Desert Metals Ltd. (AU:DM1)
ASX:DM1
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Desert Metals Ltd.
(Sydney:DM1)
Select Model
Select Model
Rating:44Neutral
Price Target:
AU$0.01
▲(10.00% Upside)
Action:ReiteratedDate:01/29/26
The score is primarily held back by ongoing unprofitability and sustained cash burn despite improving results, which increases funding and execution risk. Technical indicators also point to weak momentum, while valuation is constrained by negative earnings and no dividend support.
Positive Factors
Debt-free balance sheet
A debt-free balance sheet materially lowers refinancing and solvency risk for an exploration company. It gives Desert Metals runway to fund exploration programs, negotiate farm-outs from a position of strength, and survive commodity cycles without near-term interest or covenant pressure.
Negative Factors
Persistent negative operating and free cash flow
Consistent negative operating and free cash flow signals ongoing cash burn that cannot be covered by operations. Over time this forces reliance on external capital, increases dilution risk, and constrains the ability to execute multi-stage exploration programs without securing new financing or partners.
Read all positive and negative factors
Positive Factors
Negative Factors
Debt-free balance sheet
A debt-free balance sheet materially lowers refinancing and solvency risk for an exploration company. It gives Desert Metals runway to fund exploration programs, negotiate farm-outs from a position of strength, and survive commodity cycles without near-term interest or covenant pressure.
Read all positive factors
Desert Metals Ltd. (DM1) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$5.21M
Dividend YieldN/A
Average Volume (3M)1.50M
Price to Earnings (P/E)―
Beta (1Y)1.57
Revenue GrowthN/A
EPS Growth91.79%
CountryAU
Employees9
SectorBasic Materials
Sector Strength58
IndustryIndustrial Materials
Share Statistics
EPS (TTM)>-0.01
Shares Outstanding650,753,800
10 Day Avg. Volume416,670
30 Day Avg. Volume1,500,707
Financial Highlights & Ratios
PEG Ratio0.04
Price to Book (P/B)0.71
Price to Sales (P/S)58.34
P/FCF Ratio-1.55
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Desert Metals Ltd. Business Overview & Revenue Model
Company Description
Desert Metals Limited explores for mineral properties in Australia. The company primarily explores for nickel, copper, gold, lead, zinc, chrome, rare earth elements, and platinum group elements. It holds interest in the Narryer project that includ...
How the Company Makes Money
Desert Metals Ltd. generates revenue through the exploration and development of mineral resources, which involves identifying and acquiring mineral-rich land areas. Once a viable resource is confirmed, the company may either develop the site into ...
Desert Metals Ltd. Financial Statement Overview
Summary
Income Statement
22
Negative
Balance Sheet
63
Positive
Cash Flow
27
Negative
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 53.63K | 100.42K | 47.68K | 22.63K | 8.18K | 0.00 |
| Gross Profit | 51.66K | 100.42K | 47.68K | -2.12K | -23.10K | -9.00K |
| EBITDA | -1.76M | -1.50M | -9.82M | -681.63K | -535.98K | -1.19M |
| Net Income | -1.68M | -1.59M | -9.84M | -706.37K | -567.26K | -1.20M |
Balance Sheet | ||||||
| Total Assets | 8.39M | 8.50M | 6.78M | 9.48M | 7.69M | 5.72M |
| Cash, Cash Equivalents and Short-Term Investments | 495.74K | 1.92M | 2.67M | 1.97M | 3.01M | 3.71M |
| Total Debt | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total Liabilities | 210.10K | 331.00K | 377.00K | 282.50K | 184.42K | 274.33K |
| Stockholders Equity | 8.31M | 8.27M | 6.40M | 9.20M | 7.50M | 5.45M |
Cash Flow | ||||||
| Free Cash Flow | -2.84M | -3.78M | -3.13M | -3.42M | -3.23M | -2.17M |
| Operating Cash Flow | -1.43M | -1.23M | -1.40M | -604.76K | -486.41K | -478.57K |
| Investing Cash Flow | -2.44M | -2.52M | -1.39M | -2.82M | -2.75M | -1.70M |
| Financing Cash Flow | 3.40M | 3.01M | 3.48M | 2.38M | 2.54M | 5.59M |
Desert Metals Ltd. Technical Analysis
Negative
0.01
Price Trends
0.01
Neutral
0.02
Negative
Market Momentum
>-0.01
Negative
35.58
Neutral
50.00
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DM1, the sentiment is Negative. The current price of 0.01 is above the 20-day moving average (MA) of <0.01, equal to the 50-day MA of 0.01, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 35.58 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:DM1.
Desert Metals Ltd. Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
44 Neutral | AU$5.21M | -1.32 | -20.21% | ― | ― | 91.79% | |
44 Neutral | AU$8.80M | 0.23 | 108.54% | ― | ― | -474.07% | |
44 Neutral | AU$11.26M | -3.15 | -380.81% | ― | ― | -32.39% | |
44 Neutral | AU$39.49M | -12.24 | -6.44% | ― | ― | 87.39% | |
42 Neutral | AU$4.03M | -1.86 | -58.32% | ― | ― | 78.57% | |
41 Neutral | AU$13.55M | -67.88 | -27.21% | ― | ― | -563.16% |
* Basic Materials Sector Average
AU:DM1
Desert Metals Ltd.
0.01
-0.01
-50.00%
AU:SRK
Strike Resources Limited
0.03
<0.01
14.81%
AU:CR1
Constellation Resources Ltd.
0.14
-0.02
-12.50%
AU:SRN
Surefire Resources NL
―
―
―
AU:BMG
BMG Resources Limited
0.03
0.02
220.00%
AU:CAZ
Cazaly Resources Limited
0.02
0.01
130.00%
Desert Metals Ltd. Corporate Events
Desert Metals Seeks ASX Quotation for Over 128 Million New Shares
Jan 26, 2026
Desert Metals Ltd has applied to the ASX for quotation of 128,307,692 new fully paid ordinary shares under the code DM1, with an issue date of 27 January 2026. The move increases the company’s quoted capital base and reflects the formal list...
Desert Metals Raises $1.25m Through Completed Share Placement
Jan 26, 2026
Desert Metals Limited has completed the second tranche of its previously announced capital raising, issuing 128.3 million new shares at $0.0065 each to institutional, sophisticated and existing investors, bringing total proceeds from the placement...
Desert Metals Shareholders Back Capital-Raising Resolutions at General Meeting
Jan 21, 2026
Desert Metals Limited has confirmed that all resolutions put to its 21 January 2026 general meeting were passed by the required majority on a poll. Shareholders ratified a prior issue of Tranche 1 placement shares, approved the issue of Tranche 2 ...
Desert Metals Director’s Options Lapse After December Expiry
Jan 2, 2026
Desert Metals Limited has reported a change in director Patrick Flint’s interests in the company’s securities, following the expiry of 250,000 listed options exercisable at $0.06 on 31 December 2025. As a result of the option expiry, F...
Desert Metals Options Expire, Removing 57.7 Million Potential Shares
Dec 31, 2025
Desert Metals Limited has notified the ASX that 57,692,308 securities with the code DM1O have ceased following the expiry of options or other convertible securities that were not exercised or converted. The cessation reduces the company’s po...
Desert Metals Moves to Digital Communications as It Convenes January General Meeting
Dec 22, 2025
Desert Metals Ltd has called a general meeting of shareholders to be held in person on 21 January 2026 in Mount Hawthorn, Western Australia, and will make the notice of meeting and related materials available online rather than posting hard copies...
Desert Metals Limited Announces Trading Halt for Capital Raising
Dec 3, 2025
Desert Metals Limited has requested a trading halt on its securities pending an announcement regarding a capital raising. The halt is expected to last until the commencement of trading on 8 December 2025 or until the announcement is made. This mov...
Desert Metals Ltd. Announces Expiry of Listed Options
Dec 3, 2025
Desert Metals Ltd. announced the upcoming expiration of 57,692,308 quoted options, exercisable at $0.06, on 31 December 2025. The options are currently out of the money, with the company’s shares trading at $0.0085, significantly below the e...
Desert Metals Successfully Passes All AGM Resolutions
Nov 25, 2025
Desert Metals Limited announced that all resolutions at its annual general meeting were passed with the requisite majority, including a special resolution. This outcome supports the company’s strategic initiatives and governance, potentially...
Desert Metals Unveils Promising Gold Discoveries at Adzope Project
Oct 31, 2025
Desert Metals Ltd. has announced the completion of a successful diamond drilling program at the King Kong prospect within the Adzope gold project in southern Côte d’Ivoire. The drilling revealed multiple high-grade gold intercepts, conf...
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.