Altius Minerals (ALS) AI Stock Analysis

• Market Cap: C$2.12B
• Dividend Yield: 0.94%
• Average Volume (3M): 80.81K
• Price to Earnings (P/E): 5.8
• Beta (1Y): 0.91
• Revenue Growth: -0.76%
• EPS Growth: 2549.18%
• Country: US
• Employees: 19
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): 0.17
• Shares Outstanding: 46,285,576
• 10 Day Avg. Volume: 108,049
• 30 Day Avg. Volume: 80,814
• PEG Ratio: 0.01
• Price to Book (P/B): 2.21
• Price to Sales (P/S): 33.28
• P/FCF Ratio: 48.90
• 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: C$40.25
• Price Target Upside: -11.42% Downside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 81 Outperform
• Price Target: C$53.00 ▲(16.64% Upside)

Altius Minerals' strong financial performance, attractive valuation, and positive technical indicators contribute to a high overall score. The earnings call provided additional confidence with strategic guidance and asset sales strengthening the balance sheet. However, attention to net profit margins and cash flow conversion is advisable.

Positive Factors

Asset-light royalty business model

Altius's royalty and streaming model produces recurring, low-capital-intensity cash flows and avoids mining operating risks. This structural business model supports durable margin resilience, lower capex needs, and the ability to allocate capital to royalties, buybacks or M&A over months.

Material liquidity after asset sale

Proceeds from the Arthur sale left roughly $540M in liquidity including revolver availability, materially enhancing financial flexibility. This durable cash buffer enables disciplined royalty investments, debt reduction or opportunistic purchases without immediate equity issuance.

Conservative leverage and strong ROE

A low D/E and near-18% ROE reflect conservative capital structure and effective capital deployment. These fundamentals reduce refinancing risk, preserve balance-sheet optionality, and indicate management can generate attractive shareholder returns from deployed equity over the medium term.

Negative Factors

Low net profit margin

Despite high gross margins, a net margin around 2.1% suggests sizable non-operating costs, one-time items, or elevated G&A that erode earnings. Persistently thin net margins constrain retained earnings and limit internally funded growth or higher, sustainable dividend capacity.

Suboptimal free cash flow conversion

While operating cash conversion is healthy, FCF/net income under 1.0 indicates a meaningful portion of reported earnings isn't becoming free cash. Over time this can limit the firm's ability to fund new royalties or shareholder returns without external financing if the gap persists.

Earnings reliance on one-off asset sales

Q3 results were materially boosted by a $340M one-time royalty sale, highlighting that headline earnings can be skewed by disposals. Reliance on periodic asset monetizations reduces earnings predictability and can mask underlying operational cash generation trends over multiple quarters.

Altius Minerals Business Overview & Revenue Model

Company Description

Altius Minerals Corporation operates as a diversified mining royalty and streaming company in Canada, the United States, and Brazil. The company owns royalty and streaming interests in 12 operating mines covering copper, zinc, nickel, cobalt, iron ore, precious metals, potash, and thermal and metallurgical coal. It is also involved in the acquisition and management of renewable energy investments and royalties, as well as early-stage royalties and minority equity or project interests. Altius Minerals Corporation was incorporated in 1997 and is headquartered in St. John's, Canada.

How the Company Makes Money

Altius Minerals generates revenue primarily through its royalty and streaming agreements, which provide the company with a percentage of the revenue generated from mining operations on its properties. This model allows Altius to earn income without the direct costs and risks associated with mining, as the company does not engage in the extraction of minerals itself. Key revenue streams include royalties from producing mines, income from mineral exploration partnerships, and payments from companies that utilize its land for mining. Additionally, Altius may enter into joint ventures and strategic alliances with other mining companies to enhance its portfolio and generate further earnings. The company's revenue can also be influenced by the performance of the commodities market, as fluctuations in metal prices can impact the income derived from its royalties.

Altius Minerals Financial Statement Overview

Summary

Altius Minerals demonstrates strong revenue growth and efficient operations with a robust gross profit margin. The balance sheet is healthy with low leverage and strong returns on equity. However, the net profit margin is low, and the conversion of net income to free cash flow could be improved.

Income Statement

Altius Minerals has demonstrated strong revenue growth with an 8.9% increase in the TTM period. The gross profit margin is robust at 75.67%, indicating efficient cost management. However, the net profit margin of 2.10% suggests that there are significant expenses or other factors impacting the bottom line. EBIT and EBITDA margins are healthy, reflecting good operational efficiency.

Balance Sheet

The company maintains a solid balance sheet with a low debt-to-equity ratio of 0.16, indicating conservative leverage. Return on equity is strong at 17.97%, showcasing effective use of shareholder funds. The equity ratio is favorable, suggesting a stable financial structure with a good proportion of equity financing.

Cash Flow

Altius Minerals shows a positive free cash flow growth rate of 28.24% in the TTM period, indicating improved cash generation. The operating cash flow to net income ratio is strong at 2.21, suggesting good cash conversion. However, the free cash flow to net income ratio of 0.92 indicates that a significant portion of earnings is not translating into free cash flow, which could be a concern if it persists.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	51.39M	37.27M	68.96M	102.05M	81.68M	60.06M
Gross Profit	39.59M	24.99M	47.65M	71.88M	52.79M	37.06M
EBITDA	455.85M	119.42M	40.58M	83.17M	74.91M	7.10M
Net Income	361.02M	100.77M	9.54M	37.49M	40.02M	-26.86M
Balance Sheet
Total Assets	1.01B	713.99M	773.54M	780.58M	721.40M	589.61M
Cash, Cash Equivalents and Short-Term Investments	352.98M	15.91M	130.42M	82.39M	100.02M	21.80M
Total Debt	83.16M	99.38M	112.17M	120.87M	115.17M	132.97M
Total Liabilities	155.40M	142.86M	161.00M	171.78M	192.42M	205.78M
Stockholders Equity	849.65M	561.18M	488.73M	486.19M	433.49M	362.88M
Cash Flow
Free Cash Flow	25.96M	25.37M	35.05M	71.92M	46.64M	34.38M
Operating Cash Flow	26.43M	27.95M	36.51M	74.26M	47.77M	37.12M
Investing Cash Flow	266.23M	-103.37M	55.07M	-85.75M	-26.55M	-50.19M
Financing Cash Flow	-52.22M	-44.41M	-38.93M	-10.75M	56.99M	12.74M

Altius Minerals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 45.44
• 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 TSE:ALS, the sentiment is Positive. The current price of 45.44 is above the 20-day moving average (MA) of 43.88, above the 50-day MA of 41.45, and above the 200-day MA of 32.39, indicating a bullish trend. The MACD of 1.58 indicates Negative momentum. The RSI at 64.22 is Neutral, neither overbought nor oversold. The STOCH value of 59.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ALS.

Altius Minerals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ALS	81 Outperform	C$2.12B	5.83	53.36%	0.94%	-0.76%	2549.18%
AFM	77 Outperform	C$1.79B	10.34	33.87%	9.17%	34.89%	67.31%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
LAC	52 Neutral	$2.47B	-6.17	-42.69%	―	―	-465.27%
NDM	49 Neutral	$1.63B	-19.22	-92.64%	―	―	-381.19%
SGML	46 Neutral	C$2.23B	-47.53	-35.25%	―	-11.65%	34.89%
USA	44 Neutral	C$3.49B	-32.92	-144.69%	―	14.32%	37.85%

Altius Minerals Corporate Events

Altius Minerals Grows Junior Equities Portfolio and Prepares for Heavy 2025 Exploration Campaign

Altius Minerals reported that the market value of its public junior equities portfolio rose to $49.3 million as of December 31, 2025, from $44.0 million at the end of the prior quarter, following net portfolio investments of about $1.3 million. During the quarter, the company financed new private vehicle Centauri Minerals, increased its stake in Perseverance Metals, and received equity in Altitude Minerals and Eminent Gold as consideration for previously generated projects, while retaining royalty interests such as a 1.5% NSR on the Firenze gold project. Management highlighted that more than 75,000 metres of discovery-focused drilling is planned across projects where Altius holds royalties or significant equity, alongside additional drilling at operating and development-stage royalty assets, underscoring an active exploration pipeline that could enhance future royalty revenues and strengthen its position in the mining royalty sector. The company also reaffirmed its ongoing evaluation of new exploration alliances and junior equity investments to support continued royalty creation across multiple jurisdictions.

The most recent analyst rating on (TSE:ALS) stock is a Buy with a C$46.00 price target. To see the full list of analyst forecasts on Altius Minerals stock, see the TSE:ALS Stock Forecast page.

Altius Minerals to Acquire Lithium Royalty Corp. in C$520 Million Lithium Bet

Altius Minerals has entered into a definitive agreement to acquire all outstanding shares of Lithium Royalty Corp. in a transaction valued at approximately C$520 million, offering LRC shareholders a mix of cash and Altius shares, subject to proration limits. The deal will add 37 lithium-focused royalties, including four producing and a dozen advanced-stage projects, to Altius’s portfolio, with expected royalty revenues from the acquisition ramping to C$40–60 million annually by the end of the decade at current prices, while significantly deepening its exposure to the fast-growing lithium and battery materials market at a time of depressed lithium prices and a potential supply deficit emerging later this decade. The acquisition is positioned as a counter-cyclical, long-term bet on lithium demand growth across electric transport, grid storage and other battery applications, and is expected to deliver corporate synergies, enhanced EBITDA margins and expanded deal-sourcing capabilities through the integration of LRC’s team and networks into Altius’s existing platform.

The most recent analyst rating on (TSE:ALS) stock is a Buy with a C$46.00 price target. To see the full list of analyst forecasts on Altius Minerals stock, see the TSE:ALS Stock Forecast page.

Altius Minerals to Acquire Lithium Royalty Corp in C$520 Million Deal

Altius Minerals has agreed to acquire all outstanding shares of Lithium Royalty Corp. in a C$520 million cash-and-share transaction that will add 37 lithium royalties, including four producing assets and a dozen advanced-stage projects, to its portfolio. The deal, struck at C$9.50 per LRC share and partly funded with approximately C$173 million in cash and the balance in Altius shares, is expected to significantly expand Altius’s exposure to the rapidly growing lithium market, enhance its long-term royalty revenue to an anticipated C$40–60 million annually by decade’s end, and deliver corporate synergies through integration of LRC’s networks and leadership, reinforcing Altius’s positioning in the broader battery and electricity value chain.

The most recent analyst rating on (TSE:ALS) stock is a Buy with a C$46.00 price target. To see the full list of analyst forecasts on Altius Minerals stock, see the TSE:ALS Stock Forecast page.

Altius Minerals Secures $25 Million from Arthur Gold Royalty Sale

Altius Minerals Corporation has received a contingent payment of US$25 million following the sale of a partial royalty interest in the Arthur Gold Project to Franco-Nevada Corporation. This payment concludes an arbitration process that confirmed the extent of royalty lands, covering approximately 195.6 km². The Arthur Gold Project, recognized as one of the most significant greenfield gold discoveries in the U.S. in over a decade, has substantial inferred and indicated mineral resources. AngloGold Ashanti is advancing the project with plans to convert resources to reserves and expand exploration efforts, potentially impacting Altius’s royalty income and market position.

The most recent analyst rating on (TSE:ALS) stock is a Buy with a C$43.00 price target. To see the full list of analyst forecasts on Altius Minerals stock, see the TSE:ALS Stock Forecast page.

Altius Minerals Sees Strong Q3 2025 Growth Driven by Strategic Royalty Sales

Altius Minerals Corporation reported a significant increase in its Q3 2025 financial performance, with attributable royalty revenue rising to $21.4 million from $14.7 million in the previous year. This growth was driven by higher potash volumes and copper stream deliveries, alongside increased interest and investment income. The company also recorded a substantial gain from the sale of a portion of its royalty interest in the Arthur Gold project, contributing to net earnings of $264.9 million for the quarter. These developments reflect Altius’s strategic focus on optimizing its royalty portfolio and enhancing shareholder value.

The most recent analyst rating on (TSE:ALS) stock is a Buy with a C$37.00 price target. To see the full list of analyst forecasts on Altius Minerals stock, see the TSE:ALS Stock Forecast page.