Octava Minerals Ltd. (OCT) AI Stock Analysis

• Market Cap: AU$2.26M
• Dividend Yield: N/A
• Average Volume (3M): 132.50K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.57
• Revenue Growth: N/A
• EPS Growth: -126.60%
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 72
• Industry: Other Precious Metals
• EPS (TTM): -0.04
• Shares Outstanding: 61,009,308
• 10 Day Avg. Volume: 301,279
• 30 Day Avg. Volume: 132,504
• PEG Ratio: <0.01
• Price to Book (P/B): 0.49
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.42
• 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: 44 Neutral
• Price Target: ―

Octava Minerals Ltd. is facing substantial financial challenges, primarily due to unprofitability and negative cash flows. The strong balance sheet provides some security, but the lack of revenue growth and operational efficiency raises concerns. Technical indicators suggest a bearish trend, while the current valuation reflects the company's financial struggles.

Octava Minerals Ltd. Business Overview & Revenue Model

Company Description

Octava Minerals Limited engages in the exploration of various mineral properties in the Western Australia. The company focuses on exploring gold, lithium, nickel, and platinum group elements. It's project portfolio include the East Pilbara Talga project that comprises eight granted exploration licenses covering an area of 211 square kilometers located in the northeast of marble bar in the Pilbara region of Western Australia; and the East Kimberly Project comprises two tenements, the Panton North project and the Copernicus North project located in the Halls Creek Orogen. In addition, the company holds interest the Yallalong project consisting of one granted exploration licence covering an area of approximately 63.4 square kilometers located in northeast of Geraldton. Octava Minerals Limited was formerly known as 8 AU limited and changed its name to Octava Minerals Limited in February 2022. The company was incorporated in 2020 and is headquartered in Subiaco, Australia.

How the Company Makes Money

Octava Minerals Ltd. generates revenue primarily through the exploration and development of mineral resources. The company's key revenue streams include the sale of extracted minerals such as lithium, gold, and base metals to industrial clients and commodity markets. Additionally, Octava Minerals may engage in joint ventures or partnerships with other mining companies to co-develop projects, which can lead to shared revenues or royalties from successful mining operations. The company's earnings are influenced by factors such as mineral prices, exploration success, and operational efficiency.

Octava Minerals Ltd. Financial Statement Overview

Summary

Octava Minerals Ltd. faces significant challenges in profitability and cash flow generation. The income statement shows declining revenue and growing net losses, while cash flows remain negative with no improvement. However, the balance sheet is strong with no debt and solid equity.

Income Statement

Octava Minerals Ltd. shows a declining revenue trend with a significant drop in total revenue from 2023 to 2024. The company has negative EBIT and EBITDA margins, indicating operational inefficiencies. The net loss is growing, which poses a challenge to achieving profitability.

Balance Sheet

The company maintains a strong equity position with no debt, reflected in a debt-to-equity ratio of zero. However, the return on equity is negative due to continued net losses. The equity ratio is robust, indicating a solid financial structure.

Cash Flow

Octava Minerals Ltd. has negative free cash flow, with no signs of improvement. Operating cash flows are consistently negative, and there is no financing cash flow growth to support operations. The company relies on past financing activities to maintain liquidity.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	200.00K	400.00K	0.00	0.00
Gross Profit	200.00K	400.00K	0.00	0.00
EBITDA	-797.64K	-752.73K	-790.29K	-316.93K
Net Income	-797.64K	-752.73K	-1.52M	-522.21K
Balance Sheet
Total Assets	5.14M	5.84M	336.95K	281.27K
Cash, Cash Equivalents and Short-Term Investments	1.48M	3.36M	113.78K	24.38K
Total Debt	0.00	0.00	0.00	100.00K
Total Liabilities	64.14K	106.92K	570.90K	238.08K
Stockholders Equity	5.07M	5.73M	-233.95K	43.19K
Cash Flow
Free Cash Flow	-1.87M	-2.34M	-961.88K	-621.02K
Operating Cash Flow	-779.60K	-855.46K	-961.88K	-394.20K
Investing Cash Flow	-1.09M	-1.48M	0.00	-246.82K
Financing Cash Flow	0.00	5.58M	1.05M	665.40K

Octava Minerals Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:OCT, the sentiment is Positive. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.04, and below the 200-day MA of 0.07, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 58.23 is Neutral, neither overbought nor oversold. The STOCH value of 61.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:OCT.

Octava Minerals Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MIN	58 Neutral	$6.30B	50.78	-33.95%	4.54%	2.22%	-411.10%
PLS	52 Neutral	$6.19B	23.42	-1.04%	―	-65.07%	-102.37%
CXO	50 Neutral	$246.45M	―	-21.25%	―	-70.50%	62.71%
Sector *	44 Neutral	C$980.66M	-6.79	-13.68%	1.76%	17.37%	-32.98%
OCT	44 Neutral	AU$2.26M	―	-46.53%	―	―	-126.60%
INR	38 Underperform	$332.72M	―	-4.75%	―	―	-175.00%
LTR	36 Underperform	€2.28B	―	-6.32%	―	―	3.33%

Octava Minerals Ltd. Corporate Events

Octava Minerals Releases Half-Year Financial Report

Octava Minerals Ltd has released its half-year financial report for the period ending 31 December 2024. This report provides stakeholders with insights into the company’s financial performance and operational progress in its exploration and development projects, which could impact its positioning in the new energy metals market.

Octava Minerals Announces Change in Director’s Interests

Octava Minerals Ltd has announced a change in the director’s interests, specifically for Managing Director and CEO Bevan Wakelam, who acquired 121,634 ordinary shares at a value of $0.0393 per share. This change in director’s interests could indicate a strategic move to strengthen the company’s leadership stake, potentially impacting investor confidence and the company’s market positioning.

Octava Minerals Reports Promising Antimony Drill Results at Yallalong

Octava Minerals Ltd has reported promising results from its first Reverse Circulation drilling program at the Discovery antimony target within the Yallalong Project. The drilling, which aimed to explore the lateral and vertical extensions of previously identified high-grade antimony, revealed significant intercepts, including a notable 1m at 9% Sb from a depth of 45m. These results underscore the potential of the Discovery target and the challenges of targeting structurally controlled mineral prospects, which the company plans to address in future exploration efforts.