Griffin Mining (GFM) AI Stock Analysis

• Market Cap: £545.66M
• Dividend Yield: N/A
• Average Volume (3M): 566.76K
• Price to Earnings (P/E): 82.4
• Beta (1Y): 0.14
• Revenue Growth: -32.18%
• EPS Growth: -58.29%
• Country: UK
• Employees: 497
• Sector: General
• Sector Strength: N/A
• Industry: Industrial Materials
• EPS (TTM): 0.04
• Shares Outstanding: 176,590,160
• 10 Day Avg. Volume: 528,413
• 30 Day Avg. Volume: 566,764
• PEG Ratio: -1.24
• Price to Book (P/B): 1.25
• Price to Sales (P/S): 2.39
• P/FCF Ratio: -241.23
• 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: £250.00
• Price Target Upside: -18.03% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 65 Neutral
• Price Target: 339.00p ▲(11.15% Upside)

Score is driven by a solid balance sheet and strong price momentum, offset by weakening profitability/cash generation (negative free cash flow) and a very high P/E that limits valuation upside.

Positive Factors

Balance Sheet Strength

Extremely low leverage and a high equity ratio provide durable financial flexibility across commodity cycles. This reduces interest burden, supports capital allocation (capex, exploration, buybacks), and lowers insolvency risk, enabling longer-term investment in the Caijiaying asset.

High Gross Margin & Resource Quality

High-grade ore and a ~35.9% gross margin point to structurally advantaged unit economics. Better grades typically yield higher recoveries and lower per-ton costs, supporting margin durability versus lower-grade peers and underpinning long-term competitiveness in concentrate markets.

Operating Cash Conversion

A 1.72 operating cash/NI ratio shows solid cash generation from reported earnings, indicating earnings are converting into cash. This improves ability to fund working capital, sustain operations and finance near-term investment flexibility despite commodity volatility.

Negative Factors

Steep Reported Revenue Decline

A large year-over-year revenue contraction signals structural demand or production challenges that can impair scale economics. Continued top-line weakness reduces operating leverage, pressures margins, and limits internal funding for projects or exploration over the medium term.

Negative Free Cash Flow

A swing to negative free cash flow erodes cushion for growth and distributions; it may force reliance on cash reserves or external financing for capex and working capital. Persistently negative FCF undermines self-funded expansion and raises refinancing risk in stress periods.

Declining Profitability & Efficiency

Falling net and operating margins indicate worsening cost control or pricing pressure. Sustained margin erosion reduces retained earnings and ROE, constrains reinvestment, and makes the business more vulnerable to commodity price downturns and input-cost shocks over the medium term.

Griffin Mining Business Overview & Revenue Model

Company Description

Griffin Mining Limited, a mining and investment company, engages in the mining, exploration, and development of mineral properties. The company primarily explores for zinc, gold, silver, lead, and base and precious metal deposits. Its principal property is the Caijiaying mine located in Hebei Province, the People's Republic of China. The company was formerly known as European Mining Finance Ltd. and changed its name to Griffin Mining Limited in January 1998. Griffin Mining Limited was founded in 1988 and is based in London, the United Kingdom.

How the Company Makes Money

Griffin Mining generates revenue primarily through the extraction and sale of zinc and lead concentrates from its Caijiaying mine. The company benefits from selling these concentrates to smelters and traders in China and other international markets, capitalizing on the fluctuating market prices of zinc and lead. Key revenue streams include the direct sales of the mined concentrates, any associated by-products, and potentially, long-term contracts with strategic partners or customers in the mining and metal industries, which can help stabilize revenue and secure consistent sales. Additionally, factors such as efficient mining operations, cost management, and market demand for zinc and lead significantly contribute to the company's earnings.

Griffin Mining Financial Statement Overview

Summary

Overall financials are mixed: a strong balance sheet with minimal leverage (debt-to-equity ~0.002) and high equity ratio (~89.2%) supports stability, but income statement trends show pressure (revenue -2.3% YoY; net margin down to ~7.9%) and cash flow weakened with negative free cash flow (-$1.41M vs $25.1M prior year).

Income Statement

Griffin Mining's income statement shows a mixed performance. Gross profit margin in the latest year was about 35.9%, which is healthy for the industry, but the net profit margin declined to 7.9% from 10.4% the previous year, indicating potential challenges in cost management or pricing pressures. Revenue decreased by 2.3% year-over-year, which reflects a contraction in sales. The EBIT and EBITDA margins also decreased year-over-year, suggesting declining operational efficiency.

Balance Sheet

The balance sheet is strong, with a very low debt-to-equity ratio of 0.002, indicating minimal leverage. The equity ratio is high at approximately 89.2%, showcasing strong equity financing. Return on Equity (ROE) is modest at 4.2%, reflecting stable but not exceptional shareholder returns. The company maintains a solid cash position, which supports financial flexibility.

Cash Flow

Cash flow analysis indicates some weaknesses. There was a negative free cash flow of -$1.41 million in the latest year, a decline from $25.1 million the previous year, signaling potential issues with cash generation or increased capital expenditures. The operating cash flow to net income ratio is 1.72, which is healthy, but the free cash flow to net income ratio is negative, highlighting concerns in operational cash sufficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	162.25M	142.60M	146.02M	100.01M	128.87M	79.09M
Gross Profit	68.56M	51.25M	51.84M	38.25M	58.42M	32.67M
EBITDA	62.06M	42.55M	52.69M	35.00M	53.46M	27.68M
Net Income	21.34M	11.35M	15.24M	7.70M	25.38M	8.91M
Balance Sheet
Total Assets	324.43M	305.75M	321.22M	305.59M	320.53M	295.48M
Cash, Cash Equivalents and Short-Term Investments	65.25M	48.76M	60.01M	34.14M	38.16M	16.43M
Total Debt	677.00K	620.00K	739.00K	852.00K	971.00K	383.00K
Total Liabilities	51.26M	33.08M	51.47M	60.13M	57.96M	61.77M
Stockholders Equity	273.16M	272.67M	269.75M	245.47M	262.58M	233.71M
Cash Flow
Free Cash Flow	27.02M	-1.41M	25.10M	-5.57M	22.88M	-37.00K
Operating Cash Flow	50.96M	19.58M	48.38M	15.73M	42.88M	24.40M
Investing Cash Flow	-22.78M	-18.81M	-21.89M	-20.93M	-19.77M	-24.33M
Financing Cash Flow	-10.99M	-11.63M	-555.00K	-167.00K	-613.00K	-2.57M

Griffin Mining Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 305.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:GFM, the sentiment is Positive. The current price of 305 is above the 20-day moving average (MA) of 280.98, above the 50-day MA of 250.56, and above the 200-day MA of 200.91, indicating a bullish trend. The MACD of 15.25 indicates Negative momentum. The RSI at 67.67 is Neutral, neither overbought nor oversold. The STOCH value of 75.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:GFM.

Griffin Mining Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GFM	65 Neutral	£545.66M	82.43	3.23%	―	-32.18%	-58.29%
KMR	56 Neutral	£217.10M	-5.77	-4.64%	7.30%	6.65%	-159.09%
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
SAV	50 Neutral	£133.86M	-28.61	-10.02%	―	―	―
ALL	48 Neutral	£96.59M	-26.25	-17.14%	―	―	54.72%
PRE	48 Neutral	£348.01M	-33.77	-10.18%	―	―	―
RBW	46 Neutral	£115.97M	-46.05	-21.81%	―	―	28.30%

Griffin Mining Corporate Events

Griffin Mining Secures Caijiaying Licence Renewal to 2054

Griffin Mining has renewed its mining licence for the Caijiaying Mine in China through to 28 August 2054, extending the term to 26 years based on updated resource estimates. The renewal secures long-term mineral rights, production envelopes in Zones II and III, the approved mining area, and the vertical mining boundary across the entire Caijiaying operation, underpinning the mine’s long-term future and enabling continued systematic resource extraction. Management described the extension as a landmark achievement that reflects the company’s strong relationship with Chinese regulatory authorities and provides regulatory certainty to continue developing the asset for decades, offering stability and visibility for shareholders, staff, contractors and other stakeholders.

The most recent analyst rating on (GB:GFM) stock is a Hold with a £303.00 price target. To see the full list of analyst forecasts on Griffin Mining stock, see the GB:GFM Stock Forecast page.

Griffin Mining on Track for Zone II Commissioning at Caijiaying Mine

Griffin Mining Limited has announced that the commissioning of ore extraction from Zone II at the Caijiaying Mine is on track to begin in the first quarter of 2026. The company continues to support government safety measures, which have impacted production and financial results until the end of 2025, but have also strengthened its relationship with Chinese regulators, paving the way for future approvals and operational advancements.

The most recent analyst rating on (GB:GFM) stock is a Hold with a £219.00 price target. To see the full list of analyst forecasts on Griffin Mining stock, see the GB:GFM Stock Forecast page.

Griffin Mining COO Sells Entire Shareholding

Griffin Mining Limited announced that its Chief Operating Officer, John Steel, has sold a total of 200,000 ordinary shares in the company on the London Stock Exchange’s Alternative Investment Market. The transactions, which took place on November 4th and 6th, 2025, resulted in John Steel no longer holding any interest in Griffin’s share capital. This move may impact the company’s stock perception among investors and stakeholders, as it involves a significant sale by a key executive.

The most recent analyst rating on (GB:GFM) stock is a Hold with a £190.00 price target. To see the full list of analyst forecasts on Griffin Mining stock, see the GB:GFM Stock Forecast page.

Griffin Mining Reduces Share Count with Recent Buyback

Griffin Mining Limited announced the purchase and cancellation of 20,000 of its own ordinary shares at a price of 185 pence per share. This transaction reduces the total number of shares in issue to 176,610,171, which shareholders should use as the new denominator for calculating their interests in the company.

The most recent analyst rating on (GB:GFM) stock is a Hold with a £190.00 price target. To see the full list of analyst forecasts on Griffin Mining stock, see the GB:GFM Stock Forecast page.

Griffin Mining Reduces Share Count with Recent Buyback

Griffin Mining Limited has announced the purchase and cancellation of 20,000 of its own ordinary shares at a price of 185 pence per share. This transaction reduces the total number of shares in issue to 176,630,171, which shareholders should now use as the denominator for calculating their interests in the company.

The most recent analyst rating on (GB:GFM) stock is a Hold with a £190.00 price target. To see the full list of analyst forecasts on Griffin Mining stock, see the GB:GFM Stock Forecast page.