Founded in 2005, Greatland Gold plc is a United Kingdom-based company which is involved in the exploration and development of minerals and other natural resources, focusing primarily on gold in Tasmania and the western part of Australia. Based in London, the company was admitted to FTSE AIM in 2006. The main activities of the company include sampling of various types of soils, geological mapping, geophysical surveys, etc.
The company is classified into two divisions: United Kingdom and Australia. The Company manages various mining exploration projects in its operating area. The Havieron project is located near the Telfer gold mine in Western Australia. The Ernest Giles project is also underway in Western Australia and focuses on exploring the Yilgarn Craton, which is a major mining province in Australia. The Bromus project is located in Western Australia, near the Yilgarn area gold mine. The company also manages the Firetower project and the Warrentinna project in Tasmania.
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Greatland Gold Strategy News
The company has earned a very good standing in the mining and exploration industry and its business strategy focuses on investing in the exploration of targeted areas that have remained largely untouched in the past. Potential areas for exploration are selected using geological mapping and investigation. Current projects focus on the western region of Australia and Tasmania, as they are largely unexplored and may contain a huge amount of historically valuable deposits. Australia offers great exploration potential as it has a well-established mining industry with a very systematic and sustainable infrastructure, good stable governance, mining codes and a skilled and efficient workforce.
Greatland Gold tries to explore new exploration sites and build a diversified and balanced portfolio to maximize risk-adjusted returns for all stakeholders. This is achieved through cost minimization, capital raising, and joint venture agreements and partnerships.
The company follows a well-defined corporate governance framework and has an ethical code of conduct for the management of its business activities. It aligns itself with the principles of the QCA Code of Corporate Governance and assumes its social and environmental responsibilities in addition to its corporate responsibilities. It promotes a culture based on transparency, integrity and accountability. He is committed to creating a safe and inclusive work environment and also strives to create a positive impact on the wider community.
What kind of share is Greatland Gold?
Based on an overall assessment of its quality, value and energy, Greatland Gold lon ggp is currently classified as a Sucker stock. The classification is based on a composite score that examines a wide range of fundamental and technical measures. Stocks are classified according to the following spectrum: Super Stocks, High Flyers, Contrarians, Turnarounds, Neutral, Value Traps, Momentum Traps, Falling Stars and Sucker Stocks. For more information, check out our StockRank styles.
What is the trend in the Greatland Gold share price?
An important predictor of whether a stock’s price will go up is its momentum history. Price trends tend to persist, so they are worth watching when it comes to a stock like Greatland Gold. Done the past six months, its share price has underachieved the FTSE All Share Index by -13.97%. As of the last closing price of 8.02 pence, Greatland Gold shares were trading -5.62% below their 200-day moving average. You can read more about the power of momentum to gauge stock price movements on Stockopedia.
Greatland Gold plc’s (LON:GGP)
We think now is a good time to look at Greatland Gold plc’s (LON:GGP) business, as it looks like the company may be on the cusp of some considerable achievement. Greatland Gold plc is engaged in the exploration and development of precious and base metals in the United Kingdom and Australia. On June 30, 2022, the £430m market capitalization company posted a £11m loss in its most recent financial year. Many investors wonder about the rate at which Greatland Gold will make a profit, and the big question is “when will the company break even?” Below we will provide a high-level rapid of industry analyst expectations for the company.
View Our Latest Greatland Gold Analysis
The consensus of 2 of the UK mining and metals analysts is that Greatland Gold is on the verge of breaking even. They expect the company to incur a final loss in 2024, before making positive earnings of £63m in 2025. The company is therefore project to break even within approximately 2 years. How fast will the company have to grow each year to break even in 2025? Working backwards from analyst estimates, it turns out that they expect the company to grow 106% year-over-year, on average, indicating great confidence on the part of analysts. If this rate turns out to be too peaceful, the company may become profitable much later than analysts predict.
Since this is a high-level overview, we won’t go into the details of Greatland Gold’s upcoming projects; However, keep in mind that a mining and metals business typically has irregular cash flows depending on the natural resource extracted and the stage in which the business is operating. Therefore, a high growth rate is not uncommon, especially when a company is in an investment period.
Before closing, there is one problem worth mentioning. Greatland Gold currently has a debt to equity ratio of more than 2x. In general, the general rule is that the debt should not exceed 40% of its capital, which in this case, the company has significantly exceeded. Keep in mind that a higher debt obligation increases the risk of investing in the loss-making company.
There are too many aspects of Greatland Gold to cover in a short article, but the company’s key fundamentals can be found in one place: the Greatland Gold company page on Simply Wall St. We’ve also put together a list of relevant facts. you should look at:
1.Valuation: How much is Greatland Gold worth today? Has future growth potential already been factored into the price? The basic value infographic in our free research report helps to visualize whether Greatland Gold is currently undervalued by the market.
2.Management Team – An experienced management team at the helm increases our confidence in the business – take a look at who sits on Greatland Gold’s board and the background of the CEO.
3.Other high-yield stocks: Are there other stocks that offer better prospects with a proven track record? Browse our free list of these great stocks here.
Greatland Gold plc (LON: GGP) share price was mute after announcing the results of its 2022 drilling campaign at its wholly owned Scallywag project in the Pater son region of Western Australia.