Toro Energy (TOE) AI Stock Analysis

• Market Cap: AU$54.73M
• Dividend Yield: N/A
• Average Volume (3M): 280.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.92
• Revenue Growth: N/A
• EPS Growth: -1.26%
• Country: AU
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.04
• Shares Outstanding: 120,281,845
• 10 Day Avg. Volume: 141,104
• 30 Day Avg. Volume: 280,910
• PEG Ratio: -0.70
• Price to Book (P/B): 1.09
• Price to Sales (P/S): 31.48
• P/FCF Ratio: -3.88
• 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: 45 Neutral
• Price Target: AU$0.47 ▼(-5.40% Downside)
• Action: Reiterated Date: 02/03/26
• Date: Action: Reiterated 02/03/26

The score is held down primarily by weak financial performance (large losses and ongoing cash burn), with only partial offset from a low-debt balance sheet. Technicals are supportive due to a strong uptrend, but overbought momentum indicators increase pullback risk. Valuation remains unattractive/unclear because earnings are negative (negative P/E).

Positive Factors

Conservative balance sheet / low leverage

Very low reported debt versus equity gives Toro durable financial flexibility to fund exploration, permitting and development work without immediate refinancing. For a development-stage uranium company, low leverage reduces bankruptcy/refinancing risk and preserves optionality to pursue project milestones over months.

Emerging revenue generation

The jump from minimal to modest revenue demonstrates initial commercial traction or monetisation of activity, reducing absolute reliance on financing. Over the next 2–6 months, even small revenue inflows can validate business processes, support project studies, and provide operational learning toward scaling future uranium sales.

Focused uranium project pipeline

A clear strategic focus on uranium development in WA gives the company structural exposure to the nuclear fuel market. For investors, a defined project pipeline and active permitting/exploration work represent durable optionality to capitalise on long-term uranium demand as projects progress toward production and offtake opportunities.

Negative Factors

Persistent cash burn

Sustained negative operating and free cash flow shows the company is consuming capital to fund operations and development. Over 2–6 months this increases reliance on external financing or equity dilution, which can slow project timelines, impede strategic investments, and pressure the balance sheet despite low debt.

Extremely negative margins

Very large negative EBIT and net margins reflect a tiny revenue base relative to fixed and development costs, implying weak operating leverage. This structural profitability gap means several operational or commercial improvements are required before the business can generate sustainable returns, lengthening the path to self-sufficiency.

Declining equity and negative ROE

Falling equity and materially negative ROE indicate shareholder capital is being eroded by losses. Over months this reduces the company’s financial buffer for development work, raises the likelihood of future dilution or asset sales, and weakens long-term resilience unless profitability or financing improves.

Toro Energy Business Overview & Revenue Model

Company Description

Toro Energy Limited (TOE) is an Australian uranium company focused on the exploration and development of uranium assets. The company's primary project is the Wiluna Uranium Project located in Western Australia, which aims to supply uranium to meet global energy demands. Toro Energy is committed to delivering sustainable energy solutions while adhering to environmental and safety standards.

How the Company Makes Money

Toro Energy makes money primarily through the development and potential sale of uranium from its mining operations. The company generates revenue by exploring and developing uranium deposits, obtaining the necessary permits, and eventually producing uranium for sale to energy companies and other industries that require uranium for nuclear energy production. Toro Energy's earnings are influenced by uranium market prices, operational efficiency, and regulatory approvals. Additionally, strategic partnerships and joint ventures with other companies in the mining and energy sectors may contribute to its revenue streams.

Toro Energy Financial Statement Overview

Summary

Overall fundamentals are weak: the company remains loss-making with deeply negative margins and widening net losses, alongside continued meaningful cash burn (negative operating and free cash flow). The main offset is a low-debt, equity-funded balance sheet that reduces near-term refinancing risk, but ongoing losses and declining equity keep financial risk elevated.

Income Statement

Toro Energy remains in a loss-making profile with deeply negative profitability in the latest annual period (2025: net margin ~-1,295% and EBIT margin ~-863%), reflecting a very small revenue base relative to operating expenses. While revenue improved in 2025 versus 2024 (A$0.745m vs A$0.150m), earnings losses widened (net loss ~A$9.6m vs ~A$8.1m), indicating limited operating leverage and weak near-term earnings quality. The main strength is the presence of some revenue in the last two years after prior periods with minimal/zero revenue, but overall profitability and scalability remain major weaknesses.

Balance Sheet

The balance sheet is conservatively levered in the most recent year, with very low debt (2025 total debt ~A$0.08m) versus equity (~A$21.5m), supporting financial flexibility. Total assets (~A$22.3m) remain largely equity-funded, reducing refinancing risk. The key weakness is continued negative returns on equity (2025 ROE ~-45%), and equity has declined from 2024 to 2025 (A$30.4m to A$21.5m), consistent with ongoing losses and potential dilution/asset drawdowns over time.

Cash Flow

Cash generation remains a clear pressure point: 2025 operating cash flow was meaningfully negative (~-A$6.0m) and free cash flow was also negative (~-A$6.0m), indicating the business is consuming cash rather than funding itself. Free cash flow deteriorated sharply versus 2024 (from ~-A$5.4m to ~-A$6.0m), and cash burn is elevated relative to the company’s current revenue scale. A relative positive is that free cash flow tracked closely with net loss in 2025 (free cash flow to net income ~1.0x), suggesting losses are not massively understated by non-cash accounting, but the magnitude of cash burn remains the central risk.

Breakdown	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2021
Income Statement
Total Revenue	745.00K	150.00K	0.00	0.00	0.00
Gross Profit	745.00K	150.00K	-73.27K	-169.04K	-77.40K
EBITDA	-6.36M	-3.56M	-7.26M	-9.99M	-5.94M
Net Income	-9.65M	-8.07M	-7.10M	-8.93M	-6.51M
Balance Sheet
Total Assets	22.31M	31.49M	21.82M	23.16M	31.16M
Cash, Cash Equivalents and Short-Term Investments	6.69M	12.73M	3.24M	4.44M	12.38M
Total Debt	76.22K	0.00	0.00	0.00	10.00M
Total Liabilities	834.73K	1.09M	1.38M	1.56M	10.84M
Stockholders Equity	21.48M	30.40M	20.44M	21.59M	20.31M
Cash Flow
Free Cash Flow	-6.04M	-5.37M	-5.72M	-3.99M	-6.40M
Operating Cash Flow	-6.03M	-1.74M	-869.48K	1.12M	-1.49M
Investing Cash Flow	484.16K	-3.55M	-4.82M	-6.13M	-5.45M
Financing Cash Flow	-23.15K	15.97M	4.76M	-3.32M	13.91M

Toro Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.50
• 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:TOE, the sentiment is Positive. The current price of 0.5 is below the 20-day moving average (MA) of 0.52, above the 50-day MA of 0.49, and above the 200-day MA of 0.32, indicating a bullish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 55.12 is Neutral, neither overbought nor oversold. The STOCH value of 53.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AU:TOE.

Toro Energy 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%
VRC	48 Neutral	AU$36.07M	-16.67	-12.53%	―	―	40.00%
SUH	48 Neutral	AU$25.03M	-8.16	-108.41%	―	―	36.67%
CXU	47 Neutral	AU$55.00M	-7.63	-353.96%	―	―	―
TOE	45 Neutral	AU$54.73M	-6.05	-36.26%	―	―	-1.26%
PHO	45 Neutral	AU$65.20M	-6.07	―	―	―	-268.97%

Toro Energy Corporate Events

IsoEnergy Moves to Acquire Toro Energy in Premium Uranium Portfolio Deal

Toro Energy has agreed to be acquired by Canada- and US-listed IsoEnergy under a scheme of arrangement that will see IsoEnergy acquire 100% of Toro’s shares, giving Toro investors 0.036 IsoEnergy shares per Toro share. The deal values Toro at A$0.584 per share, a premium of nearly 80% to its last traded price before the announcement, and will leave Toro shareholders with about 7.1% of the enlarged uranium group, which combines Toro’s Wiluna Uranium Project with IsoEnergy’s Athabasca Basin assets, past-producing US mines and broader exploration portfolio. The transaction is expected to provide Toro investors with exposure to a larger, more diversified uranium producer in tier-one jurisdictions, greater access to capital, and improved liquidity, while Toro continues technical work, including pilot plant design and remodelling of the Lake Maitland geometallurgical block model ahead of a core drilling program that will further refine its resource base.

The most recent analyst rating on (AU:TOE) stock is a Hold with a A$0.56 price target. To see the full list of analyst forecasts on Toro Energy stock, see the AU:TOE Stock Forecast page.

Toro Energy Clears Key FIRB Hurdle in IsoEnergy Takeover Scheme

Toro Energy has announced that IsoEnergy has received written confirmation from the Australian Commonwealth Government under the Foreign Acquisitions and Takeovers Act that it has no objection to IsoEnergy’s proposed acquisition of all Toro shares it does not already own via a scheme of arrangement. Satisfaction of this Foreign Investment Review Board-related condition marks a key regulatory milestone for the transaction, which still requires Toro shareholder approval and court sign-off, maintaining momentum toward potential consolidation that could reshape Toro’s ownership structure and strategic positioning in the uranium sector.

Toro Energy Secures Shareholder Approval for Key Resolutions at AGM

Toro Energy Limited announced that all resolutions presented at its Annual General Meeting were approved by shareholders. This includes key resolutions such as the adoption of the remuneration report, re-election of a director, approval of a 10% placement capacity, and renewal of proportional takeover provisions, indicating strong shareholder support for the company’s strategic direction.

Toro Energy Announces Cessation of Securities

Toro Energy Limited announced the cessation of 3,720,000 securities due to the expiry of options or other convertible securities without exercise or conversion as of November 20, 2025. This cessation reflects a routine adjustment in the company’s issued capital, potentially impacting stakeholders by altering the company’s financial structure and market positioning.