OTCPK:NSRP.F

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Novo Resources Corp., together with its subsidiaries, engages in evaluating, acquiring, and exploring natural resource properties in Canada, Australia, and the United States.


Snowflake Analysis

Flawless balance sheet with weak fundamentals.

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-19.9%

NSRP.F

-3.1%

US Metals and Mining

-0.04%

US Market


1 Year Return

54.8%

NSRP.F

25.7%

US Metals and Mining

17.1%

US Market

Return vs Industry: NSRP.F exceeded the US Metals and Mining industry which returned 25.7% over the past year.

Return vs Market: NSRP.F exceeded the US Market which returned 17.1% over the past year.


Shareholder returns

NSRP.FIndustryMarket
7 Day-19.9%-3.1%-0.04%
30 Day-4.3%11.0%5.1%
90 Day37.5%22.3%19.5%
1 Year54.8%54.8%28.6%25.7%19.6%17.1%
3 Year-34.0%-34.0%14.4%7.0%42.5%33.3%
5 Year384.8%384.8%87.2%70.2%75.1%56.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

3.79x

Price to Book (PB) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

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

PE vs Market: NSRP.F 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 NSRP.F's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: NSRP.F is overvalued based on its PB Ratio (3.8x) compared to the US Metals and Mining industry average (1.7x).


Next Steps

Future Growth

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

21.4%

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 Novo 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

Past Performance

How has Novo Resources performed over the past 5 years?

-38.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NSRP.F is currently unprofitable.

Growing Profit Margin: NSRP.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: NSRP.F is unprofitable, and losses have increased over the past 5 years at a rate of 38.8% per year.

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

Earnings vs Industry: NSRP.F is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-26.7%).


Return on Equity

High ROE: NSRP.F has a negative Return on Equity (-7.51%), as it is currently unprofitable.


Next Steps

Financial Health

How is Novo Resources's financial position?


Financial Position Analysis

Short Term Liabilities: NSRP.F's short term assets (CA$31.4M) exceed its short term liabilities (CA$11.2M).

Long Term Liabilities: NSRP.F has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: NSRP.F is debt free.

Reducing Debt: NSRP.F has no debt compared to 5 years ago when its debt to equity ratio was 19.6%.


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: NSRP.F has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: NSRP.F has sufficient cash runway for 1.4 years if free cash flow continues to reduce at historical rates of 30.4% each year.


Next Steps

Dividend

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


Dividend Yield vs Market

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

Growing Dividend: Insufficient data to determine if NSRP.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 NSRP.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?

3.2yrs

Average management tenure


CEO

Rob Humphryson

3.17yrs

Tenure

CA$313,755

Compensation

Mr. Robert Humphryson, also known as Rob, has been Chief Executive Officer at Novo Resources Corp. since June 2017. Mr. Humphryson served as Business Development Manager at Swick Mining Services Limited si ...


CEO Compensation Analysis

Compensation vs Market: Rob's total compensation ($USD0.00) is below average for companies of similar size in the US market ($USD2.03M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Quinton Hennigh
Chairman of the Board & President3.17yrsCA$358.44k1.66%
CA$ 8.3m
Robert Humphryson
CEO & Director3.17yrsCA$313.76kno data
Ronan Sabo-Walsh
CFO & Corporate Secretary3.17yrsCA$294.82k0.0080%
CA$ 39.7k
Leonidas Karabelas
Vice President of Corporate Communicationsno dataCA$180.00kno data
Kas De Luca
General Manager of Explorationno datano datano data
Alwin Roij
Senior Exploration Geologistno datano datano data

3.2yrs

Average Tenure

Experienced Management: NSRP.F's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Quinton Hennigh
Chairman of the Board & President3.17yrsCA$358.44k1.66%
CA$ 8.3m
Robert Humphryson
CEO & Director3.17yrsCA$313.76kno data
Akiko Levinson
Independent Director9.17yrsCA$60.70k0.20%
CA$ 1.0m
Michael Barrett
Independent Director2.83yrsCA$57.92k0.0013%
CA$ 6.6k
Yoshikazu Ishikawa
Director0.67yrno datano data

2.8yrs

Average Tenure

53yo

Average Age

Experienced Board: NSRP.F's board of directors are not considered experienced ( 2.8 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.5%.


Top Shareholders

Company Information

Novo Resources Corp.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Novo Resources Corp.
  • Ticker: NSRP.F
  • Exchange: OTCPK
  • Founded: 2009
  • Industry: Gold
  • Sector: Materials
  • Market Cap: US$498.265m
  • Shares outstanding: 188.74m
  • Website: https://www.novoresources.com

Location

  • Novo Resources Corp.
  • 595 Burrard Street
  • Suite 2900
  • Vancouver
  • British Columbia
  • V7X 1J5
  • Canada

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
NSRP.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDFeb 2012
1NODB (Deutsche Boerse AG)YesCommon SharesDEEURFeb 2012
NVOTSXV (TSX Venture Exchange)YesCommon SharesCACADFeb 2012

Biography

Novo Resources Corp., together with its subsidiaries, engages in evaluating, acquiring, and exploring natural resource properties in Canada, Australia, and the United States. It primarily explores for gold ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/12 23:39
End of Day Share Price2020/08/12 00:00
Earnings2020/04/30
Annual Earnings2020/01/31


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.