ENXTAM:AMG

Stock Analysis Report

AMG Advanced Metallurgical Group

Executive Summary

AMG Advanced Metallurgical Group N.V. produces and sells engineered specialty metals and mineral products.


Snowflake Analysis

Reasonable growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has AMG Advanced Metallurgical Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AMG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-6.3%

AMG

11.0%

NL Metals and Mining

6.8%

NL Market


1 Year Return

-53.5%

AMG

-27.5%

NL Metals and Mining

-23.8%

NL Market

Return vs Industry: AMG underperformed the Dutch Metals and Mining industry which returned -22.9% over the past year.

Return vs Market: AMG underperformed the Dutch Market which returned -20.4% over the past year.


Shareholder returns

AMGIndustryMarket
7 Day-6.3%11.0%6.8%
30 Day-37.5%-21.4%-21.3%
90 Day-39.7%-26.5%-26.0%
1 Year-52.5%-53.5%-22.6%-27.5%-20.6%-23.8%
3 Year-38.2%-40.6%-11.8%-23.7%-6.4%-16.7%
5 Year58.5%47.0%15.3%-8.6%7.0%-13.6%

Price Volatility Vs. Market

How volatile is AMG Advanced Metallurgical Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is AMG Advanced Metallurgical Group 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: AMG (€12.9) is trading below our estimate of fair value (€51.35)

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


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AMG is overvalued based on its PB Ratio (2.5x) compared to the XE Metals and Mining industry average (0.7x).


Next Steps

Future Growth

How is AMG Advanced Metallurgical Group forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

80.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AMG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (-0.2%).

Earnings vs Market: AMG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AMG's is expected to become profitable in the next 3 years.

Revenue vs Market: AMG's revenue (4.4% per year) is forecast to grow slower than the Dutch market (4.6% per year).

High Growth Revenue: AMG's revenue (4.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AMG's Return on Equity is forecast to be high in 3 years time (22%)


Next Steps

Past Performance

How has AMG Advanced Metallurgical Group performed over the past 5 years?

10.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AMG is currently unprofitable.

Growing Profit Margin: AMG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AMG is unprofitable, but has reduced losses over the past 5 years at a rate of 10.3% per year.

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

Earnings vs Industry: AMG is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-12.8%).


Return on Equity

High ROE: AMG has a negative Return on Equity (-26.35%), as it is currently unprofitable.


Next Steps

  • Explore strong past performing companies in the Materials industry.

Financial Health

How is AMG Advanced Metallurgical Group's financial position?


Financial Position Analysis

Short Term Liabilities: AMG's short term assets ($594.0M) exceed its short term liabilities ($354.5M).

Long Term Liabilities: AMG's short term assets ($594.0M) do not cover its long term liabilities ($933.1M).


Debt to Equity History and Analysis

Debt Level: AMG's debt to equity ratio (380.6%) is considered high.

Reducing Debt: AMG's debt to equity ratio has increased from 191.3% to 380.6% over the past 5 years.


Balance Sheet

Inventory Level: AMG has a high level of physical assets or inventory.

Debt Coverage by Assets: AMG's debt is not covered by short term assets (assets are 0.8x debt).


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: AMG has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: AMG has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is AMG Advanced Metallurgical Group's current dividend yield, its reliability and sustainability?

2.99%

Current Dividend Yield


Upcoming Dividend Payment

TodayMar 28 2020Ex Dividend DateMay 08 2020Dividend Pay DateMay 13 20205 days from Ex DividendBuy in the next 40 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: AMG's dividend (2.99%) is higher than the bottom 25% of dividend payers in the Dutch market (2.84%).

High Dividend: AMG's dividend (2.99%) is low compared to the top 25% of dividend payers in the Dutch market (8.54%).


Stability and Growth of Payments

Stable Dividend: AMG has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: AMG's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: AMG is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: AMG's dividends in 3 years are forecast to be thoroughly covered by earnings (12.8% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Heinz Schimmelbusch (75yo)

13.33s

Tenure

US$4,195,000

Compensation

Dr. Heinz C. Schimmelbusch, Ph.D., has been the Chairman of Management Board and Chief Executive Officer at Metallurg, Inc. and AMG Advanced Metallurgical Group N.V. since November 21, 2006. Dr. Schimmelbu ...


CEO Compensation Analysis

Compensation vs Market: Heinz's total compensation ($USD4.20M) is above average for companies of similar size in the Dutch market ($USD851.11K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Heinz Schimmelbusch
Chairman of the Management Board & CEO13.33yrsUS$4.20m3.55% $13.0m
Jackson Dunckel
CFO & Member of Management Board4.08yrsUS$1.91m0.17% $626.5k
Eric Jackson
COO & Member of Management Board8.33yrsUS$2.04m1.11% $4.1m
Michele Fischer
Vice President of Investor Relations0.92yrno datano data
Ludo Mees
Senior Counselno datano datano data
Stefan Scherer
Chief Commercial Officer of AMG Mineracao BV1.08yrsno datano data
Fabiano Costa
Chief Executive Officer of AMG Mineracao BV & Brazilian Operationsno datano datano data
Markus Holz
President of AMG Engeineeringno datano datano data
Mike Connor
Senior VP4.17yrsno datano data

4.1yrs

Average Tenure

67yo

Average Age

Experienced Management: AMG's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Steve Hanke
Independent Chairman of the Supervisory Board0.83yrUS$161.00k0.19% $680.4k
Herb Depp
Independent Member of the Supervisory Board6.33yrsUS$119.00k0.094% $343.0k
Dagmar Bottenbruch
Independent Member of the Supervisory Board0.83yrUS$69.00k0.011% $38.8k
Frank Löhner
Independent Member of the Supervisory Board1.25yrsUS$104.00k0.0053% $19.4k
Donatella Ceccarelli
Independent Member of the Supervisory Board5.83yrsUS$117.00k0.054% $199.5k
Willem Van Hassel
Independent Vice Chairman of the Supervisory Board1.83yrsUS$124.00k0.039% $142.7k

1.5yrs

Average Tenure

66.5yo

Average Age

Experienced Board: AMG'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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

AMG Advanced Metallurgical Group N.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: AMG Advanced Metallurgical Group N.V.
  • Ticker: AMG
  • Exchange: ENXTAM
  • Founded: 2006
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: €366.023m
  • Shares outstanding: 28.37m
  • Website: https://www.amg-nv.com

Number of Employees


Location

  • AMG Advanced Metallurgical Group N.V.
  • WTC Amsterdam
  • Toren C
  • Amsterdam
  • Noord-Holland
  • 1077 XX
  • Netherlands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AMGENXTAM (Euronext Amsterdam)YesCommon SharesNLEURJul 2007
ADGDB (Deutsche Boerse AG)YesCommon SharesDEEURJul 2007
0LO9LSE (London Stock Exchange)YesCommon SharesGBEURJul 2007
AMVM.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJul 2007
AMGABATS-CHIXE (BATS 'Chi-X Europe')YesCommon SharesGBEURJul 2007

Biography

AMG Advanced Metallurgical Group N.V. produces and sells engineered specialty metals and mineral products. It also provides vacuum furnace systems and services to the transportation, infrastructure, energy, and specialty metals and chemicals markets. The company operates through two segments, AMG Critical Materials and AMG Technologies. The AMG Critical Materials segment develops and produces specialty metals, such as ferrovanadium, ferronickel-molybdenum, aluminum master alloys and powders, chromium metals, tantalum, lithium, antimony, natural graphite, silicon metal, titanium master alloys, and other binary alloys for energy, aerospace, infrastructure, and specialty metal and chemicals applications. The AMG Technologies segment designs, engineers, and produces vacuum furnace systems, including vacuum remelting, vacuum induction melting, vacuum heat treatment and high pressure gas quenching, turbine blade coating, and sintering systems; and operates vacuum heat treatment facilities, as well as develops titanium aluminides and titanium alloys primarily for the aerospace and energy industries. This segment also provides vacuum case-hardening heat treatment services on a tolling basis. The company operates in the United States, Germany, China, the United Kingdom, France, Japan, Brazil, Italy, Austria, South Korea, India, Mexico, Belgium, Sweden, Turkey, Canada, Spain, Kazakhstan, Poland, the Netherlands, Australia, Taiwan, the Czech Republic, Switzerland, Russia, Thailand, Argentina, Singapore, Mozambique, and internationally. AMG Advanced Metallurgical Group N.V. was founded in 2006 and is headquartered in Amsterdam, the Netherlands. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/27 22:04
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.