TSXV:VG

Stock Analysis Report

Volcanic Gold Mines

Executive Summary

Volcanic Gold Mines Inc. engages in the acquisition and exploration of mineral properties.


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

How has Volcanic Gold Mines's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-13.6%

VG

-6.0%

CA Metals and Mining

-6.2%

CA Market


1 Year Return

-32.1%

VG

2.2%

CA Metals and Mining

-2.0%

CA Market

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

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


Shareholder returns

VGIndustryMarket
7 Day-13.6%-6.0%-6.2%
30 Day-13.6%-1.0%-5.0%
90 Day18.8%4.9%-2.8%
1 Year-32.1%-32.1%2.9%2.2%1.1%-2.0%
3 Year-95.1%-95.1%-2.8%-4.5%10.7%0.6%
5 Year-66.1%-66.1%25.0%21.4%27.6%8.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Volcanic Gold Mines undervalued compared to its fair value and its price relative to the market?

4.9x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: VG is overvalued based on its PB Ratio (4.9x) compared to the CA Metals and Mining industry average (1.5x).


Next Steps

Future Growth

How is Volcanic Gold Mines 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 Volcanic Gold Mines 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 Volcanic Gold Mines performed over the past 5 years?

-34.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VG is currently unprofitable.

Growing Profit Margin: VG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: VG is unprofitable, and losses have increased over the past 5 years at a rate of -34.5% per year.

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

Earnings vs Industry: VG 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: VG has a negative Return on Equity (-232.52%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Volcanic Gold Mines's financial position?


Financial Position Analysis

Short Term Liabilities: VG's short term assets (CA$213.0K) exceed its short term liabilities (CA$118.8K).

Long Term Liabilities: VG has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: VG is debt free.

Reducing Debt: VG had no debt 5 years ago.


Balance Sheet

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

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

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


Next Steps

Dividend

What is Volcanic Gold Mines'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 VG's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

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

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

3.1yrs

Average board tenure


CEO

Simon T. Ridgway (70yo)

0.8yrs

Tenure

CA$66,000

Compensation

Mr. Simon T. P. Ridgway is Founder of Radius Gold Inc. and Volcanic Gold Mines Inc. He serves as Chief Executive Officer at Volcanic Gold Mines Inc. since April 23, 2019 and has been its Director since Au ...


CEO Compensation Analysis

Compensation vs Market: Simon T.'s total compensation ($USD49.39K) is below average for companies of similar size in the Canadian market ($USD157.16K).

Compensation vs Earnings: Simon T.'s compensation has been consistent with company performance over the past year.


Board Members

NamePositionTenureCompensationOwnership
Simon T. Ridgway
Founder0.8yrsCA$66.00k9.93% CA$162.3k
James Dawson
Technical Advisor and Member of Advisory Board0yrsno datano data
Robert Schafer
Independent Director2.9yrsno data0.17% CA$2.7k
Michael Iverson
Director12.8yrsno data4.05% CA$66.2k
Scott Ackerman
Independent Director6.1yrsno datano data
Jeremy Crozier
Director3.1yrsCA$161.00k3% CA$49.1k

3.1yrs

Average Tenure

67yo

Average Age

Experienced Board: VG's board of directors are considered experienced (3.1 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 14.8%.


Top Shareholders

Company Information

Volcanic Gold Mines Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Volcanic Gold Mines Inc.
  • Ticker: VG
  • Exchange: TSXV
  • Founded: 2007
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$1.635m
  • Shares outstanding: 8.60m
  • Website: https://www.volgold.com

Location

  • Volcanic Gold Mines Inc.
  • 200 Burrard Street
  • Suite 650
  • Vancouver
  • British Columbia
  • V6C 3L6
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VGTSXV (TSX Venture Exchange)YesCommon SharesCACADApr 2008
CKC2DB (Deutsche Boerse AG)YesCommon SharesDEEURApr 2008
VLMZ.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 2008

Biography

Volcanic Gold Mines Inc. engages in the acquisition and exploration of mineral properties. The company was formerly known as Volcanic Metals Corp. and changed its name to Volcanic Gold Mines Inc. in January 2017. Volcanic Gold Mines Inc. was incorporated in 2007 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 Analysis2020/02/28 01:11
End of Day Share Price2020/02/25 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.