Andromeda Metals Limited (ADN) AI Stock Analysis

• Market Cap: AU$49.55M
• Dividend Yield: N/A
• Average Volume (3M): 15.76M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.02
• Revenue Growth: N/A
• EPS Growth: 45.16%
• Country: AU
• Employees: 3
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 3,813,343,000
• 10 Day Avg. Volume: 8,076,743
• 30 Day Avg. Volume: 15,756,871
• PEG Ratio: 0.99
• Price to Book (P/B): 2.65K
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.56K
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 38 Underperform
• Price Target: ―

The overall stock score for Andromeda Metals Limited is low primarily due to significant financial challenges, including no revenue, consistent losses, and negative cash flows. Despite a relatively strong balance sheet, the lack of profitability raises concerns about long-term sustainability. Technical analysis shows some short-term positive trends, but the valuation remains unattractive with a negative P/E ratio and no dividend yield.

Andromeda Metals Limited Business Overview & Revenue Model

Company Description

Andromeda Metals Limited (ADN) is an Australian-based exploration and development company primarily focused on the mining sector. The company specializes in the extraction and commercialization of industrial minerals, with a significant emphasis on halloysite-kaolin and high-purity alumina (HPA) products. Andromeda Metals aims to supply key materials for various high-tech applications, including ceramics, paints, and advanced battery technologies.

How the Company Makes Money

Andromeda Metals Limited generates revenue through the exploration, development, and commercialization of its mineral resources, particularly halloysite-kaolin and high-purity alumina (HPA). The company extracts these minerals from its mining projects, processes them, and sells the refined products to industries that require high-quality raw materials. Key revenue streams include the sale of halloysite-kaolin for ceramics and paints, and HPA for applications in LED lighting and battery technologies. Strategic partnerships with other mining and technology companies may also enhance Andromeda's operational capabilities and market reach, contributing to its earnings.

Andromeda Metals Limited Financial Statement Overview

Summary

Andromeda Metals Limited faces significant financial challenges with no revenue generation, consistent losses, and negative cash flows. The balance sheet remains relatively strong with low leverage, but the lack of operational cash flow and profitability raises concerns about long-term sustainability without substantial strategic shifts or capital infusions.

Income Statement

Andromeda Metals Limited has consistently reported zero total revenue over several years, indicating potential challenges in generating sales. The company has been experiencing substantial negative EBIT and net income, which highlights ongoing profitability issues. The lack of revenue growth and negative profit margins suggest significant operational challenges.

Balance Sheet

The company maintains a strong equity position, with a high equity ratio relative to total assets. The debt-to-equity ratio is low, indicating conservative leverage use. However, the persistent losses have eroded some equity value over time. Despite these challenges, the balance sheet stability offers some resilience.

Cash Flow

Andromeda Metals Limited has experienced persistent negative operating and free cash flows, indicating inadequate cash generation from operations. The free cash flow has worsened over time, reflecting escalating capital expenditures without revenue offset. This cash flow profile suggests liquidity constraints and financial pressure.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	-491.00K	-425.00K	-191.00K	-93.23K	-37.86K
EBITDA	-3.25M	-6.45M	-10.58M	-8.30M	-6.08M	-3.33M
Net Income	-3.06K	-7.27M	-9.46M	-8.73M	-6.44M	-3.45M
Balance Sheet
Total Assets	158.00M	158.07M	165.03M	174.22M	17.76M	12.69M
Cash, Cash Equivalents and Short-Term Investments	3.21M	5.44M	15.30M	32.85M	4.90M	3.00M
Total Debt	477.77K	581.34K	727.12K	846.14K	83.56K	113.88K
Total Liabilities	1.92M	3.19M	2.87M	3.03M	1.27M	778.96K
Stockholders Equity	156.07M	154.88M	162.16M	171.19M	16.49M	10.93M
Cash Flow
Free Cash Flow	―	-12.95M	-17.38M	-10.23M	-6.85M	-4.28M
Operating Cash Flow	―	-5.05M	-8.78M	-5.12M	-1.73M	-1.06M
Investing Cash Flow	―	-4.56M	-8.58M	-9.86M	-4.29M	-2.48M
Financing Cash Flow	―	-247.60K	-197.01K	42.93M	7.93M	4.87M

Andromeda Metals Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
WAF	71 Outperform	AU$2.51B	10.62	21.73%	―	9.95%	44.59%
Sector *	62 Neutral	$9.96B	9.44	-0.15%	2.98%	1.92%	-35.27%
BGL	54 Neutral	AU$1.29B	11.95	14.70%	―	861.38%	―
GML	51 Neutral	AU$11.04M	4.29	8.76%	―	―	―
KAI	46 Neutral	$81.56M	―	-6.55%	―	―	-50.00%
ADN	38 Underperform	AU$49.55M	―	-3.44%	―	―	45.16%
ARV	32 Underperform	$13.95M	―	-53.93%	―	―	-1133.33%

Andromeda Metals Limited Corporate Events

Andromeda Metals Achieves Breakthrough in Sustainable HPA Production

Andromeda Metals Limited has successfully produced high purity alumina (HPA) with a purity of 99.9985% using a novel process that is more cost-effective and less carbon-intensive than traditional methods. This breakthrough positions Andromeda to capitalize on the growing demand for HPA, which is expected to exceed supply by 2028, and enhances its market positioning by offering a sustainable production method that aligns with global trends towards lower carbon emissions.

Andromeda Metals Advances Great White Project with New Funding and Operational Progress

Andromeda Metals Limited has made significant progress in advancing the Great White Project and securing funding for its initial Stage 1A+ development. The company has entered exclusive negotiations with Merricks Capital for a debt financing facility of up to A$75 million, and has also received a $2.34 million tax refund related to research and development activities. Operational readiness and procurement of long lead items are underway, and drilling has commenced at the Chairlift Deposit to explore potential extensions. These developments position Andromeda favorably for a final investment decision, with binding offtake agreements in place to support the project’s commercial viability.

Andromeda Metals Limited Releases Half-Year Financial Report

Andromeda Metals Limited has released its financial report for the half-year ended December 31, 2024. The report includes various financial statements and declarations, providing a comprehensive overview of the company’s financial performance during this period. This release is crucial for stakeholders as it offers insights into the company’s financial health and operational efficiency, which could impact its market positioning and future strategies.

Andromeda Metals Updates on The Great White Kaolin Project

Andromeda Metals Limited has released a presentation regarding its operations and projects, specifically highlighting The Great White Kaolin Project. The company has confirmed that there have been no material changes to the assumptions and technical parameters of their mineral resource estimates. The presentation emphasizes the company’s commitment to transparency and accuracy in reporting, although it does not constitute investment advice or an offer for securities.

Andromeda Metals Issues New Shares Following Securities Conversion

Andromeda Metals Limited has announced the issuance of 1,972,789 fully paid ordinary shares, which will be quoted once the escrow lifts. This move involves the conversion of unquoted options or other convertible securities, indicating a strategic step in managing its equity and potentially impacting its financial structure and market positioning.

Andromeda Metals Sells Cobra Resources Shares for A$950,000

Andromeda Metals Limited has successfully sold its 52,010,000 shares in Cobra Resources PLC, which were acquired from the sale of its remaining 25% interest in the Wudinna Project. This transaction, completed via an off-market transfer, resulted in proceeds of A$950,000, potentially impacting Andromeda’s financial positioning and strategic focus on other projects.

Director Changes at Andromeda Metals Limited

Andromeda Metals Limited has announced that Austen Perrin has ceased to be a director of the company as of January 31, 2025. The notice details his interest in company securities, including shares and options, highlighting corporate governance practices and changes in leadership that may impact company operations and stakeholder interests.

Andromeda Metals Announces Cessation of Securities Due to Unmet Conditions

Andromeda Metals Limited announced the cessation of 5,918,367 securities due to unmet conditions, which may affect their capital structure and market position. The lapse of these securities could influence investor perception and future capital-raising efforts, impacting the company’s strategic operations and stakeholder interests.