TRX GOLD CORP (TRX) Stock Fundamental Analysis
NYSEARCA:TRX - American Stock Exchange - CA87283P1099 - Common Stock
TRX gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 154 industry peers in the Metals & Mining industry. There are concerns on the financial health of TRX while its profitability can be described as average. TRX has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
TRX had positive earnings in the past year.
In the past year TRX had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: TRX reported negative net income in multiple years.
In multiple years TRX reported negative operating cash flow during the last 5 years.
1.2 Ratios
The Return On Assets of TRX (3.55%) is better than 70.07% of its industry peers.
TRX's Return On Equity of 6.39% is fine compared to the rest of the industry. TRX outperforms 69.39% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.24%, TRX belongs to the top of the industry, outperforming 87.07% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for TRX is in line with the industry average of 8.76%.
The 3 year average ROIC (8.16%) for TRX is below the current ROIC(11.24%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 6.39% | ||
| ROIC | 11.24% |
ROA(3y)2.9%
ROA(5y)-5.69%
ROE(3y)4.91%
ROE(5y)-7.86%
ROIC(3y)8.16%
ROIC(5y)N/A
1.3 Margins
With an excellent Profit Margin value of 8.53%, TRX belongs to the best of the industry, outperforming 80.27% of the companies in the same industry.
With an excellent Operating Margin value of 26.82%, TRX belongs to the best of the industry, outperforming 86.39% of the companies in the same industry.
With an excellent Gross Margin value of 43.56%, TRX belongs to the best of the industry, outperforming 84.35% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.82% | ||
| PM (TTM) | 8.53% | ||
| GM | 43.56% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
TRX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for TRX has been increased compared to 1 year ago.
The number of shares outstanding for TRX has been increased compared to 5 years ago.
The debt/assets ratio for TRX is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.25, we must say that TRX is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.25, TRX is doing worse than 83.67% of the companies in the same industry.
The Debt to FCF ratio of TRX is 0.82, which is an excellent value as it means it would take TRX, only 0.82 years of fcf income to pay off all of its debts.
TRX's Debt to FCF ratio of 0.82 is amongst the best of the industry. TRX outperforms 87.76% of its industry peers.
TRX has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
TRX has a Debt to Equity ratio of 0.02. This is in the better half of the industry: TRX outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.82 | ||
| Altman-Z | 0.25 |
ROIC/WACC1.11
WACC10.1%
2.3 Liquidity
A Current Ratio of 0.84 indicates that TRX may have some problems paying its short term obligations.
TRX's Current ratio of 0.84 is on the low side compared to the rest of the industry. TRX is outperformed by 90.48% of its industry peers.
A Quick Ratio of 0.54 indicates that TRX may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.54, TRX is doing worse than 89.80% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
The earnings per share for TRX have decreased strongly by -59.83% in the last year.
Looking at the last year, TRX shows a small growth in Revenue. The Revenue has grown by 7.38% in the last year.
EPS 1Y (TTM)-59.83%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%12.8%
Revenue 1Y (TTM)7.38%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%48.27%
3.2 Future
The Earnings Per Share is expected to grow by 117.34% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 37.92% on average over the next years. This is a very strong growth
EPS Next Y171.45%
EPS Next 2Y117.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year38.72%
Revenue Next 2Y37.92%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 32.00, the valuation of TRX can be described as expensive.
TRX's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.96, TRX is valued at the same level.
A Price/Forward Earnings ratio of 5.00 indicates a rather cheap valuation of TRX.
94.56% of the companies in the same industry are more expensive than TRX, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 24.11. TRX is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32 | ||
| Fwd PE | 5 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TRX is valued a bit cheaper than the industry average as 77.55% of the companies are valued more expensively.
TRX's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54.49 | ||
| EV/EBITDA | 6.16 |
4.3 Compensation for Growth
TRX's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
TRX has a very decent profitability rating, which may justify a higher PE ratio.
TRX's earnings are expected to grow with 117.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.19
PEG (5Y)N/A
EPS Next 2Y117.34%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TRX does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
TRX GOLD CORP
NYSEARCA:TRX (1/17/2025, 8:04:00 PM)
After market: 0.3186 0 (-0.44%)0.32
+0 (+0.31%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners1.25%
Inst Owner Change0%
Ins Owners1.14%
Ins Owner ChangeN/A
Market Cap89.25M
Analysts80
Price Target1.36 (325%)
Short Float %0.13%
Short Ratio0.73
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-22.92%
Min Revenue beat(2)-23.11%
Max Revenue beat(2)-22.73%
Revenue beat(4)0
Avg Revenue beat(4)-20.9%
Min Revenue beat(4)-26.59%
Max Revenue beat(4)-11.18%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-3.61%
PT rev (3m)-3.61%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-3.32%
Revenue NY rev (3m)-3.32%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32 | ||
| Fwd PE | 5 | ||
| P/S | 2.17 | ||
| P/FCF | 54.49 | ||
| P/OCF | 5.83 | ||
| P/B | 1.63 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | 6.16 |
EPS(TTM)0.01
EY3.13%
EPS(NY)0.06
Fwd EY19.99%
FCF(TTM)0.01
FCFY1.84%
OCF(TTM)0.05
OCFY17.16%
SpS0.15
BVpS0.2
TBVpS0.2
PEG (NY)0.19
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.55% | ||
| ROE | 6.39% | ||
| ROCE | 14.23% | ||
| ROIC | 11.24% | ||
| ROICexc | 12.6% | ||
| ROICexgc | 12.6% | ||
| OM | 26.82% | ||
| PM (TTM) | 8.53% | ||
| GM | 43.56% | ||
| FCFM | 3.98% |
ROA(3y)2.9%
ROA(5y)-5.69%
ROE(3y)4.91%
ROE(5y)-7.86%
ROIC(3y)8.16%
ROIC(5y)N/A
ROICexc(3y)9.9%
ROICexc(5y)N/A
ROICexgc(3y)10.18%
ROICexgc(5y)N/A
ROCE(3y)10.33%
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score3
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.02 | ||
| Debt/FCF | 0.82 | ||
| Debt/EBITDA | 0.07 | ||
| Cap/Depr | 605.22% | ||
| Cap/Sales | 33.23% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 115.16% | ||
| Profit Quality | 46.67% | ||
| Current Ratio | 0.84 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 0.25 |
F-Score3
WACC10.1%
ROIC/WACC1.11
Cap/Depr(3y)4701.66%
Cap/Depr(5y)4096.58%
Cap/Sales(3y)58.87%
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-59.83%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%12.8%
EPS Next Y171.45%
EPS Next 2Y117.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.38%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%48.27%
Revenue Next Year38.72%
Revenue Next 2Y37.92%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y4.55%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year1622.19%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y456.09%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-11.62%
OCF growth 3YN/A
OCF growth 5YN/A