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Leeuwin Metals Ltd (AU:LM1)
ASX:LM1
Australian Market

Leeuwin Metals Ltd (LM1) AI Stock Analysis

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AU

Leeuwin Metals Ltd

(Sydney:LM1)

Rating:34Underperform
Price Target:
Leeuwin Metals Ltd's stock score is predominantly influenced by its financial struggles, including net losses and cash flow issues, despite a solid balance sheet. Technical indicators show some positive momentum, but the lack of valuation metrics like a P/E ratio and dividend yield limits assessment of its value. Investors should be cautious due to the company's ongoing financial instability.

Leeuwin Metals Ltd (LM1) vs. iShares MSCI Australia ETF (EWA)

Leeuwin Metals Ltd Business Overview & Revenue Model

Company DescriptionLeeuwin Metals Ltd (LM1) is a company engaged in the exploration and development of mineral resources. It primarily focuses on the mining sector, with a particular emphasis on discovering and developing deposits of critical minerals such as lithium, nickel, and other metal resources essential for various industrial applications. The company's core activities involve identifying, acquiring, and managing mineral exploration projects in strategic locations.
How the Company Makes MoneyLeeuwin Metals Ltd generates revenue through the exploration and eventual extraction and sale of mineral resources. Its revenue model primarily involves the identification and development of mineral deposits, which are then mined and sold to various industrial clients, including manufacturers and other entities requiring raw materials for production. The company may also form strategic partnerships or joint ventures with other mining firms to enhance its exploration and extraction capabilities, thereby potentially increasing its revenue streams. Additionally, Leeuwin Metals might engage in the sale or licensing of exploration data and technology, further contributing to its earnings.

Leeuwin Metals Ltd Financial Statement Overview

Summary
Leeuwin Metals Ltd faces financial difficulties, with consistent net losses and negative cash flows. Although it has a strong balance sheet without debt and high equity, the company's lack of profitability and liquidity issues present significant risks.
Income Statement
12
Very Negative
Leeuwin Metals Ltd has shown a significant increase in revenue from zero to 450,501 AUD, but the company remains unprofitable with a net loss of 6,117,406 AUD. The gross profit margin is 100% as all revenue is considered gross profit, but the net profit margin is substantially negative. The EBIT and EBITDA margins are also negative, indicating operational and financial challenges.
Balance Sheet
40
Negative
The balance sheet of Leeuwin Metals Ltd is relatively healthy with no debt, resulting in a debt-to-equity ratio of 0. The stockholders' equity is strong compared to the total assets, with an equity ratio of 92.6%. However, the negative return on equity due to net losses indicates inefficiencies in generating shareholder value.
Cash Flow
20
Very Negative
The cash flow statement shows negative operating and free cash flows, which is concerning for liquidity. Free cash flow has declined significantly, reflecting heavy capital expenditures. The operating cash flow to net income ratio and free cash flow to net income ratio are adversely affected by the negative net income.
BreakdownTTMJun 2024Jun 2023Jun 2022
Income Statement
Total Revenue280.41K450.50K0.000.00
Gross Profit280.41K450.50K0.000.00
EBITDA-541.27K-491.17K-876.49K-5.55K
Net Income-6.21M-6.12M-922.40K-290.48K
Balance Sheet
Total Assets3.14M3.56M10.69M1.79M
Cash, Cash Equivalents and Short-Term Investments1.19M2.04M6.07M59.03K
Total Debt0.000.000.000.00
Total Liabilities263.02K262.88K970.11K105.50K
Stockholders Equity2.88M3.29M9.72M1.69M
Cash Flow
Free Cash Flow-1.41M-4.00M-2.38M-1.99M
Operating Cash Flow-379.59K-403.25K-860.70K-113.94K
Investing Cash Flow-1.04M-3.60M-1.52M-1.88M
Financing Cash Flow0.000.008.33M2.10M

Leeuwin Metals Ltd Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.14
Price Trends
50DMA
0.15
Negative
100DMA
0.14
Negative
200DMA
0.11
Positive
Market Momentum
MACD
>-0.01
Negative
RSI
50.47
Neutral
STOCH
37.78
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:LM1, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.15, and above the 200-day MA of 0.11, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 50.47 is Neutral, neither overbought nor oversold. The STOCH value of 37.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:LM1.

Leeuwin Metals Ltd Peers Comparison

Overall Rating
UnderperformOutperform
Sector (43)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUIGO
62
Neutral
$3.12B1,418.92-36.53%12.62%-28.50%-532.61%
AULYC
60
Neutral
$8.31B163.242.27%-20.07%-74.91%
AUMIN
58
Neutral
AU$4.14B50.78-33.95%4.54%2.22%-411.10%
AUPLS
48
Neutral
AU$4.42B23.42-1.04%-65.07%-102.37%
AUSYR
44
Neutral
$270.98M-33.63%-33.27%-10.07%
43
Neutral
AU$1.38B-6.10-40.62%4.17%-4.78%-43.21%
AULM1
34
Underperform
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:LM1
Leeuwin Metals Ltd
0.14
0.09
180.00%
AU:MIN
Mineral Resources Limited
21.22
-33.72
-61.38%
AU:LYC
Lynas Rare Earths
8.88
2.72
44.16%
AU:PLS
Pilbara Minerals
1.38
-1.71
-55.36%
AU:SYR
Syrah Resources
0.26
-0.09
-25.71%
AU:IGO
IGO
4.12
-1.42
-25.60%

Leeuwin Metals Ltd Corporate Events

Leeuwin Metals Advances Gold Exploration with Marda Project Acquisition
Apr 29, 2025

Leeuwin Metals Ltd has completed the acquisition of the Marda Gold Project, marking a pivotal quarter as it transitions into a gold exploration company. The company has initiated its first drilling program at Marda Central, targeting extensions around the area, with assays pending. The project, which includes eight historical open pits and extensive infrastructure, is seen as a high-grade, under-explored gold system with significant potential. Leeuwin has also completed a $3.25 million capital raising, showing strong investor support, and confirmed thick, high-grade unmined intercepts from historical drilling, positioning the company for an active phase of growth.

Leeuwin Metals Completes Phase One Drilling at Marda Gold Project
Apr 14, 2025

Leeuwin Metals Ltd has successfully completed the first phase of its maiden RC drilling program at the Marda Gold Project in Western Australia, targeting high-grade gold mineralization near previously mined open pits. This initial 2,000-meter program is part of a larger 10,000-meter campaign planned for 2025, aimed at exploring unmined zones with significant gold potential. The company’s comprehensive review of historical drilling data has identified multiple high-grade mineralization zones over a 3km strike length, reinforcing the project’s potential and guiding future exploration efforts.

Leeuwin Metals Ltd Announces Quotation of New Securities on ASX
Apr 8, 2025

Leeuwin Metals Ltd has announced the quotation of 16,506,668 ordinary fully paid securities on the Australian Securities Exchange (ASX) under the code LM1. This move is expected to enhance the company’s liquidity and provide additional capital for its ongoing operations, potentially strengthening its market position and offering new opportunities for stakeholders.

Leeuwin Metals Identifies Extensive High-Grade Mineralisation at Marda Gold Project
Apr 7, 2025

Leeuwin Metals Ltd has announced promising results from a review of historical drilling data at its Marda Gold Project, revealing extensive high-grade mineralisation along a 3km trend at Marda Central. These findings, which lie outside previously mined areas, present significant opportunities for the company to define new mineralised zones and extend existing ones. The ongoing drilling program aims to capitalize on these opportunities, and similar reviews will be conducted at other prospects within the Marda project to identify additional targets, potentially enhancing the company’s exploration success and market positioning.

Leeuwin Metals Launches Drilling at Marda Gold Project
Apr 1, 2025

Leeuwin Metals Ltd has commenced its maiden drilling program at the Marda Gold Project, targeting high-grade extensions at Marda Central. This initial 2,000-meter program is part of a larger 10,000-meter campaign planned for 2025, aiming to explore both near-mine and greenfield potential. The project is well-funded, and the company is poised for significant exploration activity throughout the year, with a detailed review of historical data underway to refine exploration targets.

Leeuwin Metals Ltd Issues 3 Million Performance Rights
Mar 28, 2025

Leeuwin Metals Ltd has announced the issuance of 3,000,000 performance rights under an employee incentive scheme. These securities are unquoted and are not intended to be listed on the ASX, reflecting the company’s strategy to incentivize its workforce and align employee interests with corporate goals.

Leeuwin Metals Ltd Issues New Performance Rights
Mar 28, 2025

Leeuwin Metals Ltd has announced the issuance of 3,700,000 performance rights as part of an employee incentive scheme. These securities are not intended to be quoted on the ASX, indicating a strategic move to motivate and retain key personnel, potentially impacting the company’s operational efficiency and market competitiveness.

Leeuwin Metals Ltd Announces Director’s Interest Change
Mar 28, 2025

Leeuwin Metals Ltd has announced a change in the director’s interest, specifically regarding Christopher Piggott, who has acquired 500,000 fully paid ordinary shares and 3,000,000 performance rights through indirect interest. This acquisition was made through Tito Holdings Pty Ltd, with the shares purchased at $0.098 each and the performance rights issued under an employee incentive scheme. The changes were approved by shareholders in a general meeting on 17 March 2025, indicating a strategic move to align director interests with company performance, potentially impacting shareholder value positively.

Leeuwin Metals Set to Launch Drilling at Newly Acquired Marda Gold Project
Mar 25, 2025

Leeuwin Metals Ltd has completed the acquisition of the Marda Gold Project in Western Australia’s Eastern Goldfields, paving the way for its first drilling program. The company plans to drill 10,000 meters this year, funded by a recent $3.25 million share placement, and aims to capitalize on the project’s significant exploration potential. The acquisition, supported by shareholders, allows Leeuwin to immediately implement its exploration strategy, focusing on high-priority targets and leveraging the project’s strategic location and existing infrastructure.

Leeuwin Metals to Release Securities from Escrow
Mar 20, 2025

Leeuwin Metals Ltd announced the release of certain restricted securities from escrow, which will occur on 29 March 2025. This includes over 16 million fully paid ordinary shares and various unquoted options with different expiration dates and exercise prices. The company plans to apply for the quotation of these shares on the ASX, potentially impacting its market liquidity and investor interest.

Leeuwin Metals Ltd Successfully Passes All Resolutions at General Meeting
Mar 17, 2025

Leeuwin Metals Ltd announced that all resolutions presented at their recent General Meeting were successfully passed. This includes approvals for the issuance of shares and performance rights to directors and other stakeholders, which could enhance the company’s capital structure and align management interests with shareholder value.

Leeuwin Metals Ltd Advances Marda Gold Project with Strategic Funding and Exploration
Feb 18, 2025

Leeuwin Metals Ltd has announced its ongoing efforts at the Marda Gold Project, which boasts extensive mineralization and numerous well-defined drill targets. This strategic positioning and funding may enhance its exploration success and industry presence, potentially impacting stakeholders and boosting company operations.

Leeuwin Metals Ltd Announces General Meeting to Discuss Key Resolutions
Feb 14, 2025

Leeuwin Metals Ltd has announced a General Meeting to be held on March 17, 2025, to discuss several key resolutions, including the approval of issuing Consideration Shares to Ramelius Resources Limited as part of the Marda Project acquisition. Additionally, the company seeks ratification for the prior issue of Tranche 1 Placement Shares and approval for issuing Tranche 2 Placement Shares, highlighting its ongoing fundraising efforts for strategic projects. These actions are indicative of the company’s strategic efforts to expand its operations and strengthen its position in the mineral resources market.

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.Date of analysis: May 02, 2025