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SOSI

Sotkamo Silver NGM:SOSI Stock Report

Last Price

kr1.46

Market Cap

kr292.5m

7D

-0.7%

1Y

-42.7%

Updated

27 Jun, 2022

Data

Company Financials +
SOSI fundamental analysis
Snowflake Score
Valuation2/6
Future Growth3/6
Past Performance3/6
Financial Health1/6
Dividends0/6

SOSI Stock Overview

Sotkamo Silver AB, together with its subsidiaries, engages in the exploration and development of mineral deposits.

Sotkamo Silver Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sotkamo Silver
Historical stock prices
Current Share Pricekr1.46
52 Week Highkr0
52 Week Lowkr0
Beta0.58
1 Month Change-12.15%
3 Month Change-19.78%
1 Year Change-42.75%
3 Year Change-60.22%
5 Year Change-68.87%
Change since IPO-99.93%

Recent News & Updates

Apr 01
Does Sotkamo Silver (NGM:SOSI) Have A Healthy Balance Sheet?

Does Sotkamo Silver (NGM:SOSI) Have A Healthy Balance Sheet?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Feb 20
Returns At Sotkamo Silver (NGM:SOSI) Are On The Way Up

Returns At Sotkamo Silver (NGM:SOSI) Are On The Way Up

If we want to find a potential multi-bagger, often there are underlying trends that can provide clues. Firstly, we'd...

Shareholder Returns

SOSISE Metals and MiningSE Market
7D-0.7%-4.9%-1.3%
1Y-42.7%0.4%-23.6%

Return vs Industry: SOSI underperformed the Swedish Metals and Mining industry which returned 0.4% over the past year.

Return vs Market: SOSI underperformed the Swedish Market which returned -23.6% over the past year.

Price Volatility

Is SOSI's price volatile compared to industry and market?
SOSI volatility
SOSI Average Weekly Movement8.0%
Metals and Mining Industry Average Movement7.7%
Market Average Movement7.4%
10% most volatile stocks in SE Market12.2%
10% least volatile stocks in SE Market4.7%

Stable Share Price: SOSI is not significantly more volatile than the rest of Swedish stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: SOSI's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
198349Erkki Kuronenhttps://www.silver.fi

Sotkamo Silver AB, together with its subsidiaries, engages in the exploration and development of mineral deposits. The company primarily explores for silver, gold, lead, and zinc deposits. Its primary project is the Silver Mine project located in Sotkamo, Finland.

Sotkamo Silver Fundamentals Summary

How do Sotkamo Silver's earnings and revenue compare to its market cap?
SOSI fundamental statistics
Market Capkr292.53m
Earnings (TTM)kr4.50m
Revenue (TTM)kr414.60m

65.0x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
SOSI income statement (TTM)
Revenuekr414.60m
Cost of Revenuekr204.60m
Gross Profitkr210.00m
Other Expenseskr205.50m
Earningskr4.50m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 29, 2022

Earnings per share (EPS)0.022
Gross Margin50.65%
Net Profit Margin1.09%
Debt/Equity Ratio180.2%

How did SOSI perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is SOSI undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for SOSI?

Other financial metrics that can be useful for relative valuation.

SOSI key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.8x
Enterprise Value/EBITDA6.4x
PEG Ratio2.1x

Price to Earnings Ratio vs Peers

How does SOSI's PE Ratio compare to its peers?

SOSI PE Ratio vs Peers
The above table shows the PE ratio for SOSI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average8.5x
KOPY Kopy Goldfields
15.2xn/akr594.3m
AUR Auriant Mining
1.7x42.6%kr161.0m
POLYG Polygiene Group
8.3x5.8%kr510.6m
PROF B ProfilGruppen
8.7xn/akr1.1b
SOSI Sotkamo Silver
65x30.5%kr292.5m

Price-To-Earnings vs Peers: SOSI is expensive based on its Price-To-Earnings Ratio (65x) compared to the peer average (8.5x).


Price to Earnings Ratio vs Industry

How does SOSI's PE Ratio compare vs other companies in the European Metals and Mining Industry?

Price-To-Earnings vs Industry: SOSI is expensive based on its Price-To-Earnings Ratio (65x) compared to the Swedish Metals and Mining industry average (13.1x)


Price to Earnings Ratio vs Fair Ratio

What is SOSI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

SOSI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio65x
Fair PE Ratio15x

Price-To-Earnings vs Fair Ratio: SOSI is expensive based on its Price-To-Earnings Ratio (65x) compared to the estimated Fair Price-To-Earnings Ratio (15x).


Share Price vs Fair Value

What is the Fair Price of SOSI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: SOSI (SEK1.46) is trading below our estimate of fair value (SEK4.17)

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


Price to Earnings Growth Ratio

PEG Ratio: SOSI is poor value based on its PEG Ratio (2.1x)


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Future Growth

How is Sotkamo Silver forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

Future Growth Score

3/6

Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


30.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOSI's forecast earnings growth (30.5% per year) is above the savings rate (0.3%).

Earnings vs Market: SOSI's earnings (30.5% per year) are forecast to grow faster than the Swedish market (9.8% per year).

High Growth Earnings: SOSI's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: SOSI's revenue is expected to decline over the next 3 years (-0.9% per year).

High Growth Revenue: SOSI's revenue is forecast to decline over the next 3 years (-0.9% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

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


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Past Performance

How has Sotkamo Silver performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-8.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: SOSI has high quality earnings.

Growing Profit Margin: SOSI became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: SOSI has become profitable over the past 5 years, growing earnings by -8% per year.

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

Earnings vs Industry: SOSI has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (171.9%).


Return on Equity

High ROE: SOSI's Return on Equity (1.7%) is considered low.


Discover strong past performing companies

Financial Health

How is Sotkamo Silver's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: SOSI's short term assets (SEK305.3M) exceed its short term liabilities (SEK299.7M).

Long Term Liabilities: SOSI's short term assets (SEK305.3M) do not cover its long term liabilities (SEK309.9M).


Debt to Equity History and Analysis

Debt Level: SOSI's net debt to equity ratio (163.3%) is considered high.

Reducing Debt: SOSI's debt to equity ratio has increased from 1.1% to 180.2% over the past 5 years.

Debt Coverage: SOSI's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: SOSI's interest payments on its debt are not well covered by EBIT (1.1x coverage).


Balance Sheet


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Dividend

What is Sotkamo Silver current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.14%

Forecast Dividend Yield

Dividend Yield vs Market

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

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

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


Earnings Payout to Shareholders

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


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as SOSI has not reported any payouts.


Discover strong dividend paying companies

Management

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

1.3yrs

Average management tenure


CEO

Erkki Kuronen (51 yo)

2yrs

Tenure

kr3,453,746

Compensation

Mr. Erkki Kuronen has been the Chief Executive Officer at Sotkamo Silver Aktiebolag since June 29, 2020 and served as its Deputy Chief Executive Officer at Sotkamo Silver Aktiebolag since December 17, 2019...


CEO Compensation Analysis

Compensation vs Market: Erkki's total compensation ($USD343.41K) is above average for companies of similar size in the Swedish market ($USD233.45K).

Compensation vs Earnings: Insufficient data to compare Erkki's compensation with company performance.


Leadership Team

Experienced Management: SOSI's management team is not considered experienced ( 1.3 years average tenure), which suggests a new team.


Board Members

Experienced Board: SOSI's board of directors are not considered experienced ( 2.2 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sotkamo Silver AB's employee growth, exchange listings and data sources


Key Information

  • Name: Sotkamo Silver AB
  • Ticker: SOSI
  • Exchange: NGM
  • Founded: 1983
  • Industry: Silver
  • Sector: Materials
  • Implied Market Cap: kr292.535m
  • Shares outstanding: 200.37m
  • Website: https://www.silver.fi

Number of Employees


Location

  • Sotkamo Silver AB
  • Nybrogatan 34
  • Box 5216
  • Stockholm
  • Stockholm County
  • 102 45
  • Sweden

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/23 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.