Latest news with #K92Mining
Yahoo
2 days ago
- Business
- Yahoo
Double Your Money? Top 2 Canadian Stocks in a Tariff-Sensitive Market
Written by Christopher Liew, CFA at The Motley Fool Canada Tariffs are unwelcome in financial markets and disliked by investors. These duties disrupt trade, alter the investment landscape, and heighten volatility. Fortunately, not all sectors have incurred losses due to tariff chaos. Canada's main stock index advanced nearly 7.2% in the last three months, notwithstanding the U.S.-initiated trade war. As of June 4, 2025, 8 of the TSX's 11 primary sectors are in positive territory. The materials sector is the top performer year-to-date (+18.3%), while industrials have been steady (+5.4%). Notably, one stock from each sector is among the top Canadian stocks in a tariff-sensitive market. K92 Mining (TSX:KNT) and Magellan Aerospace (TSX:MAL) have delivered outsized gains thus far this year. Given their astronomical returns, you can double your money by investing in either stock. Their total returns in one year are 110.2%-plus and 110.6%-plus, respectively. K92 Mining, based in Vancouver, owns the Kainantu Goldmine in Papua New Guinea. The $3.6 billion gold producer aims to become a mid-tier one producer. Given six consecutive years of gold production growth, the goal is highly achievable. But why is this mining stock outperforming in 2025? Gold stocks, such as K92, serve as proxies for the physical precious metal and safety nets for tariff-weary investors. Second, the high-grade, high-margin gold mine in Papua New Guinea offers significant growth in gold resources. Third, the solid Q1 2025 financial results assure future growth. In the three months ending March 31, 2025, net earnings and earnings from mine operations soared 2,190.2% and 484.2% respectively to US$70.2 million and US$110.5 million compared to Q1 2024. Total gold production during the quarter reached 45,735 ounces, representing an 87.5% year-over-year increase. For 2025, management expects gold equivalent production of 160,000 to 185,000 ounces (AuEq), compared to the record 149,515 ounces of AuEq in 2024. KNT is no doubt a compelling gold investment opportunity. If you invest today, the share price is $15.64 (+80.2% year-to-date). Magellan Aerospace, a $971.4 million integrated aerospace company, provides complex assemblies and systems solutions for the civil aerospace and defence markets. Its customers are aircraft and engine manufacturers as well as space agencies. Had you invested $7,000 one year ago, your money would be $14,480.40 today. MAL currently trades at $16.88 per share (+68% year-to-date) and pays a modest dividend yield of 1.2%. According to management, U.S. tariffs have created the potential for a new form of turbulence. Nonetheless, Magellan reported better-than-expected financial results for the start of the year. In Q1 2025, total revenues and net income increased 10.9% and 71.4% year-over-year respectively to $260.9 million and $10.8 million. If trade tensions persist, tariffs could impact the commercial aircraft manufacturing market. However, the strong demand in the defence market should continue to provide manufacturers with secure order books for the foreseeable future. Moreover, the modernization of armed forces globally is a positive factor. On April 30, 2025, Magellan signed long-term agreements (LTAs) with Pratt & Whitney (Canada), an RTX business. The LTAs, including a blend of contract extensions to legacy agreements, enhance Magellan's position in the supply chain. Take your pick between K92 Mining and Magellan Aerospace. The former has a clear path to becoming a mid-tier one gold producer. On the other hand, the latter has the makings of an aerospace industry powerhouse. The post Double Your Money? Top 2 Canadian Stocks in a Tariff-Sensitive Market appeared first on The Motley Fool Canada. Before you buy stock in K92 Mining, consider this: The Motley Fool Stock Advisor Canada analyst team just identified what they believe are the Top Stocks for 2025 and Beyond for investors to buy now… and K92 Mining wasn't one of them. The Top Stocks that made the cut could potentially produce monster returns in the coming years. Consider MercadoLibre, which we first recommended on January 8, 2014 ... if you invested $1,000 in the 'eBay of Latin America' at the time of our recommendation, you'd have $21,345.77!* Stock Advisor Canada provides investors with an easy-to-follow blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month – one from Canada and one from the U.S. The Stock Advisor Canada service has outperformed the return of S&P/TSX Composite Index by 24 percentage points since 2013*. See the Top Stocks * Returns as of 4/21/25 More reading Made in Canada: 5 Homegrown Stocks Ready for the 'Buy Local' Revolution [PREMIUM PICKS] Market Volatility Toolkit Best Canadian Stocks to Buy in 2025 Beginner Investors: 4 Top Canadian Stocks to Buy for 2025 5 Years From Now, You'll Probably Wish You Grabbed These Stocks Subscribe to Motley Fool Canada on YouTube Fool contributor Christopher Liew has no position in any of the stocks mentioned. The Motley Fool recommends RTX. The Motley Fool has a disclosure policy. 2025
Yahoo
28-05-2025
- Business
- Yahoo
Returns On Capital Are A Standout For K92 Mining (TSE:KNT)
What are the early trends we should look for to identify a stock that could multiply in value over the long term? Firstly, we'll want to see a proven return on capital employed (ROCE) that is increasing, and secondly, an expanding base of capital employed. Put simply, these types of businesses are compounding machines, meaning they are continually reinvesting their earnings at ever-higher rates of return. So when we looked at the ROCE trend of K92 Mining (TSE:KNT) we really liked what we saw. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. To calculate this metric for K92 Mining, this is the formula: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.41 = US$258m ÷ (US$721m - US$95m) (Based on the trailing twelve months to March 2025). Thus, K92 Mining has an ROCE of 41%. That's a fantastic return and not only that, it outpaces the average of 4.1% earned by companies in a similar industry. See our latest analysis for K92 Mining In the above chart we have measured K92 Mining's prior ROCE against its prior performance, but the future is arguably more important. If you're interested, you can view the analysts predictions in our free analyst report for K92 Mining . The trends we've noticed at K92 Mining are quite reassuring. The data shows that returns on capital have increased substantially over the last five years to 41%. The amount of capital employed has increased too, by 352%. So we're very much inspired by what we're seeing at K92 Mining thanks to its ability to profitably reinvest capital. A company that is growing its returns on capital and can consistently reinvest in itself is a highly sought after trait, and that's what K92 Mining has. And a remarkable 258% total return over the last five years tells us that investors are expecting more good things to come in the future. Therefore, we think it would be worth your time to check if these trends are going to continue. Since virtually every company faces some risks, it's worth knowing what they are, and we've spotted 2 warning signs for K92 Mining (of which 1 is potentially serious!) that you should know about. If you'd like to see other companies earning high returns, check out our free list of companies earning high returns with solid balance sheets here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
25-04-2025
- Business
- Yahoo
Here's Why We Think K92 Mining (TSE:KNT) Is Well Worth Watching
Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks' without any revenue, let alone profit. But the reality is that when a company loses money each year, for long enough, its investors will usually take their share of those losses. Loss-making companies are always racing against time to reach financial sustainability, so investors in these companies may be taking on more risk than they should. So if this idea of high risk and high reward doesn't suit, you might be more interested in profitable, growing companies, like K92 Mining (TSE:KNT). While profit isn't the sole metric that should be considered when investing, it's worth recognising businesses that can consistently produce it. We've discovered 2 warning signs about K92 Mining. View them for free. If a company can keep growing earnings per share (EPS) long enough, its share price should eventually follow. That means EPS growth is considered a real positive by most successful long-term investors. K92 Mining's shareholders have have plenty to be happy about as their annual EPS growth for the last 3 years was 56%. Growth that fast may well be fleeting, but it should be more than enough to pique the interest of the wary stock pickers. It's often helpful to take a look at earnings before interest and tax (EBIT) margins, as well as revenue growth, to get another take on the quality of the company's growth. The good news is that K92 Mining is growing revenues, and EBIT margins improved by 20.5 percentage points to 47%, over the last year. Both of which are great metrics to check off for potential growth. In the chart below, you can see how the company has grown earnings and revenue, over time. Click on the chart to see the exact numbers. See our latest analysis for K92 Mining While we live in the present moment, there's little doubt that the future matters most in the investment decision process. So why not check this interactive chart depicting future EPS estimates, for K92 Mining? It should give investors a sense of security owning shares in a company if insiders also own shares, creating a close alignment their interests. So it is good to see that K92 Mining insiders have a significant amount of capital invested in the stock. Indeed, they hold US$61m worth of its stock. This considerable investment should help drive long-term value in the business. Despite being just 2.0% of the company, the value of that investment is enough to show insiders have plenty riding on the venture. K92 Mining's earnings per share growth have been climbing higher at an appreciable rate. That sort of growth is nothing short of eye-catching, and the large investment held by insiders should certainly brighten the view of the company. The hope is, of course, that the strong growth marks a fundamental improvement in the business economics. Based on the sum of its parts, we definitely think its worth watching K92 Mining very closely. Still, you should learn about the 2 warning signs we've spotted with K92 Mining (including 1 which is a bit concerning). While opting for stocks without growing earnings and absent insider buying can yield results, for investors valuing these key metrics, here is a carefully selected list of companies in CA with promising growth potential and insider confidence. Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
31-03-2025
- Business
- Yahoo
3 TSX Stocks Possibly Trading At Discounts Of Up To 28.2%
As the Canadian market navigates through trade uncertainty and inflation concerns, investors are closely watching the impact of newly announced tariffs on economic growth. Amidst this volatility, identifying stocks that may be trading at a discount can offer potential opportunities for value-focused investors seeking to balance risk and reward in their portfolios. Name Current Price Fair Value (Est) Discount (Est) Savaria (TSX:SIS) CA$16.26 CA$30.40 46.5% K92 Mining (TSX:KNT) CA$11.99 CA$19.99 40% Tantalus Systems Holding (TSX:GRID) CA$2.00 CA$3.90 48.7% Lithium Royalty (TSX:LIRC) CA$5.07 CA$9.27 45.3% Wishpond Technologies (TSXV:WISH) CA$0.285 CA$0.55 48% Electrovaya (TSX:ELVA) CA$3.41 CA$5.92 42.4% illumin Holdings (TSX:ILLM) CA$2.25 CA$3.75 40% BRP (TSX:DOO) CA$48.65 CA$80.12 39.3% AtkinsRéalis Group (TSX:ATRL) CA$68.05 CA$104.40 34.8% Metalla Royalty & Streaming (TSXV:MTA) CA$4.25 CA$7.73 45% Click here to see the full list of 24 stocks from our Undervalued TSX Stocks Based On Cash Flows screener. Below we spotlight a couple of our favorites from our exclusive screener. Overview: Kinaxis Inc. offers cloud-based subscription software for supply chain operations across the United States, Europe, Asia, and Canada with a market cap of CA$4.36 billion. Operations: The company's revenue segment is primarily derived from Software & Programming, totaling $483.11 million. Estimated Discount To Fair Value: 28.2% Kinaxis is trading at CA$155.24, significantly below its estimated fair value of CA$216.36, indicating potential undervaluation based on cash flows. The company's earnings are forecast to grow substantially faster than the Canadian market, with annual profit growth expected at 60.6%. Recent strategic partnerships and AI advancements in its Maestro platform enhance supply chain capabilities for clients like Fujirebio Inc., potentially driving future revenue increases despite recent profit margin declines and impairment losses. In light of our recent growth report, it seems possible that Kinaxis' financial performance will exceed current levels. Click to explore a detailed breakdown of our findings in Kinaxis' balance sheet health report. Overview: Peyto Exploration & Development Corp. operates in the exploration, development, and production of natural gas, oil, and natural gas liquids in Alberta's deep basin with a market cap of CA$3.60 billion. Operations: The company's revenue primarily comes from its oil and gas exploration and production segment, which generated CA$857.09 million. Estimated Discount To Fair Value: 10.1% Peyto Exploration & Development trades at CA$18.1, slightly below its estimated fair value of CA$20.13, reflecting potential undervaluation based on cash flows. Despite high debt levels and a dividend yield of 7.29% not fully covered by earnings, the company's revenue and earnings are forecast to grow faster than the Canadian market at 17% and 28.5% per year respectively. Recent results show revenue growth but a slight decline in net income compared to last year. Upon reviewing our latest growth report, Peyto Exploration & Development's projected financial performance appears quite optimistic. Navigate through the intricacies of Peyto Exploration & Development with our comprehensive financial health report here. Overview: Inc. offers vertical market software and platforms in the Netherlands and internationally, with a market cap of CA$12.03 billion. Operations: The company generates revenue of €1.29 billion from its software and programming segment. Estimated Discount To Fair Value: 26.6% trading at CA$144.85, is considered undervalued with a fair value estimate of CA$197.25, suggesting a discount of over 20%. The company's earnings are projected to grow significantly at 21.8% annually, outpacing the Canadian market's growth rate of 15.2%. Recent financial results show revenue increased to EUR 1.29 billion and net income rose to EUR 91.99 million for the year ended December 2024, reflecting robust performance and potential for future growth based on cash flows. Insights from our recent growth report point to a promising forecast for business outlook. Take a closer look at balance sheet health here in our report. Click here to access our complete index of 24 Undervalued TSX Stocks Based On Cash Flows. Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes. Elevate your portfolio with Simply Wall St, the ultimate app for investors seeking global market coverage. Explore high-performing small cap companies that haven't yet garnered significant analyst attention. Diversify your portfolio with solid dividend payers offering reliable income streams to weather potential market turbulence. Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include TSX:KXS TSX:PEY and TSXV:TOI. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ Sign in to access your portfolio
