OTCPK:LTUM

Stock Analysis Report

Executive Summary

Lithium Corporation, an exploration stage mining company, engages in the identification, acquisition, and exploration of metals and minerals in Nevada.


Snowflake Analysis

Adequate balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-10.5%

LTUM

1.0%

US Metals and Mining

7.2%

US Market


1 Year Return

-31.8%

LTUM

-28.5%

US Metals and Mining

-10.4%

US Market

Return vs Industry: LTUM underperformed the US Metals and Mining industry which returned -28.5% over the past year.

Return vs Market: LTUM underperformed the US Market which returned -10.4% over the past year.


Shareholder returns

LTUMIndustryMarket
7 Day-10.5%1.0%7.2%
30 Day-19.4%-17.6%-12.6%
90 Day56.3%-32.2%-19.4%
1 Year-31.8%-31.8%-26.4%-28.5%-8.5%-10.4%
3 Year1.9%1.9%-24.5%-28.8%15.8%8.3%
5 Year54.8%54.8%-3.6%-11.5%35.8%21.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

21.97x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate LTUM's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate LTUM's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: LTUM is unprofitable, so we can't compare its PE Ratio to the Metals and Mining industry average.

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: LTUM is overvalued based on its PB Ratio (22x) compared to the US Metals and Mining industry average (1.1x).


Next Steps

Future Growth

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

8.6%

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 Lithium 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

  • Examine Lithium's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
  • 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 Lithium's filings and announcements here.
  • Explore growth companies in the Materials industry.

Past Performance

How has Lithium performed over the past 5 years?

25.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: LTUM is currently unprofitable.

Growing Profit Margin: LTUM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: LTUM is unprofitable, but has reduced losses over the past 5 years at a rate of 25.7% per year.

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

Earnings vs Industry: LTUM is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-26.9%).


Return on Equity

High ROE: LTUM has a negative Return on Equity (-62.73%), as it is currently unprofitable.


Next Steps

Financial Health

How is Lithium's financial position?


Financial Position Analysis

Short Term Liabilities: LTUM's short term assets ($367.5K) exceed its short term liabilities ($16.9K).

Long Term Liabilities: LTUM has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: LTUM is debt free.

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


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if LTUM's debt is covered by short term assets.


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

Forecast Cash Runway: LTUM has less than a year of cash runway if free cash flow continues to reduce at historical rates of -7% each year


Next Steps

Dividend

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


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if LTUM'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 LTUM'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?

7.3yrs

Average board tenure


CEO

Lithium has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Thomas Lewis
President10.58yrsUS$120.00k7.32% $563.5k
Brian Goss
Consultant & Director5.83yrsno data0.52% $40.3k
James Brown
Independent Director7.25yrsno datano data

7.3yrs

Average Tenure

55yo

Average Age

Experienced Board: LTUM's board of directors are considered experienced (7.3 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 2.2%.


Top Shareholders

Company Information

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


Key Information

  • Name: Lithium Corporation
  • Ticker: LTUM
  • Exchange: OTCPK
  • Founded: 2007
  • Industry: Diversified Metals and Mining
  • Sector: Materials
  • Market Cap: US$7.700m
  • Shares outstanding: 95.65m
  • Website: https://www.lithiumcorporation.com

Location

  • Lithium Corporation
  • 1031 Railroad Street
  • Suite 102B
  • Elko
  • Nevada
  • 89801
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LTUMOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJun 2008
L4TBST (Boerse-Stuttgart)YesCommon StockDEEURJun 2008
0JVBLSE (London Stock Exchange)YesCommon StockGBUSDJun 2008

Biography

Lithium Corporation, an exploration stage mining company, engages in the identification, acquisition, and exploration of metals and minerals in Nevada. It explores for lithium/boron/potassium, graphite, gold, and silver deposits. The company owns interests in the Fish Lake Valley property that includes 143 claims covering an area of approximately 11,360 acres located in northern Esmeralda County in west central Nevada; and San Emidio property comprising 20 claims, which cover an area of approximately 1,600 acres located in Washoe County in northwestern Nevada. It also hold interests in the BC Sugar flake property covering an area 19,816 acres located in the Cherryville area of British Columbia; and Hughes claims located in the 6 discrete prospect areas of Nevada. The company was formerly known as Utalk Communications Inc. and changed its name to Lithium Corporation in September 2009. Lithium Corporation was founded in 2007 and is headquartered in Elko, Nevada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 00:58
End of Day Share Price2020/03/30 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.