MNR.TO  Mediterranean Res Ltd

Vuru Grade

18.00/100

Current Price

$0.17
-0.01 (-5.56%)

Growth Price

$0.11
Overvalued by 36.42%

Stability Price

$0.01
Overvalued by 93.90%

Company Metrics

  • P/E 0
  • P/S 0
  • P/B 0.22
  • EPS -0.03
  • Cash ROIC -27.47%
  • Cash Ratio 2.34
  • Dividend 0 / N/A %
  • Avg. Vol. 54,740.00
  • Shares 118.13M
  • Market Cap. 4.3M

Company Description

Mediterranean Resources Ltd. engages in locating, acquiring, exploring, and developing mineral resource properties in Turkey. It primarily explores for gold, and base and precious metals. The company, through its subsidiary, Akdeniz Resources Madencilik A.S., owns a 100% interest in the Yusufeli gold properties, including the Tac, Corak, Celtik, and Cevreli properties covering 11,310 hectares loca... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

Entree Shareholders Approve Spinout of Mason Resources Corp. and Re-Elect ...
MarketWatch - May 2, 2017
At the Meeting, shareholders voted 97.93% in favour of approving the spin-out of Mason Resources Corp. ("Mason").
Rio Tinto Receives Shares of Mason Resources Corp.
Marketwired (press release) - May 10, 2017
LONDON, UNITED KINGDOM--(Marketwired - May 10, 2017) - Rio Tinto plc ("Rio Tinto") announced that, pursuant to a plan of arrangement (the "Arrangement") between Entrée Resources Ltd.
Entree Resources Ltd. and Mason Resources Corp. Announce Closing of ...
Marketwired (press release) - May 9, 2017
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 9, 2017) - Entrée Resources Ltd. (formerly Entrée Gold Inc.) (TSX:ETG)(NYSE MKT:EGI)(FRANKFURT:EKA) ("Entrée") and Mason Resources Corp. (TSX:MNR) ("Mason") are pleased to announce that ...
Entree Gold Mails and Files Meeting Materials for Proposed Spin-Out of US ...
Junior Mining Network - Mar 25, 2017
It is intended that, as part of the Arrangement, Shareholders will receive common shares of newly incorporated Mason Resources Corp. ("Mason Resources") by way of a share exchange, pursuant to which each existing share of Entrée is exchanged for one ...
American Resources Corp. Appoints VP
Inside INdiana Business - Mar 16, 2017
American Resources Corp. has named Mark LaVerghetta vice president of corporate finance & communications. He previously spent 20 years performing various distribution roles with several Wall Street firms including Legg Mason, Alex. Brown & Sons ...
Rio Tinto Insider Trade Report Filing in Relation to Turquoise Hill Resources ...
Marketwired (press release) - May 19, 2017
... behalf in relation to Turquoise Hill Resources Ltd. Rio Tinto did not acquire any additional shares of Turquoise Hill. The insider trade report was corrected to properly reflect the shares of Mason Resources Corp. that Rio Tinto and Turquoise Hill ...
Sandstorm Gold Files Early Warning Report
MarketWatch - May 23, 2017
... 62-103 -The Early Warning System and Related Take Over Bid and Insider Reporting Issues, Sandstorm Gold Ltd. ("Sandstorm" or the "Company") is announcing the receipt of 10,755,171 common shares and 205,792 warrants of Mason Resources Corp.
Entree Gold Announces Spin-Out of US Projects
Marketwired (press release) - Feb 28, 2017
Pursuant to the Arrangement, Entrée's Ann Mason and Lordsburg projects (the "US Projects") will be transferred to a newly incorporated company, Mason Resources Corp. ("Mason"). Shareholders of Entrée ("Shareholders") will receive common shares in ...
Mason Hill Advisors Lowered Range Resources (RRC) Position by $1.54 Million ...
FlintDaily.com - 3 hours ago
Mason Hill Advisors Llc decreased its stake in Range Resources Corp (RRC) by 16.02% based on its latest 2016Q4 regulatory filing with the SEC.
Travelers Companies INC Cut Its Holding in Range Resources Corp (RRC) by $3.57 ...
Finance News Daily - May 24, 2017
Moreover, Gam Ag has 0.04% invested in Range Resources Corp. (NYSE:RRC). Lazard Asset Mngmt Limited Liability Company stated it has 0% in Range Resources Corp. (NYSE:RRC). Mason Hill Advisors Ltd Liability has 236,974 shares. Dekabank ...
Were Analysts Bullish California Resources Corp (NYSE:CRC) This Week? - Normangee Star
First Washington Has Trimmed Range Res (RRC) Position, Shoretel (SHOR)'s ... - HuronReport
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for MNR.TO to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate MNR.TO's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

$0.17 Current Price

$0.11 Growth Price (DCF)

Overvalued by 36.42%


Growth Rate Assumed by Market: 500.00%


Future Free Cash Flow Growth Rate: 0.0%


Discount Rate: 15.0%


MNR.TO's most recent year of (normalized) free cash flow is negative. This is the base number for forward projections. This means that if you increase the growth rate, the amount of negative FCF grows, thereby decreasing the price.

Show Free Cash Flow numbers

$0.01 Stability Price (EPV)

Overvalued by 93.90%


Discount Rate: 15.0%

$0.01 NCA Price

Overvalued by 93.96%

$0.10 Book Price

Overvalued by 38.65%


Very Poor Cash Return on Invested Capital over the past 5 years

MNR.TO has failed to generate positive returns on its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

MNR.TO has lost $27.47 of cash for every $100 invested.
Figures in CAD. Fiscal year ends in December
20072008200920102011
Free Cash Flow -6.19M -5.32M -2.73M -2.53M -1.08M
divided by
Invested Capital 9.82M 14.40M 16.08M 17.40M 18.44M
Cash ROIC -63.03% -36.93% -17.01% -14.55% -5.84%

Very Poor Return on Equity over the past 5 years

MNR.TO has shown an inability to deliver results for shareholders. This could be due to poor management, MNR.TO operating in a highly competitive industry, or having a weak business in general.

MNR.TO has generated a $8.25 loss for every $100 of Shareholders' Equity.
Figures in CAD. Fiscal year ends in December
20072008200920102011
Net Income -2.64M -1.13M -1.26M -1.15M -1.57M
divided by
Stockholders' Equity 19.49M 18.82M 17.62M 17.52M 19.80M
Return on Equity -13.54% -6.02% -7.17% -6.56% -7.93%

Poor Business Performance over the past 10 years

MNR.TO's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

MNR.TO has been losing money for the majority of the past 10 years.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Free Cash Flow -6.76M -4.11M -2.07M -1.02M -5.15M -6.19M -5.32M -2.73M -2.53M -1.08M

Very Strong Balance Sheet

MNR.TO has more Cash than its Total Liabilities, resulting in $0.01 Net Cash per share. In other words, if you buy MNR.TO today, the price you're paying for shares is actually $0.16 because $0.01 of Cash is included in the current share price. This much Cash is very healthy. It can help MNR.TO sustain itself in the face of any economic turmoil and makes a stock buyback more of a possibility.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Cash 112,000.00 1.40M 25,000.00 90,000.00 930,000.00 9.67M 4.41M 1.54M 117,947.00 1.36M
Current Assets 364,000.00 1.50M 764,000.00 166,000.00 1.65M 10.28M 4.86M 1.73M 193,355.00 1.80M
Total Assets 97.93M 7.89M 834,000.00 632,000.00 6.48M 20.42M 19.45M 17.96M 17.79M 20.38M
Current Liabilities 1.99M 1.30M 1.75M 1.15M 573,000.00 928,841.00 633,309.00 341,510.00 266,405.00 579,868.00
Total Liabilities 2.61M 2.31M 3.27M 1.15M 573,000.00 928,841.00 633,309.00 341,510.00 266,405.00 579,868.00
Stockholder' Equity 95.32M 5.58M -2.44M -516,000.00 5.91M 19.49M 18.82M 17.62M 17.52M 19.80M
Current Ratio 0.18 1.16 0.44 0.14 2.88 11.06 7.67 5.06 0.73 3.11
TL-to-TA 0.03 0.29 3.92 1.82 0.09 0.05 0.03 0.02 0.01 0.03

Low or No Reinvestment of Profits over the past 10 years

MNR.TO has either been retaining a small amount of their earnings or has done so inconsistently. A lack of consistency could be due to MNR.TO operating at a loss or them having such a strong economic moat they feel comfortable spending profits on growth. Be wary of future prospects and if applicable, inspect the moat's sustainability.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Retained Earnings -69.75M -135.40M -159.39M -160.51M -161.38M -4.37M -5.50M -6.76M -7.91M -9.48M
Retained Earnings Growth - -94.12% -17.71% -0.71% -0.54% 97.29% -25.96% -22.96% -17.01% -19.88%

Highly Competitive Industry over the past 10 years

It's likely that MNR.TO is in an industry with low barriers to entry, spurring high competition. If Gross Margins are at least satisfactory, it's likely MNR.TO invests heavily in R&D and Sales, General & Administrative expenses.

Only $- of every $100 of Revenue have been profit, on average over the past 10 years.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Net Income -2.18M -78.31M -9.61M -1.13M -871,000.00 -2.64M -1.13M -1.26M -1.15M -1.57M
divided by
Revenue - - - - - - - - - -
Net Profit Margin - - - - - - - - - -

Weak Pricing Power over the past 10 years

MNR.TO is likely in a highly competitive industry, due to low barriers to entry. It's because of this, that MNR.TO has been unable to raise prices and increase their profitability. This puts them in a poor position if inflation becomes an issue, as they would struggle to pass higher costs onto consumers.

Only $- of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Gross Profit - - - - - - - - - -
divided by
Revenue - - - - - - - - - -
Gross Margin - - - - - - - - - -

Low Capital Intensity over the past 10 years

MNR.TO has consistently used a small portion of their Net Income buying new equipment or investing in new facilities. This indicates that MNR.TO may require minimal investment to stay competitive. This leaves them with extra money to spend on growing their business and potentially buying back stock.

-% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Capital Expenditure 5.49M 2.92M - 57,000.00 3.32M 4.77M 3.86M 1.54M 1.63M 7,014.00
divided by
Net Income -2.18M -78.31M -9.61M -1.13M -871,000.00 -2.64M -1.13M -1.26M -1.15M -1.57M
Capital Expenditure Ratio -251.67% -3.73% - -5.06% -381.06% -180.67% -340.61% -122.04% -142.14% -0.45%

No Dividend History over the past 10 years

MNR.TO has never distributed dividends or has recently suspended their dividend distribution.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Dividend Paid - - - - - - - - - -
divided by
Shares Outstanding 46.10M 53.11M 5.99M 8.29M 35.34M 72.52M 87.22M 87.22M 96.04M 118.13M
Dividend Paid Per Share - - - - - - - - - -
Price at Year End - - - - - 0.26 0.07 0.12 0.09 0.14
Dividend Yield - - - - - - - - - -

History of Stock Buybacks over the past 10 years

MNR.TO has some history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in CAD. Fiscal year ends in December
2002200320042005200620072008200920102011
Shares Outstanding 46.10M 53.11M 5.99M 8.29M 35.34M 72.52M 87.22M 87.22M 96.04M 118.13M
Stock Bought Back - -13.20% 787.18% -27.79% -76.54% -51.26% -16.85% -0.00% -9.19% -18.70%
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