Carawine Resources Ltd. (CWX) AI Stock Analysis

• Market Cap: AU$21.96M
• Dividend Yield: N/A
• Average Volume (3M): 10.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.37
• Revenue Growth: -20.95%
• EPS Growth: -38.60%
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 55
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 236,125,440
• 10 Day Avg. Volume: 3,450
• 30 Day Avg. Volume: 10,090
• PEG Ratio: 0.24
• Price to Book (P/B): 0.97
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.76
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 40 Neutral
• Price Target: AU$0.00 ▼(-100.00%Downside)

Carawine Resources Ltd. faces significant financial and technical challenges, reflected in its low scores for financial performance and technical analysis. The company's negative P/E ratio further indicates a lack of profitability. These factors combine to yield a low overall stock score. Improvements in financial stability and market sentiment are needed to enhance its investment appeal.

Carawine Resources Ltd. Business Overview & Revenue Model

Company Description

Carawine Resources Limited engages in exploration, discovery, and development of mineral properties in Australia. The company explores for gold, copper, silver, zinc, nickel, manganese, and iron deposits. It holds interests in the Jamieson project located within the Mt Useful Slate Belt geological province, northeast Victoria; the Paterson project situated in the Paterson Province, Western Australia; the Fraser Range project located in the Fraser Range region, Western Australia; the Tropicana North project situated in the Tropicana region, Western Australia; and the Oakover project located in the Eastern Pilbara region, Western Australia. The company was incorporated in 2016 and is based in Malaga, Australia.

How the Company Makes Money

Carawine Resources Ltd. makes money primarily through the exploration and potential development of mineral resources. Its revenue model depends on successfully discovering economically viable mineral deposits, which can either be developed into operational mines or sold to other mining companies. The company may also generate income through strategic partnerships or joint ventures, where it collaborates with other entities to explore and develop resources. Additionally, Carawine might earn revenue through the sale of exploration licenses or tenements, or by attracting investment from stakeholders interested in the potential of its projects.

Carawine Resources Ltd. Financial Statement Overview

Summary

Carawine Resources Ltd. faces significant financial challenges, including persistent losses and negative cash flows. Despite some revenue growth and manageable debt levels, the company struggles with profitability and efficient capital utilization, resulting in a low financial performance score.

Income Statement

Carawine Resources Ltd. has shown a volatile revenue growth pattern with a significant increase from 2023 to 2024. The gross profit margin is positive, but the company consistently reports negative net income, resulting in negative net profit margins. EBIT and EBITDA margins are also negative, indicating ongoing operational challenges.

Balance Sheet

The balance sheet reflects moderate leverage with a low debt-to-equity ratio, suggesting limited reliance on debt. However, the company has a negative return on equity and relatively low equity ratio, indicating inefficiencies in generating returns from shareholder investments.

Cash Flow

The operating and free cash flows are negative, highlighting liquidity challenges. While there is some growth in free cash flow year over year, cash flow from operations remains insufficient to cover net income, leading to a weak operating cash flow to net income ratio.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	152.52K	75.61K	1.92K	20.79K	120.76K
Gross Profit	152.52K	108.05K	-48.91K	-2.97K	101.92K
EBITDA	-853.00K	-974.00K	-1.61M	-1.28M	-1.60M
Net Income	-1.12M	-1.05M	-1.66M	-1.30M	-1.28M
Balance Sheet
Total Assets	25.69M	22.51M	18.75M	14.81M	9.85M
Cash, Cash Equivalents and Short-Term Investments	3.71M	3.81M	2.96M	3.94M	1.77M
Total Debt	66.91K	94.13K	18.57K	41.77K	0.00
Total Liabilities	899.41K	861.12K	709.04K	478.78K	259.65K
Stockholders Equity	24.79M	21.64M	18.04M	14.33M	9.59M
Cash Flow
Free Cash Flow	-4.39M	-3.74M	-6.02M	-3.54M	-2.65M
Operating Cash Flow	-959.05K	-769.68K	-794.58K	-730.95K	-591.32K
Investing Cash Flow	-3.33M	-2.99M	-5.19M	-2.71M	-1.74M
Financing Cash Flow	4.19M	4.61M	5.00M	5.62M	2.89M

Carawine Resources Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:CWX, the sentiment is Negative. The current price of 0.09 is below the 20-day moving average (MA) of 0.10, below the 50-day MA of 0.10, and below the 200-day MA of 0.10, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 12.00 is Positive, neither overbought nor oversold. The STOCH value of -2.27 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:CWX.

Carawine Resources Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	44 Neutral	AU$1.45B	-6.08	-41.46%	4.25%	-2.94%	-41.86%
CWX	40 Neutral	AU$21.96M	―	-7.62%	―	-20.95%	-38.60%
G4U	―	€17.23M	―	-10.14%	―	―	―
GEN	―	AU$22.18M	―	-38.00%	―	―	―
RTR	32 Underperform	AU$26.15M	―	-8.44%	―	―	20.00%
LMG	32 Underperform	AU$36.84M	―	-0.86%	―	―	97.62%
SHN	32 Underperform	AU$25.05M	―	-47.04%	―	―	-30.23%

Carawine Resources Ltd. Corporate Events

Carawine Resources Advances Exploration Amidst Financial and Legal Challenges

Carawine Resources Limited has completed a heritage survey for its Paterson Copper-Gold Project, advancing exploration plans for copper, gold, and base metal targets. The company faces a potential shift in its Fraser Range Nickel Project as IGO Limited plans to withdraw, offering Carawine the option to purchase IGO’s interest. Additionally, Carawine is navigating a compulsory acquisition process by major shareholder QGold Pty Ltd, with court proceedings pending. Financially, Carawine secured a $1.7 million loan from QGold to support operations but will need further funding by September 2025, contingent on court outcomes. Exploration drilling programs are deferred pending these developments.

Carawine Faces Joint Venture Termination and Awaited Court Decision

Carawine Resources Limited announced that IGO Limited intends to withdraw from their Fraser Range Joint Venture, effectively terminating the partnership. Carawine now has the option to purchase IGO’s 76% interest in the remaining tenement for a nominal fee or allow its surrender. The company will review previous exploration work to assess the tenement’s potential before deciding. Additionally, Carawine updated stakeholders on the ongoing Federal Court proceedings regarding QGold Pty Ltd’s attempt at compulsory acquisition of Carawine shares, with the court’s decision still pending.

Carawine Resources Faces Court Decision on QGold’s Compulsory Acquisition

Carawine Resources Ltd. is currently involved in court proceedings regarding a compulsory acquisition of its shares by its major shareholder, QGold Pty Ltd. The Federal Court of Australia has concluded hearings on the matter and is expected to announce its decision soon. This acquisition could significantly impact Carawine’s operations and shareholder structure, depending on the court’s ruling.