DB:VJF

Stock Analysis Report

Executive Summary

Vital Metals Limited engages in mineral exploration activities in West Africa and Germany.

Risk Analysis

Earnings have declined by -2.9% per year over past 5 years

Makes less than USD$1m in revenue (A$4K)

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

Shareholders have been diluted in the past year

+ 1 more risk


Snowflake Analysis

Flawless balance sheet and overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

0%

VJF

-2.4%

DE Metals and Mining

-0.5%

DE Market


1 Year Return

125.0%

VJF

-18.4%

DE Metals and Mining

16.6%

DE Market

Return vs Industry: VJF exceeded the German Metals and Mining industry which returned -20% over the past year.

Return vs Market: VJF exceeded the German Market which returned 17.1% over the past year.


Shareholder returns

VJFIndustryMarket
7 Day0%-2.4%-0.5%
30 Day12.5%-3.4%0.8%
90 Day0%-1.5%6.6%
1 Year125.0%125.0%-17.1%-18.4%20.2%16.6%
3 Year-35.7%-35.7%-39.8%-41.8%17.1%6.8%
5 Year-65.2%-67.9%-31.6%-35.3%29.7%11.9%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

1.64x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

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


Price to Book Ratio

PB vs Industry: VJF is good value based on its PB Ratio (1.6x) compared to the DE Metals and Mining industry average (4.1x).


Next Steps

Future Growth

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

8.9%

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 Vital Metals 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 Vital Metals performed over the past 5 years?

-2.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: VJF is currently unprofitable.

Growing Profit Margin: VJF is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: VJF is unprofitable, and losses have increased over the past 5 years at a rate of -2.9% per year.

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

Earnings vs Industry: VJF is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-9.2%).


Return on Equity

High ROE: VJF has a negative Return on Equity (-29.18%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Vital Metals's financial position?


Financial Position Analysis

Short Term Liabilities: VJF's short term assets (A$12.8M) exceed its short term liabilities (A$126.7K).

Long Term Liabilities: VJF has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: VJF is debt free.

Reducing Debt: VJF has no debt compared to 5 years ago when its debt to equity ratio was 34.4%.


Balance Sheet

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

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

Forecast Cash Runway: VJF has sufficient cash runway for more than 3 years if free cash flow continues to reduce at historical rates of -19.7% each year


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.6%industryaverage6.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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


Next Steps

Management

What is the CEO of Vital Metals's salary, the management and board of directors tenure and is there insider trading?

0.9yrs

Average board tenure


CEO

Geoff Atkins 0

0.3yrs

Tenure

0

Mr. Geoff Atkins has been a Director and Managing Director of Vital Metals Limited since October 16, 2019. Mr. Atkins is a Civil Engineer with over 20 years of project and corporate development experience  ...


Board Age and Tenure

0.9yrs

Average Tenure

Experienced Board: VJF's board of directors are not considered experienced ( 0.9 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: VJF insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buy€58,94617 Dec 19
Zane Lewis
EntityIndividual
Role
Member of the Board of Directors
Executive Director
Shares8,000,000
Max Price€0.0074
Buy€36,84117 Dec 19
Phillip Coulson
EntityIndividual
Role
Member of the Board of Directors
Non-Executive Director
Shares5,000,000
Max Price€0.0074
Buy€111,26817 Dec 19
Konkera Pty Ltd
EntityCompany
Shares15,000,000
Max Price€0.0074
Buy€14,08706 May 19
Peter Cordin
EntityIndividual
Shares2,812,500
Max Price€0.005
Buy€14,08706 May 19
Francis Robert Harper
EntityIndividual
Role
Chairman of the Board
Non-Executive Chairman
Shares2,812,500
Max Price€0.005

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.7%.


Management Team

  • Zane Lewis (47yo)

    Executive Director

    • Tenure: 0.9yrs
    • Compensation: AU$344.66k
  • Sebastian Andre

    Company Secretary

    • Tenure: 0.8yrs
  • Geoff Atkins

    MD & Director

    • Tenure: 0.3yrs

Board Members

  • Francis Robert Harper

    Non-Executive Chairman

    • Tenure: 1.4yrs
    • Compensation: AU$40.00k
  • Evan George Cranston (37yo)

    Non-Executive Director

    • Tenure: 0.3yrs
    • Compensation: AU$1.55k
  • Zane Lewis (47yo)

    Executive Director

    • Tenure: 0.9yrs
    • Compensation: AU$344.66k
  • Phil Coulson

    Non-Executive Director

    • Tenure: 1yrs
    • Compensation: AU$327.65k
  • Geoff Atkins

    MD & Director

    • Tenure: 0.3yrs

Company Information

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


Key Information

  • Name: Vital Metals Limited
  • Ticker: VJF
  • Exchange: DB
  • Founded:
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: AU$25.711m
  • Listing Market Cap: AU$15.924m
  • Shares outstanding: 2.14b
  • Website: https://www.vitalmetals.com.au

Location

  • Vital Metals Limited
  • 295 Rokeby Road
  • Suite 6
  • Subiaco
  • Western Australia
  • 6008
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
VMLASX (Australian Securities Exchange)YesOrdinary SharesAUAUDOct 2005
VJFDB (Deutsche Boerse AG)YesOrdinary SharesDEEUROct 2005
VMLCHIA (Chi-X Australia)YesOrdinary SharesAUAUDOct 2005

Biography

Vital Metals Limited engages in mineral exploration activities in West Africa and Germany. The company explores for gold, cobalt, tungsten, tin, uranium, and silver deposits. It holds interests in the Bouli gold project with three gold permits covering 4,289 sq km located in Niger, West Africa; the Nahouri Gold Project with three contiguous permits covering 400 sq km located in southern Burkina Faso; and the Aue cobalt project covering 78 sq km located in the Erzgebirge region of Saxony, Germany. The company was incorporated in 2004 and is headquartered in Subiaco, Australia. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/01/16 21:07
End of Day Share Price2020/01/16 00:00
Earnings2019/06/30
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.