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Perseus Mining Limited (AU:PRU)
ASX:PRU

Perseus Mining (PRU) AI Stock Analysis

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AU

Perseus Mining

(Sydney:PRU)

Rating:73Outperform
Price Target:
AU$3.50
▼(-11.62%Downside)
Perseus Mining Limited's overall stock score reflects its strong financial performance, highlighted by robust profitability, solid balance sheet, and effective cash flow management. The earnings call further emphasized operational strength and strategic investments for future growth. Valuation metrics suggest the stock is undervalued, enhancing its appeal. Technical analysis indicates some short-term pressure but potential for upside. Overall, the company's financial health and strategic direction provide a strong foundation for stock performance.

Perseus Mining (PRU) vs. iShares MSCI Australia ETF (EWA)

Perseus Mining Business Overview & Revenue Model

Company DescriptionPerseus Mining Limited explores, evaluates, develops, and mines for gold properties in West Africa. The company primarily holds interests in the Edikan gold mine project located in Ghana; and Sissingué and Yaoure gold projects located in Côte d'Ivoire. Perseus Mining Limited was incorporated in 2003 and is based in Subiaco, Australia.
How the Company Makes MoneyPerseus Mining Limited generates its revenue primarily through the extraction and sale of gold. The company's key revenue streams are derived from its mining operations across three major gold mines: the Edikan Gold Mine in Ghana, the Sissingué Gold Mine, and the Yaouré Gold Mine in Côte d'Ivoire. Perseus sells its gold on the open market at spot prices, gaining revenue as a direct function of gold production volume and prevailing market prices. In addition, the company may engage in hedging activities to manage price risks. Perseus relies on strategic partnerships and investments in exploration to sustain and potentially expand its mining outputs. Operational efficiencies and cost management also play critical roles in optimizing profit margins and ensuring the company's financial performance.

Perseus Mining Earnings Call Summary

Earnings Call Date:Feb 23, 2025
(Q2-2025)
|
% Change Since: 59.68%|
Next Earnings Date:Aug 27, 2025
Earnings Call Sentiment Positive
Perseus Mining's earnings call highlighted strong operational and financial performance, with significant increases in production, improved cost efficiencies, and a solid cash position. The company is strategically investing in new projects like the CMA underground mine and Nyanzaga Gold project, which positions it well for future growth. However, there are some operational challenges, particularly with reconciliation issues at Yaoure and production decline at Sissingué. Overall, the positive developments and strong financial health outweigh the challenges.
Q2-2025 Updates
Positive Updates
Strong Gold Production and Financial Performance
Perseus Mining delivered a strong gold production result with 132,419 ounces, a 9% increase from the previous quarter. All-in site costs decreased by $74 to just over $1,100 per ounce. The average sale price increased to $2,430 per ounce, resulting in a cash margin of $1,303 per ounce, a 24% increase, and a notional cash flow of $173 million, ending with a cash balance of $704 million with no debt.
CMA Underground Mine Development
The company decided to invest in the CMA underground mine development at the Yaoure gold mine in Cote d'Ivoire. Byrnecut has been appointed as the underground mining contractor, and the project is expected to begin producing gold by April 2027.
Nyanzaga Gold Project Progress
Although progress at Nyanzaga Gold project in Tanzania was slower than expected, the project remains on track to produce first gold by January 2027. Discussions with the Tanzanian government are advancing well to clarify specific clauses in the framework agreement.
Strong Operational Performance at Edikan
Edikan mine produced nearly 50,000 ounces of gold with consistently low costs, making it one of the lower-cost operations globally. Significant exploration efforts are underway to extend mine life.
Solid Cash Position and Shareholder Returns
The company maintains a strong cash position of $704 million with no debt. An interim dividend and share buyback plan are in place, with approximately 12% of the buyback completed by the end of December.
Negative Updates
Reconciliation Issues in Yaoure
The Yaoure mine faced a grade reconciliation issue, with overestimation in tonnes but underestimation in grade, but overall contained ounces were higher than expected. Adjustments in grade control methods are underway.
Challenges at Sissingué
Production at Sissingué was down, having been impacted by a very wet season and mining marginal ore deposits. Higher costs are anticipated due to waste stripping in satellite pits.
Company Guidance
In the recent conference call, Perseus Mining reported strong operational performance for the December 2024 quarter, achieving a gold production of 132,419 ounces, which is a 9% increase from the previous quarter. The company recorded improved all-in site costs at just over US$1,100 per ounce, down US$74 from September, and benefited from a rise in average sale price by US$181 to US$2,430 per ounce. This resulted in an average cash margin of US$1,303 per ounce, a 24% increase, leading to a notable cash flow of US$173 million. By the end of the quarter, Perseus boosted its cash and bullion balance by US$61 million to US$704 million, or A$1.12 billion, maintaining a net cash position with no debt. Looking forward, Perseus is guiding production between 215,000 to 250,000 ounces for the next half year, while continuing efforts to maintain low costs and prepare for future growth projects, such as the Nyanzaga Gold project in Tanzania and the CMA underground mine development at Yaouré.

Perseus Mining Financial Statement Overview

Summary
Perseus Mining Limited exhibits a solid financial performance with strong profitability and growth in equity. While recent revenue has declined, operational margins remain strong. The company's balance sheet is robust, with low leverage and high equity, contributing to financial stability. Cash flow management is effective, supporting continued investment and operational efficiency.
Income Statement
65
Positive
Perseus Mining Limited's income statement shows strong revenue growth over the years, although the most recent period saw a decline in total revenue. Gross profit margin turned negative, indicating issues with cost management or pricing strategies. EBIT and EBITDA margins remain healthy, suggesting operational efficiency. The net profit margin is robust, driven by significant net income in the latest period.
Balance Sheet
75
Positive
The balance sheet displays solid equity growth, with a strong equity ratio indicating financial stability. The debt-to-equity ratio is low, reflecting conservative leverage and reduced financial risk. Return on equity is impressive, demonstrating effective use of shareholder funds. Overall, the company maintains a secure financial position with ample cash reserves.
Cash Flow
70
Positive
Cash flow analysis reveals consistent operating cash flows and a positive trend in free cash flow growth, indicating good cash management. The operating cash flow to net income ratio is favorable, suggesting efficient cash conversion. Free cash flow to net income ratio highlights effective management in converting earnings to cash, despite fluctuations in capital expenditures.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
1.74B685.64M1.43B1.13B679.73M591.24M
Gross Profit
1.09B417.91M821.31M564.14M303.06M273.84M
EBIT
1.06B308.96M567.32M273.34M171.81M113.12M
EBITDA
1.02B411.74M788.57M504.39M283.46M251.55M
Net Income Common Stockholders
556.09M494.87M427.40M233.59M87.32M94.36M
Balance SheetCash, Cash Equivalents and Short-Term Investments
1.02B804.94M728.92M426.85M181.54M218.17M
Total Assets
3.38B1.33B2.42B1.99B1.41B1.30B
Total Debt
4.52M2.15M3.90M86.54M137.40M219.46M
Net Debt
-1.01B-356.72M-725.01M-340.30M-44.14M1.29M
Total Liabilities
340.36M137.56M270.22M346.53M350.50M420.16M
Stockholders Equity
2.70B2.37B1.94B1.47B1.03B866.81M
Cash FlowFree Cash Flow
520.52M461.87M448.17M383.03M52.53M-60.40M
Operating Cash Flow
726.75M646.95M648.32M522.91M302.02M212.79M
Investing Cash Flow
-459.72M-493.04M-200.16M-165.70M-249.21M-269.89M
Financing Cash Flow
-144.48M-68.36M-125.79M-113.39M-81.35M165.71M

Perseus Mining Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.96
Price Trends
50DMA
3.46
Positive
100DMA
3.17
Positive
200DMA
2.89
Positive
Market Momentum
MACD
0.15
Negative
RSI
69.03
Neutral
STOCH
71.34
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:PRU, the sentiment is Positive. The current price of 3.96 is above the 20-day moving average (MA) of 3.65, above the 50-day MA of 3.46, and above the 200-day MA of 2.89, indicating a bullish trend. The MACD of 0.15 indicates Negative momentum. The RSI at 69.03 is Neutral, neither overbought nor oversold. The STOCH value of 71.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:PRU.

Perseus Mining Peers Comparison

Overall Rating
UnderperformOutperform
Sector (50)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
AUPRU
73
Outperform
C$5.46B10.1622.80%1.60%12.24%14.88%
50
Neutral
$2.00B-1.12-21.15%3.68%2.69%-30.65%
$2.37B19.9113.42%0.76%
$2.54B-0.38%
$2.21B9.2426.42%2.86%
AUGMD
72
Outperform
AU$5.38B43.8413.01%125.45%
AUCMM
70
Neutral
AU$4.19B49.9718.02%6.31%301.01%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:PRU
Perseus Mining
3.96
1.58
66.25%
ELKMF
Gold Road Resources Ltd
1.73
0.61
54.46%
RGRNF
Regis Resources Limited
3.50
2.24
177.78%
RMLRF
Ramelius Resources Limited
1.84
0.57
44.88%
AU:GMD
Genesis Minerals Limited
4.98
3.06
159.38%
AU:CMM
Capricorn Metals Ltd
10.05
5.37
114.74%

Perseus Mining Corporate Events

Perseus Mining Updates on Share Buy-Back Progress
May 20, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program, reporting the acquisition of 294,000 ordinary fully paid securities on the previous day, adding to a total of over 14 million securities bought back since the program’s inception. This buy-back initiative is part of the company’s strategy to enhance shareholder value and optimize its capital structure, reflecting a proactive approach to managing its financial resources and market presence.

The most recent analyst rating on (AU:PRU) stock is a Buy with a A$3.80 price target. To see the full list of analyst forecasts on Perseus Mining stock, see the AU:PRU Stock Forecast page.

Perseus Mining Updates on Share Buy-Back Program
May 15, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program. As of May 15, 2025, the company has repurchased a total of 13,743,286 ordinary fully paid securities, with an additional 615,000 securities bought back on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (AU:PRU) stock is a Buy with a A$3.80 price target. To see the full list of analyst forecasts on Perseus Mining stock, see the AU:PRU Stock Forecast page.

Perseus Mining Updates on Market Buy-Back Progress
May 14, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back of ordinary fully paid securities. As of the latest announcement dated May 14, 2025, the company has bought back a total of 13,665,777 securities, with 77,509 securities purchased on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to optimize its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (AU:PRU) stock is a Buy with a A$3.80 price target. To see the full list of analyst forecasts on Perseus Mining stock, see the AU:PRU Stock Forecast page.

Perseus Mining Updates on Market Buy-Back Program
May 14, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program. As of May 14, 2025, the company has bought back a total of 12,745,777 securities, with 920,000 securities purchased on the previous day. This move is part of their strategy to manage capital and potentially enhance shareholder value.

The most recent analyst rating on (AU:PRU) stock is a Buy with a A$3.80 price target. To see the full list of analyst forecasts on Perseus Mining stock, see the AU:PRU Stock Forecast page.

Perseus Mining Updates on Buy-Back Program
May 12, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program, with a total of 559,000 ordinary fully paid securities bought back on the previous day. This buy-back initiative reflects the company’s strategic efforts to manage its capital structure and potentially enhance shareholder value.

The most recent analyst rating on (AU:PRU) stock is a Buy with a A$3.80 price target. To see the full list of analyst forecasts on Perseus Mining stock, see the AU:PRU Stock Forecast page.

Perseus Mining Updates on Market Buy-Back Program
May 11, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program. As of May 10, 2025, the company has repurchased a total of 12,186,777 ordinary fully paid securities, including 128,223 bought back on the previous day. This buy-back initiative reflects Perseus Mining’s strategic efforts to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Updates on Ongoing Buy-Back Program
May 7, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program, with a total of 20,381 ordinary fully paid securities bought back on the previous day, adding to the cumulative total of 12,038,173 securities acquired before that day. This buy-back initiative is part of the company’s strategy to optimize its capital structure and potentially enhance shareholder value, reflecting a proactive approach in managing its financial resources.

Perseus Mining Updates on Share Buy-Back Progress
May 5, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program, with a total of 294,000 ordinary fully paid securities bought back on the previous day, bringing the total to 11,744,173. This buy-back initiative is part of the company’s strategy to enhance shareholder value and optimize its capital structure, potentially impacting its market positioning and shareholder returns.

Perseus Mining Updates on Market Buy-Back Program
May 4, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program. As of May 4, 2025, the company has repurchased a total of 11,485,782 securities, with an additional 258,391 securities bought back on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Reaffirms Gold Production Targets and Estimates
Apr 29, 2025

Perseus Mining has reaffirmed its production targets and estimates for its various gold mining projects, including Edikan, Sissingué, Yaouré, and Nyanzaga. The company has updated its Mineral Resources and Ore Reserves, ensuring that all material assumptions remain unchanged from previous announcements. This stability in projections is crucial for maintaining stakeholder confidence and supports the company’s strategic positioning in the gold mining sector.

Perseus Mining Reports Strong Q3 Performance and Strategic Developments
Apr 29, 2025

Perseus Mining Limited reported strong operational performance for the March 2025 quarter, with a cash and bullion balance of US$801 million and zero debt. The company produced 121,605 ounces of gold at an all-in site cost of US$1,209 per ounce, maintaining its production and cost guidance for the financial year. Perseus also made significant investment decisions, including the development of the CMA Underground mining operation in Côte d’Ivoire and the Nyanzaga Gold Mine in Tanzania, which could enhance its industry positioning and stakeholder value.

Perseus Mining Limited Announces Cessation of Securities
Apr 23, 2025

Perseus Mining Limited announced the cessation of 2,692,800 ordinary fully paid securities due to an on-market buy-back as of April 23, 2025. This move is part of the company’s capital management strategy, potentially impacting its share value and reflecting its commitment to optimizing shareholder returns.

Perseus Mining Limited Updates on Share Buy-Back Program
Apr 9, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program. As of April 9, 2025, the company has repurchased a total of 11,458,975 ordinary fully paid shares, including 635,000 shares bought back on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Limited Updates on Share Buy-Back Program
Apr 8, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program. As of April 8, 2025, the company has repurchased a total of 10,823,975 ordinary fully paid securities, including 214,892 bought back on the previous day. This buy-back initiative is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Limited Updates on Share Buy-Back Program
Apr 7, 2025

Perseus Mining Limited has announced an update on its ongoing on-market buy-back program, with a total of 1,300,000 ordinary fully paid securities bought back on the previous day, adding to a cumulative total of 9,309,083 securities repurchased before that day. This buy-back initiative is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining to Host Investor Webinar on Quarterly Results
Apr 7, 2025

Perseus Mining Limited has announced an investor webinar and conference call to discuss its March 2025 quarterly results, scheduled for release on April 30, 2025. This event provides stakeholders with an opportunity to gain insights into the company’s financial performance and strategic direction, potentially impacting investor confidence and market positioning.

Perseus Mining Updates On-Market Buy-Back Program
Apr 6, 2025

Perseus Mining Limited has announced an update to its ongoing on-market buy-back program, which involves the repurchase of its ordinary fully paid securities. As of the latest update, the company has bought back a total of 8,766,175 securities, with 542,908 securities repurchased on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Sees Increase in Substantial Holder’s Voting Power
Mar 26, 2025

Perseus Mining Limited has announced a change in the interests of a substantial holder, Dimensional Entities, which has increased its voting power from 5.00% to 6.00% as of March 21, 2025. This change in voting power reflects an increased stake in the company, potentially impacting its governance and decision-making processes, and may influence investor perceptions and market dynamics.

Van Eck Reduces Stake in Perseus Mining Limited
Mar 26, 2025

Van Eck Associates Corporation has reduced its substantial holding in Perseus Mining Limited, decreasing its voting power from 8.87% to 7.56%. This change in shareholding reflects a shift in investment strategy by Van Eck, which could impact Perseus Mining’s market perception and investor relations.

Perseus Mining Updates Dividend Announcement with New Exchange Rates
Mar 18, 2025

Perseus Mining Limited has updated its previous announcement regarding a dividend distribution, incorporating new exchange rates. The dividend pertains to a six-month period ending on December 31, 2024, with relevant dates for record and ex-dividend set in March 2025. This update may influence investor expectations and the company’s financial positioning, reflecting its commitment to shareholder returns.

Perseus Mining Updates on Share Buy-Back Progress
Mar 11, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program. As of March 12, 2025, the company has bought back a total of 7,669,928 ordinary fully paid securities, including 1,000,000 shares acquired on the previous day. This buy-back initiative is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Updates on Share Buy-Back Program
Mar 10, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program. As of March 10, 2025, the company has repurchased a total of 6,475,036 ordinary fully paid securities, with an additional 194,892 securities bought back on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to enhance shareholder value and optimize its capital structure.

Perseus Mining Limited Updates on Share Buy-Back Program
Mar 9, 2025

Perseus Mining Limited has announced an update on its ongoing share buy-back program. As of March 8, 2025, the company has repurchased a total of 6,475,036 ordinary fully paid securities, including 23,483 shares bought back on the previous day. This buy-back initiative is part of the company’s strategy to manage its capital structure and potentially enhance shareholder value.

Perseus Mining Updates on Share Buy-Back Program
Mar 5, 2025

Perseus Mining Limited has announced an update regarding its ongoing on-market buy-back program. As of March 5, 2025, the company has repurchased a total of 6,451,553 ordinary fully paid securities, including 22,877 securities bought back the previous day. This buy-back initiative is part of Perseus Mining’s strategy to enhance shareholder value and optimize its capital structure.

Perseus Mining Limited Updates on Share Buy-Back Program
Mar 4, 2025

Perseus Mining Limited has announced an update regarding its ongoing share buy-back program. As of March 4, 2025, the company has repurchased a total of 6,164,200 ordinary fully paid securities, with an additional 264,476 securities bought back on the previous day. This buy-back initiative is part of Perseus Mining’s strategy to optimize its capital structure and enhance shareholder value, reflecting the company’s confidence in its financial position and future prospects.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

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.