Discounted Cash Flow Calculation for WSE:PMT using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future cash flows to their present value using the 2 stage method. We use
analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.
WSE:PMT DCF 1st Stage: Next 5 year cash flow forecast
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Prime Minerals's share price is below the future cash flow value, and at a moderate discount (> 20%).
Prime Minerals's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Prime Minerals's earnings available for a low price, and how does
this compare to other companies in the same industry?
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Prime Minerals has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Metals and Mining industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare Prime Minerals's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Prime Minerals's earnings growth to the Poland market average as no estimate data is available.
Unable to compare Prime Minerals's revenue growth to the Poland market average as no estimate data is available.
Unable to determine if Prime Minerals is high growth as no earnings estimate data is available.
Unable to determine if Prime Minerals is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Prime Minerals's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
Metals and Mining
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Today, I will be analyzing Prime Minerals SA’s (WSE:PMT) recent ownership structure, an important but not-so-popular subject among individual investors. … Differences in ownership structure of companies can have a profound effect on how management's incentives are aligned with shareholder returns, and whether they adhere to corporate governance best practices. … WSE:PMT Ownership Summary August 2nd 18
Who Are Prime Minerals SA.'s (WSE:PMT) Major Shareholders?
In this article, I'm going to take a look at Prime Minerals SA.’s (WSE:PMT) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … Check out our latest analysis for Prime Minerals WSE:PMT Ownership_summary Mar 27th 18 Institutional Ownership Institutions account for 44.01% of PMT's outstanding shares, a significant enough holding to move stock prices if they start buying and selling in large quantities, especially when there are relatively small amounts of shares available on the market to trade. … Next Steps: PMT's considerably high level of institutional ownership calls for further analysis into its margin of safety.
How Prime Minerals SA. (WSE:PMT) Can Impact Your Portfolio Volatility
Generally, an investor should consider two types of risk that impact the market value of PMT. … It seems as though there is an inconsistency in risks portrayed by PMT’s size and industry relative to its actual beta value. … Thus, we can expect PMT to be more stable in the face of market movements, relative to its peers of similar size but with a higher portion of fixed assets on their books.
Prime Minerals SA. (WSE:PMT): Should The Recent Earnings Drop Worry You?
For Prime Minerals, its most recent earnings (trailing twelve month) is -ZŁ11.47M, which, relative to last year’s figure, has become more negative. … WSE:PMT Income Statement Mar 12th 18 We can further examine Prime Minerals's loss by looking at what the industry has been experiencing over the past few years. … Prime Minerals's track record can be a valuable insight into its earnings performance, but it certainly doesn't tell the whole story.
Prime Minerals S.A., through its subsidiaries, extracts and processes nickel ore and limestone in Indonesia. It holds interest in the Morowali project, a nickel ore and limestone ore open pit mine, covering an area of 2,163 ha located in the Bungku Selatan district, Indonesia. The company was formerly known as Certus Capital S.A. and changed its name to Prime Minerals S.A. in March 2015. Prime Minerals S.A. is based in Warsaw, Poland.
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