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KMR

Kenmare ResourcesLSE:KMR Stock Report

Market Cap

UK£461.4m

7D

-0.2%

1Y

48.8%

Updated

01 Dec, 2021

Data

Company Financials +
KMR fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance4/6
Financial Health6/6
Dividends3/6

KMR Stock Overview

Kenmare Resources plc, together with its subsidiaries, produces and sells mineral sand products in China, Italy, the United States, and internationally.

Price History & Performance

Summary of all time highs, changes and price drops for Kenmare Resources
Historical stock prices
Current Share PriceUK£4.24
52 Week HighUK£4.75
52 Week LowUK£2.85
Beta0.36
1 Month Change-1.85%
3 Month Change-0.24%
1 Year Change48.77%
3 Year Change117.44%
5 Year Change67.09%
Change since IPO-57.60%

Recent News & Updates

Aug 21
Returns At Kenmare Resources (LON:KMR) Are On The Way Up

Returns At Kenmare Resources (LON:KMR) Are On The Way Up

What are the early trends we should look for to identify a stock that could multiply in value over the long term...

Shareholder Returns

KMRGB Metals and MiningGB Market
7D-0.2%-0.7%-1.1%
1Y48.8%7.7%11.6%

Return vs Industry: KMR exceeded the UK Metals and Mining industry which returned 9% over the past year.

Return vs Market: KMR exceeded the UK Market which returned 10.9% over the past year.

Price Volatility

Is KMR's price volatile compared to industry and market?
KMR volatility
KMR Average Weekly Movement3.0%
Metals and Mining Industry Average Movement7.1%
Market Average Movement4.9%
10% most volatile stocks in GB Market9.8%
10% least volatile stocks in GB Market2.6%

Stable Share Price: KMR is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: KMR's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19721,503Michael Carvillhttps://www.kenmareresources.com

Kenmare Resources plc, together with its subsidiaries, produces and sells mineral sand products in China, Italy, the United States, and internationally. It operates the Moma Titanium Minerals Mine located on the northeast coast of Mozambique. The company’s products include ilmenite, zircon, and rutile; and concentrates, including secondary zircon and mineral sand concentrates.

Kenmare Resources Fundamentals Summary

How do Kenmare Resources's earnings and revenue compare to its market cap?
KMR fundamental statistics
Market CapUS$614.48m
Earnings (TTM)US$52.11m
Revenue (TTM)US$305.19m

11.9x

P/E Ratio

2.0x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
KMR income statement (TTM)
RevenueUS$305.19m
Cost of RevenueUS$196.71m
Gross ProfitUS$108.48m
ExpensesUS$56.37m
EarningsUS$52.11m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)0.47
Gross Margin35.55%
Net Profit Margin17.07%
Debt/Equity Ratio13.6%

How did KMR perform over the long term?

See historical performance and comparison

Dividends

2.7%

Current Dividend Yield

32%

Payout Ratio

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KMR (£4.24) is trading below our estimate of fair value (£11.97)

Significantly Below Fair Value: KMR is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KMR is poor value based on its PE Ratio (11.9x) compared to the UK Metals and Mining industry average (8.6x).

PE vs Market: KMR is good value based on its PE Ratio (11.9x) compared to the UK market (19x).


Price to Earnings Growth Ratio

PEG Ratio: KMR is poor value based on its PEG Ratio (3.8x)


Price to Book Ratio

PB vs Industry: KMR is good value based on its PB Ratio (0.7x) compared to the GB Metals and Mining industry average (1.7x).


Future Growth

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

3.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KMR's forecast earnings growth (3.2% per year) is above the savings rate (0.9%).

Earnings vs Market: KMR's earnings (3.2% per year) are forecast to grow slower than the UK market (12.5% per year).

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

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

High Growth Revenue: KMR'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 KMR's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Kenmare Resources performed over the past 5 years?

35.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KMR has high quality earnings.

Growing Profit Margin: KMR's current net profit margins (17.1%) are higher than last year (13.4%).


Past Earnings Growth Analysis

Earnings Trend: KMR has become profitable over the past 5 years, growing earnings by 35.6% per year.

Accelerating Growth: KMR's earnings growth over the past year (46.5%) exceeds its 5-year average (35.6% per year).

Earnings vs Industry: KMR earnings growth over the past year (46.5%) underperformed the Metals and Mining industry 150.4%.


Return on Equity

High ROE: KMR's Return on Equity (5.5%) is considered low.


Financial Health

How is Kenmare Resources's financial position?


Financial Position Analysis

Short Term Liabilities: KMR's short term assets ($177.4M) exceed its short term liabilities ($46.8M).

Long Term Liabilities: KMR's short term assets ($177.4M) exceed its long term liabilities ($147.1M).


Debt to Equity History and Analysis

Debt Level: KMR's net debt to equity ratio (7.6%) is considered satisfactory.

Reducing Debt: KMR's debt to equity ratio has reduced from 77.6% to 13.6% over the past 5 years.

Debt Coverage: KMR's debt is well covered by operating cash flow (81.7%).

Interest Coverage: KMR's interest payments on its debt are well covered by EBIT (7.1x coverage).


Balance Sheet


Dividend

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

2.65%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KMR's dividend (2.65%) is higher than the bottom 25% of dividend payers in the UK market (1.38%).

High Dividend: KMR's dividend (2.65%) is low compared to the top 25% of dividend payers in the UK market (4.17%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, KMR has been paying a dividend for less than 10 years.

Growing Dividend: KMR's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.5%), KMR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KMR's dividends in 3 years are forecast to be well covered by earnings (25% payout ratio).


Next Steps

Management

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

8.4yrs

Average management tenure


CEO

Michael Carvill (61 yo)

35.83yrs

Tenure

US$1,070,000

Compensation

Mr. Michael Carvill has been the Managing Director of Kenmare Resources PLC since 1986 and its Executive Director since January 1, 1986. After working as a contracts engineer in Algeria and as a Project En...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD1.07M) is about average for companies of similar size in the UK market ($USD1.03M).

Compensation vs Earnings: Michael's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: KMR's management team is seasoned and experienced (8.4 years average tenure).


Board Members

Experienced Board: KMR's board of directors are considered experienced (3.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: KMR 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

Kenmare Resources plc's employee growth, exchange listings and data sources


Key Information

  • Name: Kenmare Resources plc
  • Ticker: KMR
  • Exchange: LSE
  • Founded: 1972
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: UK£461.401m
  • Shares outstanding: 109.86m
  • Website: https://www.kenmareresources.com

Number of Employees


Location

  • Kenmare Resources plc
  • Styne House
  • 4th Floor
  • Dublin
  • Co. Dublin
  • 2
  • Ireland

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/12/01 21:57
End of Day Share Price2021/12/01 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.