Discovery Alaska Limited (DAF) AI Stock Analysis

• Market Cap: AU$4.87M
• Dividend Yield: N/A
• Average Volume (3M): 21.57K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.55
• Revenue Growth: N/A
• EPS Growth: 80.88%
• Country: AU
• Employees: 5
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 256,359,700
• 10 Day Avg. Volume: 10,000
• 30 Day Avg. Volume: 21,574
• PEG Ratio: 0.09
• Price to Book (P/B): 7.46
• Price to Sales (P/S): 593.53
• P/FCF Ratio: -11.15
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: AU$0.02 ▼(-5.00% Downside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is primarily held down by weak financial performance—multi-year losses, shrinking revenue, and ongoing negative operating/free cash flow—despite the benefit of a no-debt balance sheet. Technicals are roughly neutral with only mild positive momentum, and valuation is constrained by a negative P/E and no dividend yield data.

Positive Factors

Conservative balance sheet (no debt)

A zero-debt balance sheet materially reduces bankruptcy and refinancing risk, giving the company flexibility to endure gold-cycle volatility and pursue strategic options without immediate leverage costs. This is a durable risk-mitigation advantage over 2–6 months.

Improving free cash flow trend

Sequential improvement in free cash flow signals progress toward stabilizing operations and cost structure. If sustained, this trend points to narrowing cash burn and a path to break-even, improving funding flexibility and reducing dependence on external capital over the medium term.

Exposure to the gold industry

Operating in the gold sector provides structural demand and commodity-driven upside when metal prices rise. For a low-debt company, gold exposure creates a durable levered benefit from favorable commodity cycles that can materially improve revenue and cash flow over months.

Negative Factors

Multi-year losses and falling revenue

Sustained declines in revenue coupled with multi-year operating and net losses indicate structural deterioration of the core business. This erodes pricing power and market position, undermines reinvestment ability, and increases reliance on external funding or dilution over the medium term.

Consistent negative cash generation

Persistent negative operating and free cash flow show ongoing cash burn and indicate the business is not self-financing. Over 2–6 months this limits operational flexibility, constrains growth or exploration spend, and raises financing risk during commodity or market stress.

Declining equity and negative returns on equity

Shrinking shareholder equity and negative ROE reflect value erosion from losses and weaken the company’s capital base. This reduces capacity to raise equity on favorable terms and limits long-term investment, impairing strategic options and growth prospects over the medium term.

Discovery Alaska Limited Business Overview & Revenue Model

Company Description

Discovery Alaska Limited engages in mineral exploration activities in Western Australia. The company primarily explores for lithium, tin, silver, gold, and copper deposits. It holds 100% interest in Chulitna project comprising 308 mining claims covering 199.4 square kilometers located in the state of Alaska public lands. The company was formerly known as Discovery Africa Limited and changed its name to Discovery Alaska Limited in December 2021. Discovery Alaska Limited was incorporated in 2010 and is based in Osborne Park, Australia.

How the Company Makes Money

Discovery Alaska Limited makes money through the exploration and development of mineral properties. The company's revenue model is centered on acquiring exploration rights to mineral-rich lands, conducting geological surveys and exploratory drilling to assess mineral deposits, and advancing these projects to attract investment or sale to larger mining companies. Key revenue streams include the sale or joint-venture agreements for developed properties, as well as potential revenue from mining operations if the projects advance to production stages. Partnerships with larger mining firms or investors also play a significant role in funding exploration activities and sharing the financial risks and rewards associated with mineral development.

Discovery Alaska Limited Financial Statement Overview

Summary

Financials are weak: revenue has fallen sharply since FY2022 with persistent operating/net losses in FY2021–FY2025 and continued cash burn (negative operating and free cash flow). The main offset is a conservative balance sheet with no debt, but equity has been declining, indicating ongoing value erosion.

Income Statement

Revenue has trended down sharply since FY2022 (including a ~52% decline in FY2025 vs FY2024), and profitability is consistently weak with large operating and net losses in FY2021–FY2025. While gross profit margin is reported at 100% each year, operating costs overwhelm the very small revenue base, resulting in deeply negative operating and net margins. FY2020 stands out as a one-off profitable year with unusually high revenue and positive net income, but the subsequent multi-year loss pattern dominates the overall quality of earnings.

Balance Sheet

The balance sheet is conservatively structured with no debt reported across all periods, which materially reduces financial risk. However, equity has declined significantly from FY2022–FY2025, and returns on equity are negative in FY2021–FY2025, indicating ongoing value erosion driven by losses. Asset and equity levels remain positive, but the trajectory suggests the company is funding operations through shrinking shareholder capital rather than sustainable profitability.

Cash Flow

Cash generation is weak in recent years: operating cash flow and free cash flow are negative in FY2021–FY2025, indicating ongoing cash burn. Free cash flow improved in FY2025 versus FY2024 but remains materially negative, and operating cash flow does not cover net losses on a cash basis in the latest years. FY2020 again appears as an outlier with strong positive operating and free cash flow, but the more recent pattern points to continued funding needs.

Breakdown	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	3.95K	8.17K	9.11K	12.17K	8.75K
Gross Profit	3.95K	8.17K	9.11K	12.17K	8.75K
EBITDA	-252.16K	-244.74K	-340.42K	-264.52K	-266.31K
Net Income	-313.99K	-1.58M	-417.00K	-295.39K	-266.31K
Balance Sheet
Total Assets	387.96K	691.22K	2.35M	2.41M	2.00M
Cash, Cash Equivalents and Short-Term Investments	279.92K	513.62K	1.03M	1.60M	1.59M
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	74.02K	54.82K	54.39K	29.54K	53.89K
Stockholders Equity	313.94K	636.40K	2.29M	2.38M	1.94M
Cash Flow
Free Cash Flow	-210.21K	-443.82K	-892.92K	-734.21K	-608.21K
Operating Cash Flow	-182.27K	-252.62K	-334.13K	-287.22K	-278.81K
Investing Cash Flow	-27.94K	-191.20K	-558.79K	-446.99K	-329.40K
Financing Cash Flow	0.00	0.00	320.00K	672.00K	0.00

Discovery Alaska Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DAF, the sentiment is Positive. The current price of 0.02 is equal to the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and above the 200-day MA of 0.02, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 54.24 is Neutral, neither overbought nor oversold. The STOCH value of 37.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:DAF.

Discovery Alaska Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
RAS	51 Neutral	AU$7.53M	-2.97	-127.51%	―	168.85%	13.51%
GSM	46 Neutral	AU$8.20M	-3.95	-131.62%	―	―	65.32%
DAF	45 Neutral	AU$4.87M	-14.62	-66.08%	―	―	80.88%
PVW	44 Neutral	AU$13.69M	-0.91	-898.12%	―	―	-34.64%
SFM	43 Neutral	AU$50.47M	-28.83	-51.49%	―	―	5.93%
GNM	41 Neutral	AU$18.92M	-10.25	-32.31%	―	―	69.23%

Discovery Alaska Limited Corporate Events

Discovery Alaska raises $354,000 via share and option issue

Discovery Alaska Limited has raised $354,000 before costs through the issue of 22,125,000 new ordinary shares at 1.6 cents each, accompanied by 4,425,000 free attaching unlisted options exercisable at 5 cents on or before 9 February 2029. Following the capital raising, the company now has 256,359,698 ordinary shares on issue, along with 2,000,000 unlisted options exercisable at $0.032 expiring in January 2027 and 4,425,000 unlisted options at $0.05 expiring in February 2029, modestly strengthening its capital base for ongoing operations.

The company also confirmed that the securities were issued without a prospectus under the Corporations Act disclosure exemptions, while stating it remains compliant with continuous disclosure and financial reporting obligations. Management indicated there is no undisclosed information that investors would reasonably require to assess the company or the rights and liabilities attached to the new securities, aiming to provide assurance to shareholders about transparency and regulatory compliance.

The most recent analyst rating on (AU:DAF) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Discovery Alaska Limited stock, see the AU:DAF Stock Forecast page.

Discovery Alaska Issues 4.4 Million Unquoted Options to Support Capital Structure

Discovery Alaska Limited has notified the market of the issue of 4,425,000 unquoted options, each exercisable at $0.05 and expiring on February 9, 2029. The new options, to be issued on February 10, 2026, expand the company’s pool of unquoted equity securities, potentially aligning incentives for stakeholders and providing additional leverage to future share price performance.

This option issuance may strengthen Discovery Alaska’s capital structure by creating a mechanism for future capital inflows if the options are exercised. It also signals continued corporate activity as the company progresses its exploration strategy in Alaska, with the additional securities designed to support long‑term operational and strategic objectives.

The most recent analyst rating on (AU:DAF) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Discovery Alaska Limited stock, see the AU:DAF Stock Forecast page.

Discovery Alaska Seeks ASX Quotation for Private Placement Shares

Discovery Alaska Limited has applied to the ASX for quotation of new fully paid ordinary shares under code DAF. The shares were issued to sophisticated and professional investors as part of a private placement.

The company is seeking quotation of 22,125,000 new ordinary shares issued on 10 February 2026. This capital raising via private placement may strengthen its balance sheet and broaden its institutional investor base.

The most recent analyst rating on (AU:DAF) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Discovery Alaska Limited stock, see the AU:DAF Stock Forecast page.

Discovery Alaska Raises $354,000 to Advance Idaho Gold-Silver Exploration

Discovery Alaska Limited has completed a private placement raising $354,000 before costs through the issue of 22.125 million shares at $0.016 per share, a 13% discount to the 10-day VWAP, with investors also receiving one free attaching option for every five shares issued, exercisable at $0.05 within three years. The funds, alongside existing cash reserves, will be directed towards priority exploration at the Boulder Creek Gold-Silver Project in Idaho, assessing additional complementary project acquisitions, and covering corporate and general working capital needs, reinforcing the company’s strategic focus on expanding its North American gold-silver footprint and potentially enhancing its long-term growth prospects.

The most recent analyst rating on (AU:DAF) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Discovery Alaska Limited stock, see the AU:DAF Stock Forecast page.

Discovery Alaska Advances Boulder Creek Gold-Silver Option Amid Tight Cash Management

Discovery Alaska Limited has advanced its North American growth plans by completing due diligence and paying the option fee to maintain its right to acquire 100% of the Boulder Creek Gold-Silver Project in Idaho, while also staking additional claims to extend the project area over prospective structures near the historic mining town of Silver City. The company is now focused on designing an initial exploration program at Boulder Creek, centred on historical anomalous areas and high-grade epithermal gold-silver targets in a region with past production but no modern exploration, while reassessing strategy at its Chulitna Gold Project in Alaska, reviewing new project opportunities, and preserving its modest cash reserves of about $0.1 million through tight financial management.

The most recent analyst rating on (AU:DAF) stock is a Sell with a A$0.02 price target. To see the full list of analyst forecasts on Discovery Alaska Limited stock, see the AU:DAF Stock Forecast page.

Discovery Alaska Advances Idaho Gold-Silver Push With Boulder Creek Option and Claim Expansion

Discovery Alaska Limited has completed due diligence and paid the option fee to maintain its option to acquire a 100% interest in the Boulder Creek Gold-Silver Project in Idaho, USA, a ~640-hectare Idaho State Lease located about 90km southwest of Boise and near the historic mining town of Silver City. The company is expanding the project footprint by staking additional claims over strike extensions of prospective geological structures, planning follow-up exploration on historically anomalous areas first identified by Nerco in the 1980s, and issuing 2 million DAF shares to the vendors, positioning itself for greater exposure to gold and silver in a record price environment and reinforcing its growth ambitions in the U.S. precious metals sector.

The most recent analyst rating on (AU:DAF) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Discovery Alaska Limited stock, see the AU:DAF Stock Forecast page.

Discovery Alaska to Acquire Boulder Creek Gold-Silver Project in Idaho

Discovery Alaska Limited has announced a binding Heads of Agreement to acquire a 100% interest in the Boulder Creek Gold-Silver Project in Idaho, USA. This strategic acquisition positions the company for significant growth in the gold and silver sector, with plans to conduct exploration activities in a historically rich mining area. The project offers potential for high-grade vein-hosted and disseminated gold/silver, and the company aims to leverage current high metal prices to create long-term shareholder value.