AIM:HGM

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Executive Summary

Highland Gold Mining Limited engages in the gold mining operations in Russia and Kyrgyzstan.


Snowflake Analysis

Solid track record with excellent balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-0.3%

HGM

2.5%

GB Metals and Mining

2.7%

GB Market


1 Year Return

28.0%

HGM

9.5%

GB Metals and Mining

-12.4%

GB Market

Return vs Industry: HGM exceeded the UK Metals and Mining industry which returned 9.5% over the past year.

Return vs Market: HGM exceeded the UK Market which returned -12.4% over the past year.


Shareholder returns

HGMIndustryMarket
7 Day-0.3%2.5%2.7%
30 Day32.8%5.2%0.2%
90 Day17.9%22.5%4.0%
1 Year36.6%28.0%16.7%9.5%-8.8%-12.4%
3 Year153.2%101.4%39.1%16.0%-4.9%-16.3%
5 Year807.0%531.0%133.7%78.0%14.2%-11.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Highland Gold Mining undervalued compared to its fair value and its price relative to the market?

7.91x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HGM (£2.95) is trading above our estimate of fair value (£1.48)

Significantly Below Fair Value: HGM is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HGM is good value based on its PE Ratio (7.9x) compared to the GB Metals and Mining industry average (11.3x).

PE vs Market: HGM is good value based on its PE Ratio (7.9x) compared to the UK market (15.9x).


Price to Earnings Growth Ratio

PEG Ratio: HGM is poor value based on its PEG Ratio (10.1x)


Price to Book Ratio

PB vs Industry: HGM is good value based on its PB Ratio (1.5x) compared to the GB Metals and Mining industry average (1.6x).


Next Steps

Future Growth

How is Highland Gold Mining forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

0.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HGM's forecast earnings growth (0.8% per year) is below the savings rate (1.2%).

Earnings vs Market: HGM's earnings (0.8% per year) are forecast to grow slower than the UK market (22.9% per year).

High Growth Earnings: HGM's earnings are forecast to grow, but not significantly.

Revenue vs Market: HGM's revenue (13.6% per year) is forecast to grow faster than the UK market (4.8% per year).

High Growth Revenue: HGM's revenue (13.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if HGM's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Highland Gold Mining performed over the past 5 years?

59.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HGM has high quality earnings.

Growing Profit Margin: HGM's current net profit margins (44.8%) are higher than last year (18%).


Past Earnings Growth Analysis

Earnings Trend: HGM has become profitable over the past 5 years, growing earnings by 59.1% per year.

Accelerating Growth: HGM's earnings growth over the past year (216.2%) exceeds its 5-year average (59.1% per year).

Earnings vs Industry: HGM earnings growth over the past year (216.2%) exceeded the Metals and Mining industry -2.2%.


Return on Equity

High ROE: HGM's Return on Equity (18.7%) is considered low.


Next Steps

Financial Health

How is Highland Gold Mining's financial position?


Financial Position Analysis

Short Term Liabilities: HGM's short term assets ($176.5M) exceed its short term liabilities ($77.5M).

Long Term Liabilities: HGM's short term assets ($176.5M) do not cover its long term liabilities ($384.9M).


Debt to Equity History and Analysis

Debt Level: HGM's debt to equity ratio (30.3%) is considered satisfactory.

Reducing Debt: HGM's debt to equity ratio has reduced from 39.3% to 30.3% over the past 5 years.

Debt Coverage: HGM's debt is well covered by operating cash flow (48.1%).

Interest Coverage: HGM earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Highland Gold Mining current dividend yield, its reliability and sustainability?

4.27%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HGM's dividend (4.27%) is higher than the bottom 25% of dividend payers in the UK market (1.81%).

High Dividend: HGM's dividend (4.27%) is low compared to the top 25% of dividend payers in the UK market (5.37%).


Stability and Growth of Payments

Stable Dividend: HGM has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: HGM's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.7%), HGM's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

5.6yrs

Average management tenure


CEO

Denis Alexandrov (46 yo)

4.58yrs

Tenure

US$108,000

Compensation

Mr. Denis Alexandrov has been the Chief Executive Officer of Highland Gold Mining Ltd. since January 2016. Mr. Alexandrov served as the Chief Executive Officer at Auriant Mining AB from May 2012 to January ...


Leadership Team

NamePositionTenureCompensationOwnership
Eugene Shvidler
Executive Chairman8.25yrsUS$850.00k4.94%
$ 53.0m
John Mann
Executive Director & Head of Communications5.33yrsUS$120.00kno data
Denis Alexandrov
Chief Executive Officer4.58yrsUS$108.00kno data
Alla Baranovskaya
Chief Financial Officer9.17yrsno datano data
Michael Monaghan
Chief Operating Officer0.42yrno datano data
Elena Babkina
Director of Human Resources & Administration4.25yrsno datano data
Grant Sinitsin
Director of Investor Relationsno datano datano data
Aleksey Kharitontsev
Deputy Chief Executive Officer of Corporate Development4.25yrsno datano data
Alexander Mikhaluk
Chief Geologistno datano datano data
Igor Gaponenko
Head of International Affairsno datano datano data
Alexander Ivanov
Chief Engineer of MNV Mine15yrsno datano data
Rob Wienand
Head of Mining - Darasun14.33yrsno datano data

5.6yrs

Average Tenure

50yo

Average Age

Experienced Management: HGM's management team is seasoned and experienced (5.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Eugene Shvidler
Executive Chairman8.25yrsUS$850.00k4.94%
$ 53.0m
John Mann
Executive Director & Head of Communications5.33yrsUS$120.00kno data
Duncan Antony Baxter
Senior Independent Director1.58yrsUS$160.00k0.0055%
$ 59.0k
Valery Oyf
Non-Executive Director8.08yrsUS$100.00k1.82%
$ 19.5m
Olga Pokrovskaya
Non-Executive Director12.58yrsUS$125.00kno data
Colin J. Belshaw
Independent Non-Executive Director6.92yrsUS$120.00kno data
Deborah Gudgeon
Independent Non-Executive Director0.67yrno datano data

6.9yrs

Average Tenure

56yo

Average Age

Experienced Board: HGM'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: HGM insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Highland Gold Mining Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Highland Gold Mining Limited
  • Ticker: HGM
  • Exchange: AIM
  • Founded: 2002
  • Industry: Gold
  • Sector: Materials
  • Market Cap: UK£1.073b
  • Shares outstanding: 363.90m
  • Website: https://www.highlandgold.com

Location

  • Highland Gold Mining Limited
  • 26 New Street
  • Saint Helier
  • Jersey
  • JE2 3RA
  • Channel Islands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HGHG.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDDec 2002
HGMAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPDec 2002
HGMDB (Deutsche Boerse AG)YesOrdinary SharesDEEURDec 2002
HGMAAIM (London Stock Exchange AIM Market)ORD GBP0.001 (ASSD FORTIANA CASH)GBGBPJul 2020

Biography

Highland Gold Mining Limited engages in the gold mining operations in Russia and Kyrgyzstan. The company explores for gold, silver, zinc, and lead. The company’s Gold Production of Khabarovsk Region segmen ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/09 20:50
End of Day Share Price2020/08/07 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.