Star Minerals Ltd. (SMS) AI Stock Analysis

• Market Cap: N/A
• Dividend Yield: N/A
• Average Volume (3M): 1.35M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.37
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): N/A
• Shares Outstanding: 226,230,770
• 10 Day Avg. Volume: 1,192,044
• 30 Day Avg. Volume: 1,345,139
• PEG Ratio: -0.05
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 577.15
• P/FCF Ratio: -1.91
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: AU$0.07 ▲(75.00% Upside)
• Action: Reiterated Date: 03/03/26
• Date: Action: Reiterated 03/03/26

The score is held back primarily by weak financial performance (large losses and ongoing cash burn), partially offset by a constructive technical setup with the price trading above major moving averages. Valuation impact is neutral because P/E and dividend yield data were not provided.

Positive Factors

Debt-free balance sheet

A debt-free capital structure materially reduces near-term solvency and refinancing risk, giving management time and flexibility to execute strategy. Over a 2–6 month horizon this durable strength supports funding optionality for exploration or capex without immediate refinancing pressure.

Solid equity base

A sizable equity buffer versus assets provides a structural cushion against continued losses, improving resilience. This durability helps the firm absorb operating setbacks, negotiate better financing terms if needed, and sustain operations while seeking to improve cash generation.

Improving free cash flow trend

An improving free cash flow trajectory indicates initial progress toward reducing cash burn and better converting operations into internal funding. If sustained, this trend lessens reliance on external capital and increases the chance of reaching self-sufficiency within a multi-month horizon.

Negative Factors

Persistent cash burn

Chronic negative operating and free cash flow is a durable structural weakness: it forces reliance on external funding, drains reserves, and can constrain project timelines. Over months this undermines operational flexibility and increases dilution or financing risk if improvements stall.

Deep operating and net losses

Substantial ongoing losses indicate the company lacks near-term profitability and operating leverage. This persistent negative earnings profile reduces return on invested capital and limits capacity to reinvest, making sustainable margin recovery a material medium-term challenge.

Weak, inconsistent revenue

Small, volatile, and intermittently zero revenue undermines the business model's predictability and scalability. Without stable top-line growth it is difficult to achieve margins or plan capex, increasing the probability of repeated funding rounds and strategic disruption over the coming months.

Star Minerals Ltd. Business Overview & Revenue Model

Company Description

Star Minerals Limited, a mineral exploration company, focuses on the exploration and development gold, copper, and base metals in Australia. The company's advanced project is the Tumblegum South project located to the south of Meekatharra, central Western Australia. It also develops the West Bryah project located in central Western Australia. The company was formerly known as Star Holdco Limited and changed its name to Star Minerals Limited in February 2021. Star Minerals Limited was incorporated in 2021 and is based in West Perth, Australia.

How the Company Makes Money

Star Minerals Ltd. generates revenue through the exploration, extraction, and sale of mineral resources, particularly precious and base metals such as gold and copper. The company's revenue model is primarily based on the sale of these metals to various buyers, including commodity traders, manufacturers, and other industrial clients. Key revenue streams include proceeds from the sale of extracted minerals and potential royalties or partnerships with other mining companies for joint exploration projects. Additionally, Star Minerals may engage in strategic partnerships to enhance operational efficiency and expand its resource base, further contributing to its earnings.

Star Minerals Ltd. Financial Statement Overview

Summary

Income statement and cash flow are weak, with inconsistent/low revenue, large losses, and persistent negative operating and free cash flow. The balance sheet is a relative strength (no debt and solid equity base), but ongoing losses and cash burn keep overall financial performance low.

Income Statement

Revenue is small and inconsistent (including zero-revenue years), and the latest annual period shows a sharp deterioration in profitability with deeply negative gross profit and very large operating and net losses. While revenue grew versus the prior year, the company is not demonstrating operating leverage—losses remain substantial relative to sales, highlighting a weak earnings profile.

Balance Sheet

The balance sheet is a relative strength: the company carries no debt in recent years and maintains a solid equity base versus total assets, which reduces financial risk. However, returns remain negative as losses persist, meaning the equity is not currently generating profits and could be pressured over time if losses continue.

Cash Flow

Operating cash flow and free cash flow are consistently negative, indicating ongoing cash burn. Free cash flow has improved in the latest year, but the business still relies on funding rather than internally generated cash, and cash outflows remain meaningful relative to reported losses.

Breakdown	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	5.22K	0.00	202.34K	0.00	0.00
Gross Profit	-722.27K	0.00	202.34K	0.00	0.00
EBITDA	-1.90M	-853.08K	-1.17M	-795.76K	0.00
Net Income	-1.90M	-857.63K	-1.17M	-795.98K	-45.33K
Balance Sheet
Total Assets	7.76M	6.59M	6.41M	7.80M	241.26K
Cash, Cash Equivalents and Short-Term Investments	1.18M	435.16K	784.03K	2.97M	240.39K
Total Debt	0.00	0.00	0.00	0.00	11.92K
Total Liabilities	291.54K	138.51K	215.46K	487.58K	254.77K
Stockholders Equity	7.47M	6.46M	6.19M	7.32M	-13.51K
Cash Flow
Free Cash Flow	-1.58M	-1.18M	-2.19M	-1.79M	-24.38K
Operating Cash Flow	-1.34M	-1.11M	-1.82M	-678.13K	-24.38K
Investing Cash Flow	-240.37K	-67.31K	-371.21K	-1.11M	-3.00
Financing Cash Flow	2.32M	827.74K	0.00	4.53M	745.56K

Star Minerals Ltd. Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:SMS, the sentiment is Positive. The current price of 0.04 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.04, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 64.85 is Neutral, neither overbought nor oversold. The STOCH value of 40.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:SMS.

Star Minerals Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SMS	51 Neutral	―	―	―	―	―	―
RAS	51 Neutral	AU$7.14M	-2.81	-127.51%	―	168.85%	13.51%
GSM	46 Neutral	AU$8.20M	-3.95	-131.62%	―	―	65.32%
SFM	43 Neutral	AU$51.29M	-28.38	-51.49%	―	―	5.93%
WSR	43 Neutral	AU$3.76M	-1.18	-37.62%	―	―	76.76%
GNM	41 Neutral	AU$18.92M	-9.75	-32.31%	―	―	69.23%

Star Minerals Ltd. Corporate Events

Star Minerals Seeks ASX Quotation for 1 Million New Shares

Star Minerals Ltd. has applied to the ASX for quotation of 1,000,000 new ordinary fully paid shares under its existing SMS ticker. The securities are being brought onto the market following the exercise or conversion of existing options or other convertible instruments, modestly increasing the company’s free float and potentially enhancing liquidity for investors.

The issuance, dated 25 February 2026, represents a relatively small capital expansion but signals continued corporate activity and engagement with equity markets. While financial terms are not disclosed, the move may support the company’s funding flexibility for exploration or development initiatives, with limited immediate dilution for existing shareholders given the scale of the new shares.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals Clears Key Hurdles as Tumblegum South Gold Project Nears 2026 Start

Star Minerals has satisfied the conditions of its Right to Mine Agreement for the Tumblegum South Gold Project after signing a toll gold milling deal with Catalyst Metals. With mining approval, a mining contract and a milling contract now in place, and grade control drilling completed, the company targets first-quarter 2026 for the start of mining, subject to timely receipt of a Native Vegetation Clearing Permit.

The Tumblegum South project hosts a 616,000-tonne mineral resource at 2.28 grams per tonne for 45,000 ounces of gold, underpinning an updated production target of up to 15,900 ounces and an estimated cash surplus of A$9.4 million to A$19.6 million at current gold prices. Management says the robust economics and strengthened project de-risking could position Star Minerals to capitalise on elevated gold prices and enhance returns for shareholders as it transitions into production.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals outlines path from explorer to near-term gold producer

Star Minerals has released a February 2026 corporate presentation outlining its shift from explorer to emerging near-term gold producer, anchored by the Tumblegum South Gold Project. The company highlights previously reported scoping studies, mineral resource estimates, and metallurgical data that collectively support the technical and economic potential of open pit mining and toll treatment at the site.

The presentation stresses that the updated scoping study for Tumblegum South is preliminary and not yet sufficient to define ore reserves, with further evaluation and studies required before an economic development case can be assured. Star Minerals also flags a likely funding requirement in the range of $1.7 million to $3.9 million and notes potential alternatives such as asset sales or joint ventures, underlining both the project’s prospects and the financing and execution risks facing shareholders and other stakeholders.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals to Brief Investors as Tumblegum South Gold Project Advances

Star Minerals Ltd. will host a live investor briefing webinar on 24 February 2026, where Managing Director Ashley Jones will provide an update on the company and take questions from shareholders, investors and media. The session, which will run for 30 minutes and be made available as a replay, is intended to deepen engagement with stakeholders as the company advances its Tumblegum South Gold Project towards near-term production, underpinned by robust economics at a wide range of gold prices and recently secured development and processing agreements.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.07 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals Outlines Early-Stage Scoping Study as It Moves Toward Gold Production

Star Minerals has released an updated corporate presentation outlining the preliminary results of its Updated Scoping Study for the Tumblegum South gold deposit, which assesses the viability of open pit mining with third-party toll treatment as it advances towards near-term gold production. The company emphasises that the study remains an early-stage, low-level technical and economic assessment that does not yet support ore reserve estimation, and highlights that further evaluation, additional funding in the range of A$1.7 million to A$3.9 million, and potential alternative ‘value realisation’ strategies such as asset sales or joint ventures may materially influence project ownership and outcomes for shareholders, underscoring the inherent uncertainties and risks for stakeholders at this stage.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.06 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals Shareholders Back Ratification of Recent Capital Issuances

Star Minerals Limited has reported the outcomes of its 29 January 2026 general meeting, where shareholders voted on several capital-related resolutions. All three resolutions, relating to the ratification of previous share issues under ASX Listing Rules 7.1 and 7.1A and the ratification of previously issued lead manager options, were carried by an overwhelming majority via poll, confirming shareholder support for the company’s recent capital-raising and incentive activities and providing regulatory certainty around its existing securities structure.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.06 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals moves Tumblegum South closer to production as gold prices surge

Star Minerals has reported a strong December quarter as it advances its Tumblegum South Gold Project toward production, having secured mining approval and commenced grade control drilling on the granted M51/888 lease. The company highlighted that its updated scoping study for Tumblegum South indicates potential free cash flow of up to A$19.6 million at gold prices of A$3,800/oz, while the current ~A$7,000/oz gold price environment offers significant upside. Pre-mining capital and start-up costs of A$1.7 million to A$3.9 million are to be covered under a Right to Mine agreement with MEGA Resources, easing funding pressures as Star Minerals finalises mine planning and milling arrangements in collaboration with MEGA Resources and Bain Global Resources. The company ended the quarter with A$1.26 million in cash, reinforcing its ability to progress toward first production and potentially enhancing returns for shareholders if the strong gold price persists.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.06 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals Restarts Grade Control Drilling at Tumblegum South Gold Project

Star Minerals has recommenced grade control drilling at its Tumblegum South Gold Project, with a planned program of about 4,000 metres and 611 metres already completed before the Christmas break under the coordination of MEGA Resources. The closely spaced drilling is designed to generate detailed data to define the mining production schedule and guide efficient extraction of the deposit, aiming to optimise the project’s economic outcomes as the company moves closer to potential production decisions.

The most recent analyst rating on (AU:SMS) stock is a Hold with a A$0.04 price target. To see the full list of analyst forecasts on Star Minerals Ltd. stock, see the AU:SMS Stock Forecast page.

Star Minerals Moves to Digital Access for January 2026 Shareholder Meeting

Star Minerals Ltd has called a general meeting of shareholders for 10:00am AWST on 29 January 2026, with the notice of meeting and explanatory materials made available online through the company’s website and ASX announcements page instead of being mailed in hard copy, except to investors who have specifically elected to receive physical documents. The company is urging shareholders to submit directed proxy votes and questions in advance, register their intended attendance, and manage their communication and contact details through the Automic investor portal, while also flagging that any changes to the meeting arrangements will be communicated via its website and ASX platform, underscoring a continued shift toward digital shareholder engagement and compliance with electronic disclosure practices.

Star Minerals Sets January 2026 Date for Perth General Meeting

Star Minerals Limited has called a physical General Meeting of shareholders to be held in Leederville, Perth, Western Australia, at 10:00am (WST) on Thursday, 29 January 2026. The company has set an indicative timetable covering the last date for receipt of proxy forms and the share register snapshot date for voting eligibility, underscoring the importance of shareholder participation in upcoming resolutions to be considered at the meeting.

Star Minerals Advances Grade Control Drilling at Tumblegum South After Mining Approval

Star Minerals has reported steady progress on grade control drilling at its Tumblegum South Gold Project in Western Australia, following the recent receipt of mining approval. The program, coordinated by MEGA Resources, will cover about 4,000 metres of drilling, with 611 metres already completed before a short pause over the Christmas-New Year period and completion expected in January. The closely spaced drill holes are designed to refine the mining production schedule and maximise the ore-to-waste ratio, supporting the company’s plan to commence mining next quarter and accelerate first gold production, a key step in de-risking the project and moving Star Minerals closer to cash flow generation.

Star Minerals Trading Resumes on ASX After Court-Related Auditor Move

Star Minerals Ltd, whose shares trade on the ASX under the code SMS, has had its securities reinstated to trading after a period of suspension. The ASX lifted the suspension immediately following Star Minerals’ announcement that it has applied to the Supreme Court of Western Australia for orders relating, among other matters, to the appointment of the company’s auditor, signalling a key step in resolving governance issues that had sidelined its stock and allowing normal market trading to resume.

Star Minerals Secures Court Orders Validating Auditor Appointment and Share Trading Compliance

Star Minerals Limited has secured court orders from the Supreme Court of Western Australia validating the resignation of its former auditor Elderton Audit Pty Ltd and the appointment of Nexia Perth Audit Services Pty Ltd, despite an earlier administrative failure to obtain shareholder approval at its 2025 AGM. The Court also confirmed the effectiveness of Star Minerals’ cleansing notices for share issues between March and November 2025, ensuring that secondary trading of those shares remains valid and compliant, thereby resolving a regulatory compliance issue and enabling the company to lift its voluntary trading suspension and restore normal market operations.

Star Minerals Seeks Extension to Trading Suspension Pending Court Ruling on Auditor

Star Minerals Limited has requested an extension to the voluntary suspension of trading in its securities on the ASX, originally granted on 17 December 2025, while it awaits the outcome of a Supreme Court of Western Australia application relating primarily to the appointment of the company’s auditor. The company expects a court hearing and subsequent market announcement on 19 December 2025, and argues the continued suspension is necessary to prevent trading on an uninformed basis until the court’s orders are known, indicating a short-term pause in liquidity for shareholders while governance and compliance matters are resolved.

Star Minerals Requests Suspension Pending Court Decision

Star Minerals Limited has requested a voluntary suspension of its securities from the Australian Securities Exchange pending a court decision regarding the appointment of the company’s auditor. This suspension is expected to last until the announcement of the court’s decision, anticipated by December 19, 2025, and may impact the company’s operations and stakeholder confidence.

Star Minerals Seeks Court Approval for Auditor Appointment

Star Minerals Limited has announced the appointment of Nexia Perth Audit Services Pty Ltd as its new auditor, following the resignation of Elderton Audit Pty Ltd. However, due to an administrative oversight, the appointment was not approved by shareholders at the company’s 2025 Annual General Meeting. The company is seeking a court order to validate the appointment and address related compliance issues. Despite these administrative challenges, Star Minerals does not consider the matter to be price sensitive and has requested a trading halt pending further announcements.

Star Minerals Requests Trading Halt Amid Auditor Appointment Proceedings

Star Minerals Limited has requested a trading halt on its securities pending an announcement related to a Supreme Court application concerning the appointment of the company’s auditor. This halt is expected to last until the court hears the application or an announcement is made, potentially impacting the company’s market operations and stakeholder confidence.

Star Minerals Receives Mining Approval for Tumblegum South Gold Project

Star Minerals Ltd. has received mining approval from the WA Department of Mines, Petroleum and Exploration for its Tumblegum South Gold Project, marking a significant milestone for the company. With mining set to begin in Q1 2026, the project is expected to generate substantial cash surplus due to high gold prices, and will be managed by MEGA Resources, a related entity to Bain Global Resources, which holds a significant share in Star Minerals.

Star Minerals Ltd. Announces Director’s Acquisition of Performance Rights

Star Minerals Ltd. has announced a change in the director’s interest, with Clinton Moxham acquiring 3,000,000 performance rights as a non-cash director incentive. This move reflects the company’s strategy to align management interests with shareholder value, potentially impacting its governance and operational focus.

Star Minerals Ltd. Issues Performance Rights to Boost Employee Incentives

Star Minerals Ltd. announced the issuance of 3,000,000 performance rights set to expire on December 5, 2030, as part of an employee incentive scheme. This move is likely aimed at motivating and retaining key personnel, potentially strengthening the company’s operational capabilities and market position.