OTCPK:AXRE.F

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Amarc Resources Ltd. engages in the exploration and development of mineral properties in Canada.


Snowflake Analysis

Weak fundamentals or lack of information.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-11.5%

AXRE.F

3.6%

US Metals and Mining

4.3%

US Market


1 Year Return

-27.8%

AXRE.F

8.5%

US Metals and Mining

10.3%

US Market

Return vs Industry: AXRE.F underperformed the US Metals and Mining industry which returned 7.2% over the past year.

Return vs Market: AXRE.F underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

AXRE.FIndustryMarket
7 Day-11.5%3.6%4.3%
30 Day17.7%6.0%11.5%
90 Day-17.9%8.3%7.4%
1 Year-27.8%-27.8%11.2%8.5%12.7%10.3%
3 Year-84.5%-84.5%5.8%-1.0%37.1%28.0%
5 Year-77.0%-77.0%25.6%14.9%64.7%46.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Amarc Resources undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether Amarc Resources is trading at an attractive price based on the cash flow it is expected to produce in the future. But as Amarc Resources has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of AXRE.F’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the potential returns from the core activities, the size of each contract's opportunity, and the capacity of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through Amarc Resources regulatory filings and announcements here.
  • Explore potentially undervalued companies in the Materials industry.

Future Growth

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

24.4%

Forecasted Materials industry annual growth in earnings


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 Amarc Resources 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 SimplyWall St do have past financial data.


Next Steps

  • Take a look at our analysis of AXRE.F’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on the OTC Markets Website. If you are looking for more of a qualitative research into the company, you can access Amarc Resources's filings and announcements here.
  • Explore growth companies in the Materials industry.

Past Performance

How has Amarc Resources performed over the past 5 years?

21.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AXRE.F is currently unprofitable.

Growing Profit Margin: AXRE.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AXRE.F is unprofitable, but has reduced losses over the past 5 years at a rate of 21.5% per year.

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

Earnings vs Industry: AXRE.F is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-12.4%).


Return on Equity

High ROE: AXRE.F's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is Amarc Resources's financial position?


Financial Position Analysis

Short Term Liabilities: AXRE.F has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: AXRE.F has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: AXRE.F has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: AXRE.F's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


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: AXRE.F has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: AXRE.F has less than a year of cash runway if free cash flow continues to grow at historical rates of 13% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

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

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


Next Steps

Management

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

13.8yrs

Average board tenure


CEO

Diane Nicolson (54yo)

1.33yrs

Tenure

CA$213,000

Compensation

Dr. Diane S. Nicolson, PhD., has been the President and Director of Amarc Resources Ltd. from November 2014 & June 30, 2017 respectively and also serves as its Chief Executive Officer from February 2019. D ...


CEO Compensation Analysis

Compensation vs Market: Diane's total compensation ($USD158.88K) is below average for companies of similar size in the US market ($USD577.87K).

Compensation vs Earnings: Diane's compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
Robert Dickinson
Executive Chairman16.17yrsno data15.86% CA$623.3k
Diane Nicolson
CEO, President & Director1.33yrsCA$213.00k0.41% CA$16.1k
Scott Cousens
Independent Director24.75yrsno data0.084% CA$3.3k
Terrence Coughlan
Independent Director11.33yrsno data0.049% CA$1.9k

13.8yrs

Average Tenure

63yo

Average Age

Experienced Board: AXRE.F's board of directors are seasoned and experienced ( 13.8 years average tenure).


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 been diluted in the past year, with total shares outstanding growing by 2.9%.


Top Shareholders

Company Information

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


Key Information

  • Name: Amarc Resources Ltd.
  • Ticker: AXRE.F
  • Exchange: OTCPK
  • Founded: 1993
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: CA$5.268m
  • Listing Market Cap: CA$3.930m
  • Shares outstanding: 175.60m
  • Website: https://www.amarcresources.com

Location

  • Amarc Resources Ltd.
  • 1040 West Georgia Street
  • 15th Floor
  • Vancouver
  • British Columbia
  • V6E 4H1
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AHRTSXV (TSX Venture Exchange)YesCommon SharesCACADAug 1995
AXRE.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDAug 1995
AQ5DB (Deutsche Boerse AG)YesCommon SharesDEEURAug 1995

Biography

Amarc Resources Ltd. engages in the exploration and development of mineral properties in Canada. The company explores for copper, gold, silver, and molybdenum deposits. It focuses on developing IKE, DUKE, and JOY porphyry copper deposit projects in British Columbia. The company was formerly known as Patriot Resources Ltd. and changed its name to Amarc Resources Ltd. in January 1994. Amarc Resources Ltd. was incorporated in 1993 and is based in Vancouver, Canada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 03:05
End of Day Share Price2020/06/04 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


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.