Perpetual Resources (PEC) AI Stock Analysis

• Market Cap: AU$13.37M
• Dividend Yield: N/A
• Average Volume (3M): 2.54M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.68
• 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: 47 Neutral
• Price Target: AU$0.01 ▲(30.00% Upside)
• Action: Reiterated Date: 02/13/26
• Date: Action: Reiterated 02/13/26

The score is held down primarily by weak financial performance—no revenue in 2025, continued losses, and ongoing cash burn—despite a safer balance sheet with no debt. Technicals are moderately positive with improving momentum and price above short-term averages, but valuation remains challenged due to negative earnings and no dividend yield support.

Positive Factors

Low leverage / clean balance sheet

Zero reported debt and positive shareholders' equity materially reduce refinancing and interest-rate risk, giving the company structural financial flexibility. Over 2-6 months this improves survival odds, supports creditor confidence and allows management to prioritize operational fixes rather than urgent debt servicing.

Sharply reduced losses in 2025

A marked reduction in annual net losses indicates meaningful cost control or operational improvements rather than one-off items. This structural improvement improves runway and raises the probability management can stabilize the business and reach break-even within several quarters, aiding long-term viability.

Improving free cash flow trend

Free cash flow becoming materially less negative signals progress toward self-funding operations. A sustained trend of shrinking cash burn reduces reliance on external financing, lowers dilution risk for shareholders, and permits measured reinvestment if sustained over the coming quarters.

Negative Factors

No revenue in 2025 / volatile sales

A collapse to zero reported revenue undermines core business viability and makes forecasting impossible; without a stable revenue base, margins and profitability improvements are fragile. Over months this raises existential risk unless revenue generation is restored or a new business line is validated.

Persistent operating cash outflows

Consistent negative operating cash flow means the company cannot generate internal funds to cover costs and must rely on reserves or external financing. This structural cash burn limits strategic options, increases dilution or financing risk, and constrains the ability to invest in growth or recovery.

Erosion of equity and negative returns on capital

Cumulative losses that erode shareholder equity and produce persistently negative ROE point to structural inability to create shareholder value. Over months this weakens balance-sheet resilience, complicates fundraising, and signals deep operational or market issues that must be addressed to reverse value erosion.

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: revenue is minimal/volatile (2025 revenue fell to 0), losses persist (EBIT loss ~1.0m in 2025), and operating/free cash flow remain negative (FCF about -1.14m in 2025). The balance sheet is a relative positive with zero debt and positive equity (~3.84m), but equity has declined over time and ROE remains negative, indicating ongoing value erosion.

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

Perpetual Resources Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:PEC, the sentiment is Positive. 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 70.19 is Negative, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive 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$11.29M	-4.56	-16.20%	―	―	47.03%
PEC	47 Neutral	AU$13.37M	-12.73	-29.01%	―	―	87.50%
AHN	47 Neutral	AU$12.46M	―	-5.71%	―	―	16.67%
WIN	45 Neutral	AU$25.72M	-0.35	-121.41%	―	―	-1034.67%
ENV	44 Neutral	AU$11.60M	-5.00	-19.14%	―	―	―
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.