AMEX:GORO

Stock Analysis Report

Executive Summary

Gold Resource Corporation explores for, develops, produces, and sells gold and silver in Mexico and the United States.

Snowflake

Fundamentals

High growth potential with adequate balance sheet.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-8.3%

GORO

1.8%

US Metals and Mining

3.4%

US Market


1 Year Return

-46.0%

GORO

-11.0%

US Metals and Mining

5.4%

US Market

Return vs Industry: GORO underperformed the US Metals and Mining industry which returned -11% over the past year.

Return vs Market: GORO underperformed the US Market which returned 5.4% over the past year.


Shareholder returns

GOROIndustryMarket
7 Day-8.3%1.8%3.4%
30 Day-6.5%-4.9%-1.0%
90 Day-6.2%-5.9%-0.4%
1 Year-45.7%-46.0%-8.3%-11.0%7.7%5.4%
3 Year-41.5%-42.5%10.5%4.7%46.2%36.8%
5 Year-26.6%-31.6%-3.8%-11.1%65.6%47.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

72.22x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: GORO ($3.33) is trading above our estimate of fair value ($0.26)

Significantly Undervalued: GORO is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: GORO is poor value based on its PE Ratio (72.2x) compared to the Metals and Mining industry average (13x).

PE vs Market: GORO is poor value based on its PE Ratio (72.2x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: GORO is good value based on its PB Ratio (1.4x) compared to the US Metals and Mining industry average (1.4x).


Next Steps

Future Growth

How is Gold Resource forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

29.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GORO's forecast earnings growth (29.4% per year) is above the savings rate (2.7%).

Earnings vs Market: GORO's earnings (29.4% per year) are forecast to grow faster than the US market (14.3% per year).

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

Revenue vs Market: GORO's revenue (45.4% per year) is forecast to grow faster than the US market (7.3% per year).

High Growth Revenue: GORO's revenue (45.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Gold Resource performed over the past 5 years?

-15.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: GORO's earnings have declined by -15.5% per year over the past 5 years.

Accelerating Growth: GORO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GORO had negative earnings growth (-66.1%) over the past year, making it difficult to compare to the Metals and Mining industry average (26.6%).


Return on Equity

High ROE: GORO's Return on Equity (1.8%) is considered low.


Return on Assets

ROA vs Industry: GORO's Return on Assets is below or equal to the Metals and Mining industry average last year.


Return on Capital Employed

ROCE Improving: GORO's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Gold Resource's financial position?


Financial Position Analysis

Short Term Liabilities: GORO's short term assets ($51.1M) exceeds its short term liabilities ($30.4M)

Long Term Liabilities: GORO's short term assets (51.1M) exceeds its long term liabilities (8.8M)


Debt to Equity History and Analysis

Debt Level: GORO's debt to equity ratio (1.4%) is considered satisfactory

Reducing Debt: GORO's debt to equity ratio has increased from 0% to 1.4% over the past 5 years.

Debt Coverage: GORO's debt is well covered by operating cash flow (186.8%).

Interest Coverage: Insufficient data to determine if GORO's interest payments on its debt are well covered by EBIT.


Balance Sheet

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

Debt Coverage by Assets: GORO's debt is covered by short term assets (assets are 24.474130x debt).


Next Steps

Dividend

What is Gold Resource's current dividend yield, its reliability and sustainability?

0.60%

Current Dividend Yield


Dividend Yield vs Market

company0.6%marketbottom25%1.5%markettop25%3.8%industryaverage2.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: GORO's dividend (0.6%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: GORO's dividend (0.6%) is low compared to the top 25% of dividend payers in the US market (3.77%).

Stable Dividend: GORO is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: GORO is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: GORO is not paying a notable dividend for .


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GORO'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 Gold Resource's salary, the management and board of directors tenure and is there insider trading?

6.0yrs

Average management tenure


CEO

Jason Reid (46yo)

6yrs

Tenure

US$1,729,710

Compensation

Mr. Jason D. Reid has been the Chief Executive Officer of Gold Resource Corp since October 1, 2013 and has also been its President since July 1, 2010. Mr. Reid served as the Vice President of Corporate Dev ...


CEO Compensation Analysis

Compensation vs. Market: Jason's total compensation ($USD1.73M) is above average for companies of similar size in the US market ($USD1.16M).

Compensation vs Earnings: Jason's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

6.0yrs

Average Tenure

52yo

Average Age

Experienced Management: GORO's management team is seasoned and experienced (6 years average tenure).


Board Age and Tenure

4.7yrs

Average Tenure

51yo

Average Age

Experienced Board: GORO's board of directors are considered experienced (4.7 years average tenure).


Insider Trading

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


Recent Insider Transactions

BuyUS$3325 Jul 19
Kimberly Perry
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares9
Max PriceUS$3.70
BuyUS$64,80021 Jun 19
Kimberly Perry
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares20,000
Max PriceUS$3.24
BuyUS$23,73021 May 19
Gregory Patterson
EntityIndividual
Role
Head of Corporate Development
Vice President of Corporate Development
Shares8,000
Max PriceUS$2.97
BuyUS$3,80002 Jan 19
Barry Devlin
EntityIndividual
Role
Senior Key Executive
Vice President of Exploration
Shares1,000
Max PriceUS$3.80

Ownership Breakdown


Management Team

  • John Labate (70yo)

    Chief Financial Officer

    • Tenure: 4.4yrs
    • Compensation: US$657.31k
  • Barry Devlin (61yo)

    Vice President of Exploration

    • Tenure: 6.8yrs
    • Compensation: US$657.31k
  • Jessica Browne (42yo)

    VP of Legal Affairs

    • Tenure: 0yrs
    • Compensation: US$434.09k
  • Jason Reid (46yo)

    President

    • Tenure: 6yrs
    • Compensation: US$1.73m
  • Rick Irvine (55yo)

    Chief Operating Officer

    • Tenure: 7.6yrs
    • Compensation: US$631.38k
  • Greg Patterson (49yo)

    Vice President of Corporate Development

    • Tenure: 6yrs
    • Compensation: US$377.07k
  • Fred Brown

    Senior Resource Geologist

    • Tenure: 0yrs

Board Members

  • Bill Conrad (63yo)

    Independent Chairman of the Board

    • Tenure: 5.8yrs
    • Compensation: US$398.74k
  • Alex Morrison (56yo)

    Independent Director

    • Tenure: 3.6yrs
    • Compensation: US$210.80k
  • Jason Reid (46yo)

    President

    • Tenure: 6yrs
    • Compensation: US$1.73m
  • Kimberly Perry (44yo)

    Independent Director

    • Tenure: 0.5yrs

Company Information

Gold Resource Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Gold Resource Corporation
  • Ticker: GORO
  • Exchange: AMEX
  • Founded: 1998
  • Industry: Gold
  • Sector: Materials
  • Market Cap: US$218.399m
  • Shares outstanding: 65.59m
  • Website: https://www.goldresourcecorp.com

Number of Employees


Location

  • Gold Resource Corporation
  • 2886 Carriage Manor Point
  • Colorado Springs
  • Colorado
  • 80906
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GOROAMEX (NYSE MKT LLC)YesCommon StockUSUSDSep 2006
GIHDB (Deutsche Boerse AG)YesCommon StockDEEURSep 2006
0IYSLSE (London Stock Exchange)YesCommon StockGBUSDSep 2006

Biography

Gold Resource Corporation explores for, develops, produces, and sells gold and silver in Mexico and the United States. It also explores for copper, lead, and zinc. The company’s flagship property is the Ag ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 23:49
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.