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Redstone Resources Limited (AU:RDS)
ASX:RDS
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Redstone Resources Limited (RDS) AI Stock Analysis

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AU:RDS

Redstone Resources Limited

(Sydney:RDS)

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Underperform 30 (OpenAI - 4o)
Rating:30Underperform
Price Target:
Redstone Resources Limited's financial performance is a major concern, marked by ongoing losses and cash flow issues despite being debt-free. Technical analysis is inconclusive due to missing data, and valuation metrics are unfavorable with a negative P/E ratio. These factors collectively result in a low overall stock score.

Redstone Resources Limited (RDS) vs. iShares MSCI Australia ETF (EWA)

Redstone Resources Limited Business Overview & Revenue Model

Company DescriptionRedstone Resources Limited engages in mineral exploration activities in Australia. It explores for copper and gold deposits. The company holds 100% interest in the Tollu project located in the West Musgrave region of Western Australia. It also holds 80% interest in the Hantails Gold project situated in the Kalgoorlie-Boulder, Western Australia. The company was incorporated in 1999 and is based in West Perth, Australia.
How the Company Makes MoneyRedstone Resources Limited makes money primarily through the exploration and development of mineral resources, particularly copper and base metals. The company identifies promising geological sites, undertakes exploration activities such as drilling and sampling, and assesses the feasibility of mining projects. Revenue is generated through the sale of these mineral resources, either by extracting and selling the mined materials directly or by entering into joint ventures and partnerships with larger mining companies. These partnerships can provide additional capital and resources for project development, significantly contributing to the company's earnings. Additionally, Redstone may earn income from selling or licensing its exploration data and technologies.

Redstone Resources Limited Financial Statement Overview

Summary
Redstone Resources Limited faces significant financial challenges characterized by ongoing losses and cash flow issues. While the company's debt-free status and strong equity base are positives, its inability to generate revenue and profit is a critical concern. The financial health is weak, requiring strategic changes to improve performance.
Income Statement
15
Very Negative
Redstone Resources Limited shows consistent revenue struggles, with zero revenue in some years and a significant drop in gross profit margins. The net profit margin is negative, indicating continued losses. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies and high costs relative to revenue.
Balance Sheet
30
Negative
The company maintains a strong equity position with no debt, resulting in a favorable debt-to-equity ratio. However, the return on equity is negative, driven by ongoing net losses. The equity ratio is high, indicating reliance on equity financing, which is typical for the mining industry.
Cash Flow
20
Very Negative
Cash flow analysis reveals negative operating and free cash flows, indicating cash burn. The free cash flow to net income ratio suggests inefficiency in converting profits into cash. However, the company manages to maintain some cash reserves, albeit declining.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue0.0021.62K0.000.000.00
Gross Profit-641.0020.34K-2.93K-4.02K-1.51K
EBITDA-492.30K-455.80K-612.21K-302.15K-164.96K
Net Income-1.16M-456.94K-617.59K-307.89K-164.93K
Balance Sheet
Total Assets9.84M10.41M9.80M9.67M7.05M
Cash, Cash Equivalents and Short-Term Investments419.84K1.02M2.07M2.65M381.99K
Total Debt0.000.000.000.000.00
Total Liabilities393.74K476.85K518.07K245.49K334.09K
Stockholders Equity9.44M9.93M9.29M9.43M6.72M
Cash Flow
Free Cash Flow-650.89K-2.02M-897.07K-550.31K-479.26K
Operating Cash Flow-286.64K-418.97K-291.33K-212.82K-107.87K
Investing Cash Flow-299.06K-1.61M-492.56K-337.48K-253.81K
Financing Cash Flow-14.04K970.00K212.11K2.81M-22.75K

Redstone Resources Limited Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
52
Neutral
AU$51.42M-2.84-12.81%24.49%
50
Neutral
AU$105.25M8.87
44
Neutral
AU$297.66M-2.32-54.38%-12.84%-29.62%
36
Underperform
AU$110.35M-3.47-971.43%
30
Underperform
€4.14M-5.80%53.85%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:RDS
Redstone Resources Limited
AU:CYM
Cyprium Metals Limited
0.04
0.01
31.25%
AU:REC
Recharge Metals Limited
0.02
>-0.01
-33.33%
AU:NRX
Noronex Ltd.
0.02
0.00
0.00%

Redstone Resources Limited Corporate Events

Redstone Resources Releases Half-Year Financial Report
Mar 13, 2025

Redstone Resources Limited has released its consolidated financial report for the half-year ending December 31, 2024. The report is meant to be read alongside the annual report for the year ending June 30, 2024, as it does not include all the notes typically found in a full annual report. The company confirms that there is no new information affecting previous market announcements, particularly concerning estimates of Mineral Resources. This release ensures stakeholders that all material assumptions and technical parameters remain unchanged, maintaining transparency and compliance with continuous disclosure requirements.

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: Apr 08, 2025