BST:1SB

Stock Analysis Report

Executive Summary

Rio2 Limited operates as a precious metals company in Americas.


Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

How has Rio2's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 1SB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.6%

1SB

-8.2%

DE Metals and Mining

-5.7%

DE Market


1 Year Return

n/a

1SB

-27.1%

DE Metals and Mining

6.1%

DE Market

Return vs Industry: Insufficient data to determine how 1SB performed against the German Metals and Mining industry.

Return vs Market: Insufficient data to determine how 1SB performed against the German Market.


Shareholder returns

1SBIndustryMarket
7 Day1.6%-8.2%-5.7%
30 Day-7.2%-14.1%-5.7%
90 Day-0.8%-13.7%-3.6%
1 Yearn/a-26.4%-27.1%9.3%6.1%
3 Yearn/a-51.0%-52.4%8.9%-0.7%
5 Yearn/a-47.8%-50.4%13.6%-2.0%

Price Volatility Vs. Market

How volatile is Rio2's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Rio2 undervalued compared to its fair value and its price relative to the market?

0.75x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 1SB's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 1SB's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 1SB is unprofitable, so we can't compare its PE Ratio to the Metals and Mining industry average.

PE vs Market: 1SB is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 1SB's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 1SB is good value based on its PB Ratio (0.7x) compared to the DE Metals and Mining industry average (3.2x).


Next Steps

Future Growth

How is Rio2 forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

10.6%

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 Rio2 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 Rio2 performed over the past 5 years?

-68.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 1SB is currently unprofitable.

Growing Profit Margin: 1SB is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 1SB is unprofitable, and losses have increased over the past 5 years at a rate of -68.9% per year.

Accelerating Growth: Unable to compare 1SB's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 1SB is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-8.4%).


Return on Equity

High ROE: 1SB has a negative Return on Equity (-11.42%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Rio2's financial position?


Financial Position Analysis

Short Term Liabilities: 1SB's short term assets (CA$21.3M) exceed its short term liabilities (CA$768.1K).

Long Term Liabilities: 1SB has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: 1SB is debt free.

Reducing Debt: 1SB currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet

Inventory Level: 1SB has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 1SB'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: 1SB has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 1SB has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -64.6% each year


Next Steps

Dividend

What is Rio2's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.8%industryaverage6.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 1SB's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 1SB'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 1SB's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 1SB'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 1SB's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.5yrs

Average management tenure


CEO

Alex Black (61yo)

3.3yrs

Tenure

CA$123,313

Compensation

Mr. Alexander Black, also known as Alex, has been the Chief Executive Officer and President at Rio2 Limited since November 23, 2016. Mr. Black has been the Chief Executive Officer and President of Rio Alto ...


CEO Compensation Analysis

Compensation vs Market: Alex's total compensation ($USD92.80K) is below average for companies of similar size in the German market ($USD415.76K).

Compensation vs Earnings: Insufficient data to compare Alex's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Alexander Black
CEO, President & Director3.3yrsCA$123.31k8.35% CA$4.1m
Kathryn Johnson
CFO, Executive VP & Corporate Secretary2.7yrsCA$198.84k0.11% CA$53.8k
Timothy Williams
Executive VP & COO2.9yrsCA$383.01k0.70% CA$344.8k
Daniel Kenney
Legal Counsel0.8yrsno datano data
Jose Martinez
Executive VP & Chief Strategy Officer0yrsCA$291.28k0.29% CA$145.7k
Ian Dreyer
Senior Vice President of Technical Services0yrsno data0.67% CA$330.5k
Maria Alejandra Gomez
Senior Vice President of Corporate Communications2.4yrsno datano data
Andrew Cox
Senior Vice President of Operations2.4yrsno datano data
Enrique Garay Manyari
Senior Vice President of Geology0yrsno data0.33% CA$166.0k

2.5yrs

Average Tenure

Experienced Management: 1SB's management team is considered experienced (2.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alexander Black
CEO, President & Director3.3yrsCA$123.31k8.35% CA$4.1m
Albrecht Schneider
Director0yrsno data5.89% CA$2.9m
Klaus Zeitler
Non-Executive Chairman2.8yrsno data0.79% CA$390.7k
David Thomas
Independent Director2.8yrsno data0.48% CA$236.8k
Sidney P. Robinson
Independent Director2.8yrsno data0.073% CA$36.4k
Ram Ramachandran
Independent Director2.8yrsno data0.037% CA$18.2k
Drago Guillermo Kisic Wagner
Independent Director0.8yrsno data0.047% CA$23.5k

2.8yrs

Average Tenure

72yo

Average Age

Experienced Board: 1SB's board of directors are not considered experienced ( 2.8 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: 1SB 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 107.5%.


Top Shareholders

Company Information

Rio2 Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Rio2 Limited
  • Ticker: 1SB
  • Exchange: BST
  • Founded: 1990
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$71.665m
  • Listing Market Cap: CA$49.574m
  • Shares outstanding: 181.43m
  • Website: https://www.rio2.com

Number of Employees


Location

  • Rio2 Limited
  • The Marine Building
  • 1260-355 Burrard Street
  • Vancouver
  • British Columbia
  • V6C 2G8
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RIOTSXV (TSX Venture Exchange)YesNew Common SharesCACADNov 1991
RIOF.FOTCPK (Pink Sheets LLC)YesNew Common SharesUSUSDNov 1991
1SBBST (Boerse-Stuttgart)YesNew Common SharesDEEURNov 1991
RIOBVL (Bolsa de Valores de Lima)YesNew Common SharesPEUSDNov 1991

Biography

Rio2 Limited operates as a precious metals company in Americas. The company has right and option to acquire interests in seven gold exploration prospects, which is located in Peru, covering an area of approximately 19,000 hectares. It had also applied for 10,000 hectares of exploration concessions in Nicaragua. In addition, the company holds a 100% interest in Fenix Gold Project, covering an area of approximately 22,000 hectares located in Chile, as well as five gold prospects in the Chile. The company was formerly known as Prospector Resources Corp. and changed its name to Rio2 Limited in April 2017. Rio2 Limited was incorporated in 1990 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 Analysis2020/02/26 00:00
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.