| Abacus Mining & Exploration Corporation (CVE:AME): Time For A Financial Health Check | |
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Is AME’s debt level acceptable?AME is a highly-leveraged company with debt exceeding equity by over 100%. This is not uncommon for a small-cap company given that debt tends to be lower-cost and at times, more accessible. But since AME is presently loss-making, sustainability of its current state of operations becomes a concern. Maintaining a high level of debt, while revenues are still below costs, can be dangerous as liquidity tends to dry up in unexpected downturns. Next Steps:AME’s cash flow coverage indicates it could improve its operating efficiency in order to meet demand for debt repayments should unforeseen events arise. However, its high liquidity means the company should continue to operate smoothly in the case of adverse events. Keep in mind I haven’t considered other factors such as how AME has been performing in the past. You should continue to research Abacus Mining & Exploration to get a better picture of the stock by looking at: 1. Historical Performance: What has AME’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity. 2. 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. 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.
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Abacus Mining and Exploration
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EXPLORATION STAGE |
CODE : AME.V |
ISIN : CA0025552096 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Abacus Mining is a copper and gold producing company based in Canada. Abacus Mining produces copper, gold, palladium and silver in Canada, and holds various exploration projects in Canada. Its main asset in production is AFTON in Canada and its main exploration properties are THE MONTE CARLO ZONE, DM AUDRA DEPOSIT, AFTON - AJAX CAMP and RAINBOW in Canada. Abacus Mining is listed in Canada. Its market capitalisation is CA$ 978 250 as of today (US$ 719 460, € 646 291). Its stock quote reached its highest recent level on June 07, 1996 at CA$ 1.66, and its lowest recent point on April 20, 2001 at CA$ 0.01. Abacus Mining has 39 130 000 shares outstanding. |