Centerra Gold, Inc. (CG) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

OceanaGold Corp.

First Majestic Silver Corp.

Orla Mining Ltd.

Dundee Precious Metals, Inc.

Centerra Gold, Inc.

Sandstorm Gold Ltd.

Eldorado Gold Corp.

Equinox Gold Corp.

Filo Corp.

NovaGold Resources, Inc.

MAG Silver Corp.

Why is Centerra Gold, Inc. ?

Company's ability to service its debt is strong with a healthy EBIT to Interest (avg) ratio of 21.49

Poor long term growth as Net Sales has grown by an annual rate of -1.80% and Operating profit at -2.36% over the last 5 years

The company has declared Positive results for the last 4 consecutive quarters

RAW MATERIAL COST(Y) Fallen by -12.56% (YoY)
INVENTORY TURNOVER RATIO(HY) Highest at 3.9%
OPERATING PROFIT MARGIN(Q) Highest at 29.26 %

With ROE of 14.00%, it has a fair valuation with a 1.13 Price to Book Value

Over the past year, while the stock has generated a return of 36.83%, its profits have risen by 38.5% ; the PEG ratio of the company is 0.2

Rising Promoter Confidence

Promoters have increased their stake in the company by 0.57% over the previous quarter and currently hold 1.65% of the company
Promoters increasing their stake is a sign of high confidence in the future of the business

Consistent Returns over the last 3 years

Along with generating 36.83% returns in the last 1 year, the stock has outperformed S&P/TSX 60 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Centerra Gold, Inc. should be less than 10%
Overall Portfolio exposure to Gems, Jewellery And Watches should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gems, Jewellery And Watches)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Centerra Gold, Inc. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Centerra Gold, Inc.

117.58%

1.47

41.53%

S&P/TSX 60

19.1%

1.54

14.62%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.80%

EBIT Growth (5y)

-2.36%

EBIT to Interest (avg)

21.49

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.36

Sales to Capital Employed (avg)

0.63

Tax Ratio

66.88%

Dividend Payout Ratio

54.27%

Pledged Shares

Institutional Holding

78.71%

ROCE (avg)

13.19%

ROE (avg)

7.55%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.59

EV to EBIT

13.97

EV to EBITDA

6.91

EV to Capital Employed

1.84

EV to Sales

1.82

PEG Ratio

0.27

Dividend Yield

ROCE (Latest)

13.17%

ROE (Latest)

14.00%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bullish

OBV

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

10What is working for the Company

RAW MATERIAL COST(Y)

Fallen by -12.56% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 3.9%

OPERATING PROFIT MARGIN(Q)

Highest at 29.26 %

NET PROFIT(Q)

At CAD 103.15 MM has Grown at 49.6%

EPS(Q)

Highest at CAD 0.45

-2What is not working for the Company

INTEREST(HY)

At CAD 11.2 MM has Grown at 15.29%

Here's what is working for Centerra Gold, Inc.

Operating Profit Margin

Highest at 29.26 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Net Profit

At CAD 103.15 MM has Grown at 49.6%

over average net sales of the previous four periods of CAD 68.95 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (CAD MM)

EPS

Highest at CAD 0.45

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (CAD)

Inventory Turnover Ratio

Highest at 3.9%

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -12.56% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Centerra Gold, Inc.

Interest

At CAD 11.2 MM has Grown at 15.29%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (CAD MM)