Perpetual Resources (PEC) AI Stock Analysis

• Market Cap: AU$10.50M
• Dividend Yield: N/A
• Average Volume (3M): 2.54M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.11
• Revenue Growth: N/A
• EPS Growth: 87.50%
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 954,705,500
• 10 Day Avg. Volume: 2,000,252
• 30 Day Avg. Volume: 2,541,221
• PEG Ratio: 0.12
• Price to Book (P/B): 2.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.17
• 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: 41 Neutral
• Price Target: AU$0.01 ▲(10.00% Upside)

The score is driven primarily by very weak operating fundamentals (zero/volatile revenue, ongoing losses, and continued cash burn), partially mitigated by a low-risk balance sheet with zero debt and positive equity. Technical indicators also point to a weak downtrend, while valuation is constrained by negative earnings (negative P/E) and no dividend data.

Positive Factors

Low leverage (zero debt)

Zero reported debt and positive equity reduce refinancing pressure and provide financial flexibility, giving the company a longer runway to restructure operations or pursue strategic options. This durable balance-sheet advantage mitigates liquidity risk even as operations burn cash.

Narrowing net loss

A sharp reduction in net loss reflects meaningful improvement in cost structure or one-off expense reductions, indicating operational stabilization. If sustained, this structural improvement can pave the way to break-even and stronger cash generation, though it requires a stable revenue recovery to be durable.

Improving free cash flow trend

An improving free cash flow trend shows the company is reducing its cash burn and lowering near-term financing needs. Over the medium term, continued FCF improvement would materially reduce dilution risk and extend operational runway, enabling selective reinvestment if revenue stabilizes.

Negative Factors

Revenue volatility / zero revenue

The absence of reported revenue in 2025 demonstrates a lack of a stable revenue base or disrupted sales channels. Without recurring revenues, the firm's business model lacks sustainability; this structural weakness impedes margin recovery, cash generation, and makes ongoing operations dependent on external funding.

Persistent negative cash flow

Consistent operating and free cash outflows indicate the company cannot self-fund operations and will rely on external financing or asset sales. Over months this erodes reserves and equity, increases dilution risk, and constrains strategic choices like capital investment or market expansion, posing a durable risk.

Eroding equity and negative ROE

Material equity decline combined with deeply negative returns on equity signals ongoing value destruction and inability to generate shareholder returns. This structural deterioration limits the company's capacity to absorb shocks, undermines stakeholder confidence, and raises questions about long-term viability absent sustained operational recovery.

Perpetual Resources Business Overview & Revenue Model

Company Description

Perpetual Resources Ltd. (PEC) is an Australian exploration and development company focused on the construction materials sector. The company primarily engages in the exploration and development of high-quality silica sands, which are essential components in various industrial applications including glass manufacturing, foundry casting, and construction materials.

How the Company Makes Money

Perpetual Resources Ltd. generates revenue through the exploration, development, and potential sale of silica sand resources. The company's primary revenue stream is anticipated to come from mining operations where extracted silica sand is sold to industries requiring high-grade materials for manufacturing processes. Additionally, Perpetual Resources may engage in strategic partnerships and off-take agreements with key industry players to secure long-term supply contracts, thereby ensuring a steady and reliable revenue flow. These partnerships can also help in leveraging industry expertise and expanding market reach, contributing significantly to the company's earnings.

Perpetual Resources Financial Statement Overview

Summary

Income statement and cash flow are very weak: 2025 revenue fell to 0 from 15,260 in 2024, the company remains loss-making (EBIT loss ~1.0m; net loss ~0.9m), and operating/free cash flow are persistently negative (OCF ~-1.11m; FCF ~-1.14m in 2025). Offsetting this, the balance sheet is comparatively safer with zero debt and positive equity (~3.84m), though equity has trended down over time due to cumulative losses.

Income Statement

Operating performance remains very weak: revenue is minimal and volatile (including zero-revenue years), with 2025 annual revenue falling to 0 from 15,260 in 2024 (a -100% decline). Profitability is consistently negative, with ongoing operating losses (EBIT loss of ~1.0m in 2025) and net losses in every year shown. While the net loss narrowed sharply in 2025 versus 2024 (from ~5.4m to ~0.9m), the business still lacks a stable revenue base and has not demonstrated sustainable margins.

Balance Sheet

The balance sheet is supported by positive equity (2025 stockholders’ equity ~3.84m) and shows no debt across the period, which reduces financial risk and refinancing pressure. However, equity has declined materially from earlier years (e.g., ~9.01m in 2021), reflecting cumulative losses, and returns on equity are negative in every year (including about -23.5% in 2025), indicating ongoing value erosion despite the low leverage.

Cash Flow

Cash generation is consistently negative: operating cash flow is a cash outflow every year shown (about -1.11m in 2025), and free cash flow is also persistently negative (about -1.14m in 2025). Free cash flow improved substantially in 2025 versus 2024 (less negative), but the company still relies on external funding or cash reserves to sustain operations. Overall, cash flow trends indicate continued cash burn without evidence of self-funding operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	0.00	0.00	15.26K	0.00	0.00	145.75K
Gross Profit	-10.53K	-10.53K	-5.86K	0.00	0.00	145.75K
EBITDA	-912.75K	-893.05K	-5.59M	-957.00K	220.00	145.75K
Net Income	-903.50K	-903.59K	-5.44M	-4.84M	-1.68M	-717.00K
Balance Sheet
Total Assets	3.98M	3.98M	2.72M	5.27M	8.59M	9.32M
Cash, Cash Equivalents and Short-Term Investments	826.29K	826.29K	909.62K	1.30M	1.13M	3.42M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	130.59K	130.59K	492.39K	356.50K	343.56K	306.37K
Stockholders Equity	3.84M	3.84M	2.23M	4.91M	8.25M	9.01M
Cash Flow
Free Cash Flow	-1.51M	-1.14M	-2.01M	-1.30M	-2.28M	-1.73M
Operating Cash Flow	-1.11M	-1.11M	-758.12K	-591.33K	-892.46K	-615.00K
Investing Cash Flow	-1.30M	-1.30M	-1.25M	-707.70K	-1.39M	-931.99K
Financing Cash Flow	2.35M	2.35M	1.62M	1.47M	-9.86K	3.88M

Perpetual Resources Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.01
• 50DMA: Positive
• 100DMA: Negative
• 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:PEC, the sentiment is Neutral. 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 neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 53.79 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for AU:PEC.

Perpetual Resources 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%
IG6	51 Neutral	AU$14.17M	-5.76	-16.20%	―	―	47.03%
AHN	47 Neutral	AU$13.60M	―	-5.71%	―	―	16.67%
WIN	45 Neutral	AU$30.00M	-0.41	-121.41%	―	―	-1034.67%
ENV	44 Neutral	AU$11.05M	-5.00	-19.14%	―	―	―
PEC	41 Neutral	AU$10.50M	-10.00	-29.01%	―	―	87.50%
VML	41 Neutral	AU$40.24M	-6.05	-5.81%	―	-67.81%	-244.10%

Perpetual Resources Corporate Events

Perpetual Resources Confirms High-Grade Lithium and Critical Minerals in Brazil

Perpetual Resources reported strong quarterly exploration progress, confirming a high-grade LCT pegmatite system at its Igrejinha Project’s Morro Grande target in Brazil’s Lithium Valley, with drilling intersecting lithium plus high-grade caesium, tantalum, tin and tungsten and mineralisation remaining open along strike and at depth. The company also announced a new LCT pegmatite discovery at its Renaldinho project, where rock chip assays returned lithium grades of up to 7.08% Li2O, underpinning plans for follow-up drilling across multiple Brazilian targets, while it continues to evaluate strategic options for its Raptor Rare Earth Project and advances metallurgical test work at the Beharra silica project to improve product purity, all underpinned by a year-end cash balance of about A$1.0 million.

The most recent analyst rating on (AU:PEC) stock is a Sell with a A$0.01 price target. To see the full list of analyst forecasts on Perpetual Resources stock, see the AU:PEC Stock Forecast page.

Perpetual Resources Sharpens Brazil Lithium Push With High-Grade Renaldinho Assays

Perpetual Resources has reported a series of high-grade lithium rock chip assays from its Renaldinho Project in Brazil, including results up to 7.08% Li2O, alongside additional strong lithium values from the nearby Morro Grande target within the Igrejinha tenement. The latest assays confirm a fertile LCT pegmatite system at Renaldinho, with elevated caesium, tantalum and tin supporting the geological model and signalling significant exploration upside along strike and at depth; these results underpin plans for a diamond drilling program across multiple Brazilian targets in 2026, reinforcing Renaldinho as a priority target and potentially enhancing the company’s position in Brazil’s emerging lithium sector.

The most recent analyst rating on (AU:PEC) stock is a Hold with a A$0.01 price target. To see the full list of analyst forecasts on Perpetual Resources stock, see the AU:PEC Stock Forecast page.

Perpetual Resources Confirms High-Grade Lithium Pegmatite Discovery in Brazil

Perpetual Resources has confirmed a major lithium-caesium-tantalum (LCT) pegmatite discovery at its Renaldinho Project in Brazil, with rock samples demonstrating high grades of lithium oxide (Li₂O), peaking at 2.56%. This discovery, alongside mapped pegmatite swarms and geochemical insights, positions Renaldinho as a priority exploration target and underscores the project’s alignment with Tier-1 Brazilian lithium deposits. The company plans to prioritize drilling efforts in 2026, strengthening its exploration pipeline in the region.

Perpetual Resources Director’s Interest Update

Perpetual Resources Limited announced a change in the director’s interest, specifically involving Robert Benussi. The change involved the conversion of 2,500,000 performance rights into fully paid ordinary shares, reflecting a strategic adjustment in the director’s holdings. This conversion signifies a shift in the equity structure, potentially impacting the company’s governance and stakeholder interests.

Perpetual Resources Announces Quotation of New Securities

Perpetual Resources Limited has announced the quotation of 8,750,000 ordinary fully paid securities on the Australian Securities Exchange (ASX). This move is part of the company’s strategy to enhance its market presence and provide liquidity to its stakeholders, potentially impacting its operational capacity and market positioning.

Perpetual Resources Announces Cessation of 14 Million Performance Rights

Perpetual Resources Limited has announced the cessation of 14,000,000 performance rights due to the conditions for these securities not being met. This development may impact the company’s capital structure and could have implications for its stakeholders, as it reflects on the company’s ability to meet certain performance conditions.

Perpetual Resources Secures Shareholder Approval for Key Resolutions

Perpetual Resources Ltd announced that all resolutions presented at their Annual General Meeting were passed. This includes the adoption of the remuneration report, re-election of directors, approval of placement facilities, and ratification of prior issues of shares and options. The successful passing of these resolutions indicates strong shareholder support and positions the company for continued strategic initiatives and growth.

Perpetual Resources Unveils New Lithium Trend in Brazil’s Lithium Valley

Perpetual Resources has identified a new lithium-bearing pegmatite trend over 400 meters at the Mauricio Target in Brazil’s Lithium Valley, enhancing the strategic value of its Igrejinha Project. This discovery underscores the potential for additional mineralized bodies within the region and solidifies Perpetual’s position in a globally significant lithium district. The company is actively pursuing exploration activities, including soil and trenching programs, to delineate further lithium systems and prepare for the next phase of drilling in 2026, with pending laboratory results expected to guide future exploration efforts.

Perpetual Resources Updates Director’s Interest Notice

Perpetual Resources Limited has announced a change in the director’s interest notice concerning Robert Benussi. The update reveals that Mr. Benussi, through his self-managed superannuation fund and other holdings, has acquired 7.5 million performance rights under an employee incentive scheme. This change reflects the company’s ongoing efforts to align management incentives with shareholder interests, potentially impacting the company’s governance and stakeholder confidence.

Perpetual Resources Announces Cessation of Securities

Perpetual Resources Limited has announced the cessation of several securities due to the expiry of options or convertible securities without exercise or conversion. This cessation involves a total of 32.5 million securities across different options with varying expiration dates and exercise prices. The announcement signifies a reduction in the company’s outstanding securities, which may impact its capital structure and market dynamics.

Perpetual Resources Issues 27.5 Million Performance Rights

Perpetual Resources Limited has announced the issuance of 27,500,000 performance rights as part of an employee incentive scheme. This move is aimed at motivating and retaining key personnel, potentially enhancing the company’s operational efficiency and competitive positioning in the mineral resources sector.

Perpetual Resources Confirms High Caesium Grades at Morro Grande

Perpetual Resources has announced significant caesium grades from its Morro Grande prospect, part of the Igrejinha Project in Brazil’s Lithium Valley. The overlimit laboratory analysis confirmed high caesium concentrations in rock chip samples from historic pollucite mining areas, reinforcing Morro Grande’s potential as a major caesium-rich pegmatite system. These findings enhance the company’s confidence in the site’s mineralization prospects and position Morro Grande as a leading caesium source globally, with plans for further exploration and drilling.