DB:P2O

Stock Analysis Report

Premier Gold Mines

Executive Summary

Premier Gold Mines Limited explores for, develops, and produces gold and silver deposits in Canada, the United States, and Mexico.


Snowflake Analysis

High growth potential and fair value.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: P2O's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.8%

P2O

-8.6%

DE Metals and Mining

-0.9%

DE Market


1 Year Return

-17.0%

P2O

-22.0%

DE Metals and Mining

12.8%

DE Market

Return vs Industry: P2O exceeded the German Metals and Mining industry which returned -22% over the past year.

Return vs Market: P2O underperformed the German Market which returned 12.8% over the past year.


Shareholder returns

P2OIndustryMarket
7 Day2.8%-8.6%-0.9%
30 Day-6.5%-8.6%0.6%
90 Day-16.6%-11.3%2.9%
1 Year-17.0%-17.0%-21.2%-22.0%16.3%12.8%
3 Year-50.5%-50.5%-48.5%-50.0%15.8%5.7%
5 Year-40.1%-40.1%-45.5%-48.3%19.7%3.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: P2O (€1.08) is trading below our estimate of fair value (€2.45)

Significantly Below Fair Value: P2O is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: P2O is unprofitable, so we can't compare its PE Ratio to the Metals and Mining industry average.

PE vs Market: P2O 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 P2O's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: P2O is good value based on its PB Ratio (0.9x) compared to the DE Metals and Mining industry average (4.2x).


Next Steps

Future Growth

How is Premier Gold Mines forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

74.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: P2O is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.4%).

Earnings vs Market: P2O is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: P2O's is expected to become profitable in the next 3 years.

Revenue vs Market: P2O's revenue (35.2% per year) is forecast to grow faster than the German market (5.2% per year).

High Growth Revenue: P2O's revenue (35.2% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: P2O's Return on Equity is forecast to be low in 3 years time (0.9%).


Next Steps

Past Performance

How has Premier Gold Mines performed over the past 5 years?

13.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: P2O is currently unprofitable.

Growing Profit Margin: P2O is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: P2O is unprofitable, but has reduced losses over the past 5 years at a rate of 13.5% per year.

Accelerating Growth: Unable to compare P2O's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: P2O 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: P2O has a negative Return on Equity (-8.51%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Premier Gold Mines's financial position?


Financial Position Analysis

Short Term Liabilities: P2O's short term assets ($75.2M) exceed its short term liabilities ($48.2M).

Long Term Liabilities: P2O's short term assets ($75.2M) exceed its long term liabilities ($50.0M).


Debt to Equity History and Analysis

Debt Level: P2O's debt to equity ratio (9.7%) is considered satisfactory.

Reducing Debt: P2O's debt to equity ratio has increased from 1.9% to 9.7% over the past 5 years.


Balance Sheet

Inventory Level: P2O has a high level of physical assets or inventory.

Debt Coverage by Assets: P2O's debt is covered by short term assets (assets are 2.8x debt).


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: P2O has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if P2O has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Premier Gold Mines's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.3%markettop25%3.6%industryaverage6.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate P2O's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate P2O'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 P2O's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if P2O'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 P2O'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?

5.4yrs

Average management tenure


CEO

Ewan Downie (52yo)

13.8yrs

Tenure

US$1,750,306

Compensation

Mr. Ewan Stewart Downie is the Member of the Advisory Board at Doré Copper Mining Corp. He is Founder of Doré Copper Mining Corp. He has been the Chief Executive Officer and President of Premier Gold Mines ...


CEO Compensation Analysis

Compensation vs Market: Ewan's total compensation ($USD1.32M) is above average for companies of similar size in the German market ($USD616.99K).

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


Leadership Team

NamePositionTenureCompensationOwnership
John Begeman
Executive Chairman4.7yrsUS$1.14m0.27% $619.2k
Ewan Downie
President13.8yrsUS$1.75m2.03% $4.7m
Steven Filipovic
Chief Financial Officer7.7yrsUS$965.24k0.13% $296.2k
Stephen McGibbon
Executive Vice President of Corporate & Project Development8.5yrsUS$804.36k0.19% $433.0k
Brent Kristof
Senior Vice President of Operations3.2yrsUS$940.86k0.0094% $21.9k
Peter Van Alphen
Chief Operating Officer0.4yrsno datano data
Shaun Drake
Secretary0yrsno data0.0080% $18.6k
Matthew Gollat
Vice President of Business Development2.1yrsno data0.036% $84.5k

5.4yrs

Average Tenure

52yo

Average Age

Experienced Management: P2O's management team is seasoned and experienced (5.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
John Begeman
Executive Chairman4.7yrsUS$1.14m0.27% $619.2k
Ewan Downie
President13.8yrsUS$1.75m2.03% $4.7m
John Seaman
Lead Director0yrsUS$165.00k0.082% $191.0k
Ronald Little
Independent Director4.6yrsUS$160.00k0.026% $61.3k
Claude Lemasson
Independent Director7.7yrsUS$155.00k0.066% $152.6k
Anthony Makuch
Independent Director3.7yrsUS$155.00k0.021% $48.1k
Michael Vitton
Independent Director6.2yrsUS$160.00k0.26% $609.2k

5.4yrs

Average Tenure

56yo

Average Age

Experienced Board: P2O's board of directors are considered experienced (5.4 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: P2O 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 2.4%.


Top Shareholders

Company Information

Premier Gold Mines Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Premier Gold Mines Limited
  • Ticker: P2O
  • Exchange: DB
  • Founded: 2006
  • Industry: Gold
  • Sector: Materials
  • Market Cap: CA$332.778m
  • Listing Market Cap: CA$231.847m
  • Shares outstanding: 211.96m
  • Website: https://www.premiergoldmines.com

Number of Employees


Location

  • Premier Gold Mines Limited
  • 1100 Russell Street
  • Suite 200
  • Thunder Bay
  • Ontario
  • P7B 5N2
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PGTSX (The Toronto Stock Exchange)YesCommon SharesCACADAug 2006
P2ODB (Deutsche Boerse AG)YesCommon SharesDEEURAug 2006
PIRG.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 2006
0R3FLSE (London Stock Exchange)YesCommon SharesGBCADAug 2006
PGMSWX (SIX Swiss Exchange)YesCommon SharesCHCHFAug 2006

Biography

Premier Gold Mines Limited explores for, develops, and produces gold and silver deposits in Canada, the United States, and Mexico. It principally holds a 100% interest in the Mercedes Mine property located in Sonora, Mexico; a 40% interest in the South Arturo Mine situated in Elko County, Nevada; a 50% interest in the Hardrock Gold property located in Ontario; a 100% interest in the McCoy-Cove project situated in Nevada; a 44% interest in the Rahil Bonaza project located in Northwestern Ontario; and a 100% interest in the Hasaga Gold project situated in Red Lake Mining District, Ontario. The company was incorporated in 2006 and is headquartered in Thunder Bay, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 21:32
End of Day Share Price2020/02/21 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.