ARGONAUT GOLD INC (AR.CA)
CA04016A1012 - Common Stock
We assign a fundamental rating of 3 out of 10 to AR. AR was compared to 837 industry peers in the Metals & Mining industry. AR has a medium profitability rating, but doesn't score so well on its financial health evaluation. AR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
AR had negative earnings in the past year.
In the past year AR had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: AR reported negative net income in multiple years.
Of the past 5 years AR 4 years had a positive operating cash flow.
1.2 Ratios
AR has a Return On Assets (-27.87%) which is in line with its industry peers.
With a Return On Equity value of -59.12%, AR is not doing good in the industry: 63.50% of the companies in the same industry are doing better.
AR's Return On Invested Capital of 0.58% is amongst the best of the industry. AR outperforms 88.41% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for AR is significantly below the industry average of 8.51%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -27.87% | ||
| ROE | -59.12% | ||
| ROIC | 0.58% |
ROA(3y)-2.52%
ROA(5y)-4.31%
ROE(3y)-3.69%
ROE(5y)-5.35%
ROIC(3y)2.78%
ROIC(5y)3.46%
1.3 Margins
AR's Profit Margin has improved in the last couple of years.
AR has a Operating Margin of 1.82%. This is amongst the best in the industry. AR outperforms 89.03% of its industry peers.
AR's Operating Margin has declined in the last couple of years.
AR has a Gross Margin of 9.89%. This is amongst the best in the industry. AR outperforms 86.07% of its industry peers.
AR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.82% | ||
| PM (TTM) | N/A | ||
| GM | 9.89% |
OM growth 3Y-39.22%
OM growth 5Y-16.56%
PM growth 3Y32.26%
PM growth 5YN/A
GM growth 3Y-25.39%
GM growth 5Y-9.67%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AR is destroying value.
AR has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, AR has more shares outstanding
AR has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -0.19, we must say that AR is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -0.19, AR is in line with its industry, outperforming 40.07% of the companies in the same industry.
A Debt/Equity ratio of 0.14 indicates that AR is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.14, AR is doing worse than 69.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | N/A | ||
| Altman-Z | -0.19 |
ROIC/WACC0.07
WACC8.78%
2.3 Liquidity
A Current Ratio of 0.61 indicates that AR may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.61, AR is doing worse than 71.39% of the companies in the same industry.
A Quick Ratio of 0.52 indicates that AR may have some problems paying its short term obligations.
With a Quick ratio value of 0.52, AR is not doing good in the industry: 72.50% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.52 |
3. Growth
3.1 Past
AR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 33.33%, which is quite impressive.
Measured over the past years, AR shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -34.02% on average per year.
The Revenue has decreased by -3.81% in the past year.
The Revenue has been growing by 13.69% on average over the past years. This is quite good.
EPS 1Y (TTM)33.33%
EPS 3Y-63.75%
EPS 5Y-34.02%
EPS Q2Q%-3400%
Revenue 1Y (TTM)-3.81%
Revenue growth 3Y5.22%
Revenue growth 5Y13.69%
Sales Q2Q%-49.65%
3.2 Future
Based on estimates for the next years, AR will show a very strong growth in Earnings Per Share. The EPS will grow by 38.79% on average per year.
Based on estimates for the next years, AR will show a decrease in Revenue. The Revenue will decrease by -1.34% on average per year.
EPS Next Y930%
EPS Next 2Y11.18%
EPS Next 3Y45.65%
EPS Next 5Y38.79%
Revenue Next Year11.39%
Revenue Next 2Y2.15%
Revenue Next 3Y-1.34%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for AR. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 30.39, which means the current valuation is very expensive for AR.
Based on the Price/Forward Earnings ratio, AR is valued cheaper than 87.42% of the companies in the same industry.
AR is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 30.39 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AR is valued cheaply inside the industry as 89.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 13.92 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
AR's earnings are expected to grow with 45.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y11.18%
EPS Next 3Y45.65%
5. Dividend
5.1 Amount
AR does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
ARGONAUT GOLD INC
TSX:AR (7/16/2024, 7:00:00 PM)
0.52
+0.02 (+4%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap659.92M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 30.39 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -27.87% | ||
| ROE | -59.12% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 1.82% | ||
| PM (TTM) | N/A | ||
| GM | 9.89% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.14 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.61 | ||
| Quick Ratio | 0.52 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)33.33%
EPS 3Y-63.75%
EPS 5Y
EPS Q2Q%
EPS Next Y930%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-3.81%
Revenue growth 3Y5.22%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y