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AusQuest Limited (AU:AQD)
ASX:AQD
Australian Market

AusQuest Limited (AQD) AI Stock Analysis

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AU:AQD

AusQuest Limited

(Sydney:AQD)

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Neutral 51 (OpenAI - 5.2)
Rating:51Neutral
Price Target:
AU$0.08
▲(60.00% Upside)
The score is held back primarily by weak profitability and ongoing cash burn despite a stronger, low-debt balance sheet. Technicals are supportive given price strength above key moving averages and a positive MACD, but overbought signals add near-term risk. Valuation is constrained by negative earnings and no dividend yield data.
Positive Factors
Low Leverage / Strong Balance Sheet
Zero reported debt and a materially larger equity base provide durable financial flexibility for an exploration company, lowering insolvency risk and enabling the firm to fund staged drilling or pursue farm-outs without immediate reliance on costly debt markets.
Asset-focused Exploration Model
A clear, asset-centric business model (targeting copper and gold across owned tenements) is durable: value creation is driven by discovery, resource definition and transaction outcomes, aligning incentives to de-risk projects and crystallize value via JV/farm-outs or asset sales.
Lean Operating Structure
A very small employee base implies low fixed overhead, allowing capital to be concentrated into exploration activities and target advancement. That lean structure helps preserve runway between raises and supports capital-efficient testing of multiple targets over months.
Negative Factors
Persistent Cash Burn
Sustained negative operating and free cash flow is a structural risk for a non-producing explorer: continual cash burn requires recurrent funding rounds or partner financing, raising dilution risk and potentially constraining the pace of exploration and project advancement over the medium term.
Consistent Operating Losses
Ongoing negative EBIT/EBITDA and a deteriorating net margin show the company is not yet generating operational returns. For a capital-intensive exploration business, persistent losses reduce the ability to self-fund growth and increase dependence on capital markets or partners for multi-stage programs.
No Recurring Revenue / Non-producing Asset Base
Reliance on exploration outcomes rather than production creates structural revenue volatility: until discoveries are converted into producing assets or monetized via transactions, the company lacks stable cashflow, elevating execution and funding risk over the medium term.

AusQuest Limited (AQD) vs. iShares MSCI Australia ETF (EWA)

AusQuest Limited Business Overview & Revenue Model

Company DescriptionAusQuest Limited explores and evaluates mineral resources in Australia and Peru. The company explores for copper, iron oxide, gold, zinc, and nickel deposits. It holds approximately 7,300km² of exploration title within Australia, which includes 6,800km² within Western Australia and 500km² within Queensland. The company was incorporated in 2000 and is based in Ardross, Australia.
How the Company Makes MoneyAusQuest Limited makes money primarily through its exploration activities by identifying and developing mineral deposits that may be sold or optioned to major mining companies. The company engages in joint venture partnerships, notably with South32, a key partner that provides funding for exploration projects in exchange for potential future interest in the discoveries. Revenue is generated when mineral exploration projects are optioned, sold, or advanced to a stage where larger mining companies take interest and invest in further development. AusQuest's financial model relies on successful exploration outcomes and strategic partnerships to monetize its mineral discoveries.

AusQuest Limited Financial Statement Overview

Summary
Balance sheet is a relative strength with zero debt and a larger equity base in FY2025, but operating performance is weak: EBIT/EBITDA are negative across periods, FY2025 net margin fell to -3.26%, and cash flow is a major risk with negative operating cash flow and deeply negative free cash flow (about -8.13M in FY2025).
Income Statement
34
Negative
Revenue rebounded strongly in FY2025 (up 75.27% year over year), but profitability remains weak and volatile. EBIT and EBITDA have been consistently negative across all periods shown, and FY2025 net profit margin deteriorated sharply to -3.26% (from +1.27% in FY2024). While gross margin appears unusually high (near 100% in FY2024–FY2025), operating losses suggest overheads and project/exploration-type costs continue to outweigh the revenue base.
Balance Sheet
71
Positive
The balance sheet is a clear relative strength with minimal leverage: total debt is 0 in FY2025 and the debt-to-equity ratio is effectively negligible across the history provided. Equity increased meaningfully in FY2025 (to ~16.6M from ~7.8M), supporting financial flexibility. The main weakness is returns: return on equity fell to -9.73% in FY2025, reflecting that the capital base is not currently generating sustainable earnings.
Cash Flow
27
Negative
Cash generation is pressured. Operating cash flow has been negative in most years (including FY2024 and FY2025), indicating ongoing cash burn from operations. Free cash flow is deeply negative every year shown and worsened to about -8.13M in FY2025 (from about -4.52M in FY2024), implying heavier spending and/or weaker working-capital dynamics. Although free cash flow growth is positive in FY2025, the absolute level remains a key risk given the continued need for funding support.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue494.59K494.59K201.94K1.09M648.66K1.02M
Gross Profit96.33K494.59K201.94K995.81K529.64K966.15K
EBITDA-2.01M-1.31M-1.59M-480.00K-2.28M-2.09M
Net Income-1.61M-1.61M256.73K361.98K-1.46M-1.28M
Balance Sheet
Total Assets18.61M18.61M8.48M9.65M8.49M9.39M
Cash, Cash Equivalents and Short-Term Investments7.20M7.20M1.07M3.73M3.88M5.41M
Total Debt0.000.0089.59K0.0087.68K23.20K
Total Liabilities2.05M2.05M686.40K1.34M1.05M1.48M
Stockholders Equity16.56M16.56M7.80M8.31M7.43M7.92M
Cash Flow
Free Cash Flow-3.19M-8.13M-4.52M-8.00M-7.24M-6.15M
Operating Cash Flow-833.91K-833.91K-964.09K103.48K-339.70K53.23K
Investing Cash Flow-2.85M-2.85M-1.61M-184.90K-1.18M-95.11K
Financing Cash Flow9.82M9.82M-93.00K-90.00K-90.57K2.77M

AusQuest Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
51
Neutral
AU$101.03M-52.50-13.23%-20.00%
50
Neutral
AU$147.57M-42.42-5.35%58.54%
50
Neutral
AU$50.29M-10.53-13.23%-86.89%
47
Neutral
AU$60.88M-4.82-12.99%
44
Neutral
AU$365.69M-14.12-77.68%22.73%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:AQD
AusQuest Limited
0.06
0.03
80.00%
AU:ARL
Ardea Resources
0.70
0.31
81.82%
AU:SGQ
St. George Mining Ltd.
0.10
0.07
242.86%
AU:IMA
Image Resources NL
0.06
-0.04
-40.22%
AU:DME
Dome Gold Mines Ltd.
0.12
-0.05
-31.43%

AusQuest Limited Corporate Events

AusQuest Seeks ASX Quotation for 3.5 Million New Shares
Jan 30, 2026

AusQuest Limited has applied to the ASX for quotation of 3,501,203 new ordinary fully paid shares, expanding its listed capital base under the code AQD. The new securities, issued on 30 January 2026 following the exercise or conversion of existing options or other convertible instruments, modestly increase the company’s free float and could enhance liquidity for investors, signalling continued shareholder engagement and support for the company’s activities.

The most recent analyst rating on (AU:AQD) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on AusQuest Limited stock, see the AU:AQD Stock Forecast page.

AusQuest Expands Cangallo Copper-Gold System and Secures Funding for Accelerated Drilling
Jan 27, 2026

AusQuest Limited advanced its flagship Cangallo copper-gold project in Peru during the December 2025 quarter, with Stage 3 reverse circulation drilling extending the porphyry system more than 500 metres to the south and diamond drilling confirming mineralisation to depths exceeding 800 metres, including a 555-metre intercept grading 0.26% copper and 0.06g/t gold from near surface. The company raised $10 million in a placement to accelerate and expand drilling at Cangallo, initiated permitting for further RC drilling and additional Peruvian copper prospects, and progressed a suite of Australian projects, including new drill programs at Balladonia, high-grade magnetite results at Morrisey, planned IOCG drilling at Coober Pedy in Q2 2026, and reconnaissance drilling at Mt Davis, while also extending its Strategic Alliance Agreement with South32 to December 2027, underscoring continued funding support and exploration momentum across its portfolio.

The most recent analyst rating on (AU:AQD) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on AusQuest Limited stock, see the AU:AQD Stock Forecast page.

AusQuest Seeks ASX Quotation for Additional Ordinary Shares
Jan 16, 2026

AusQuest Limited has applied to the ASX for quotation of 7,000 new fully paid ordinary shares, to be traded under its existing code AQD. The modest issuance arises from the exercise or conversion of existing options or other convertible securities, slightly increasing the company’s quoted capital base and providing a small incremental boost to equity without materially altering its market position or capital structure.

The most recent analyst rating on (AU:AQD) stock is a Hold with a A$0.06 price target. To see the full list of analyst forecasts on AusQuest Limited stock, see the AU:AQD Stock Forecast page.

AusQuest Expands Scale of Copper-Gold Mineralisation at Cangallo in Peru
Jan 5, 2026

AusQuest Limited reports that recent diamond and reverse circulation drilling at its 100%-owned Cangallo porphyry copper-gold discovery in Peru has substantially expanded the known extent of copper mineralisation. Diamond drilling has extended the mineralised vein system to depths of over 800 metres, while Stage 3 RC drilling has intersected copper oxides and sulphides more than 500 metres south of earlier work, increasing the strike length of the porphyry system to more than one kilometre north–south. Copper occurs in stockwork veins, veinlets and mineralised porphyry dykes, with oxide minerals logged to depths beyond 300 metres and sulphides beyond 800 metres. Samples from the RC program have been dispatched for laboratory analysis, with assay results expected later in January to guide the next phase of diamond drilling, potentially influencing AusQuest’s resource definition strategy and the project’s future development pathway.

The most recent analyst rating on (AU:AQD) stock is a Hold with a A$0.05 price target. To see the full list of analyst forecasts on AusQuest Limited stock, see the AU:AQD Stock Forecast page.

AusQuest Lets 3 Million Performance Rights Expire, Trimming Capital Structure
Jan 5, 2026

AusQuest Limited has announced the cessation of 3,000,000 performance rights (ASX code AQDAF) following their expiry on 31 December 2025 without being exercised or converted. The lapse of these securities reduces the company’s pool of outstanding performance rights, modestly simplifying its capital structure and potentially altering future dilution dynamics for existing shareholders.

The most recent analyst rating on (AU:AQD) stock is a Hold with a A$0.05 price target. To see the full list of analyst forecasts on AusQuest Limited stock, see the AU:AQD Stock Forecast page.

AusQuest Uncovers Early Signs of Sediment-Hosted Base Metals at Mt Davis
Dec 22, 2025

AusQuest Limited has reported encouraging early assay results from a nine-hole, 1,884-metre reconnaissance reverse circulation drilling program at its Mt Davis Project in Western Australia, where anomalous lead, copper and silver values indicate potential for sediment-hosted base metal mineralisation. Three holes intersected notable base metal anomalies in weathered carbonaceous cherty mud rocks associated with a VTEM electromagnetic conductor and soil geochemical anomalies, including a peak lead value of 2.8% at 80 metres depth, and the company will now work with partner South32 to determine next exploration steps, underscoring the project’s emerging prospectivity in a largely under-drilled area of the Earaheedy Basin.

AusQuest Seeks ASX Quotation for 1 Million New Ordinary Shares
Dec 19, 2025

AusQuest Limited has applied to the ASX for quotation of 1,000,000 new ordinary fully paid shares, to be listed under its existing ticker AQD. The new securities, issued on 19 December 2025, will increase the company’s quoted share capital, modestly expanding its equity base and potentially enhancing liquidity for existing and new shareholders.

AusQuest Limited Announces General Meeting and Progress Update
Dec 18, 2025

AusQuest Limited has announced a General Meeting scheduled for February 4, 2026, to be held in Perth, Australia. The company encourages shareholders to review the Notice of Meeting, which is available online, and to participate through proxy voting if they cannot attend in person. During the meeting, the Managing Director will provide an update on the company’s activities, reflecting its ongoing commitment to transparency and stakeholder engagement.

AusQuest Limited Completes Major Share Placement
Dec 15, 2025

AusQuest Limited has successfully completed the issuance of 189,787,234 fully paid ordinary shares as part of a placement announced earlier in December 2025. This move, conducted without the need for disclosure under certain sections of the Corporations Act, indicates the company’s compliance with regulatory requirements and its strategic efforts to strengthen its financial position, potentially impacting its operational capabilities and stakeholder interests.

AusQuest Limited Announces Quotation of New Securities on ASX
Dec 15, 2025

AusQuest Limited announced the quotation of 1,000,000 ordinary fully paid securities on the Australian Securities Exchange (ASX), effective December 11, 2025. This move reflects the company’s strategic efforts to leverage financial markets for capital, potentially impacting its operational capacity and market positioning.

AusQuest and South32 Extend Strategic Alliance for Exploration Projects
Dec 14, 2025

AusQuest Limited has extended its Strategic Alliance Agreement with South32 Limited for an additional two years, continuing their collaboration until December 2027. This partnership allows AusQuest to advance exploration projects to a drill-ready stage with funding from South32, which can earn a 70% interest in each project by investing US$4.5 million. The extension of this agreement highlights the successful collaboration between the two companies and reinforces AusQuest’s position in the exploration industry, potentially benefiting shareholders through continued project development and exploration success.

AusQuest Limited Announces Proposed Issue of 20 Million Unquoted Options
Dec 10, 2025

AusQuest Limited has announced a proposed issue of 20 million unquoted options, each exercisable at $0.0705 and expiring three years from the issue date. This move is part of a placement or other type of issue, with the proposed issue date set for February 9, 2026. The announcement signifies AusQuest’s strategic effort to raise capital, potentially impacting its exploration activities and financial positioning in the mining sector.

AusQuest Limited Announces Proposed Securities Issue
Dec 4, 2025

AusQuest Limited has announced a proposed issue of 22,978,724 ordinary fully paid securities, with the issue date set for February 9, 2026. This move is part of a placement or other type of issue, which could potentially enhance the company’s capital structure and support its exploration activities, thereby impacting its operations and positioning within the mining industry.

AusQuest Limited Announces Major Securities Issue
Dec 4, 2025

AusQuest Limited has announced a proposed issue of 189,787,234 fully paid ordinary securities, scheduled for December 12, 2025. This move is part of the company’s strategy to raise capital, potentially impacting its financial standing and offering new opportunities for stakeholders as it seeks to strengthen its market position.

AusQuest Secures $10M for Cangallo Project Expansion
Dec 4, 2025

AusQuest Limited announced a successful capital raising of A$10 million through a placement of approximately 212.8 million new shares, supported by both new and existing shareholders, including international resource-focused institutions. The funds will be used to expand Stage 3 drilling at the Cangallo Copper-Gold Project in Peru, aiming to extend mineralization and locate the center of the porphyry system, potentially enhancing copper grades. This strategic move is seen as a pivotal step in AusQuest’s growth strategy, reflecting strong market confidence in the project’s potential and marking a transformative phase for the company.

AusQuest Limited Requests Trading Halt for Imminent Capital Raise Announcement
Dec 2, 2025

AusQuest Limited, a company listed on the Australian Securities Exchange, has requested a trading halt on its securities pending an announcement concerning a proposed material capital raise. This trading halt is expected to last until the announcement is made, which will be no later than the start of trading on December 5, 2025. The halt is intended to allow the company to prepare and release information regarding the capital raise, which could have significant implications for its financial strategy and market positioning.

AusQuest Limited Announces Quotation of New Securities on ASX
Nov 28, 2025

AusQuest Limited has announced the quotation of 553,333 ordinary fully paid securities on the Australian Securities Exchange (ASX), effective November 28, 2025. This move follows the exercise of options or conversion of other convertible securities, potentially enhancing the company’s capital structure and market presence.

AusQuest Limited Successfully Passes All AGM Resolutions
Nov 18, 2025

AusQuest Limited held its Annual General Meeting on November 18, 2025, where all proposed resolutions were passed. Key outcomes included the adoption of the Remuneration Report, re-election of Mr. Christopher Ellis as a Director, approval of a 10% Placement Facility, and adoption of an Employee Securities Incentive Plan. These decisions are likely to support AusQuest’s strategic objectives and enhance its operational capabilities, potentially impacting its market positioning positively.

AusQuest Limited Issues New Securities to Boost Exploration Efforts
Nov 14, 2025

AusQuest Limited has announced the issuance of 100,025 ordinary fully paid securities, which will be quoted on the Australian Securities Exchange (ASX) under the code AQD. This move is part of the company’s strategic efforts to enhance its capital structure and support its ongoing exploration activities, potentially impacting its market positioning and providing opportunities for stakeholders.

AusQuest Commences Stage 3 Drilling at Cangallo Discovery
Nov 13, 2025

AusQuest Limited has announced the commencement of Stage 3 Reverse Circulation (RC) drilling at its Cangallo Porphyry Copper Gold discovery in Peru. The program aims to expand copper and gold mineralization to the south of current drill coverage, where geological data suggests the center of the porphyry system is located. The drilling is expected to take 4 to 6 weeks, with final assays available approximately 4 weeks after completion. This expansion could potentially double the resource size, significantly impacting the company’s operations and positioning within the mining industry.

AusQuest Expands Cangallo Copper-Gold Discovery Depth
Nov 11, 2025

AusQuest Limited has announced a significant expansion of its Cangallo Porphyry Copper-Gold discovery in Peru, with diamond drilling more than doubling the known depth of copper mineralisation to over 800 meters. This development indicates a large-scale porphyry system, with strong evidence of a mineralised porphyry center nearby. The ongoing drilling efforts, including a second diamond drill hole and upcoming Stage 3 RC drilling, aim to further delineate the extent of the system, potentially enhancing the company’s resource base and strengthening its position in the mining sector.

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: Jan 17, 2026