Equatorial Resources Limited (EQX) AI Stock Analysis

• Market Cap: AU$24.97M
• Dividend Yield: N/A
• Average Volume (3M): 300.28K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.75
• Revenue Growth: N/A
• EPS Growth: -141.04%
• Country: AU
• Employees: 15
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): -0.03
• Shares Outstanding: 131,445,360
• 10 Day Avg. Volume: 222,460
• 30 Day Avg. Volume: 300,278
• PEG Ratio: -0.03
• Price to Book (P/B): 1.77
• Price to Sales (P/S): 34.54
• P/FCF Ratio: 0.00
• 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: 28 Underperform
• Price Target: ―

Equatorial Resources Limited presents a challenging investment case with significant financial difficulties, including zero revenue and consistent losses, coupled with a negative cash flow. Technical indicators suggest bearish momentum, and valuation metrics are unattractive due to a negative P/E ratio and absence of dividends. The company's lack of operational income and declining financial health are primary concerns, overshadowing any potential strengths such as the absence of debt.

Equatorial Resources Limited Business Overview & Revenue Model

Company Description

Equatorial Resources Limited explores for and develops iron ore properties in the Republic of Congo. The company was incorporated in 1986 and is headquartered in Perth, Australia.

How the Company Makes Money

Equatorial Resources Limited generates revenue primarily through the exploration and potential development of its iron ore projects. The company's revenue model centers around identifying and developing mineral resources that can be economically extracted and sold in the global commodities market. Key revenue streams include the sale of extracted minerals, potential joint ventures, and partnerships that may provide funding and resource-sharing opportunities to advance project development. Significant factors contributing to the company's earnings include the global demand and pricing for iron ore, successful exploration outcomes, and the ability to secure necessary financing and governmental approvals for project advancement. Additionally, strategic partnerships or agreements with other mining companies or investors can also play a crucial role in funding operations and sharing the risks and rewards of developing mineral assets.

Equatorial Resources Limited Financial Statement Overview

Summary

Equatorial Resources Limited is facing significant financial challenges, characterized by zero revenue, consistent losses, and negative cash flows. While the balance sheet shows no debt, the declining equity and assets raise concerns about long-term viability. The company needs to address its operational inefficiencies and cash flow issues to improve its financial health.

Income Statement

The company has reported zero revenue over the years, indicating no operational income stream. There are consistent net losses, with a slightly reduced net loss in the latest year compared to previous years. EBIT and EBITDA margins are negative, reflecting operating inefficiencies and high cost relative to nonexistent revenue.

Balance Sheet

The company maintains a strong equity position with no debt, as indicated by the zero debt-to-equity ratio, which reduces financial risk. However, the decline in stockholders' equity over the years suggests potential financial instability. The equity ratio remains high, but shrinking assets could be a concern.

Cash Flow

The company exhibits negative operating and free cash flows, indicating cash outflows from operations without adequate cash inflows. Free cash flow has deteriorated over the years, suggesting declining financial flexibility. The lack of growth in cash flow metrics highlights ongoing cash management challenges.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	0.00	571.25K	0.00	0.00	0.00	0.00
Gross Profit	0.00	571.25K	0.00	0.00	0.00	0.00
EBITDA	-2.41M	-696.85K	-726.00K	-1.77M	138.68K	-1.48M
Net Income	-2.41M	-4.25M	-1.76M	-4.19M	-17.26M	-7.58M
Balance Sheet
Total Assets	14.70M	9.66M	15.90M	16.69M	18.50M	35.25M
Cash, Cash Equivalents and Short-Term Investments	12.62M	9.60M	13.82M	16.66M	18.45M	35.22M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	1.39M	190.21K	1.85M	2.49M	297.11K	163.45K
Stockholders Equity	14.57M	11.17M	15.31M	15.90M	19.90M	36.78M
Cash Flow
Free Cash Flow	-3.04K	0.00	-2.83M	-1.79M	-1.51M	-961.49K
Operating Cash Flow	-3.04K	0.00	-2.83M	-1.79M	-1.51M	-961.49K
Investing Cash Flow	0.00	0.00	-7.62K	0.00	0.00	-19.82M
Financing Cash Flow	0.00	0.00	-6.43K	0.00	0.00	445.77K

Equatorial Resources Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:EQX, the sentiment is Negative. The current price of 0.19 is above the 20-day moving average (MA) of 0.19, below the 50-day MA of 0.20, and above the 200-day MA of 0.17, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 48.07 is Neutral, neither overbought nor oversold. The STOCH value of 95.56 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:EQX.

Equatorial Resources Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRD	65 Neutral	AU$20.80M	4.10	3.77%	―	―	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
GWR	61 Neutral	AU$43.69M	5.19	19.09%	―	―	―
M4M	41 Neutral	AU$36.55M	-5.56	-92.18%	―	―	66.67%
EQX	28 Underperform	AU$24.97M	-5.88	-32.09%	―	―	-141.04%

Equatorial Resources Limited Corporate Events

Equatorial Resources AGM Resolutions Passed with Strong Support

Equatorial Resources Limited held its Annual General Meeting on November 19, 2025, where all resolutions were passed by a poll. Key resolutions included the approval of the remuneration report, the re-election of Mr. Robert Behets as Director, and the approval of a 10% placement facility, reflecting strong shareholder support for the company’s strategic initiatives.

Equatorial Resources Completes Final Arbitration Hearing Against Congo

Equatorial Resources Limited has completed the final hearing in its international arbitration case against the Republic of Congo at the ICSID in Washington, D.C. The dispute, initiated in 2021, involves claims of unlawful measures by Congo against Equatorial’s investments in two iron ore projects, with damages claimed ranging from US$395 million to US$1.25 billion. The tribunal’s decision is pending, with a potential final award expected in about 12 months. The tribunal has already ordered Congo to pay EEPL A$1.2 million for costs related to a previous hearing postponement.

Equatorial Resources Announces Change in Substantial Holding

Equatorial Resources Limited has announced that Croesus Mining Pty Ltd and associated individuals have ceased to be substantial holders in the company as of October 29, 2025. This change in substantial holding may impact the company’s shareholder structure and could influence future voting outcomes and strategic decisions.

Equatorial Resources Pursues Arbitration and Clarification on Iron Ore Projects

Equatorial Resources Limited is actively engaged in arbitration proceedings against the Republic of Congo, seeking damages for alleged unlawful expropriation of its investments in the Badondo and Mayoko-Moussondji Iron Ore Projects. The final hearing is scheduled for November 2025 in Washington, D.C., where Equatorial will present its case and cross-examine witnesses. Despite the ongoing dispute, the company remains committed to its Congo investments and is open to a settlement. Additionally, Equatorial is seeking clarification from the Guinea government regarding the cancellation of its Nimba iron ore permits amidst a broader regulatory review affecting over 120 permits in the country.

Equatorial Resources Announces Upcoming Annual General Meeting

Equatorial Resources Limited has announced that its Annual General Meeting will be held on November 19, 2025, at its Perth headquarters. The company will not be sending physical copies of the meeting notice unless requested by shareholders, directing them instead to access the materials online. This move aligns with the company’s digital communication strategy, potentially enhancing shareholder engagement and operational efficiency.