Strategic Minerals (SML) AI Stock Analysis

• Market Cap: £36.65M
• Dividend Yield: N/A
• Average Volume (3M): 41.83M
• Price to Earnings (P/E): 52.0
• Beta (1Y): -0.95
• Revenue Growth: 53.42%
• EPS Growth: N/A
• Country: UK
• Employees: 11
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): 0.00
• Shares Outstanding: 2,349,297,900
• 10 Day Avg. Volume: 102,443,026
• 30 Day Avg. Volume: 41,825,345
• PEG Ratio: -0.02
• Price to Book (P/B): 1.27
• Price to Sales (P/S): 1.33
• P/FCF Ratio: 6.27
• 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: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: 1.50p ▲(8.70% Upside)

Strategic Minerals' overall score is driven by strong corporate developments and a solid financial recovery in 2024. However, technical indicators suggest moderate momentum, and the high P/E ratio indicates potential overvaluation. The absence of earnings call data limits insights into management's outlook.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for the company's minerals, supporting long-term business expansion and market position.

Cash Generation

Consistent positive cash flow from operations enhances financial stability and provides the company with the flexibility to invest in growth opportunities.

Profitability Improvement

Improved profitability margins reflect effective cost management and operational efficiency, which are crucial for sustaining long-term financial health.

Negative Factors

Earnings Volatility

Past volatility in earnings and asset base can pose risks to future stability, making it challenging to predict consistent performance.

Asset Reduction

A reduction in total assets may indicate divestments or operational challenges, potentially affecting the company's ability to leverage assets for growth.

Capex Needs

High capital expenditure requirements and variable free cash flow could strain financial resources, impacting the company's ability to sustain growth.

Strategic Minerals Business Overview & Revenue Model

Company Description

Strategic Minerals Plc engages in the exploration, development, and operation of mining projects. The company operates the Cobre mine in New Mexico, which sells magnetite for use in the cement, fertilizer, dense media/medium, paint pigment, water jet cutting, ballast, magnet, toner, coal cleaning, and landscaping markets. It also holds interest in the Leigh Creek Copper Mine located in the North Flinders Ranges of South Australia; and the Redmoor tin/tungsten project in Cornwall, the United Kingdom. The company was incorporated in 2010 and is based in London, the United Kingdom.

How the Company Makes Money

Strategic Minerals generates revenue primarily through the sale of minerals extracted from its mining operations. The company focuses on high-demand minerals such as lithium, cobalt, and rare earth elements, which are critical for electric vehicle batteries and other technology applications. Key revenue streams include the direct sale of mined materials to manufacturers and industrial clients, as well as potential partnerships with battery manufacturers and technology firms looking to secure supply chains for these essential minerals. Additionally, SML may engage in joint ventures or strategic alliances to enhance its exploration capabilities and share in the profits of successful projects, further diversifying its income sources.

Strategic Minerals Financial Statement Overview

Summary

Strategic Minerals has shown a strong recovery in 2024 with improved profitability and cash generation. However, historical volatility in earnings and asset base fluctuations suggest cautious optimism for future stability.

Income Statement

Strategic Minerals showed a strong recovery in 2024 with a significant increase in total revenue and net income compared to previous years. The gross profit margin and net profit margin improved substantially, indicating effective cost management and profitability enhancement. However, past volatility in revenues and earnings, particularly in 2023, poses a risk to sustained performance.

Balance Sheet

The company maintains a solid equity position with a positive equity ratio. The debt-to-equity ratio is low, suggesting manageable leverage. However, fluctuations in stockholders' equity over recent years and a significant reduction in total assets in 2023 highlight potential stability concerns.

Cash Flow

Operating cash flow has been consistently positive, reflecting strong cash generation from operations. Free cash flow growth is notable, particularly in 2024. However, capex needs and past variability in free cash flow indicate potential challenges in maintaining current levels without careful cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.14M	4.75M	1.58M	2.45M	2.61M	3.02M
Gross Profit	1.58M	3.90M	1.31M	1.95M	2.09M	2.46M
EBITDA	924.35K	2.49M	-8.75M	684.00K	482.00K	626.00K
Net Income	667.48K	1.30M	-9.19M	84.00K	156.00K	214.00K
Balance Sheet
Total Assets	7.19M	8.10M	6.60M	15.25M	15.33M	14.41M
Cash, Cash Equivalents and Short-Term Investments	280.00K	621.00K	112.00K	341.00K	611.00K	833.00K
Total Debt	666.00K	1.11M	490.00K	587.00K	722.00K	80.00K
Total Liabilities	2.88M	3.13M	2.75M	2.40M	1.55M	856.00K
Stockholders Equity	4.31M	4.97M	3.85M	12.84M	13.78M	13.55M
Cash Flow
Free Cash Flow	547.40K	1.01M	29.00K	59.00K	-542.00K	330.00K
Operating Cash Flow	572.41K	1.42M	598.00K	775.00K	610.00K	929.00K
Investing Cash Flow	―	-531.00K	-569.00K	-717.00K	-1.15M	-558.00K
Financing Cash Flow	―	-385.00K	-262.00K	-320.00K	328.00K	-60.00K

Strategic Minerals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.38
• 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 GB:SML, the sentiment is Positive. The current price of 1.38 is below the 20-day moving average (MA) of 1.47, above the 50-day MA of 1.16, and above the 200-day MA of 0.53, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 52.05 is Neutral, neither overbought nor oversold. The STOCH value of 42.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:SML.

Strategic Minerals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SML	69 Neutral	£36.65M	52.00	16.95%	―	53.42%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
BRES	33 Underperform	£34.29M	―	-6.07%	―	―	76.92%

Strategic Minerals Corporate Events

Strategic Minerals Expands Share Capital with New Issuance

Strategic Minerals plc has announced the issuance of 20,000,000 new ordinary shares, bringing the total issued share capital to 2,369,297,949 ordinary shares. This update is significant for shareholders as it impacts the calculations for notifying changes in share capital interest under the FCA’s Disclosure and Transparency Rules.

Strategic Minerals to Participate in London Mining Week 2025

Strategic Minerals plc announced its participation in key industry conferences during London Mining Week 2025, including the Critical Minerals Association’s Annual Conference and Mines and Money @ Resourcing Tomorrow. The company’s involvement in these events underscores its active role in the critical minerals sector, aiming to strengthen its industry positioning and foster collaborations that support sustainable mineral supply chains.

Strategic Minerals Reports Exceptional Drill Results at Redmoor Project

Strategic Minerals plc announced impressive results from its second drillhole, CRD034b, at the Redmoor Tungsten-Tin-Copper Project. The drillhole revealed very high-grade tungsten intersections and multiple thick zones of mineralization, reinforcing Redmoor’s status as Europe’s highest-grade undeveloped tungsten resource. These results suggest strong potential for resource growth, positioning Redmoor as a critical mineral supply source for the UK. The findings also highlight the project’s potential to attract investment and create high-quality jobs in Cornwall’s critical minerals sector.

Strategic Minerals PLC Expands Shareholder Base with New Share Issuance

Strategic Minerals PLC announced the exercise of warrants for 20 million new ordinary shares, raising £100,000. The new shares are set to be admitted to trading on AIM, increasing the company’s total voting rights to 2,369,297,949. This move reflects the company’s ongoing efforts to strengthen its financial position and expand its shareholder base, potentially impacting its operational capabilities and market presence.

Strategic Minerals Advances Redmoor Drilling and Metallurgical Studies

Strategic Minerals plc has announced significant progress in its Redmoor drilling and metallurgical studies. The company completed two additional drill holes, intersecting key portions of the Sheeted Vein System, which are integral to the mining model. The metallurgical studies show promising results with high recovery rates for tungsten, tin, and copper, suggesting potential economic upsides for the project.

Strategic Minerals Boosts Redmoor Project with High-Grade Tin and Tungsten Findings

Strategic Minerals announced significant updates from its Redmoor project, highlighting high-grade tin assays and new tungsten equivalent calculations that increase the total metal content. The results from drillhole CRD033 underscore the polymetallic nature of the deposit, with meaningful contributions from tin and copper, enhancing the project’s economic potential. The updated mineral resource estimate, expected in Q1 2026, aims to solidify Redmoor’s position as a leading high-grade tungsten project globally, with further assay results anticipated soon.

Strategic Minerals Boosts Cobre Sales and Advances Redmoor Project

Strategic Minerals plc reported a 42.4% increase in Q3 2025 ore sales at its Cobre operation, generating $1.08 million in revenue, which supports its accelerated development program at the Redmoor project in Cornwall. The Redmoor project has shown significant progress with high-grade tungsten results, attracting market interest and positioning it as a leading undeveloped tungsten resource in Europe. The company is enhancing its exploration and development focus, with ongoing drilling and analysis reinforcing the project’s potential for resource growth and economic advancement.

Strategic Minerals Advances Drilling and Studies at Redmoor Project

Strategic Minerals has completed three additional drill holes at its Redmoor project, all intersecting the full thickness of the sheeted vein system, indicating potential resource growth. The company is also conducting new metallurgical studies to improve metal recoverability and process economics, with an updated mineral resource estimate expected in early 2026.

Strategic Minerals Announces Webcast on Redmoor Project Results

Strategic Minerals plc announced an investor webcast to discuss exceptional tungsten drilling results from its Redmoor project in Cornwall, UK. The webcast, featuring company executives and the Managing Director of Cornwall Resources Limited, will be available on the Investor Meet Company platform. Additionally, Strategic Minerals launched a new website and updated investor presentation, although no new financial information was disclosed.

Strategic Minerals Reports High-Grade Tungsten Findings at Redmoor

Strategic Minerals has announced exceptional drilling results from its Redmoor project, confirming multiple high-grade tungsten mineralization zones. These results reinforce Redmoor’s status as one of the highest-grade undeveloped tungsten deposits globally, with significant implications for the company’s market positioning and potential value increase due to rising tungsten prices. The findings also suggest additional economic mineralization zones, contributing to the forthcoming mineral resource estimate update.

Strategic Minerals Reports H1 2025 Financials and Advances Redmoor Project

Strategic Minerals plc reported a decrease in revenues and profits for the first half of 2025, primarily due to a 10-day shutdown at its Cobre operations caused by New Mexico wildfires and increased costs associated with board restructuring and exploration activities. Despite these challenges, the company is optimistic about offsetting the lost revenue in the second half of the year. The company has made significant progress at its Redmoor Project in Cornwall, UK, with increased investments and government grant funding supporting a 12-month exploration program. This development positions Strategic Minerals to enhance its role in supplying critical minerals, which is crucial for Western supply chain resilience.

Strategic Minerals Advances Redmoor Project with Promising Drill Results

Strategic Minerals plc has completed three drill holes at its Redmoor project, all intersecting the full thickness of the sheeted vein system, indicating the presence of tungsten and copper minerals. With a second drill rig now on site, the company expects to accelerate its exploration program, which could enhance its position in the global tungsten market amid rising prices.