Trevali Mining Corp. – Value Analysis (US OTC:TREVF) : November 13, 2017

Capitalcube gives Trevali Mining Corp. a score of 79.

Our analysis is based on comparing Trevali Mining Corp. with the following peers – Imperial Metals Corporation, Ivanhoe Mines Ltd. Class A, Grupo Mexico S.A.B. de C.V. Class B and Northern Dynasty Minerals Ltd. (IPMLF-US, IVPAF-US, GMBXF-US and NAK-US).

Investment Outlook

Trevali Mining Corp. has a fundamental score of 79 and has a relative valuation of NEUTRAL.

Fundamental Score

Access our research and ratings on Trevali Mining Corp.

Company Overview

  • Compared to peers, relative underperformance last month is down from a median performance last year.
  • It’s current Price/Book of 1.80 is about median in its peer group.
  • TREVF-US outperforms its peers with a relatively high operating performance and the market also expects faster growth relative to its peers
  • TREVF-US‘s median net profit margins and relatively high asset efficiency give it some operating leverage.
  • The company’s year-on-year change in revenues and earnings are better than the median among its peer group.
  • Over the last five years, TREVF-US‘s return on assets has improved from median to better than the median among its peers, suggesting the company has found relative operating advantages.
  • The company’s capital investment seems appropriate for a business with peer median returns.
  • TREVF-US has some amount of debt capacity available.

Access our research and ratings on Trevali Mining Corp.

Leverage & Liquidity

TREVF-US has some amount of debt capacity available.

  • With debt at a relatively low 19.27% of its enterprise value compared to an overall benchmark of 25% (Note: The peer median is currently 19.27%), and a reasonable interest coverage level of 2.25x, TREVF-US has a fair amount of debt capacity available.
  • Of the 4 chosen peers for the company, only 3 of the stocks have an outstanding debt balance. Companies with no debt include NAK-US.

TREVF-US has moved to a relatively low leverage from a relatively low liquidity profile at the recent year-end.

  • TREVF-US‘s interest coverage is its highest relative to the last five years and compares to a low of -0.04x in 2015.
  • The increase in its interest coverage to 2.25x from 1.58x (in 2016) was also accompanied by an increase in its peer median during this period to 2.25x from 1.58x.
  • TREVF-US‘s debt-EV continues to trend downward and is below (but within one standard deviation of) its five-year average debt-EV of 25.38%.
  • The decrease in its debt-EV to 19.27% from 20.40% (in 2016) was also accompanied by a decrease in its peer median during this period to 19.27% from 20.40%.

Access the detailed analysis for Trevali Mining Corp.

Key Liquidity Items

Company Debt/Enterprise Value (%) Current Ratio Interest Coverage (x) Cash Flow To Total Debt (%)
Imperial Metals Corporation 68.43 0.08 -0.44 -1.76
Ivanhoe Mines Ltd. Class A 1.33 14.79 -37.59 -171.13
Grupo Mexico S.A.B. de C.V. Class B 29.36 2.31 7.22 34.03
Northern Dynasty Minerals Ltd. 0 5.54 No interest exp 999
Trevali Mining Corporation 19.27 1.25 2.25 58.91
Peer Median 19.27 2.31 2.25 34.03
Best In Class 1.33 14.79 No interest exp 999

Looking for more metrics and analysis for Trevali Mining Corp.?

Company Profile

Trevali Mining Corp. is a zinc-focused, base mineral exploration company, which engages in the exploration and development of mineral resource properties. It owns the Caribou mine and mill, Halfmile mine, and Stratmat deposit located in the Bathurst mining camp of northern New Brunswick. The company was founded on December 31, 1993 and is headquartered in Vancouver, Canada.

Disclaimer

The information presented in this report has been obtained from sources deemed to be reliable, but AnalytixInsight does not make any representation about the accuracy, completeness, or timeliness of this information. This report was produced by AnalytixInsight for informational purposes only and nothing contained herein should be construed as an offer to buy or sell or as a solicitation of an offer to buy or sell any security or derivative instrument. This report is current only as of the date that it was published and the opinions, estimates, ratings and other information may change without notice or publication. Past performance is no guarantee of future results. Prior to making an investment or other financial decision, please consult with your financial, legal and tax advisors. AnalytixInsight shall not be liable for any party’s use of this report. AnalytixInsight is not a broker-dealer and does not buy, sell, maintain a position, or make a market in any security referred to herein. One of the principal tenets for us at AnalytixInsight is that the best person to handle your finances is you. By your use of our services or by reading any our reports, you’re agreeing that you bear responsibility for your own investment research and investment decisions. You also agree that AnalytixInsight, its directors, its employees, and its agents will not be liable for any investment decision made or action taken by you and others based on news, information, opinion, or any other material generated by us and/or published through our services. For a complete copy of our disclaimer, please visit our website www.analytixinsight.com.