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Market Cap

UK£164.7m

Last Updated

2021/09/21 22:34 UTC

Data Sources

Company Financials +

Executive Summary

Petra Diamonds Limited engages in the mining, exploration, processing, sorting, and sale of rough diamonds in South Africa and Tanzania. More Details


Snowflake Analysis

Fair value with acceptable track record.


Similar Companies

Share Price & News

How has Petra Diamonds's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PDL is more volatile than 75% of UK stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: PDL's weekly volatility (8%) has been stable over the past year, but is still higher than 75% of UK stocks.


Market Performance


7 Day Return

-0.2%

PDL

-8.6%

GB Metals and Mining

-1.2%

GB Market


1 Year Return

-10.7%

PDL

19.3%

GB Metals and Mining

22.6%

GB Market

Return vs Industry: PDL underperformed the UK Metals and Mining industry which returned 19.3% over the past year.

Return vs Market: PDL underperformed the UK Market which returned 22% over the past year.


Shareholder returns

PDLIndustryMarket
7 Day-0.2%-8.6%-1.2%
30 Day2.0%-6.1%-1.3%
90 Day10.9%-12.3%-0.5%
1 Year-10.7%-10.7%29.2%19.3%27.7%22.6%
3 Year-95.6%-95.6%47.1%20.0%15.2%2.3%
5 Year-98.3%-98.6%131.9%74.7%36.8%11.8%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Petra Diamonds undervalued compared to its fair value and its price relative to the market?

0.94x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PDL (£0.02) is trading above our estimate of fair value (£0.01)

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


Price To Earnings Ratio

PE vs Industry: PDL is good value based on its PE Ratio (0.9x) compared to the UK Metals and Mining industry average (7.7x).

PE vs Market: PDL is good value based on its PE Ratio (0.9x) compared to the UK market (23.3x).


Price to Earnings Growth Ratio

PEG Ratio: PDL's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: PDL is good value based on its PB Ratio (0.5x) compared to the GB Metals and Mining industry average (2.1x).


Future Growth

How is Petra Diamonds forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

-91.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PDL's earnings are forecast to decline over the next 3 years (-91.8% per year).

Earnings vs Market: PDL's earnings are forecast to decline over the next 3 years (-91.8% per year).

High Growth Earnings: PDL's earnings are forecast to decline over the next 3 years.

Revenue vs Market: PDL's revenue (7.3% per year) is forecast to grow faster than the UK market (5% per year).

High Growth Revenue: PDL's revenue (7.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PDL's Return on Equity is forecast to be low in 3 years time (12%).


Past Performance

How has Petra Diamonds performed over the past 5 years?

-23.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PDL has a large one-off gain of $233.8M impacting its June 30 2021 financial results.

Growing Profit Margin: PDL became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: PDL has become profitable over the past 5 years, growing earnings by -23.2% per year.

Accelerating Growth: PDL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PDL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (140.8%).


Return on Equity

High ROE: PDL's Return on Equity (56.5%) is considered outstanding.


Financial Health

How is Petra Diamonds's financial position?


Financial Position Analysis

Short Term Liabilities: PDL's short term assets ($334.0M) exceed its short term liabilities ($117.6M).

Long Term Liabilities: PDL's short term assets ($334.0M) do not cover its long term liabilities ($520.7M).


Debt to Equity History and Analysis

Debt Level: PDL's debt to equity ratio (97.7%) is considered high.

Reducing Debt: PDL's debt to equity ratio has increased from 93.2% to 97.7% over the past 5 years.

Debt Coverage: PDL's debt is well covered by operating cash flow (29.5%).

Interest Coverage: PDL's interest payments on its debt are not well covered by EBIT (0.4x coverage).


Balance Sheet


Dividend

What is Petra Diamonds's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate PDL's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if PDL's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PDL's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: PDL is not paying a notable dividend for the UK market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PDL'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?

1.5yrs

Average board tenure


CEO

Richard Duffy (57 yo)

2.42yrs

Tenure

US$475,776

Compensation

Mr. Richard Neil Duffy, B.Com, MBA, has been the Chief Executive Officer and Director of Petra Diamonds Limited since April 1, 2019. He served as the Chief Financial Officer of AngloGold Ashanti Ltd. from...


CEO Compensation Analysis

Compensation vs Market: Richard's total compensation ($USD475.78K) is about average for companies of similar size in the UK market ($USD557.93K).

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


Board Members

Experienced Board: PDL's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


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 substantially diluted in the past year, with total shares outstanding growing by 1022%.


Top Shareholders

Company Information

Petra Diamonds Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Petra Diamonds Limited
  • Ticker: PDL
  • Exchange: LSE
  • Founded: 1997
  • Industry: Precious Metals and Minerals
  • Sector: Materials
  • Market Cap: UK£164.683m
  • Shares outstanding: 9.71b
  • Website: https://www.petradiamonds.com

Number of Employees


Location

  • Petra Diamonds Limited
  • 52–53 Conduit Street
  • 1st Floor
  • London
  • Greater London
  • W1S 2YX
  • United Kingdom

Listings


Biography

Petra Diamonds Limited engages in the mining, exploration, processing, sorting, and sale of rough diamonds in South Africa and Tanzania. It holds interest in three underground producing mines, including Cu...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/21 22:34
End of Day Share Price2021/09/21 00:00
Earnings2021/06/30
Annual Earnings2021/06/30


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.