OTCPK:KFGR.F

Stock Analysis Report

Executive Summary

KFG Resources Ltd., through its wholly-owned subsidiary, KFG Petroleum Corporation, engages in the exploration and production of crude oil and natural gas in the United States.

Snowflake

Fundamentals

Flawless balance sheet and slightly overvalued.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

KFGR.F

1.7%

US Oil and Gas

1.0%

US Market


1 Year Return

n/a

KFGR.F

-21.2%

US Oil and Gas

6.7%

US Market


Share holder returns

KFGR.FIndustryMarket
7 Day0%1.7%1.0%
30 Day0%-3.7%-1.8%
90 Day0%-8.3%-1.8%
1 Yearn/a-18.3%-21.2%9.1%6.7%
3 Year1.6%1.6%-5.7%-14.1%46.1%36.6%
5 Yearn/a-21.8%-32.6%66.9%48.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is KFG Resources undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Undervalued: KFGR.F ($0.03) is trading below our estimate of fair value ($0.23)

Significantly Undervalued: KFGR.F is trading below fair value by more than 20%.


Price Based on Earnings

PE vs Industry: KFGR.F is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.

PE vs Market: KFGR.F is unprofitable, so we can't compare its PE Ratio to the US market.


Price Based on Expected Growth

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


Price Based on Value of Assets

PB vs Industry: KFGR.F is overvalued based on its PB Ratio (3.1x) compared to the US Oil and Gas industry average (0.9x).


Next Steps

Future Growth

How is KFG Resources expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

14.7%

Forecasted Energy industry annual growth in earnings


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Earnings vs Savings Rate: Insufficient data to determine if KFGR.F's forecast earnings growth is above the savings rate (2.7%).

Earnings vs Market: Insufficient data to determine if KFGR.F's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

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

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


Earnings per Share Growth Estimates


Future Return on Equity

Information is not available.


Next Steps

Past Performance

How has KFG Resources performed over the past 5 years?

-9.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: KFGR.F is unprofitable, and losses have increased over the past 5 years at a rate of -9% per year.

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

Earnings vs Industry: KFGR.F is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (22.6%).


Return on Equity

High ROE: KFGR.F has a negative Return on Equity (-2.95%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: KFGR.F is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: KFGR.F is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is KFG Resources's financial position?


Financial Position Analysis

Short Term Liabilities: KFGR.F's short term assets ($940.0K) exceeds its short term liabilities ($391.2K)

Long Term Liabilities: KFGR.F's short term assets (940.0K) exceeds its long term liabilities (183.9K)


Debt to Equity History and Analysis

Debt Level: KFGR.F is debt free.

Reducing Debt: KFGR.F has not had any debt for past 5 years.


Balance Sheet

Information is not available.

Information is not available.


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: Whilst unprofitable KFGR.F has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: KFGR.F is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 101.6% per year.


Next Steps

Dividend

What is KFG Resources's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%3.8%industryaverage3.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Dividend Yield and Payments Analysis

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

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

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

Growing Dividend: Insufficient data to determine if KFGR.F'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 KFGR.F's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of KFG Resources's salary, the management and board of directors tenure and is there insider trading?

2.6yrs

Average board tenure


CEO

Bob Kadane 0

2.8yrs

Tenure

US$136,800

Compensation

Mr. Robert A. Kadane, also known as Bob, has been the Chief Executive Officer and President of KFG Resources Ltd. since July 1, 2016. Mr. Kadane serves as President KFG Petroleum Corporation. He serves as  ...


CEO Compensation Analysis

Information is not available.

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


Board Age and Tenure

2.6yrs

Average Tenure

Experienced Board: KFGR.F's board of directors are not considered experienced ( 2.6 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: KFGR.F insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$2,99112 Jul 19
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares60,000
Max PriceUS$0.05
BuyUS$25503 Apr 19
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,000
Max PriceUS$0.053
BuyUS$1,17014 Mar 19
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares23,000
Max PriceUS$0.053
BuyUS$26401 Mar 19
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,000
Max PriceUS$0.053
BuyUS$1,39625 Feb 19
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares32,000
Max PriceUS$0.046
BuyUS$2,29522 Feb 19
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares55,000
Max PriceUS$0.042
BuyUS$8,38722 Feb 19
Giacomo Grassi
EntityIndividual
Role
Member of the Board of Directors
Director
Shares201,000
Max PriceUS$0.042
BuyUS$1,62111 Dec 18
Robert Kadane
EntityIndividual
Role
Chief Executive Officer
President
Shares50,666
Max PriceUS$0.032
BuyUS$44707 Dec 18
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares11,000
Max PriceUS$0.041
BuyUS$1,83823 Nov 18
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares44,000
Max PriceUS$0.045
BuyUS$19826 Oct 18
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares4,000
Max PriceUS$0.05
BuyUS$70425 Oct 18
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares15,000
Max PriceUS$0.05
BuyUS$27015 Oct 18
Kevin Haney
EntityIndividual
Role
Member of the Board of Directors
Director
Shares5,000
Max PriceUS$0.054

Ownership Breakdown


Management Team

  • James Gilbert (85yo)

    VP, CFO & Corporate Secretary

    • Tenure: 8.8yrs
    • Compensation: US$12.00k
  • Bob Kadane

    President

    • Tenure: 2.8yrs
    • Compensation: US$136.80k
  • G. Guido

    COO, VP of Operations & Director

    • Tenure: 8.3yrs
    • Compensation: US$136.80k

Board Members

  • Bob Kadane

    President

    • Tenure: 2.8yrs
    • Compensation: US$136.80k
  • G. Guido

    COO, VP of Operations & Director

    • Tenure: 8.3yrs
    • Compensation: US$136.80k
  • Kevin Haney

    Director

    • Tenure: 2.6yrs
    • Compensation: US$4.80k
  • Giacomo Grassi

    Director

    • Tenure: 2.6yrs
    • Compensation: US$4.80k

Company Information

KFG Resources Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: KFG Resources Ltd.
  • Ticker: KFGR.F
  • Exchange: OTCPK
  • Founded: 1994
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: CA$3.034m
  • Listing Market Cap: CA$2.256m
  • Shares outstanding: 50.56m
  • Website: https://www.kfgresources.com

Location

  • KFG Resources Ltd.
  • 150-A Providence Road
  • Natchez
  • Mississippi
  • 39120
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KFGTSXV (TSX Venture Exchange)YesCommon SharesCACADDec 1994
KFGR.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDDec 1994

Biography

KFG Resources Ltd., through its wholly-owned subsidiary, KFG Petroleum Corporation, engages in the exploration and production of crude oil and natural gas in the United States. The company develops onshore ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/05/09 02:52
End of Day Share Price2019/02/08 00:00
Earnings2019/01/31
Annual Earnings2018/04/30


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.

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