mr. José Antonio Berlanga Balderas P.Eng., has been the Chief Executive Officer at Cortez Gold Corp., since January 15, 2013. Mr. Balderas has been Chief Executive Officer at Telson Resources Inc. since No ...


CEO Compensation Analysis

Compensation vs Market: José's total compensation ($USD249.42K) is above average for companies of similar size in the Canadian market ($USD155.16K).

Compensation vs Earnings: José's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
José Berlanga Balderas
CEO & Director4.2yrsCA$330.54k8.03% CA$1.4m
Ralph Shearing
President & Director33.8yrsCA$208.33k0.52% CA$90.7k
Omar Abrego
Chief Financial Officer3.8yrsCA$202.08kno data
Enrique Vergara
VP of Corporate Development & Director4.3yrsCA$173.12k8.79% CA$1.5m
Glen Sandwell
Corporate Communications Manager0yrsno datano data
Jesus Robles-Valdez
Chief Geological Engineer0yrsno datano data
Guillermo Hernandez
Manager of Reserves & Exploration0yrsno datano data
Donald Crossley
3.1yrsCA$67.90kno data

4.0yrs

Average Tenure

Experienced Management: TSN's management team is considered experienced (4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
José Berlanga Balderas
CEO & Director4.2yrsCA$330.54k8.03% CA$1.4m
Ralph Shearing
President & Director33.8yrsCA$208.33k0.52% CA$90.7k
Enrique Vergara
VP of Corporate Development & Director4.3yrsCA$173.12k8.79% CA$1.5m
Remigio Martinez Müller
Independent Director2.9yrsno data0.23% CA$39.5k
Paul P. Chung
Member of Advisory Board0yrsno datano data
Arthur Freeze
Member of Advisory Board6.1yrsCA$1.87kno data
Yao Sun
Independent Director11yrsno data0.68% CA$118.3k
Jaime Gonzalez
Member of Advisory Board7.8yrsno datano data
Rory Godinho
Independent Director2.3yrsCA$241.56k0.22% CA$38.3k
Roberto Guzman Garcia
Independent Director1.3yrsno data0.65% CA$113.6k

4.3yrs

Average Tenure

62yo

Average Age

Experienced Board: TSN's board of directors are considered experienced (4.3 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: TSN 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 9%.


Top Shareholders

Company Information

Telson Mining Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Telson Mining Corporation
  • Ticker: TSN
  • Exchange: TSXV
  • Founded: 1986
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$17.494m
  • Shares outstanding: 159.04m
  • Website: https://www.telsonmining.com

Location

  • Telson Mining Corporation
  • 1111 Melville Street
  • Suite 1000
  • Vancouver
  • British Columbia
  • V6E 3V6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TSNTSXV (TSX Venture Exchange)YesCommon SharesCACADSep 1988
TSGNDB (Deutsche Boerse AG)YesCommon SharesDEEURSep 1988
SOHF.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDSep 1988

Biography

Telson Mining Corporation engages in acquisition, exploration, and development of mineral resource projects in Mexico. The company primarily explores for gold, silver, lead, and zinc, and copper deposits. It holds interest in the Tahuehueto project comprising 28 mining concessions covering an area of 7,492 hectares located in northwestern Durango State, Mexico; and the Campo Morado mine consisting of 6 mining concessions covering an area of approximately 12,045 hectares located in Guerrero state, Mexico. The company was formerly known as Telson Resources Inc. and changed its name to Telson Mining Corporation in February 2018. Telson Mining Corporation was incorporated in 1986 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 Analysis2020/02/16 23:48
End of Day Share Price2020/02/13 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.