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Resources & Energy Group Limited (AU:REZ)
ASX:REZ
Australian Market

Resources & Energy Group Limited (REZ) AI Stock Analysis

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AU:REZ

Resources & Energy Group Limited

(Sydney:REZ)

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Neutral 43 (OpenAI - 5.2)
,
Neutral 43 (OpenAI - 5.2)
,
Neutral 43 (OpenAI - 5.2)
Rating:43Neutral
Price Target:
AU$0.01
▲(30.00% Upside)
Action:ReiteratedDate:02/07/26
The score is primarily held down by weak financial performance—ongoing losses and cash burn—despite the benefit of a low-debt balance sheet. Technicals also lean bearish with the share price below major moving averages, while valuation signals are constrained by negative earnings and no dividend data.
Positive Factors
Low Leverage
Zero reported debt materially reduces solvency risk and interest burden, giving management structural financial flexibility. Over a 2–6 month horizon this preserves capacity to pursue exploration or partner deals without immediate refinancing pressure, supporting operational resilience.
Gold Industry Exposure
Exposure to the gold sector provides structural demand drivers and potential commodity tailwinds that can improve project economics over time. For a resources explorer/developer, sustained gold demand supports long-term optionality for resource monetisation and strategic partnerships.
Prior Positive Cash Year
A prior year of meaningful operating and free cash flow indicates the company has demonstrated the ability to generate cash from its activities or asset moves. This provides structural evidence that, with execution or favourable conditions, cash generation can be achieved again.
Negative Factors
Persistent Losses
Sustained net losses indicate the business is not currentl y profitable and erodes shareholders' equity over time. This structural profitability weakness limits reinvestment, increases reliance on external capital, and depresses long-term return prospects absent a clear path to scale.
Negative Operating Cash Flow
Consecutive years of negative operating and free cash flow signal ongoing cash burn and weak self-funding capacity. Structurally, this raises financing and dilution risk and constrains the company's ability to advance projects or sustain exploration without external capital injections.
Weak Returns on Equity
A deeply negative ROE reflects capital destruction and inefficient use of equity capital. Over a multi-month horizon this undermines investor confidence and the company’s ability to attract long-term financing, limiting strategic options and growth funding.

Resources & Energy Group Limited (REZ) vs. iShares MSCI Australia ETF (EWA)

Resources & Energy Group Limited Business Overview & Revenue Model

Company DescriptionResources & Energy Group Limited explores for, develops, and produces gold and silver deposits in Australia. Its flagship project is the East Menzies Gold project that consists of 50 tenements covering an area of 103 square kilometers located in the north of Kalgoorlie, Western Australia. The company was incorporated in 2004 and is based in Sydney, Australia.
How the Company Makes Moneynull

Resources & Energy Group Limited Financial Statement Overview

Summary
Overall fundamentals are weak: the income statement shows persistent losses (FY2025 net loss -2,154,697 on modest revenue), and cash flow remains negative with ongoing operating and free-cash-flow burn in FY2025 and FY2024. The key offset is a relatively stronger balance sheet with very low leverage (zero debt recently), but returns on equity are poor and losses continue to pressure the equity base.
Income Statement
14
Very Negative
Profitability is weak and inconsistent. In FY2025, the company generated modest revenue (153,441) but still reported a large net loss (-2,154,697) with deeply negative margins, indicating the cost base is far above the current revenue run-rate. Prior years show repeated operating losses (FY2024–FY2023), with only FY2022 posting a small profit (163,790), suggesting earnings are not yet sustainably repeatable.
Balance Sheet
63
Positive
The balance sheet is a relative strength due to very low leverage. Total debt is 0 in recent years (and minimal in FY2020), which reduces solvency risk and financial strain. However, shareholders’ returns are poor (FY2025 return on equity about -24.6%) and equity has fluctuated over time, reflecting ongoing losses and limiting balance-sheet-driven value creation.
Cash Flow
21
Negative
Cash generation is pressured. Operating cash flow is negative in FY2025 (-1,235,417) and FY2024 (-534,436), and free cash flow is also negative in both years, indicating ongoing cash burn. There was a notable positive year in FY2022 (operating cash flow 2,286,668; free cash flow 283,144), but the pattern since then points to volatility and limited self-funding capacity.
BreakdownTTMJun 2025Jun 2024Jun 2023Jun 2022Jun 2021
Income Statement
Total Revenue153.44K153.44K0.000.000.000.00
Gross Profit-1.27M-750.33K-1.77K-1.33K-1.24M-1.04K
EBITDA-1.51M-2.12M-1.24M-3.12M-1.80M-1.47M
Net Income-440.69K-2.15M-1.24M-3.12M163.79K-1.47M
Balance Sheet
Total Assets13.69M11.04M11.81M10.77M13.75M10.07M
Cash, Cash Equivalents and Short-Term Investments2.30M17.35K1.06M704.98K3.86M1.02M
Total Debt0.000.000.000.000.000.00
Total Liabilities1.61M2.36M1.48M1.09M1.02M863.59K
Stockholders Equity12.16M8.76M7.97M7.32M10.37M6.84M
Cash Flow
Free Cash Flow-1.55M-1.53M-1.08M-3.13M283.14K-3.69M
Operating Cash Flow-1.55M-1.24M-534.44K-1.11M2.29M-1.48M
Investing Cash Flow584.22K-295.44K-545.81K-2.02M-2.00M-1.80M
Financing Cash Flow3.03M488.49K1.43M0.002.54M2.95M

Resources & Energy Group Limited Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.01
Price Trends
50DMA
0.02
Negative
100DMA
0.02
Negative
200DMA
0.02
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
40.29
Neutral
STOCH
-100.00
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:REZ, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.29 is Neutral, neither overbought nor oversold. The STOCH value of -100.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:REZ.

Resources & Energy Group Limited 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%
54
Neutral
AU$24.32M-2.51-88.16%28.24%
53
Neutral
AU$24.79M-3.82-22.98%-421.43%
44
Neutral
AU$11.51M-2.34-12.87%12.08%46.51%
43
Neutral
AU$11.90M37.48-4.21%-33.33%
43
Neutral
AU$12.78M-1.34-202.96%48.90%
42
Neutral
AU$17.78M-5.21-11.86%88.21%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AU:REZ
Resources & Energy Group Limited
0.01
>-0.01
-38.10%
AU:NAG
Nagambie Resources Limited
0.01
>-0.01
-33.33%
AU:KAL
Kalgoorlie Gold Mining Limited
0.04
-0.03
-45.83%
AU:OZM
OzAurum Resources Ltd.
0.09
0.03
41.67%
AU:HMG
Hamelin Gold Limited
0.13
0.05
56.25%
AU:FG1
Flynn Gold Ltd.
0.02
>-0.01
-8.70%

Resources & Energy Group Limited Corporate Events

Resources & Energy Group Files Half-Year Financial Report
Mar 12, 2026

Resources & Energy Group Limited has lodged its financial report for the half year ended 31 December 2025. The release signals ongoing operational and exploration activity at the East Menzies Gold Project, providing updated financial disclosure that will inform investors’ assessment of the company’s progress and capital needs as it pursues cost‑efficient gold production.

The most recent analyst rating on (AU:REZ) stock is a Hold with a A$0.02 price target. To see the full list of analyst forecasts on Resources & Energy Group Limited stock, see the AU:REZ Stock Forecast page.

REZ Launches New Drilling Campaign at East Menzies Gold Project
Feb 2, 2026

Resources & Energy Group Limited has commenced reverse circulation drilling at its East Menzies Gold Project in Western Australia, targeting the Gigante Grande and Goodenough gold deposits. The program is designed to test extensions to known mineralisation at Goodenough, investigate mineralisation beneath supergene zones and along lithological contacts at Gigante Grande, and refine understanding of mineralisation controls to support resource growth. Gigante Grande currently hosts an inferred mineral resource of 40,700 ounces of gold, with an additional exploration target outlining significant upside potential, while Goodenough has a history of high-grade underground production and encouraging near-surface intercepts. The results of this drilling are intended to underpin near-term development pathways to monetise the East Menzies gold assets and strengthen REZ’s position as a growing gold producer in the region.

The most recent analyst rating on (AU:REZ) stock is a Hold with a A$0.01 price target. To see the full list of analyst forecasts on Resources & Energy Group Limited stock, see the AU:REZ Stock Forecast page.

REZ ramps up drilling and targets resource growth at East Menzies
Jan 30, 2026

Resources & Energy Group has launched a reverse circulation drilling and sampling campaign at its East Menzies Gold Project, targeting extensions to existing mineralisation at the Gigante Grande and Goodenough deposits to grow current resources and test depth and strike potential. The company has also defined a substantial JORC-compliant Exploration Target at Gigante Grande’s Central Domain, completed soil sampling, LiDAR and high-resolution aerial surveys to refine exploration targeting, and strengthened its balance sheet with a $2 million placement, leaving $2.3 million in cash to fund the next phase of drilling, resource expansion and potential near-term production growth as it enters 2026 with a clearer pipeline of opportunities.

The most recent analyst rating on (AU:REZ) stock is a Sell with a A$0.01 price target. To see the full list of analyst forecasts on Resources & Energy Group Limited stock, see the AU:REZ Stock Forecast page.

REZ Launches New Drilling Campaign at East Menzies to Grow Gold Resources
Jan 14, 2026

Resources & Energy Group Limited will commence a reverse circulation drilling and sampling program at its East Menzies Gold Project by 27 January 2026, targeting extensions of mineralisation at the Gigante Grande and Goodenough mineral resources, which together currently host more than 80,000 ounces of gold. The company has completed the first phase of a soil sampling campaign in underexplored northern tenements and flown LIDAR and high‑resolution aerial surveys over the entire project, aiming to identify new targets and refine its understanding of existing gold systems as it moves to test a substantial exploration target at Gigante Grande, with the program expected to underpin potential resource expansion and strengthen its exploration pipeline.

The most recent analyst rating on (AU:REZ) stock is a Sell with a A$0.02 price target. To see the full list of analyst forecasts on Resources & Energy Group Limited stock, see the AU:REZ Stock Forecast page.

Resources & Energy Group Raises Capital Through Share Placement
Dec 24, 2025

Resources & Energy Group Limited has completed a placement of 142,857,140 new ordinary shares at 1.4 cents per share to investors, strengthening its capital position. The company confirmed that the placement was conducted without the need for a prospectus under Australian corporations law and stated it remains compliant with its financial reporting and continuous disclosure obligations, with no undisclosed price-sensitive information, providing assurance to shareholders and the market regarding regulatory transparency.

Resources & Energy Group Major Shareholder Ceases to Be Substantial Holder After Placement
Dec 23, 2025

Resources & Energy Group Limited has disclosed a change in its substantial shareholding structure, with Carl Charalambous and associated entity Kyriaco Barber Pty Ltd ceasing to be substantial holders following dilution of their stake due to a placement. The reduction in this major holding alters the company’s shareholder profile and may have implications for control dynamics and future capital management, as ownership becomes more dispersed among new and existing investors.

Resources & Energy Group Completes Share Placement and Confirms Regulatory Compliance
Dec 23, 2025

Resources & Energy Group Limited has completed a placement of 142,857,140 new ordinary shares at 1.2 cents each to investors, expanding its issued capital base and securing additional funding. The company confirmed the placement was conducted without a disclosure document under the Corporations Act but stated it is fully compliant with its continuous disclosure and financial reporting obligations and that there is no excluded information requiring disclosure, providing regulatory assurance to shareholders regarding the capital raising.

Resources & Energy Group Seeks ASX Quotation for 142.9 Million New Shares
Dec 22, 2025

Resources & Energy Group Limited has applied to the ASX for quotation of 142,857,140 new fully paid ordinary shares under its issuer code REZ. The new securities, issued on 22 December 2025 following a previously announced transaction, will significantly increase the company’s quoted share base and may affect its capital structure and liquidity profile for existing and prospective investors.

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: Feb 07, 2026