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Perpetual Resources Ltd. (AU:PEC)
ASX:PEC

Perpetual Resources (PEC) AI Stock Analysis

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AU:PEC

Perpetual Resources

(Sydney:PEC)

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Neutral 41 (OpenAI - 5.2)
Rating:41Neutral
Price Target:
AU$0.01
▲(0.00% 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
Balance Sheet Health
A debt-free balance sheet with positive equity reduces financial risk and provides a stable foundation for future growth and investment.
Strategic Resource Discovery
The discovery of high-grade lithium resources positions the company strategically in the lithium market, enhancing its long-term growth potential and market relevance.
Exploration Expansion
Expanding exploration efforts in a key lithium region can lead to resource base growth, improving the company's competitive position and future revenue streams.
Negative Factors
Revenue Volatility
The absence of stable revenue highlights operational challenges, undermining financial sustainability and long-term profitability prospects.
Cash Flow Challenges
Persistent negative cash flow indicates ongoing cash burn, necessitating external funding and challenging the company's ability to self-sustain operations.
Equity Erosion
Declining equity due to cumulative losses reflects ongoing value erosion, which can limit future investment capacity and shareholder confidence.

Perpetual Resources (PEC) vs. iShares MSCI Australia ETF (EWA)

Perpetual Resources Business Overview & Revenue Model

Company DescriptionPerpetual 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 MoneyPerpetual 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.
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue0.000.0015.26K0.000.00145.75K
Gross Profit-10.53K-10.53K-5.86K0.000.00145.75K
EBITDA-912.75K-893.05K-5.59M-957.00K220.00145.75K
Net Income-903.50K-903.59K-5.44M-4.84M-1.68M-717.00K
Balance Sheet
Total Assets3.98M3.98M2.72M5.27M8.59M9.32M
Cash, Cash Equivalents and Short-Term Investments826.29K826.29K909.62K1.30M1.13M3.42M
Total Debt0.000.000.000.000.000.00
Total Liabilities130.59K130.59K492.39K356.50K343.56K306.37K
Stockholders Equity3.84M3.84M2.23M4.91M8.25M9.01M
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 Flow2.35M2.35M1.62M1.47M-9.86K3.88M

Perpetual Resources Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price0.01
Price Trends
50DMA
0.01
Negative
100DMA
0.02
Negative
200DMA
0.01
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
51.69
Neutral
STOCH
77.78
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 51.69 is Neutral, neither overbought nor oversold. The STOCH value of 77.78 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

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$10.43B7.12-0.05%2.87%2.86%-36.73%
51
Neutral
AU$12.59M-5.28-16.20%47.03%
47
Neutral
AU$13.60M-5.71%16.67%
45
Neutral
AU$30.86M-0.41-121.41%-1034.67%
44
Neutral
AU$9.47M-5.00-19.14%
41
Neutral
AU$10.98M-10.00-29.01%87.50%
41
Neutral
AU$44.97M-6.94-5.81%-67.81%-244.10%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:PEC
Perpetual Resources
0.01
>-0.01
-35.29%
AU:ENV
Enova Mining Limited
0.01
0.00
0.00%
AU:WIN
Widgie Nickel Limited
0.04
0.02
105.88%
AU:AHN
Athena Resources Limited
AU:VML
Vital Metals Ltd
0.20
0.14
225.00%
AU:IG6
International Graphite Limited
0.07
0.02
37.50%

Perpetual Resources Corporate Events

Perpetual Resources Sharpens Brazil Lithium Push With High-Grade Renaldinho Assays
Jan 12, 2026

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
Dec 18, 2025

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
Dec 4, 2025

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
Nov 28, 2025

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
Nov 26, 2025

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
Nov 26, 2025

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
Nov 20, 2025

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
Nov 13, 2025

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
Nov 13, 2025

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
Nov 13, 2025

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
Nov 6, 2025

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.

Perpetual Resources Unveils Promising Drilling Results in Brazil
Oct 28, 2025

Perpetual Resources Ltd announced significant results from its maiden drilling program at the Igrejinha Project in Brazil, confirming a high-grade, polymetallic LCT pegmatite system. The discovery includes exceptional grades of tin, tungsten, caesium, tantalum, and lithium, suggesting the potential for a globally significant caesium discovery. The company has also strengthened its exploration strategy by appointing a new Brazilian In-Country Exploration Manager and plans to accelerate exploration activities. Additionally, Perpetual is advancing its Raptor Rare Earth Project and Beharra metallurgical test work amid favorable market conditions, supported by a recent $1.6 million placement to bolster its financial position.

Perpetual Resources Schedules Annual General Meeting for November 2025
Oct 24, 2025

Perpetual Resources Limited has announced its upcoming Annual General Meeting, scheduled for November 26, 2025, in Subiaco, Western Australia. The meeting will address several key matters, including the adoption of the Remuneration Report for the financial year ending June 30, 2024. Shareholders are encouraged to review the Explanatory Memorandum for detailed information on the agenda and voting procedures, with specific voting restrictions outlined for certain resolutions.

Perpetual Resources Launches New Exploration Phase in Brazil’s Lithium Valley
Oct 16, 2025

Perpetual Resources has initiated a systematic exploration program at its Igrejinha and Renaldinho projects in Brazil’s Lithium Valley, following the discovery of a fertile LCT system at Morro Grande. This exploration aims to define lithium-bearing pegmatite targets for further drilling, with the program including geological mapping and soil sampling. The company’s efforts are expected to enhance its strategic positioning in the lithium market, potentially impacting stakeholders by expanding its resource base and exploration success.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 30, 2025