GBM Resources Limited (GBM) AI Stock Analysis

• Market Cap: AU$169.50M
• Dividend Yield: N/A
• Average Volume (3M): 8.38M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.06
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: AU
• Employees: 4
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): N/A
• Shares Outstanding: 4,580,977,000
• 10 Day Avg. Volume: 9,245,027
• 30 Day Avg. Volume: 8,384,550
• PEG Ratio: 0.02
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -42.04
• 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: 41 Neutral
• Price Target: AU$0.03 ▲(6.67% Upside)

GBM Resources Limited's overall stock score is primarily impacted by its financial performance, which shows strong revenue growth but significant profitability and cash flow challenges. The technical analysis indicates weak market momentum, and the valuation is unattractive due to a negative P/E ratio and no dividend yield. These factors collectively result in a low overall stock score.

GBM Resources Limited Business Overview & Revenue Model

Company Description

GBM Resources Limited operates as a mineral exploration and development company in Australia. It operates through two segments, Mineral Exploration and Mineral Production. The company explores for gold, silver, and copper deposits. Its flagship project is the Drummond Basin Gold project comprising the Twin Hills Gold project; Yandan Gold project; Mt Coolon Gold project; and White Dam Gold project resources located approximately 50 kilometers west of Broken Hill within the Curnamona province of South Australia. The company is also involved in production of minerals. GBM Resources Limited was incorporated in 2007 and is headquartered in Milton, Australia.

How the Company Makes Money

GBM Resources Limited generates revenue primarily through the exploration and development of its mineral assets, particularly gold and copper. The company typically does not have significant revenue from sales as it focuses on finding and acquiring mineral resources. Its revenue model is largely dependent on increasing the value of its projects through exploration success, which can lead to potential joint ventures, partnerships, or the sale of mineral rights to larger mining companies. Additionally, GBM may receive funding through capital raises, strategic partnerships, or grants aimed at advancing its exploration projects. The company may also benefit from market conditions that favor rising commodity prices, which can enhance the value of its exploration assets.

GBM Resources Limited Financial Statement Overview

Summary

GBM Resources Limited shows strong revenue growth but faces significant profitability challenges. The balance sheet is stable with low leverage, but the company struggles to generate positive returns. Cash flow improvements are notable, yet operational cash flow remains a concern. Overall, the company shows potential for growth but needs to address profitability and cash flow issues to enhance financial health.

Income Statement

GBM Resources Limited shows a significant revenue growth rate of 227.55% in the latest year, indicating strong top-line expansion. However, the company struggles with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin is positive, but the negative EBIT and net income suggest operational inefficiencies and high costs.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.15, indicating conservative leverage. However, the return on equity is negative, reflecting challenges in generating returns for shareholders. The equity ratio is relatively healthy, suggesting a stable capital structure.

Cash Flow

Free cash flow has improved significantly with a growth rate of 89.79%, but operating cash flow remains negative, indicating cash flow challenges. The free cash flow to net income ratio is high, suggesting that despite negative net income, the company is generating some free cash flow.

Breakdown	TTM	Dec 2018	Dec 2017
Income Statement
Total Revenue	54.39K	0.00	0.00
Gross Profit	-186.73K	0.00	0.00
EBITDA	-5.24M	-1.53M	-995.27K
Net Income	-3.91M	-1.88M	-1.02M
Balance Sheet
Total Assets	62.91M	10.72M	11.18M
Cash, Cash Equivalents and Short-Term Investments	1.84M	19.55K	76.28K
Total Debt	6.19M	5.07M	4.02M
Total Liabilities	22.09M	12.08M	10.64M
Stockholders Equity	40.82M	-1.35M	531.53K
Cash Flow
Free Cash Flow	-1.76M	0.00	-8.26K
Operating Cash Flow	-414.20K	0.00	0.00
Investing Cash Flow	-1.81M	-1.07M	-1.24M
Financing Cash Flow	2.44M	-1.07M	-1.24M

GBM Resources 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%