QEM Limited (QEM) AI Stock Analysis

• Market Cap: AU$9.93M
• Dividend Yield: N/A
• Average Volume (3M): 68.62K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.40
• Revenue Growth: N/A
• EPS Growth: 79.49%
• Country: AU
• Employees: N/A
• Sector: Energy
• Sector Strength: 67
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.01
• Shares Outstanding: 236,400,360
• 10 Day Avg. Volume: 96,007
• 30 Day Avg. Volume: 68,617
• PEG Ratio: -0.13
• Price to Book (P/B): 8.44
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.62
• 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: 39 Underperform
• Price Target: ―

QEM Limited's overall stock score reflects significant financial challenges, including declining revenues and ongoing losses, which are major concerns. Despite a stable balance sheet with low leverage, profitability and cash flow issues persist. The technical analysis indicates a weak stock performance, compounded by a negative valuation outlook due to current losses. The lack of earnings call and corporate events data does not alter the already challenging outlook.

QEM Limited Business Overview & Revenue Model

Company Description

QEM Limited engages in the exploration and development of vanadium and oil shale project in Australia. Its flagship project is the Julia Creek oil shale and vanadium project covering an area of 249.6 square kilometers located in the Julia Creek area of North Western Queensland, Australia. The company was formerly known as Queensland Energy & Minerals Pty Ltd and changed its name to QEM Limited in August 2018. QEM Limited was incorporated in 2014 and is headquartered in Surfers Paradise, Australia.

How the Company Makes Money

QEM Limited makes money through the exploration and potential extraction of vanadium and oil shale from its Julia Creek project. The company aims to generate revenue by developing these resources into commercially viable products that can be sold to industries requiring vanadium for steel and battery production, and oil shale for energy purposes. Key revenue streams include the sale of extracted resources and potential partnerships or joint ventures with other companies in the energy and resources sector to optimize the development and commercialization of its projects. The company's earnings are significantly influenced by the global demand for vanadium and oil shale, market prices, and the successful advancement of its exploration and extraction operations.

QEM Limited Financial Statement Overview

Summary

QEM Limited is facing financial difficulties with declining revenues and persistent losses. The balance sheet is relatively stable with low leverage, but profitability remains a key concern. Cash flow challenges persist, impacting the company's ability to invest in growth. Strategic actions are needed to stabilize operations and improve financial health.

Income Statement

QEM Limited has faced significant challenges in its income statement, with a consistent decline in revenue from 2020 to 2024, hitting zero revenue in 2024. This has led to negative gross and net profit margins, indicating poor profitability. Despite a slight recovery in EBIT and EBITDA margins in 2024, both remain negative, reflecting ongoing operational difficulties.

Balance Sheet

The balance sheet reflects a mixed financial position. The company maintains a low debt-to-equity ratio, suggesting prudent debt management. However, a decrease in equity ratio from 2020 to 2024 signals increasing liabilities relative to assets. The return on equity remains negative, primarily due to the net losses, highlighting profitability concerns.

Cash Flow

QEM Limited's cash flow statements show persistent negative operating and free cash flows, driven by ongoing losses and capital expenditures. While the operating cash flow to net income ratio improved slightly, it remains negative, reflecting cash flow challenges. Despite an improvement in free cash flow growth rate in 2024, overall cash flow performance is weak.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
842.00	0.00	453.40K	256.77K	339.33K	291.73K
	Gross Profit
-186.24K	-237.99K	211.49K	174.77K	272.51K	224.91K
	EBIT
-3.65M	-4.27M	-5.00M	-3.08M	-1.73M	-1.38M
	EBITDA
-3.43M	-4.35M	-4.76M	-2.75M	-1.32M	-1.02M
	Net Income Common Stockholders
-1.09M	-2.04M	-4.56M	-2.83M	-1.39M	-1.09M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.20M	1.65M	1.97M	1.43M	1.33M	2.64M
	Total Assets
3.06M	2.32M	3.39M	2.64M	1.42M	2.79M
	Total Debt
235.72K	36.48K	140.68K	235.33K	24.17K	93.21K
	Net Debt
-1.97M	-1.61M	-1.83M	-1.19M	-1.30M	-2.54M
	Total Liabilities
717.05K	751.70K	639.91K	818.02K	280.30K	275.26K
	Stockholders Equity
2.34M	1.56M	2.75M	1.82M	1.14M	2.51M
Cash Flow		Free Cash Flow
-3.50M	-4.00M	-4.13M	-3.35M	-1.24M	-1.22M
	Operating Cash Flow
-3.49M	-3.96M	-3.52M	-2.67M	-1.24M	-1.22M
	Investing Cash Flow
2.99M	2.96M	-608.68K	-684.50K	0.00	0.00
	Financing Cash Flow
2.43M	673.01K	4.65M	3.45M	-69.03K	-69.61K

QEM Limited Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:QEM, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.05, below the 50-day MA of 0.05, and below the 200-day MA of 0.07, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 34.49 is Neutral, neither overbought nor oversold. The STOCH value of >-0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:QEM.

QEM Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	58 Neutral	$7.57B	3.50	-4.45%	10.15%	0.79%	-49.51%
QEM	39 Underperform	AU$9.93M	―	-69.10%	―	―	79.49%
SYAAF		$182.86M	―	-33.63%	―	―	―
LYSCF		$5.27B	163.41	2.27%	―	―	―
PVW	41 Neutral	AU$2.19M	―	-236.37%	―	―	23.73%

QEM Limited Corporate Events

QEM Limited Advances Julia Creek Vanadium and Energy Project

QEM Limited has made significant progress in the first quarter of 2025 on its Julia Creek Vanadium and Energy Project. The company received draft Terms of Reference for an Environmental Impact Statement and engaged with local representatives to develop a Cultural Heritage Management Plan. Additionally, waste characterization and water quality reports were completed, and a beneficiation flowsheet was selected for further development with the University of Queensland. These advancements position QEM as a potential long-term supplier of vanadium electrolyte for vanadium flow batteries, supporting the global energy transition.

QEM Limited Releases 2024 Interim Financial Report

QEM Limited has released its 2024 Interim Financial Report for the half-year ending December 31, 2024. The report provides detailed financial statements, including profit or loss, financial position, changes in equity, and cash flows, along with notes and declarations from directors and auditors. This release is significant for stakeholders as it offers insights into the company’s financial health and operational performance during the specified period.

QEM Limited Announces Cessation of Securities

QEM Limited announced the cessation of certain securities, including performance rights and options, due to unmet conditions. This development may impact the company’s capital structure and could influence stakeholder perceptions regarding the company’s operational strategies and future financial performance.