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Morella Corporation (AU:1MC)
ASX:1MC
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Morella Corporation (1MC) AI Stock Analysis

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AU

Morella Corporation

(Sydney:1MC)

Rating:44Neutral
Price Target:
AU$0.00
▼(-100.00%Downside)
The company's financial performance is the most significant factor, with persistent losses and high debt severely impacting the score. Technical analysis suggests bearish momentum but potential for reversal, while valuation metrics indicate possible undervaluation. However, financial challenges overshadow potential positives.

Morella Corporation (1MC) vs. iShares MSCI Australia ETF (EWA)

Morella Corporation Business Overview & Revenue Model

Company DescriptionMorella Corporation Limited, an exploration and resource development company, focuses on the exploration and development of lithium and battery minerals in Australia and the United States. It operates through Exploration Services and Mineral Exploration segments. The company holds a 51% interest in the Mallina Lithium Project located within the northern Pilbara, Western Australia; and a 60% interest and right to acquire a 100% interest in the Fish Lake Valley Lithium Project located in Esmeralda County, west-central Nevada, the United States. It also provides drilling services primarily to mining and exploration companies. The company was formerly known as Altura Mining Limited and changed its name to Morella Corporation Limited in December 2021. Morella Corporation Limited was incorporated in 2000 and is based in West Perth, Australia.
How the Company Makes Money

Morella Corporation Financial Statement Overview

Summary
Morella Corporation faces financial difficulties characterized by persistent losses, high leverage, and cash flow challenges. Negative net income, declining margins, negative cash flow from operations, and high debt-to-equity ratio highlight financial instability.
Income Statement
25
Negative
The income statement shows significant challenges, with negative net income and declining EBIT and EBITDA margins over the years. Gross Profit Margin is low at 16.5%, and the Net Profit Margin is negative, indicating losses. Revenue growth is minimal, showing a 9.7% increase from the prior year, but this is overshadowed by consistent net losses.
Balance Sheet
35
Negative
The balance sheet reveals a high debt-to-equity ratio of 0.45, indicating leverage concerns. Return on Equity is negative due to net losses, which is concerning. Equity Ratio stands at 60.7%, showing reliance on equity financing, but overall financial health is weakened by continuous losses and high debt levels.
Cash Flow
20
Very Negative
Cash flow from operations is negative, and free cash flow is declining, reflecting cash constraints. The Free Cash Flow to Net Income ratio is unfavorable due to negative figures, and the Operating Cash Flow to Net Income ratio is similarly negative, indicating poor cash generation relative to net losses.
BreakdownJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income Statement
Total Revenue526.20K479.73K288.94K133.38K104.05M
Gross Profit86.84K76.03K-194.09K-290.71K-6.86M
EBITDA-2.63M-2.36M219.08K-13.09M-16.05M
Net Income-2.99M-2.85M-681.01K-72.80M-93.74M
Balance Sheet
Total Assets12.87M16.83M10.19M7.24M341.89M
Cash, Cash Equivalents and Short-Term Investments1.09M9.46M7.18M6.06M2.32M
Total Debt3.53M3.39M3.35M3.54M211.25M
Total Liabilities4.64M5.29M4.82M6.50M276.91M
Stockholders Equity7.81M11.18M5.10M491.37K64.76M
Cash Flow
Free Cash Flow-8.64M-4.48M-4.76M-5.73M-48.88M
Operating Cash Flow-3.05M-1.81M-2.99M-4.74M-42.76M
Investing Cash Flow-4.36M-2.66M-1.28M201.42M-5.81M
Financing Cash Flow-86.82K8.10M8.02M-198.14M41.48M

Morella Corporation Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.02
Price Trends
50DMA
0.02
Negative
100DMA
0.02
Negative
200DMA
0.02
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
41.76
Neutral
STOCH
33.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:1MC, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and below the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 41.76 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:1MC.

Morella Corporation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (44)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AU1MC
44
Neutral
$5.89M1.3345.51%-3.56%
44
Neutral
C$967.00M-6.65-13.73%2.47%17.55%-32.57%
DEH4R
€1.88M-9.18%
DE39G
€2.60M-9.68%
DEUW6
AUCAZ
55
Neutral
AU$9.23M-25.02%-285.71%
AUALB
45
Neutral
AU$9.50M-23.13%-15.22%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:1MC
Morella Corporation
0.02
-0.03
-65.91%
DE:H4R
Helix Resources Limited
DE:39G
Zinc of Ireland NL
0.02
0.00
0.00%
DE:UW6
Anax Metals Limited
AU:ALB
Albion Resources Ltd.
0.07
0.01
16.67%
AU:CAZ
Cazaly Resources Limited
0.02
0.00
0.00%

Morella Corporation Corporate Events

Morella Corporation Announces Director’s Interest Change
Jul 15, 2025

Morella Corporation Limited has announced a change in the director’s interest in securities, specifically involving James Brown. The change reflects an acquisition of 2,177,987 fully paid ordinary shares, acquired in lieu of directors’ fees as approved at the Extraordinary General Meeting on May 2, 2025. This change indicates a strategic alignment of director compensation with company performance, potentially impacting stakeholder perceptions positively.

Morella Corporation Issues Shares to Directors in Strategic Move
Jul 14, 2025

Morella Corporation Limited has issued 3,922,076 fully paid ordinary shares to its directors in lieu of cash payments for fees. This move, approved by shareholders at the Extraordinary General Meeting, reflects the company’s strategic decision to manage its financial obligations through equity rather than cash, potentially impacting its cash flow and shareholder equity structure.

Morella Corporation Announces Quotation of New Securities
Jul 11, 2025

Morella Corporation Limited has announced the application for the quotation of 3,922,076 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code 1MC. This move is part of a previously announced transaction, reflecting the company’s ongoing efforts to enhance its market presence and provide value to its stakeholders.

Morella Corporation Director Increases Shareholding
Jun 23, 2025

Morella Corporation Limited has announced a change in the director’s interest, specifically regarding Allan Buckler. The company disclosed that Buckler acquired 500,000 fully paid ordinary shares through an on-market transaction, increasing his indirect holdings to 58,012,431 shares. This acquisition, valued at $8,723, reflects a strategic move that could impact the company’s stock market positioning and stakeholder interests.

Morella Corporation Advances Rubidium Extraction at Mt Edon Project
Jun 18, 2025

Morella Corporation has partnered with Edith Cowan University to conduct a feasibility study on rubidium extraction at the Mt Edon Project, aiming to enhance recovery and purification techniques. Despite delays due to weather and land access issues, the company has progressed with strategic planning and technical collaboration, receiving necessary approvals to initiate a resource definition drilling program. Recent exploration results have confirmed the presence of rubidium and lithium, with significant mineralisation identified, underscoring the project’s strategic importance in the region.

Morella Corporation Issues Shares to Canaccord Genuity
Jun 4, 2025

Morella Corporation Limited has issued 1,500,000 fully paid ordinary shares to Canaccord Genuity in lieu of cash payments for services as Lead Manager and Bookrunner for a previous capital raising. This strategic move aligns with Morella’s ongoing compliance with financial regulations and enhances its operational capabilities without requiring additional cash outflows.

Morella Corporation Expands Market Presence with New Securities Quotation
Jun 3, 2025

Morella Corporation Limited has announced the quotation of 1,500,000 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code 1MC, as part of a previously announced transaction. This move is expected to enhance the company’s market presence and liquidity, potentially benefiting stakeholders by increasing the accessibility of its shares.

Morella Corporation Announces Proposed Securities Issue
Jun 2, 2025

Morella Corporation Limited has announced a proposed issue of 1,500,000 ordinary fully paid securities, with the issuance date set for June 4, 2025. This move is part of a placement or other type of issue, which may impact the company’s market positioning and stakeholder interests as it seeks to raise capital through the Australian Securities Exchange (ASX).

Director’s Interest in Morella Corporation Increases
May 14, 2025

Morella Corporation Limited has announced a change in the director’s interest, specifically for Director B T Kuan. The director has increased their holdings significantly, acquiring a total of 3,023,306 fully paid ordinary shares. This acquisition was made through a capital raising initiative and as compensation in lieu of director’s fees, both approved at the Extraordinary General Meeting on May 2, 2025. This change in interest could potentially strengthen the director’s alignment with shareholder interests and may indicate confidence in the company’s future performance.

Morella Corporation Issues Shares to Directors in Lieu of Fees
May 9, 2025

Morella Corporation Limited has issued 4,874,616 fully paid ordinary shares to its directors as a substitute for cash payments for fees. This move, approved by shareholders at an Extraordinary General Meeting, reflects the company’s compliance with its reporting and disclosure obligations under the Corporations Act 2001.

Morella Corporation Expands Market Presence with New Securities Quotation
May 9, 2025

Morella Corporation Limited has announced the application for the quotation of 4,874,616 ordinary fully paid securities on the ASX, effective May 9, 2025. This move is part of previously announced transactions and could enhance the company’s market presence and liquidity, potentially impacting stakeholders positively by increasing the tradability of its shares.

Morella Corporation Issues New Shares to Related Party Investors
May 8, 2025

Morella Corporation Limited, a company listed on the Australian Securities Exchange, has issued 27,866,790 fully paid ordinary shares at A$0.026 per share to related party investors. This issuance was approved at the Extraordinary General Meeting of Shareholders and aligns with the company’s compliance with its regular reporting and disclosure obligations under the Corporations Act 2001.

Morella Corporation Announces Quotation of New Securities on ASX
May 7, 2025

Morella Corporation Limited has announced the quotation of 27,866,790 ordinary fully paid securities on the Australian Securities Exchange (ASX) as of May 7, 2025. This move is part of a previously announced transaction and signifies a strategic step in enhancing the company’s market presence and liquidity, potentially impacting shareholder value and market perception.

Morella Corporation’s EGM Resolutions Passed, Strengthening Strategic Position
May 2, 2025

Morella Corporation Limited announced that all resolutions at its Extraordinary General Meeting were passed by shareholders. The successful approval of these resolutions, including the ratification and issuance of placement shares to related parties, signifies a strategic move to strengthen Morella’s financial position and support its ongoing projects in the battery minerals sector.

Morella Corporation Advances Exploration Activities in Western Australia
Apr 29, 2025

Morella Corporation has made significant progress in its exploration activities during the March 2025 quarter, particularly at the Mt Edon and West Wodgina projects. The company has advanced drilling preparations at the Sophie Pegmatite and confirmed lithium mineralization at the Mallina Exploration site. These developments indicate promising prospects for mineralization, enhancing Morella’s position in the mineral exploration industry and potentially benefiting stakeholders through increased resource potential.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 26, 2025