* Note: Prices are in Million (M) USD.
Description:
NovaGold Resources Inc. is a prominent exploration and development company based in Vancouver, Canada, with a strong emphasis on gold mineral properties. The company is primarily advancing its flagship Donlin Gold project in Alaska, which is considered one of the largest and highest-grade gold reserves in the world. Committed to sustainable practices and active community engagement, NovaGold seeks to ensure responsible mineral resource development while enhancing shareholder value within a favorable gold market. With a strategic focus on innovative exploration techniques and operational excellence, the company is well-positioned to benefit from the growing global demand for gold.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $9 M
Debt : $163 M
EBITDA : $-75 M
Net Debt (Debt - Cash): $154 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Energy & transportation
Industry: Gold and silver ores
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 20 overlapping fiscal years (max 20).Average Free Cash Flow: $-78 M
Average Revenue: $1 M
Revenue Converted To Free Cash Flow (%): -9,025.8%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-11-30): $0 M
Revenue 5 Years Ago (2019-11-30): $0 M
Total Growth over 5 Years: 0.0%
5-Year Revenue CAGR (Historical): 0.0%
Forward 5-Year CAGR (Tapered): 0.0%
Since historical Revenue CAGR is between 0 - 5, 1 point assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-11-30): $334 M
Share Count 5 Years Ago (2020-11-30): $329 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $-0.19
Trailing 12-Month Earnings Per Share (EPS): $0.00
Average Earnings Per Share (EPS): $0.00
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0.00%
⚠️ Caution: Negative earnings detected — Further research is recommended - Next Fiscal Yr EPS: $-0.19
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 18 valid ROE years (max 20).Average ROE: -35.8%
Since Average ROE is non-positive, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $8.53
52-Week Low: $2.26
Threshold Price (15% Above 52-Week Low): $2.60
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $3,548 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
No positive free cash flow found (TTM or annual) to compute Owners' Earnings per share.
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 7 points to above NovaGold Resources Inc (NG) stock.
Last 1 Years Avg PE 26.99, Fair Value PE 9, Industry Based PE 10, Risk-Free Anchored PE (25% MoS) 18.47. Based on these 4 values, average assigned is 16.12. The fair value of NovaGold Resources Inc (NG) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
