Reach Resources Limited (AU:RR1)
ASX:RR1
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Reach Resources Limited
(Sydney:RR1)
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Rating:44Neutral
Price Target:
AU$0.01
â–²(20.00% Upside)
Action:Reiterated
Date:06/03/26
The score is held down primarily by weak financial performance—highly volatile earnings/revenue and persistent negative operating/free cash flow—despite an improved, low-debt balance sheet. Technicals are mixed (price above moving averages but negative MACD and weaker RSI), and valuation is constrained by a negative P/E and no dividend yield data.
Positive Factors
Conservative balance sheet
Zero reported debt and a materially expanded equity base provide durable financial flexibility for a junior explorer. Low leverage lowers solvency risk, preserves optionality to pursue farm-outs or asset sales, and supports partner negotiations over the next several quarters.
Negative Factors
Persistent negative cash flow
Consistent operating and free cash outflows create a durable funding requirement, forcing reliance on equity raises or partner funding. This ongoing cash burn increases dilution risk, constrains independent project advancement, and heightens execution risk across the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Zero reported debt and a materially expanded equity base provide durable financial flexibility for a junior explorer. Low leverage lowers solvency risk, preserves optionality to pursue farm-outs or asset sales, and supports partner negotiations over the next several quarters.
Read all positive factors
Reach Resources Limited (RR1) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$15.30M
Dividend YieldN/A
Average Volume (3M)2.77M
Price to Earnings (P/E)―
Beta (1Y)1.26
Revenue GrowthN/A
EPS Growth-135.48%
CountryAU
EmployeesN/A
SectorBasic Materials
Sector Strength58
IndustryGold
Share Statistics
EPS (TTM)0.00
Shares Outstanding1,224,203,900
10 Day Avg. Volume2,774,501
30 Day Avg. Volume2,767,016
Financial Highlights & Ratios
PEG Ratio0.05
Price to Book (P/B)0.50
Price to Sales (P/S)0.00
P/FCF Ratio-2.55
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Reach Resources Limited Business Overview & Revenue Model
Company Description
Operating within Australia, Reach Resources Limited specializes in the identification and assessment of potential mineral deposits. The firm's primary focus is gold, though it also conducts prospecting for nickel, cobalt, copper, and various other...
How the Company Makes Money
RR1’s primary economic model is typical of a junior exploration company: it seeks to create value by acquiring, exploring, and advancing mineral exploration assets, with potential monetisation through (i) selling exploration/project interests, (ii...
Reach Resources Limited Financial Statement Overview
Summary
Income Statement
22
Negative
Balance Sheet
66
Positive
Cash Flow
18
Very Negative
| Breakdown | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 0.00 | 3.20M | 0.00 | 100.00K | 29.65K |
| Gross Profit | -11.98K | 3.20M | 0.00 | 100.00K | 29.65K |
| EBITDA | -1.15M | 1.92M | -943.87K | -451.49K | -323.00K |
| Net Income | -950.30K | 1.94M | -2.66M | -451.00K | -343.00K |
Balance Sheet | |||||
| Total Assets | 14.23M | 15.02M | 6.55M | 6.08M | 3.95M |
| Cash, Cash Equivalents and Short-Term Investments | 3.27M | 6.01M | 1.23M | 1.13M | 2.04M |
| Total Debt | 0.00 | 0.00 | 450.00K | 450.00K | 450.00K |
| Total Liabilities | 249.15K | 338.86K | 524.55K | 555.45K | 489.65K |
| Stockholders Equity | 13.98M | 14.69M | 6.03M | 5.53M | 3.46M |
Cash Flow | |||||
| Free Cash Flow | -2.74M | -4.77M | -1.61M | -1.34M | -934.79K |
| Operating Cash Flow | -786.07K | -950.79K | -867.37K | -489.48K | -728.89K |
| Investing Cash Flow | -1.95M | -617.16K | -881.34K | -2.62M | 154.43K |
| Financing Cash Flow | -4.17K | 6.35M | 1.84M | 2.21M | 2.46M |
Reach Resources Limited Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $10.43B | 7.12 | -0.05% | 2.87% | 2.86% | -36.73% | |
45 Neutral | AU$6.67M | -0.81 | -396.83% | ― | ― | -38.78% | |
44 Neutral | AU$15.30M | -10.77 | -7.09% | ― | ― | -135.48% | |
44 Neutral | AU$25.47M | -3.81 | -46.73% | ― | ― | -55.56% | |
42 Neutral | AU$27.46M | -7.60 | -96.19% | ― | ― | -83.33% |
* Basic Materials Sector Average
AU:RR1
Reach Resources Limited
0.01
<0.01
20.00%
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Viking Mines Limited
0.01
0.00
0.00%
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First AU Ltd.
0.01
0.00
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Reach Resources Limited Corporate Events
Reach Resources Confirms Compliance in New ASX Securities Issue
Jun 17, 2026
Reach Resources Limited has advised the market that it has issued new quoted securities without a prospectus, relying on an exemption under Section 708A(5) of the Corporations Act. The company confirmed it is up to date with its financial reportin...
Reach Resources Lists Additional Shares on ASX
Jun 17, 2026
Reach Resources Limited has applied for quotation of 66,666 new ordinary fully paid shares on the Australian Securities Exchange, with the securities issued on June 17, 2026. The additional shares, arising from the exercise or conversion of existi...
Reach Resources Sells Non-Core Tenements to Boost Funding for Murchison South
Jun 16, 2026
Reach Resources Limited has agreed to sell a package of non-core tenements associated with its previous joint venture with Delta Lithium, securing $800,000 in consideration split evenly between cash and Delta shares. The divestment removes ongoing...
Reach Resources Set to Benefit as REEcycle Agrees Nasdaq Listing Deal
Jun 2, 2026
Reach Resources Limited has disclosed that it owns approximately 4.9% of REEcycle Holdings Inc, which has entered into a definitive business combination agreement with Hall Chadwick Acquisition Corp. The deal, unanimously approved by both boards, ...
Reach Resources Seeks Trading Halt Ahead of REEcycle Update
Jun 2, 2026
Reach Resources Limited has requested a trading halt in its securities on the ASX, pending a further update relating to its involvement with REEcycle Holdings. The halt will remain in place until either the anticipated announcement is released or ...
Reach Resources lifts Blue Heaven gold resource 30% after strong quarter at Murchison South
Apr 30, 2026
Reach Resources reported a strong March quarter marked by exploration and resource growth at its Murchison South Gold Project, including the grant of a second mining lease that consolidates key deposits along the Primrose Fault. High-grade drillin...
Reach Resources Director Increases Indirect Shareholding via Rights Take-Up
Apr 28, 2026
Reach Resources Limited has reported a change in the indirect holdings of director Robert Downey, reflecting additional investment by his spouse, Stella Emily Downey. The disclosure highlights the company’s ongoing equity activity and the di...
Reach Resources Raises $825,855 in Rights Issue to Advance Murchison South Gold Project
Apr 28, 2026
Reach Resources Limited has raised approximately $825,855 before costs via a non-renounceable rights issue, offering eligible shareholders two new shares for every five held at $0.009 per share. Directors and the CEO fully subscribed to their enti...
Reach Resources Director Sees 600,000 Performance Rights Expire at No Value
Apr 20, 2026
Reach Resources Limited has disclosed a change in director Robert Downey’s indirect interests following the expiry of certain performance-based securities held via his spouse, Stella Emily Downey. A total of 600,000 non-executive director pe...
Reach Resources Simplifies Capital Structure as Options and Rights Expire
Apr 19, 2026
Reach Resources Limited has confirmed the expiry of 2 million listed options and the lapse of 3.4 million performance rights, all of which ceased on 17 April 2026. The options expired unexercised and the performance rights lapsed because their ves...
Major Shareholder Exits Substantial Holding in Reach Resources
Apr 16, 2026
Reach Resources Limited has disclosed that investor Peter Andrew Nelson has ceased to be a substantial shareholder in the company, following an on-market transaction dated 13 April 2026. The change was formalised in a statutory notice lodged under...
Reach Resources launches rights issue to fund exploration and growth
Apr 7, 2026
Reach Resources Limited has launched a pro‑rata non‑renounceable entitlement offer of two new shares for every five held by eligible shareholders, priced at $0.009 per share to raise up to approximately $3.15 million. The offer is open...
Reach Resources Launches Rights Issue to Fund Exploration and Growth
Apr 7, 2026
Reach Resources Limited has launched a pro-rata non-renounceable rights issue, offering two new shares for every five held at $0.009 per share to raise up to $3.15 million. The offer, detailed in a prospectus lodged with regulators on 25 March 202...
Reach Resources Opens $3.15m Entitlement Offer to Existing Shareholders
Apr 7, 2026
Reach Resources Limited has launched a pro-rata non-renounceable entitlement offer to existing shareholders in Australia, New Zealand and Singapore. The offer provides two new fully paid ordinary shares for every five shares held on the 31 March 2...
Reach Resources Notes Non-Binding de-SPAC Proposal Involving REEcycle Stake
Apr 1, 2026
Reach Resources Limited has disclosed that it holds approximately 4.9% of REEcycle Holdings Inc, which has entered into a non-binding letter of intent with Hall Chadwick Acquisition Corp for a proposed de-SPAC business combination. Reach emphasise...
Reach Resources Launches $3.15m Entitlement Offer to Fund Murchison Gold Push
Mar 25, 2026
Reach Resources Limited has launched a non-renounceable pro-rata entitlement offer to raise up to approximately $3.15 million, issuing two new shares for every five held at $0.009 per share to eligible shareholders in Australia, New Zealand and Si...
Reach Resources plans major pro rata share issue to expand equity base
Mar 25, 2026
Reach Resources Limited has announced a proposed non-renounceable pro rata issue of up to 349,772,540 new fully paid ordinary shares. The offer, structured as a standard entitlement issue to existing shareholders, is scheduled around a record date...
Reach Resources launches $3.15 million entitlement offer under highly speculative prospectus
Mar 25, 2026
Reach Resources Limited has released a transaction-specific prospectus detailing a pro-rata non-renounceable entitlement offer of two new shares for every five held at an issue price of $0.009, aiming to raise up to $3.15 million based on its curr...
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.