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Prospect Resources

Executive Summary

Prospect Resources Limited engages in exploration, evaluation, and development of mineral properties in Zimbabwe.


Snowflake Analysis

Flawless balance sheet with exceptional growth potential.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 5E8's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

19.6%

500000000

4.1%

DE Metals and Mining

-1.4%

DE Market


1 Year Return

-9.3%

500000000

-13.6%

DE Metals and Mining

8.0%

DE Market

Return vs Industry: 5E8 exceeded the German Metals and Mining industry which returned -13.6% over the past year.

Return vs Market: 5E8 underperformed the German Market which returned 8% over the past year.


Shareholder returns

500000000IndustryMarket
7 Day19.6%4.1%-1.4%
30 Day62.4%6.4%-1.2%
90 Dayn/a25.2%12.6%
1 Year0.8%-9.3%-13.0%-13.6%10.4%8.0%
3 Yearn/a-59.6%-60.9%4.7%-3.7%
5 Yearn/a-50.9%-53.4%15.9%0.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

1.23x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 5E8's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 5E8's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 5E8 is unprofitable, so we can't compare its PE Ratio to the XE Metals and Mining industry average.

PE vs Market: 5E8 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 5E8's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 5E8 is good value based on its PB Ratio (1.2x) compared to the DE Metals and Mining industry average (3.4x).


Next Steps

Future Growth

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

43.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 5E8 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: 5E8 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 5E8's is expected to become profitable in the next 3 years.

Revenue vs Market: 5E8's revenue (40.3% per year) is forecast to grow faster than the German market (5.8% per year).

High Growth Revenue: 5E8's revenue (40.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 5E8's Return on Equity is forecast to be very high in 3 years time (91%).


Next Steps

Past Performance

How has Prospect Resources performed over the past 5 years?

-20.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 5E8 is currently unprofitable.

Growing Profit Margin: 5E8 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 5E8 is unprofitable, and losses have increased over the past 5 years at a rate of 20.4% per year.

Accelerating Growth: Unable to compare 5E8's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 5E8 is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-0.2%).


Return on Equity

High ROE: 5E8 has a negative Return on Equity (-16.44%), as it is currently unprofitable.


Next Steps

Financial Health

How is Prospect Resources's financial position?


Financial Position Analysis

Short Term Liabilities: 5E8's short term assets (A$2.3M) exceed its short term liabilities (A$827.0K).

Long Term Liabilities: 5E8's short term assets (A$2.3M) exceed its long term liabilities (A$43.0K).


Debt to Equity History and Analysis

Debt Level: 5E8 is debt free.

Reducing Debt: 5E8 had no debt 5 years ago.


Balance Sheet


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: 5E8 has sufficient cash runway for 1 months based on last reported free cash flow, but has since raised additional capital.

Forecast Cash Runway: 5E8 is forecast to have sufficient cash runway for 2 months based on free cash flow estimates, but has since raised additional capital.


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 5E8's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 5E8's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 5E8's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 5E8'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 5E8'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?

6.9yrs

Average board tenure


CEO

Sam Hosack

2.08yrs

Tenure

AU$990,222

Compensation

Mr. Sam Hosack has been Managing Director of Prospect Resources Ltd. since May 14, 2018. Mr. Hosack has been Director at Prospect Resources Ltd. since 2018. Mr. Hosack serves as an Executive at Prospect Re ...


CEO Compensation Analysis

Compensation vs Market: Sam's total compensation ($USD714.45K) is above average for companies of similar size in the German market ($USD475.35K).

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


Board Members

NamePositionTenureCompensationOwnership
Hugh Warner
Executive Chairman8.58yrsAU$257.32k7.1%
A$ 1.7m
Sam Hosack
MD & Director2.08yrsAU$990.22k0.70%
A$ 170.5k
Duncan Greaves
Executive Director7.08yrsAU$250.00k1.93%
A$ 470.5k
Gerard Fahey
Non-Executive Director7.08yrsAU$24.00k0.36%
A$ 87.4k
Meng Sun
Alternate Director2.67yrsno datano data
Zivanayi Rusike
Non-Executive Director6.92yrsAU$24.00k1.06%
A$ 259.3k
HeNian Chen
Non-Executive Director2.75yrsAU$24.00k2.16%
A$ 525.8k

6.9yrs

Average Tenure

59.5yo

Average Age

Experienced Board: 5E8's board of directors are considered experienced (6.9 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 21.2%.


Top Shareholders

Company Information

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


Key Information

  • Name: Prospect Resources Limited
  • Ticker: 500000000
  • Exchange: BST
  • Founded: 2007
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: AU$40.031m
  • Listing Market Cap: AU$24.383m
  • Shares outstanding: 285.94m
  • Website: https://www.prospectresources.com.au

Location

  • Prospect Resources Limited
  • 245 Churchill Avenue
  • Suite 6
  • Subiaco
  • Western Australia
  • 6008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PSCASX (Australian Securities Exchange)YesOrdinary SharesAUAUDDec 2009
500000000BST (Boerse-Stuttgart)YesOrdinary SharesDEEURDec 2009
500000000DB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2009

Biography

Prospect Resources Limited engages in exploration, evaluation, and development of mineral properties in Zimbabwe. The company primarily explores for lithium and gold deposits. Its flagship project is the A ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/06 21:31
End of Day Share Price2020/08/06 00:00
Earnings2019/12/31
Annual Earnings2019/06/30


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.