LSE:SOLG

Stock Analysis Report

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Executive Summary

SolGold Plc, together with its subsidiaries, engages in the exploration of mineral properties in Ecuador, Australia, and Solomon Islands. More Details


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SOLG is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: SOLG's weekly volatility (9%) has been stable over the past year.


Market Performance


7 Day Return

-4.9%

SOLG

1.5%

GB Metals and Mining

-0.2%

GB Market


1 Year Return

79.5%

SOLG

18.1%

GB Metals and Mining

-6.8%

GB Market

Return vs Industry: SOLG exceeded the UK Metals and Mining industry which returned 12.3% over the past year.

Return vs Market: SOLG exceeded the UK Market which returned -10.7% over the past year.


Shareholder returns

SOLGIndustryMarket
7 Day-4.9%1.5%-0.2%
30 Day4.8%17.7%14.7%
90 Day39.7%11.2%7.6%
1 Year79.5%79.5%23.8%18.1%-3.1%-6.8%
3 Year38.1%38.1%46.4%23.0%2.6%-9.9%
5 Year2,609.4%2,609.4%259.2%172.2%31.1%1.5%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.51x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate SOLG's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate SOLG's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: SOLG is unprofitable, so we can't compare its PE Ratio to the GB Metals and Mining industry average.

PE vs Market: SOLG is unprofitable, so we can't compare its PE Ratio to the UK market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate SOLG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: SOLG is overvalued based on its PB Ratio (3.5x) compared to the GB Metals and Mining industry average (1.8x).


Next Steps

Future Growth

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

-14.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOLG is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: SOLG is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: SOLG is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if SOLG's revenue is forecast to grow faster than the UK market.

High Growth Revenue: Insufficient data to determine if SOLG's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has SolGold performed over the past 5 years?

-33.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SOLG is currently unprofitable.

Growing Profit Margin: SOLG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: SOLG is unprofitable, and losses have increased over the past 5 years at a rate of 33.5% per year.

Accelerating Growth: Unable to compare SOLG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: SOLG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-21.7%).


Return on Equity

High ROE: SOLG has a negative Return on Equity (-4.48%), as it is currently unprofitable.


Next Steps

Financial Health

How is SolGold's financial position?


Financial Position Analysis

Short Term Liabilities: SOLG's short term assets ($120.5M) exceed its short term liabilities ($10.4M).

Long Term Liabilities: SOLG's short term assets ($120.5M) do not cover its long term liabilities ($161.7M).


Debt to Equity History and Analysis

Debt Level: SOLG's debt to equity ratio (55.9%) is considered high.

Reducing Debt: SOLG's debt to equity ratio has increased from 10.9% to 55.9% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: SOLG has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: SOLG has less than a year of cash runway if free cash flow continues to reduce at historical rates of 12.4% each year


Next Steps

Dividend

What is SolGold current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate SOLG'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 SOLG's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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

4.0yrs

Average management tenure


CEO

Nick Mather (63 yo)

5.5yrs

Tenure

US$400,162

Compensation

Mr. Nicholas Mather, also known as Nick, B.Sc. (Hons, Geology) (Univ. QLD), MAusIMM, has been the Chief Executive Officer of SolGold plc since May 17, 2015 and serves as its Managing Director. Mr. Mather s...


CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD400.16K) is below average for companies of similar size in the UK market ($USD1.05M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Nicholas Mather
CEO, MD & Executive Director5.5yrsUS$400.16k2.05%
$ 14.8m
Jason Ward
Head of Exploration & Executive Director1.42yrsUS$322.89k0.48%
$ 3.5m
Ingo Hofmaier
Interim CFO and Executive GM of Project & Corporate Financeno datano datano data
Steven Garwin
Chief Technical Advisorno datano datano data
Nadine Dennison
Chief Human Resources Officer0.75yrno datano data
Karl Schlobohm
Company Secretary11.5yrsno data0.19%
$ 1.3m
Eduardo Valenzuela
Study Manager2.42yrsUS$1.37mno data

4.0yrs

Average Tenure

58yo

Average Age

Experienced Management: SOLG's management team is considered experienced (4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Nicholas Mather
CEO, MD & Executive Director5.5yrsUS$400.16k2.05%
$ 14.8m
Jason Ward
Head of Exploration & Executive Director1.42yrsUS$322.89k0.48%
$ 3.5m
Brian Moller
Non-Executive Director15.5yrsUS$73.21k0.25%
$ 1.8m
Keith Marshall
Independent Non-Executive Director0.083yrno datano data
Robert Weinberg
Senior Independent Directorno dataUS$46.76k0.21%
$ 1.5m
Liam Twigger
Independent Non-Executive Chairman0.25yrUS$123.66kno data
James Clare
Non-Executive Director2.5yrsUS$47.00kno data
Kevin O'Kane
Independent Non-Executive Director0.083yrno datano data
Elodie Goodey
Independent Non-Executive Director0.33yrno datano data
Maria Alban
Independent Non-Executive Director0.083yrno data0.0011%
$ 8.1k

0.3yrs

Average Tenure

62yo

Average Age

Experienced Board: SOLG's board of directors are not considered experienced ( 0.3 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.9%.


Top Shareholders

Company Information

SolGold Plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SolGold Plc
  • Ticker: SOLG
  • Exchange: LSE
  • Founded: 2005
  • Industry: Gold
  • Sector: Materials
  • Market Cap: UK£721.103m
  • Shares outstanding: 2.08b
  • Website: https://www.solgold.com.au

Number of Employees


Location

  • SolGold Plc
  • 111 Eagle Street
  • Level 27
  • Brisbane
  • Queensland
  • 4000
  • Australia

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOLGLSE (London Stock Exchange)YesOrdinary SharesGBGBPFeb 2006
S8FDB (Deutsche Boerse AG)YesOrdinary SharesDEEURFeb 2006
SOLGLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPFeb 2006
SLGG.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDFeb 2006
SOLGTSX (The Toronto Stock Exchange)YesOrdinary SharesCACADFeb 2006

Biography

SolGold Plc, together with its subsidiaries, engages in the exploration of mineral properties in Ecuador, Australia, and Solomon Islands. The company primarily explores for gold, copper, and silver deposit...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/12/01 19:38
End of Day Share Price2020/12/01 00:00
Earnings2020/09/30
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.