MAC Copper (MTAL) AI Stock Analysis

• Market Cap: $996.97M
• Dividend Yield: N/A
• Average Volume (3M): 786.42K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.24
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 506
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Shell Companies
• EPS (TTM): 0.13
• Shares Outstanding: 82,462,036
• 10 Day Avg. Volume: 953,988
• 30 Day Avg. Volume: 786,422
• PEG Ratio: 0.00
• Price to Book (P/B): 1.29
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -308.71
• Enterprise Value/Market Cap: 0.32
• Enterprise Value/Revenue: 0.26
• Enterprise Value/Gross Profit: 2.73
• Enterprise Value/Ebitda: 0.70
• 1Y Price Target: $12.54
• Price Target Upside: 3.72% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4

• Rating: 66 Neutral
• Price Target: $13.50 ▲(11.66%Upside)

Metals Corp's overall stock score is driven by strong operational improvements and positive momentum, despite ongoing profitability challenges. The earnings call provided confidence in future growth, although valuation concerns due to the negative P/E ratio and lack of dividend are notable.

Positive Factors

Debt Restructuring

MTAL has restructured its debt and derisked the outlook.

Operational Efficiency

MTAL has been focused on improving operations by increasing throughput, reducing dilution, and reducing costs by driving productivity.

Shareholder Support

Several key shareholders, who collectively own about 20% of the shares outstanding, have confirmed that they will vote in favor of the acquisition.

Negative Factors

Acquisition Valuation

While a bump or alternative bid is possible, it is not expected to be a material increase to the approximately 32% premium offered by Harmony.

Stock Downgrade

The stock is downgraded to Market Perform due to insufficient upside to the target price.

MAC Copper Business Overview & Revenue Model

Company Description

Metals Acquisition Corp does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses. The company intends to focus its search on metals and mining businesses. Metals Acquisition Corp was incorporated in 2021 and is based in Fort Worth, Texas.

How the Company Makes Money

Metals Corp generates revenue primarily through the sale of its extracted and processed metal products. The company operates large-scale mining operations to extract raw materials, which are then processed in its facilities to produce refined metals. These metals are sold to various industries that require them for manufacturing and construction purposes. Additionally, Metals Corp engages in strategic partnerships with industrial firms, enhancing its distribution network and securing long-term supply contracts. The company also invests in research and development to innovate new metal products and improve operational efficiencies, which can lead to cost savings and increased profit margins.

MAC Copper Financial Statement Overview

Summary

Metals Corp is on a positive trajectory with significant revenue growth and improved operational margins. The balance sheet reflects moderate leverage and a stable equity position. Although profitability metrics are still recovering, cash flow improvements provide a promising outlook. Continued focus on enhancing profitability and cash flows will be key for sustained financial health.

Income Statement

Metals Corp has demonstrated significant revenue growth, with TTM (Trailing-Twelve-Months) revenue increasing from the previous year. Gross profit margin improved to 34.44% from 11.22%, and EBIT margin turned positive at 22.61% compared to negative in the past. However, the net profit margin remains negative at -20.61%, indicating ongoing profitability challenges despite operational improvements.

Balance Sheet

The company shows a solid equity ratio of 40.28% in TTM, indicating a stable financial structure. The debt-to-equity ratio is 0.73, which is relatively moderate for the mining industry. Return on equity remains negative due to continued net losses, but improvements in operational performance suggest potential future profitability.

Cash Flow

Metals Corp's free cash flow turned positive to $56.33M in TTM from a negative position. The operating cash flow to net income ratio shows improvement, though the free cash flow to net income ratio is impacted by negative net income. Continued positive cash flow generation is crucial for financial stability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	340.74M	159.00M	0.00	0.00
Gross Profit	117.34M	17.83M	-2.12M	0.00
EBITDA	59.02M	-72.23M	-4.74M	10.81M
Net Income	-81.69M	-144.55M	-13.28M	10.81M
Balance Sheet
Total Assets	1.41B	1.31B	270.19M	266.64M
Cash, Cash Equivalents and Short-Term Investments	171.90M	32.37M	42.31K	954.97K
Total Debt	413.75M	411.44M	786.10K	0.00
Total Liabilities	840.63M	1.04B	25.68M	18.32M
Stockholders Equity	566.96M	268.03M	244.52M	248.31M
Cash Flow
Free Cash Flow	56.33M	-36.86M	-2.90M	-1.04M
Operating Cash Flow	116.74M	-11.71M	-2.90M	-1.04M
Investing Cash Flow	-165.34M	-779.11M	0.00	-265.15M
Financing Cash Flow	194.90M	823.14M	1.99M	267.14M

MAC Copper Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.09
• 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 MTAL, the sentiment is Positive. The current price of 12.09 is below the 20-day moving average (MA) of 12.15, above the 50-day MA of 10.70, and above the 200-day MA of 11.18, indicating a neutral trend. The MACD of 0.34 indicates Positive momentum. The RSI at 63.43 is Neutral, neither overbought nor oversold. The STOCH value of 40.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MTAL.

MAC Copper Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTAL	66 Neutral	$996.97M	―	-53.93%	―	―	―
Sector *	43 Neutral	AU$1.38B	-6.10	-40.62%	4.17%	-4.78%	-43.21%
AACT		$699.63M	31.29	4.34%	―	―	―
ANSC		$467.26M	56.67	2.40%	―	―	―
CLBR		$311.52M	76.92	2.38%	―	―	―
LEGT		$232.66M	―	4.77%	―	―	―
GPAT		$378.78M	32.54	8.15%	―	―	―