Newfield Resources Ltd. (NWF) AI Stock Analysis

• Market Cap: AU$83.72M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: AU
• Employees: 213
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Other Precious Metals
• EPS (TTM): N/A
• Shares Outstanding: 940,702,940
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: >-0.01
• Price to Book (P/B): -7.78
• Price to Sales (P/S): 44.73
• P/FCF Ratio: -11.95
• 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: 42 Neutral
• Price Target: AU$0.09 ▼(-5.56% Downside)

The overall stock score for Newfield Resources Ltd. is primarily impacted by its weak financial performance, characterized by persistent losses and high leverage. Technical analysis suggests a bearish trend, with indicators pointing to oversold conditions. Valuation metrics further highlight the company's financial difficulties, with a negative P/E ratio and no dividend yield.

Positive Factors

Strategic Partnerships

The partnership with ACA Resources to manage the Tongo Diamond Mine could enhance operational efficiency and project advancement, potentially boosting long-term production capacity and revenue generation.

Project Development

Negotiating favorable license fee conditions can reduce operational costs and improve financial stability, supporting sustainable project development and profitability in the long term.

Cash Position Improvement

An improved cash position, despite negative free cash flow, indicates better liquidity management, which can support ongoing operations and strategic investments.

Negative Factors

High Leverage

High leverage and negative equity increase financial risk, limiting the company's ability to invest in growth opportunities and potentially impacting long-term viability.

Negative Revenue Growth

Negative revenue growth and persistent losses undermine financial health, challenging the company's ability to sustain operations and invest in future growth.

Legal and Contractual Challenges

Termination of the agreement with Octea Limited poses legal and operational challenges, potentially disrupting project timelines and revenue streams, impacting long-term strategic goals.

Newfield Resources Ltd. Business Overview & Revenue Model

Company Description

Newfield Resources Limited engages in the mine development, stope mining, and mineral exploration activities primarily in Australia and Africa. It explores for diamonds and gold deposits. The company's flagship project is the Tongo diamond project, which covers an area over 134 square kilometers in eastern Sierra Leone. Newfield Resources Limited was incorporated in 2011 and is based in North Fremantle, Australia.

How the Company Makes Money

Newfield Resources Ltd. generates revenue primarily through the exploration, development, and eventual sale of diamonds extracted from its mining operations. The company focuses on advancing its Tongo Diamond Project, where it aims to produce and sell high-quality diamonds in the global market. Revenue is generated through the sale of rough diamonds to various buyers, including diamond traders, jewelers, and manufacturers. The company may also benefit from strategic partnerships or joint ventures that provide additional funding or expertise to enhance its mining operations and expand its production capacity. Furthermore, fluctuations in diamond prices, operational efficiencies, and successful project development are significant factors contributing to the company's earnings.

Newfield Resources Ltd. Financial Statement Overview

Summary

Newfield Resources Ltd. faces significant financial challenges, with negative revenue growth and consistent losses across its income statement. The balance sheet shows high leverage and a negative stockholders' equity, indicating financial risk. Despite a slight improvement in cash position, the company continues to generate negative free cash flow, underscoring its financial instability.

Income Statement

Newfield Resources Ltd. shows a challenging income statement with negative revenue growth and persistent losses. The gross profit margin is negative, indicating costs exceed revenue, and the net profit margin reflects substantial losses. While the EBIT and EBITDA margins are also negative, there is a notable revenue increase from the prior year, but it remains insufficient to overcome the high expenses.

Balance Sheet

The balance sheet highlights significant financial instability. With a negative stockholders' equity, the company is heavily leveraged, reflected in a high debt-to-equity ratio that indicates financial risk. The equity ratio is negative due to the deficit in shareholders' equity, suggesting potential insolvency concerns.

Cash Flow

Cash flow analysis reveals negative free cash flow, but the company has managed to maintain some level of financing cash flow. Despite the negative operating cash flow, the company has improved its cash position slightly compared to previous periods, although this is not sufficient to cover its net income losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.06M	2.06M	-1.68M	1.97M	0.00	0.00
Gross Profit	-702.36K	-702.36K	-1.68M	-1.45M	-902.64K	-383.86K
EBITDA	-147.95M	-147.95M	-9.27M	-5.57M	-6.54M	-7.34M
Net Income	-136.52M	-136.52M	-10.35M	-6.91M	-11.38M	-9.93M
Balance Sheet
Total Assets	3.55M	3.55M	140.46M	130.33M	110.98M	107.18M
Cash, Cash Equivalents and Short-Term Investments	15.67K	15.67K	158.20K	1.26M	1.59M	1.00M
Total Debt	4.80M	4.80M	17.07M	159.08K	34.60M	19.60M
Total Liabilities	15.64M	15.64M	41.01M	29.55M	75.84M	55.17M
Stockholders Equity	-11.85M	-11.85M	99.68M	100.79M	35.14M	52.02M
Cash Flow
Free Cash Flow	-7.71M	-7.71M	-15.69M	-20.21M	-14.74M	-23.77M
Operating Cash Flow	-5.70M	-5.70M	-10.36M	-7.31M	-3.37M	-1.68M
Investing Cash Flow	-2.80M	-2.80M	-12.66M	-12.84M	-11.26M	-15.39M
Financing Cash Flow	8.36M	8.36M	22.06M	19.75M	15.06M	17.16M

Newfield Resources Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.09
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Neutral
• RSI: Negative
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:NWF, the sentiment is Positive. The current price of 0.09 is below the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.09, and above the 200-day MA of 0.09, indicating a neutral trend. The MACD of >-0.01 indicates Neutral momentum. The RSI at 100.00 is Negative, neither overbought nor oversold. The STOCH value of 9.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:NWF.

Newfield Resources Ltd. 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%
SPD	50 Neutral	AU$275.42M	-41.90	-17.70%	―	―	29.91%
GIB	49 Neutral	AU$14.59M	-12.83	-92.62%	―	―	29.33%
NWF	42 Neutral	AU$83.72M	―	―	―	―	―
BDM	38 Underperform	AU$24.16M	-0.12	-151.97%	―	-28.16%	-1569.00%
LRM	29 Underperform	AU$103.35M	-13.18	-9377.41%	―	―	-214.29%