Shanta Gold Limited, together with its subsidiaries, engages in the gold production, development, and exploration in Tanzania. More Details
Very undervalued with flawless balance sheet.
Share Price & News
How has Shanta Gold's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SHG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: SHG's weekly volatility (7%) has been stable over the past year.
7 Day Return
GB Metals and Mining
1 Year Return
GB Metals and Mining
Return vs Industry: SHG underperformed the UK Metals and Mining industry which returned 80% over the past year.
Return vs Market: SHG underperformed the UK Market which returned 26.3% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Shanta Gold's share price compared to the market and industry in the last 5 years?
Simply Wall St News
12 hours ago | Simply Wall StWill Weakness in Shanta Gold Limited's (LON:SHG) Stock Prove Temporary Given Strong Fundamentals?
3 weeks ago | Simply Wall StCould The Shanta Gold Limited (LON:SHG) Ownership Structure Tell Us Something Useful?
1 month ago | Simply Wall StHere's Why Shareholders May Want To Be Cautious With Increasing Shanta Gold Limited's (LON:SHG) CEO Pay Packet
Is Shanta Gold undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SHG (£0.14) is trading below our estimate of fair value (£0.78)
Significantly Below Fair Value: SHG is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SHG is good value based on its PE Ratio (10x) compared to the GB Metals and Mining industry average (12.6x).
PE vs Market: SHG is good value based on its PE Ratio (10x) compared to the UK market (26.4x).
Price to Earnings Growth Ratio
PEG Ratio: SHG is good value based on its PEG Ratio (0.3x)
Price to Book Ratio
PB vs Industry: SHG is good value based on its PB Ratio (1.3x) compared to the GB Metals and Mining industry average (2.1x).
How is Shanta Gold forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SHG's forecast earnings growth (29.1% per year) is above the savings rate (0.9%).
Earnings vs Market: SHG's earnings (29.1% per year) are forecast to grow faster than the UK market (17.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SHG's revenue (5.4% per year) is forecast to grow faster than the UK market (5.3% per year).
High Growth Revenue: SHG's revenue (5.4% 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 SHG's Return on Equity is forecast to be high in 3 years time
How has Shanta Gold performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SHG has high quality earnings.
Growing Profit Margin: SHG became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: SHG has become profitable over the past 5 years, growing earnings by 41.2% per year.
Accelerating Growth: SHG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: SHG has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (18.4%).
Return on Equity
High ROE: SHG's Return on Equity (10.4%) is considered low.
How is Shanta Gold's financial position?
Financial Position Analysis
Short Term Liabilities: SHG's short term assets ($78.8M) exceed its short term liabilities ($43.4M).
Long Term Liabilities: SHG's short term assets ($78.8M) exceed its long term liabilities ($21.1M).
Debt to Equity History and Analysis
Debt Level: SHG's debt to equity ratio (11%) is considered satisfactory.
Reducing Debt: SHG's debt to equity ratio has reduced from 75.1% to 11% over the past 5 years.
Debt Coverage: SHG's debt is well covered by operating cash flow (189.9%).
Interest Coverage: SHG's interest payments on its debt are well covered by EBIT (11.4x coverage).
What is Shanta Gold current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SHG's dividend (1.36%) is higher than the bottom 25% of dividend payers in the UK market (1.35%).
High Dividend: SHG's dividend (1.36%) is low compared to the top 25% of dividend payers in the UK market (4.03%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether SHG's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if SHG's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (6.7%), SHG's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SHG's dividends in 3 years are forecast to be thoroughly covered by earnings (11.8% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Eric Zurrin (39 yo)
Mr. Eric Zurrin is a Principal of Sandown Bay Resource Capital LLP. Mr. Zurrin has been the Chief Executive Officer of Shanta Gold Ltd. since August 3, 2017 and served as its Interim Chief Financial Office...
CEO Compensation Analysis
Compensation vs Market: Eric's total compensation ($USD1.18M) is above average for companies of similar size in the UK market ($USD564.38K).
Compensation vs Earnings: Eric's compensation has been consistent with company performance over the past year.
Experienced Management: SHG's management team is considered experienced (2.1 years average tenure).
Experienced Board: SHG's board of directors are considered experienced (6 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SHG insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 32%.
Shanta Gold Limited's company bio, employee growth, exchange listings and data sources
- Name: Shanta Gold Limited
- Ticker: SHG
- Exchange: AIM
- Founded: 2005
- Industry: Gold
- Sector: Materials
- Market Cap: UK£150.913m
- Shares outstanding: 1.05b
- Website: https://www.shantagold.com
Number of Employees
- Shanta Gold Limited
- 11 New Street
- St Peter Port
- GY1 2PF
Shanta Gold Limited, together with its subsidiaries, engages in the gold production, development, and exploration in Tanzania. The company’s flagship asset is the 100% owned New Luika Gold Mine property lo...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/05/10 07:18|
|End of Day Share Price||2021/05/07 00:00|
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.