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Burgundy Diamond Mines Ltd (AU:BDM)
ASX:BDM
Australian Market
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Burgundy Diamond Mines Ltd (BDM) AI Stock Analysis

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AU:BDM

Burgundy Diamond Mines Ltd

(Sydney:BDM)

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Underperform 38 (OpenAI - 4o)
Rating:38Underperform
Price Target:
AU$0.00
▼(-100.00% Downside)
Burgundy Diamond Mines Ltd faces significant financial challenges, with profitability and cash flow issues being the most critical. The technical analysis indicates a bearish trend, and the valuation metrics are unfavorable due to the negative P/E ratio and lack of dividend yield. These factors contribute to a low overall stock score.

Burgundy Diamond Mines Ltd (BDM) vs. iShares MSCI Australia ETF (EWA)

Burgundy Diamond Mines Ltd Business Overview & Revenue Model

Company DescriptionBurgundy Diamond Mines Limited, a diamond exploration company, focuses on developing diamond projects. The company is also engaged in diamond cutting and polishing activities, as well as sells diamonds under the brand Maison Mazerea. It holds 100% interest in the Nanuk Diamond project comprising 625 mineral claims and covering an area of approximately 274 square kilometers located at East of the Ungava Bay in Northern Quebec. The company also holds an 18% interest in the La Victoria Gold-Silver project covering an area of approximately 80 square kilometers located in Peru. In addition, it has an option to acquire interests in the Naujaat Diamond project located in Canada; and the Ellendale Diamond project located in the West Kimberley region of Western Australia, as well as an exploration alliance agreement in Botswana. The company was formerly known as EHR Resources Limited and changed its name to Burgundy Diamond Mines Limited in November 2020. Burgundy Diamond Mines Limited was incorporated in 2012 and is based in Perth, Australia.
How the Company Makes MoneyBurgundy Diamond Mines Ltd generates revenue primarily through the sale of diamonds extracted from its mining operations. The company engages in the exploration, development, and production of diamond resources, with a focus on high-value deposits. Key revenue streams include the direct sale of rough and polished diamonds to retailers and wholesalers in the luxury market, as well as potential partnerships with jewelry manufacturers. Additionally, BDM may benefit from strategic collaborations with other mining companies or industry stakeholders, which can enhance its market reach and operational efficiencies. Factors contributing to its earnings also include market demand for ethically sourced diamonds and the company's ability to maintain low operational costs through efficient mining techniques and sustainable practices.

Burgundy Diamond Mines Ltd Financial Statement Overview

Summary
Burgundy Diamond Mines Ltd is experiencing strong revenue growth but faces significant profitability and cash flow challenges. High leverage and negative returns on equity suggest financial instability. The company needs to improve its profitability and cash flow management to enhance its financial health.
Income Statement
45
Neutral
Burgundy Diamond Mines Ltd has shown significant revenue growth, with a 66.98% increase in the most recent year. However, profitability remains a concern, as indicated by a negative net profit margin of -21.99% and a negative EBIT margin of -24.28%. The company is struggling to convert revenue into profit, which is a critical issue.
Balance Sheet
40
Negative
The company's debt-to-equity ratio is relatively high at 1.47, indicating a significant reliance on debt financing. The return on equity is negative, reflecting the company's inability to generate profit from shareholders' equity. The equity ratio is low, suggesting potential financial instability.
Cash Flow
30
Negative
Cash flow metrics reveal challenges, with a negative free cash flow growth rate of -122.32%. The operating cash flow to net income ratio is positive at 1.31, indicating some ability to generate cash from operations, but the free cash flow to net income ratio is negative, highlighting cash flow issues.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue344.13M442.12M775.83M5.19M0.000.00
Gross Profit55.81M442.12M79.36M-9.72M-184.14K-766.00
EBITDA55.96M-56.14M168.93M-20.27M-16.29M-11.95M
Net Income-79.16M-97.26M-2.04M-27.99M-19.71M-12.12M
Balance Sheet
Total Assets461.79M746.11M977.48M203.37M36.85M1.78M
Cash, Cash Equivalents and Short-Term Investments25.14M25.14M138.38M188.30M21.51M1.69M
Total Debt90.90M146.87M179.16M31.93M29.58M0.00
Total Liabilities399.75M645.87M745.59M37.50M31.53M350.99K
Stockholders Equity62.04M62.04M231.89M165.87M5.32M1.43M
Cash Flow
Free Cash Flow-7.45M-11.41M83.37M-18.67M-28.83M-10.13M
Operating Cash Flow70.55M87.08M102.37M-17.03M-25.59M-10.12M
Investing Cash Flow-162.59M-122.26M-102.38M-1.64M-3.24M-7.56K
Financing Cash Flow-46.75M-33.27M-46.31M183.99M48.65M7.49M

Burgundy Diamond Mines Ltd Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.02
Price Trends
50DMA
0.02
Negative
100DMA
0.03
Negative
200DMA
0.04
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
14.80
Positive
STOCH
200.00
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:BDM, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.04, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 14.80 is Positive, neither overbought nor oversold. The STOCH value of 200.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:BDM.

Burgundy Diamond Mines Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
$10.43B7.12-0.05%2.87%2.86%-36.73%
AU$24.16M-0.12-151.97%-28.16%-1569.00%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:BDM
Burgundy Diamond Mines Ltd
0.02
-0.09
-81.82%
DE:PHO
Gibb River Diamonds Limited
0.03
<0.01
50.00%
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: Oct 04, 2025