AIM:NCCL

Stock Analysis Report

Executive Summary

Ncondezi Energy Limited, a power development company, focuses on the phased development of integrated thermal coal mine and power plant project in Mozambique.


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

2.0%

NCCL

0.8%

GB Oil and Gas

0.05%

GB Market


1 Year Return

-6.5%

NCCL

-5.1%

GB Oil and Gas

7.1%

GB Market

Return vs Industry: NCCL underperformed the UK Oil and Gas industry which returned -5.1% over the past year.

Return vs Market: NCCL underperformed the UK Market which returned 7.1% over the past year.


Shareholder returns

NCCLIndustryMarket
7 Day2.0%0.8%0.05%
30 Day-1.0%-8.2%-1.7%
90 Day-4.8%-7.0%4.1%
1 Year-6.5%-6.5%-0.2%-5.1%12.6%7.1%
3 Year-48.7%-48.7%23.6%8.2%18.4%3.6%
5 Year21.2%21.2%42.8%14.6%35.2%4.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.34x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

PE vs Industry: NCCL is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: NCCL is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: NCCL is overvalued based on its PB Ratio (1.3x) compared to the GB Oil and Gas industry average (0.7x).


Next Steps

Future Growth

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

5.8%

Forecasted Energy 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 Ncondezi Energy 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 Ncondezi Energy performed over the past 5 years?

55.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NCCL is currently unprofitable.

Growing Profit Margin: NCCL is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NCCL is unprofitable, but has reduced losses over the past 5 years at a rate of 55.5% per year.

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

Earnings vs Industry: NCCL is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (26.8%).


Return on Equity

High ROE: NCCL has a negative Return on Equity (-15.07%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Ncondezi Energy's financial position?


Financial Position Analysis

Short Term Liabilities: NCCL's short term assets ($1.8M) do not cover its short term liabilities ($4.9M).

Long Term Liabilities: NCCL has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: NCCL's debt to equity ratio (28%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if NCCL's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: NCCL's debt is not covered by short term assets (assets are 0.4x 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: NCCL has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: NCCL has sufficient cash runway for 1.3 years if free cash flow continues to grow at historical rates of 42.1% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.8%markettop25%5.1%industryaverage5.7%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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

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


Next Steps

Management

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

6.2yrs

Average board tenure


CEO

Hanno Pengilly (35yo)

0.3yrs

Tenure

0

Mr. Hanno Crosland Pengilly serves as the Chief Executive Officer and Director of Ncondezi Energy Limited since October 2019. He has considerable knowledge in the power and mine sectors on the back of his  ...


Board Members

NamePositionTenureCompensationOwnership
Hanno Pengilly
CEO & Director0.3yrsno datano data
Estevão Tomas Pale
Non-Executive Director9.9yrsUS$110.00kno data
Michael Haworth
Non-Executive Chairman of the Board7.7yrsno data5.07% $823.4k
Aman Sachdeva
Non-Executive Director4.8yrsUS$81.00kno data

6.2yrs

Average Tenure

53yo

Average Age

Experienced Board: NCCL's board of directors are considered experienced (6.2 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 10.4%.


Top Shareholders

Company Information

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


Key Information

  • Name: Ncondezi Energy Limited
  • Ticker: NCCL
  • Exchange: AIM
  • Founded: 2006
  • Industry: Coal and Consumable Fuels
  • Sector: Energy
  • Market Cap: UK£16.250m
  • Shares outstanding: 324.99m
  • Website: https://www.ncondezienergy.com

Number of Employees


Location

  • Ncondezi Energy Limited
  • Coastal Building
  • Ground Floor
  • Road Town
  • Tortola
  • VG1130
  • British Virgin Islands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NCCLAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPJun 2010
9NEDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2010

Biography

Ncondezi Energy Limited, a power development company, focuses on the phased development of integrated thermal coal mine and power plant project in Mozambique. The company develops a 300MW integrated power plant and mine to produce and supply electricity to the Mozambican market. It also explores for and develops coal mine. The company owns a 100% interest in the Ncondezi Project located in Tete province of Northern Mozambique. The company was formerly known as Ncondezi Coal Company Limited and changed its name to Ncondezi Energy Limited in July 2013. Ncondezi Energy Limited was incorporated in 2006 and is based in Road Town, the British Virgin Islands. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/20 22:05
End of Day Share Price2020/02/20 00:00
Earnings2019/06/30
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.