Megado Gold Ltd. (MEG) AI Stock Analysis

• Market Cap: AU$5.88M
• Dividend Yield: N/A
• Average Volume (3M): 190.65K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.23
• Revenue Growth: N/A
• EPS Growth: -115.28%
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Industrial Materials
• EPS (TTM): -0.01
• Shares Outstanding: 419,683,260
• 10 Day Avg. Volume: 208,308
• 30 Day Avg. Volume: 190,646
• PEG Ratio: -100.71
• Price to Book (P/B): 0.57
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.29K
• 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

• Rating: 40 Underperform
• Price Target: ―

Megado Gold Ltd.'s stock is primarily held back by its financial performance, characterized by a lack of revenue and reliance on external financing. Technical indicators show weak momentum, compounding the negative outlook. The valuation is also unattractive, with a negative P/E ratio and no dividends. These factors collectively result in a low overall stock score.

Megado Gold Ltd. Business Overview & Revenue Model

Company Description

Megado Minerals Limited operates as a mineral exploration company in North America. It explores for rare earth elements and lithium. The company holds 100% interest in North Fork Rare Earth Project comprising 499 mining lode claims covering approximately 42 square kilometers in the Salmon-Challis National Forest in Lemhi County, Idaho. It also holds interests in the Cyclone lithium project comprising 304 claims covering 130 square kilometers located near the James Bay region in Quebec, Canada. The company was formerly known as Megado Gold Limited and changed its name to Megado Minerals Limited in July 2022. Megado Minerals Limited was incorporated in 2019 and is based in Perth, Australia.

How the Company Makes Money

Megado Gold Ltd. makes money through the exploration and development of gold mining projects. The primary revenue stream arises from the discovery and extraction of gold, which is then sold in the commodities market. The company may also engage in partnerships or joint ventures with other mining companies to share exploration costs and risks, and may earn income through the sale or optioning of its exploration properties to other interested parties. Additionally, the company might raise capital through equity financing, which it uses to fund its exploration activities, with the aim of increasing the value of its gold reserves and, subsequently, its share price.

Megado Gold Ltd. Financial Statement Overview

Summary

Megado Gold Ltd. is in the exploration phase, reflected by its zero revenue and reliance on equity financing. While the balance sheet is strong with no debt, the continuous operating losses and negative cash flows pose risks that must be managed as the company progresses towards production.

Income Statement

Megado Gold Ltd. reported zero revenue consistently over the years, indicating a lack of commercial production. The company has been operating at a net loss with negative EBIT and EBITDA margins, reflecting the pre-revenue stage typical for mining exploration companies.

Balance Sheet

The balance sheet shows strong equity levels with no debt, resulting in a favorable debt-to-equity ratio of zero. The equity ratio is high, indicating financial stability, which is a positive sign for a company in the exploration phase. However, the lack of revenue generation poses long-term sustainability risks.

Cash Flow

The company exhibits negative operating and free cash flows, typical for a mining exploration entity. Financing activities, mainly through equity, have been sustaining its cash position. The lack of free cash flow growth highlights reliance on external financing.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
0.00	0.00	0.00	0.00	0.00	0.00
	EBIT
―	-962.18K	-7.77M	-1.02M	-1.20M	-1.39M
	EBITDA
-308.40K	25.50K	0.00	0.00	0.00	0.00
	Net Income Common Stockholders
―	-1.37M	-7.76M	-1.02M	-1.22M	-1.39M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
700.83K	1.14M	853.12K	1.24M	5.02M	241.60K
	Total Assets
8.66M	9.00M	4.92M	7.33M	8.98M	554.55K
	Total Debt
0.00	0.00	0.00	0.00	0.00	0.00
	Net Debt
-700.83K	-1.14M	-853.12K	-1.24M	-5.02M	-241.60K
	Total Liabilities
17.24K	47.37K	244.33K	164.62K	358.63K	448.62K
	Stockholders Equity
8.64M	8.95M	4.67M	6.73M	8.07M	105.93K
Cash Flow		Free Cash Flow
―	-2.36M	-2.69M	-3.77M	-1.56M	-803.98K
	Operating Cash Flow
―	-874.49K	-968.31K	-1.00M	-1.10M	-340.72K
	Investing Cash Flow
―	-1.48M	-1.68M	-2.77M	-463.96K	-463.26K
	Financing Cash Flow
0.00	2.65M	2.26M	0.00	6.36M	1.05M

Megado Gold Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:MEG, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.01, below the 50-day MA of 0.01, and below the 200-day MA of 0.01, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 39.37 is Neutral, neither overbought nor oversold. The STOCH value of -57.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:MEG.

Megado Gold Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EVN	81 Outperform	$18.86B	27.28	16.97%	1.30%	60.56%	302.20%
NST	78 Outperform	$30.35B	25.74	11.01%	2.43%	25.11%	28.88%
WAF	76 Outperform	$3.23B	13.08	21.73%	―	9.95%	44.59%
RRL	72 Outperform	$4.01B	―	-0.38%	―	29.83%	93.23%
RSG	51 Neutral	AU$1.33B	41.67	-5.02%	―	27.79%	-144.05%
Sector *	51 Neutral	$2.02B	-1.12	-21.36%	3.65%	2.87%	-30.54%
MEG	40 Underperform	AU$5.88M	―	-52.89%	―	―	-115.28%

Megado Gold Ltd. Corporate Events

Megado Minerals Advances Iberian Copper Project Acquisition

Megado Minerals Limited has made significant progress in acquiring the Iberian Copper Project, located in Northern Spain, which includes 12 permits covering a historically copper-rich area. The company plans to seek shareholder approval for this acquisition at an upcoming AGM. The project offers a substantial economic advantage due to access to historical exploration data and samples, which will expedite the commencement of drilling activities. Additionally, Megado is planning geological mapping activities to explore gold potential at its Cyclone Gold and Lithium Project, with a healthy cash reserve of A$2.59 million as of March 2025.

Megado Minerals Advances Acquisition of Iberian Copper Project

Megado Minerals Limited is advancing its acquisition of the Iberian Copper Project, a significant European copper project comprising 12 permits over 956 square kilometers of historically copper-rich areas. The acquisition, pending shareholder approval at the upcoming AGM, is bolstered by extensive historical exploration data and samples, providing a substantial economic advantage. The vendor is actively preparing for drilling activities slated for the second half of 2025, which could enhance Megado’s position in the copper market.

Megado Minerals Schedules Annual General Meeting for May 2025

Megado Minerals Limited has announced that its Annual General Meeting will be held on May 29, 2025. The meeting will include the election of directors, with nominations closing on April 14, 2025. This announcement is significant for stakeholders as it outlines the company’s governance and leadership plans, potentially impacting its strategic direction.