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Pan African Resources

Market Cap

UK£367.9m

Last Updated

2021/05/12 18:17 UTC

Data Sources

Company Financials +

Executive Summary

Pan African Resources PLC engages in the exploration of precious metals in South Africa. More Details


Snowflake Analysis

Solid track record average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: PAF is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: PAF's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

8.0%

PAF

2.7%

GB Metals and Mining

-0.7%

GB Market


1 Year Return

30.6%

PAF

85.0%

GB Metals and Mining

28.0%

GB Market

Return vs Industry: PAF underperformed the UK Metals and Mining industry which returned 82.7% over the past year.

Return vs Market: PAF exceeded the UK Market which returned 24.2% over the past year.


Shareholder returns

PAFIndustryMarket
7 Day8.0%2.7%-0.7%
30 Day11.9%12.7%1.8%
90 Day-17.0%16.3%6.4%
1 Year34.8%30.6%94.5%85.0%33.4%28.0%
3 Year182.5%170.7%62.0%39.4%10.6%-2.0%
5 Year48.5%31.0%285.4%195.4%49.8%21.6%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

8.18x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PAF (£0.19) is trading above our estimate of fair value (£0.13)

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


Price To Earnings Ratio

PE vs Industry: PAF is good value based on its PE Ratio (8.2x) compared to the UK Metals and Mining industry average (12.7x).

PE vs Market: PAF is good value based on its PE Ratio (8.2x) compared to the UK market (26x).


Price to Earnings Growth Ratio

PEG Ratio: PAF is good value based on its PEG Ratio (0.2x)


Price to Book Ratio

PB vs Industry: PAF's PB Ratio (2.1x) is in line with the GB Metals and Mining industry average.


Future Growth

How is Pan African Resources forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

33.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PAF's forecast earnings growth (33.3% per year) is above the savings rate (0.9%).

Earnings vs Market: PAF's earnings (33.3% per year) are forecast to grow faster than the UK market (17.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: PAF's revenue is expected to decline over the next 3 years (-0.2% per year).

High Growth Revenue: PAF's revenue is forecast to decline over the next 3 years (-0.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


Past Performance

How has Pan African Resources performed over the past 5 years?

10.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PAF has high quality earnings.

Growing Profit Margin: PAF's current net profit margins (19.4%) are lower than last year (19.8%).


Past Earnings Growth Analysis

Earnings Trend: PAF's earnings have grown by 10.2% per year over the past 5 years.

Accelerating Growth: PAF's earnings growth over the past year (25.8%) exceeds its 5-year average (10.2% per year).

Earnings vs Industry: PAF earnings growth over the past year (25.8%) exceeded the Metals and Mining industry 18.4%.


Return on Equity

High ROE: PAF's Return on Equity (25.9%) is considered high.


Financial Health

How is Pan African Resources's financial position?


Financial Position Analysis

Short Term Liabilities: PAF's short term assets ($59.7M) do not cover its short term liabilities ($71.4M).

Long Term Liabilities: PAF's short term assets ($59.7M) do not cover its long term liabilities ($120.6M).


Debt to Equity History and Analysis

Debt Level: PAF's debt to equity ratio (35.8%) is considered satisfactory.

Reducing Debt: PAF's debt to equity ratio has increased from 9.5% to 35.8% over the past 5 years.

Debt Coverage: PAF's debt is well covered by operating cash flow (99.4%).

Interest Coverage: PAF's interest payments on its debt are well covered by EBIT (11.4x coverage).


Balance Sheet


Dividend

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

3.12%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PAF's dividend (3.12%) is higher than the bottom 25% of dividend payers in the UK market (1.37%).

High Dividend: PAF's dividend (3.12%) is low compared to the top 25% of dividend payers in the UK market (4.08%).


Stability and Growth of Payments

Stable Dividend: PAF's dividend payments have been volatile in the past 10 years.

Growing Dividend: PAF's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (25.5%), PAF's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PAF's dividends in 3 years are forecast to be well covered by earnings (15.9% payout ratio).


Next Steps

Management

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

3.8yrs

Average management tenure


CEO

Cobus Loots (42 yo)

6.17yrs

Tenure

US$1,030,800

Compensation

Mr. Jacobus Albertus Johannes Loots, also known as Cobus, C.A.(S.A.), C.F.A. has been the Chief Executive Officer of Pan African Resources PLC since March 1, 2015 and served as its Financial Director since...


CEO Compensation Analysis

Compensation vs Market: Cobus's total compensation ($USD1.03M) is above average for companies of similar size in the UK market ($USD724.71K).

Compensation vs Earnings: Cobus's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: PAF's management team is considered experienced (3.8 years average tenure).


Board Members

Experienced Board: PAF'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: PAF insiders have bought more shares than they have sold 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

Pan African Resources PLC's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pan African Resources PLC
  • Ticker: PAF
  • Exchange: AIM
  • Founded: 2000
  • Industry: Gold
  • Sector: Materials
  • Market Cap: UK£367.925m
  • Shares outstanding: 1.93b
  • Website: https://www.panafricanresources.com

Number of Employees


Location

  • Pan African Resources PLC
  • The Firs Office Building
  • 2nd Floor, Office 204
  • Johannesburg
  • Gauteng
  • 2196
  • South Africa

Listings


Biography

Pan African Resources PLC engages in the exploration of precious metals in South Africa. Its principal property is the Barberton gold project that consists of three underground mines, including Fairview, S...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/05/12 18:17
End of Day Share Price2021/05/12 00:00
Earnings2020/12/31
Annual Earnings2020/06/30


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.