Mount Gibson Iron Limited (MGX) AI Stock Analysis

• Market Cap: AU$554.80M
• Dividend Yield: N/A
• Average Volume (3M): 819.69K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.76
• Revenue Growth: -48.05%
• EPS Growth: -1394.34%
• Country: AU
• Employees: 389
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Steel
• EPS (TTM): -0.02
• Shares Outstanding: 1,180,428,700
• 10 Day Avg. Volume: 788,205
• 30 Day Avg. Volume: 819,690
• PEG Ratio: <0.01
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.97
• P/FCF Ratio: 9.38
• 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: 52 Neutral
• Price Target: AU$0.48 ▲(2.13% Upside)
• Action: Reiterated Date: 11/30/25
• Date: Action: Reiterated 11/30/25

The overall stock score is primarily influenced by financial performance challenges, including declining revenues and profitability. Technical analysis suggests a neutral trend with potential overbought conditions. Valuation concerns are highlighted by a negative P/E ratio and lack of dividend yield, indicating potential risks. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Balance Sheet Strength

A low leverage profile and robust equity base provide lasting financial resilience through commodity cycles. This structural strength preserves funding flexibility for sustaining operations, funding maintenance capex or opportunistic investments without relying on costly external financing.

Operating Cash Generation

Consistent operating cash generation relative to accounting profits indicates the business can convert earnings into cash. That durable cash inflow supports working capital, routine capital expenditure and lowers refinancing risk, underpinning operational continuity across cycles.

Integrated Iron‑ore Producer & Sales Model

An integrated WA-based production and sales model with offtake/trading channels secures stable revenue access to global steel markets. Structural ties to steel demand and self-managed value chain reduce dependency on third-party processing and support sustained supply capabilities.

Negative Factors

Revenue Decline

A marked, sustained decline in revenue scale erodes operational leverage and limits the ability to absorb fixed costs. Over months, reduced volumes or pricing weaken margin sustainability and constrain reinvestment capacity, raising structural recovery requirements amid cyclicality.

Profitability and ROE Weakness

Persistently negative margins and returns on equity signal structural profitability shortfalls. This undermines the firm's ability to generate shareholder value, reduces retained earnings for growth, and may limit capacity to reinstate dividends or fund strategic investments long term.

Free Cash Flow Contraction

A shrinking free cash flow trend constrains liquidity available for maintenance capex, debt reduction or shareholder returns. Over multiple quarters this reduces strategic optionality and raises vulnerability to commodity downturns when cash buffers and reinvestment ability are needed most.

Mount Gibson Iron Limited Business Overview & Revenue Model

Company Description

MGX Resources Ltd. engages in the business of mining, exploration, and development of hematite iron ore deposits. It operates through the Koolan Island segment. The Koolan Island segment includes the mining, crushing and sale of iron ore direct from the Koolan Island iron ore operation. Mount Gibson Iron was founded in 1996 and is headquartered in West Perth, Australia.

How the Company Makes Money

Mount Gibson Iron Limited generates revenue primarily through the sale of iron ore products. The company produces high-quality iron ore fines and lump ore, which are sold to various customers, including steel manufacturers and traders, both domestically and internationally. The revenue model is largely dependent on the global demand for iron ore, market prices, and operational efficiency. Key revenue streams include direct sales contracts with customers, long-term supply agreements, and spot market sales. Additionally, MGX benefits from partnerships with logistics providers for efficient transportation of its products to ports, enhancing its ability to deliver to international markets. Fluctuations in iron ore prices on global markets, as well as operational factors such as production costs and mining efficiency, play significant roles in the company's profitability.

Mount Gibson Iron Limited Financial Statement Overview

Summary

Mount Gibson Iron Limited faces challenges with declining revenues and profitability, impacting its income statement performance. The balance sheet remains strong with low leverage, but negative returns on equity are concerning. Cash flow generation is mixed, with strong operating cash flows but declining free cash flow growth. Overall, the company needs to address profitability and cash conversion issues to improve its financial health.

Income Statement

Mount Gibson Iron Limited has experienced significant revenue volatility, with a notable decline of 16.53% in the latest year. The company has struggled with profitability, evidenced by negative net profit margins and EBIT margins in the most recent period. Historical data shows fluctuating margins, with a strong performance in 2021 but deteriorating results thereafter. The gross profit margin has also significantly decreased, indicating challenges in maintaining cost efficiency.

Balance Sheet

The company's balance sheet shows a strong equity base with a low debt-to-equity ratio, indicating financial stability. However, the return on equity has been negative in recent periods, reflecting challenges in generating returns for shareholders. The equity ratio remains robust, suggesting a solid capital structure despite recent profitability issues.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth, with a significant drop in the latest year. The operating cash flow to net income ratio is healthy, indicating good cash generation relative to accounting profits. However, the free cash flow to net income ratio has decreased, highlighting potential issues in converting profits into free cash flow.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	313.05M	330.52M	667.82M	452.69M	186.11M	300.46M
Gross Profit	1.85M	227.00K	210.62M	111.85M	-30.52M	84.69M
EBITDA	19.43M	4.50M	90.77M	144.94M	-171.88M	135.57M
Net Income	-31.34M	-82.19M	6.43M	5.18M	-174.12M	64.01M
Balance Sheet
Total Assets	512.41M	582.67M	664.30M	724.94M	760.14M	984.11M
Cash, Cash Equivalents and Short-Term Investments	456.17M	461.82M	463.03M	162.41M	125.57M	351.58M
Total Debt	4.39M	5.29M	11.85M	23.05M	11.88M	18.10M
Total Liabilities	80.62M	129.49M	118.13M	185.71M	227.04M	264.40M
Stockholders Equity	431.79M	453.18M	546.17M	539.23M	533.10M	719.71M
Cash Flow
Free Cash Flow	16.08M	34.19M	267.32M	56.59M	-196.08M	-43.10M
Operating Cash Flow	59.31M	98.45M	328.21M	130.62M	21.86M	171.99M
Investing Cash Flow	17.40M	-59.84M	-335.03M	-131.00M	-10.12M	-163.55M
Financing Cash Flow	-19.14M	-25.66M	-12.01M	-22.47M	-30.94M	-25.84M

Mount Gibson Iron Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.47
• 50DMA: Positive
• 100DMA: Positive
• 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:MGX, the sentiment is Positive. The current price of 0.47 is above the 20-day moving average (MA) of 0.45, above the 50-day MA of 0.45, and above the 200-day MA of 0.38, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.40 is Neutral, neither overbought nor oversold. The STOCH value of 87.96 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:MGX.

Mount Gibson Iron Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRD	67 Neutral	AU$17.48M	3.44	3.77%	―	―	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
GWR	61 Neutral	AU$55.01M	6.54	19.09%	―	―	―
MGX	52 Neutral	AU$554.80M	-17.54	-16.34%	―	-48.05%	-1394.34%
M4M	41 Neutral	AU$27.45M	-5.56	-92.18%	―	―	66.67%
EQX	28 Underperform	AU$26.95M	-6.35	-32.09%	―	―	-141.04%

Mount Gibson Iron Limited Corporate Events

MGX Completes 50% Acquisition of High-Grade Central Tanami Gold Project

MGX Resources Limited has completed the acquisition of a 50% interest in the advanced Central Tanami Gold Project Joint Venture in the Northern Territory from Northern Star Resources for $50 million, including assuming associated bank guarantees and standard completion adjustments. The Central Tanami project, which hosts an estimated 2.8 million ounces of contained gold and is regarded as one of Australia’s highest-grade undeveloped gold projects, is seen by MGX as a transformational opportunity; the company now plans to work with joint venture partner Tanami Gold NL and local stakeholders to finalise a development plan, obtain approvals and accelerate development, strengthening its position in the Australian gold sector.

The most recent analyst rating on (AU:MGX) stock is a Hold with a A$0.48 price target. To see the full list of analyst forecasts on Mount Gibson Iron Limited stock, see the AU:MGX Stock Forecast page.

MGX Leans on Stockpiles and Cash Hoard as Koolan Rockfall Spurs Gold-Focused Pivot

MGX Resources has stabilised its operations and preserved a strong balance sheet following a substantial rockfall at its Koolan Island iron ore mine in October 2025, which forced the suspension of mining and a shift to processing lower grade stockpiles. In the December 2025 quarter, the company generated $15 million in free cash flow, sold 0.8 million tonnes of iron ore (including 0.48 million tonnes of low-grade material), and ended the period with $497 million in cash and investments, while implementing significant cost reductions, advancing site rehabilitation and exploring future uses for the island’s logistics and mining infrastructure. MGX expects to process and ship a further 1.0 million tonnes of low-grade stockpiles by late in the June 2026 half, materially offsetting previously anticipated post-rockfall costs, and has flagged a non-cash impairment of $55–65 million on Koolan Island assets for the December half-year. Concurrently, the company’s planned acquisition of 50% of the Central Tanami Gold Project remains on track for completion in the March 2026 quarter after regulatory approval, with the project’s mineral resources upgraded to 31 million tonnes at 2.8 grams per tonne for 2.8 million ounces of gold, underscoring a strategic diversification into one of Australia’s higher-grade undeveloped gold assets.

The most recent analyst rating on (AU:MGX) stock is a Hold with a A$0.46 price target. To see the full list of analyst forecasts on Mount Gibson Iron Limited stock, see the AU:MGX Stock Forecast page.

MGX Resources Secures FIRB Approval for Central Tanami Gold Project Acquisition

MGX Resources Limited has received approval from Australia’s Foreign Investment Review Board for its $50 million acquisition of a 50% interest in the Central Tanami Gold Project Joint Venture in the Northern Territory. This acquisition, from Northern Star Resources, positions MGX to establish itself as a significant player in the Australian gold industry. The finalization of the transaction is contingent upon securing an extension of infrastructure arrangements with the Central Land Council, with MGX optimistic about completing the deal ahead of the March 2026 deadline.

The most recent analyst rating on (AU:MGX) stock is a Hold with a A$0.39 price target. To see the full list of analyst forecasts on Mount Gibson Iron Limited stock, see the AU:MGX Stock Forecast page.

MGX Resources Limited Announces Name Change Reflecting Strategic Diversification

MGX Resources Limited has officially changed its name from Mount Gibson Iron Limited, effective December 4, 2025, to reflect its strategic shift towards diversifying its mineral portfolio. This change aligns with MGX’s acquisition of a 50% interest in the Central Tanami Gold Project, marking a significant step in its transition from iron ore to precious and base metals, while maintaining investor recognition through its consistent ASX ticker code.

The most recent analyst rating on (AU:MGX) stock is a Hold with a A$0.39 price target. To see the full list of analyst forecasts on Mount Gibson Iron Limited stock, see the AU:MGX Stock Forecast page.