ASX:CGM Income Statement Mar 17th 18
We can further assess Cougar Metals’s loss by looking at what the industry has been experiencing over the past few years. Each year, for the last five years Cougar Metals has seen an annual decline in revenue of -40.94%, on average. This adverse movement is a driver of the company’s inability to reach breakeven. Has the entire industry experienced this headwind? Scanning growth from a sector-level, the Australian metals and mining industry has been growing its average earnings by double-digit 15.35% over the past twelve months, and 13.04% over the past half a decade. This means whatever tailwind the industry is deriving benefit from, Cougar Metals has not been able to gain as much as its average peer.
What does this mean?
Cougar Metals’s track record can be a valuable insight into its earnings performance, but it certainly doesn’t tell the whole story. Companies that incur net loss is always difficult to predict what will happen in the future and when. The most useful step is to assess company-specific issues Cougar Metals may be facing and whether management guidance has consistently been met in the past. You should continue to research Cougar Metals to get a better picture of the stock by looking at:
- 1. Financial Health: Is CGM’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
- 2. Valuation: What is CGM worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether CGM is currently mispriced by the market.
- 3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
NB: Figures in this article are calculated using data from the trailing twelve months from 30 June 2017. This may not be consistent with full year annual report figures.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.