Argo Gold (ARQ) AI Stock Analysis

• Market Cap: C$5.44M
• Dividend Yield: N/A
• Average Volume (3M): 33.65K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.73
• Revenue Growth: -15.28%
• EPS Growth: -122.22%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): <0.01
• Shares Outstanding: 72,527,770
• 10 Day Avg. Volume: 31,354
• 30 Day Avg. Volume: 33,653
• PEG Ratio: -0.05
• Price to Book (P/B): 3.98
• Price to Sales (P/S): 2.62
• P/FCF Ratio: 24.62
• 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: 52 Neutral
• Price Target: C$0.08 ▲(26.67% Upside)

The score is driven primarily by weakened TTM profitability and declining revenue, partially offset by positive operating/free cash flow and manageable leverage. Technicals are supportive (price above key moving averages and positive MACD), but valuation remains constrained by a negative P/E and no dividend data.

Positive Factors

Positive cash generation

Sustained positive operating and free cash flow provides Argo Gold durable internal funding to advance exploration and early development without immediate reliance on dilutive equity. This improves optionality for staged project spending, JV structuring, and reduces near-term refinancing pressure.

Manageable leverage

Debt below parity (D/E ~0.78) and positive equity give the company structural financial flexibility to fund exploration cycles or negotiate earn‑ins. Moderate leverage lowers insolvency risk, helps preserve negotiating power with partners, and reduces persistent interest burden vs highly levered juniors.

Focused exploration business model

A clear, commodity‑focused strategy and regional specialization build durable competitive advantages in project sourcing and technical execution. Geologic expertise and a pipeline of North American assets increase appeal to majors for farm‑ins or royalties, creating scalable upside if discoveries are confirmed.

Negative Factors

Declining revenue and margins

Falling revenue and a shift from healthy 2024 margins to a slight TTM loss indicate weakening operating performance. Reduced internal cash generation heightens reliance on external funding for exploration, making project schedules and capital allocation more sensitive to market access and funding cycles.

Negative returns on equity

A negative ROE signals that deployed capital has not generated acceptable returns, reflecting poor near‑term project economics or high exploration costs. Persistently negative returns can force additional capital raises, diluting shareholders and weakening the case for partners allocating capital to the company’s projects.

Historic revenue and earnings volatility

Episodic revenues and past loss years create structural uncertainty around project commercialization timelines and cash flow predictability. For a resource explorer, this raises the likelihood of intermittent financings, complicates long‑term planning, and increases execution risk for sustained development into production.

Argo Gold Business Overview & Revenue Model

Company Description

Argo Gold Inc., a development stage company, focuses on the exploration and development of mineral properties in northwestern Ontario. The company explores for gold, silver, cobalt, and zinc deposits. Its flagship project is the 100% owned Uchi gold project covering 22 square kilometers located to the west of Uchi Lake in the Birch-Uchi Greenstone Belt, Ontario; and the 100% owned Talbot Lake gold project covering 760 hectares located in the Uchi geological sub-province. The company was formerly known as Arbitrage Exploration Inc. and changed its name to Argo Gold Inc. in September 2016. Argo Gold Inc. was incorporated in 1995 and is based in Toronto, Canada.

How the Company Makes Money

Argo Gold generates revenue primarily through the exploration and potential development of its gold properties. The company focuses on advancing its projects through systematic exploration, which may lead to the discovery of economically viable mineral resources. Key revenue streams include any future sales or royalties from mined gold, joint venture agreements, and potential partnerships with larger mining firms that may provide funding or resources in exchange for a stake in the projects. Additionally, the company may benefit from favorable market conditions for gold, which can increase the value of its assets and attract investment.

Argo Gold Financial Statement Overview

Summary

Argo Gold has shown strong revenue growth and improved profitability, with a healthy gross profit margin of 55.5% and net profit margin of 19.5%. The balance sheet is stable with a manageable debt-to-equity ratio of 0.75, but the increase in liabilities poses a potential risk. Cash flow has improved, but historical volatility remains a concern.

Income Statement

Argo Gold's income statement shows a significant improvement in revenue and profitability over the years. The gross profit margin for 2024 is healthy at 55.5%, and the net profit margin is 19.5%, indicating effective cost management. The revenue growth rate from 2023 to 2024 is an impressive 135.3%, showing strong growth trajectory. EBIT and EBITDA margins are also strong at 26.8% and 42.4%, respectively, highlighting operational efficiency. However, the company has faced challenges in previous years with negative earnings, which might pose risks if similar trends reappear.

Balance Sheet

The balance sheet of Argo Gold shows a moderate financial position with a debt-to-equity ratio of 0.75, indicating a manageable level of leverage. The return on equity stands at 29.7% for 2024, showcasing effective utilization of equity to generate income. The equity ratio is 44.7%, reflecting a stable financial structure. However, the substantial increase in liabilities over the years could potentially increase financial risk if not controlled.

Cash Flow

Argo Gold's cash flow statement reflects a positive trend in free cash flow growth, moving from a negative free cash flow in 2023 to a positive one in 2024. The operating cash flow to net income ratio is 2.18, indicating strong cash generation relative to net income. Similarly, the free cash flow to net income ratio is 0.54. Despite the improvements, the historical cash flow volatility should be monitored to ensure sustainable cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.84M	2.24M	952.69K	0.00	0.00	0.00
Gross Profit	802.39K	1.24M	662.99K	-3.36K	-2.14K	-1.14K
EBITDA	384.89K	949.88K	-25.43K	-1.44M	-2.17M	-1.61M
Net Income	-91.15K	437.08K	-280.00K	-1.45M	-2.18M	-206.55K
Balance Sheet
Total Assets	3.18M	3.30M	2.78M	1.09M	2.14M	4.30M
Cash, Cash Equivalents and Short-Term Investments	282.33K	289.92K	74.89K	85.37K	1.15M	3.31M
Total Debt	1.11M	1.11M	1.11M	0.00	0.00	0.00
Total Liabilities	1.76M	1.83M	1.83M	478.43K	79.16K	345.10K
Stockholders Equity	1.42M	1.47M	949.13K	613.73K	2.06M	3.96M
Cash Flow
Free Cash Flow	399.58K	238.17K	-1.67M	-815.06K	-1.98M	-1.52M
Operating Cash Flow	763.05K	952.43K	122.01K	-807.70K	-1.98M	-1.39M
Investing Cash Flow	-374.03K	-714.26K	-1.73M	-6.92K	673.68K	311.89K
Financing Cash Flow	-115.66K	-23.14K	1.68M	0.00	322.00K	2.76M

Argo Gold Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.06
• 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:ARQ, the sentiment is Positive. The current price of 0.06 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.07, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 69.50 is Neutral, neither overbought nor oversold. The STOCH value of 63.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ARQ.

Argo Gold 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%
VGD	54 Neutral	C$5.20M	2.57	―	―	―	38.50%
ARQ	52 Neutral	C$5.44M	-62.50	-6.09%	―	-15.28%	-122.22%
HVG	45 Neutral	C$7.84M	-1.41	-93.08%	―	―	-230.94%
KGC	42 Neutral	C$5.33M	-21.74	-22.19%	―	―	-4.55%
EDGM	42 Neutral	C$4.97M	-13.64	-13.58%	―	―	-50.00%
GCN	27 Underperform	C$4.25M	-11.76	-75.44%	―	―	-64.52%

Argo Gold Corporate Events

Argo Gold Posts Positive Cash Flow From October Oil Production

Argo Gold Inc. reported October 2025 oil production of 1,800 barrels, averaging 58 barrels per day across its interests in the Lindbergh and Lloyd fields. With an average realized oil price of CAD$59 per barrel, the company generated oil revenue of $107,021 and net operating cash flow of $57,435 for the month, underscoring a modest but positive cash-generating contribution from its oil operations alongside its core mineral exploration business.

The most recent analyst rating on (TSE:ARQ) stock is a Hold with a C$0.06 price target. To see the full list of analyst forecasts on Argo Gold stock, see the TSE:ARQ Stock Forecast page.

Argo Gold Posts Cash-Positive October Oil Production

Argo Gold Inc. reported October 2025 oil production of 1,800 barrels, averaging 58 barrels per day, generating oil revenue of C$107,021 and net operating cash flow of C$57,435 at an average realized price of C$59 per barrel. Output was derived from its working interests in the Lindbergh and Lloyd oil assets, with Lindbergh 1, Lindbergh 2, Lindbergh 3 and Lloyd 1 contributing varying daily volumes and cash flows, highlighting that oil production is providing a meaningful, cash-generating complement to the company’s mineral exploration and development activities.

The most recent analyst rating on (TSE:ARQ) stock is a Hold with a C$0.06 price target. To see the full list of analyst forecasts on Argo Gold stock, see the TSE:ARQ Stock Forecast page.

Argo Gold Reports 2025 Oil Production Amid Market Challenges

Argo Gold reported its oil production for the first nine months of 2025, totaling 24,003 barrels, with an average of 88 barrels per day. The company faced challenges with the collapse of its Lloyd 2 well and did not proceed with planned drilling due to low oil prices. Despite these setbacks, Argo Gold generated CAD$1,631,714 in oil revenue and maintained a net operating cash flow of $913,157, reflecting its resilience in a challenging market environment.

Argo Gold Expands Uranium Claims in Saskatchewan’s Athabasca Basin

Argo Gold Inc. has expanded its uranium mineral claim position in the Athabasca Basin, Saskatchewan, by acquiring a 100% interest in Thunderclap, covering 264 hectares. This strategic move enhances Argo’s portfolio, which includes other prospective uranium areas in the region. The Thunderclap property is located near several significant uranium mines and deposits, making it a highly promising site for future exploration. The company’s expansion in a mining-friendly jurisdiction like Saskatchewan positions it well for advancing mineral exploration, potentially benefiting stakeholders by increasing resource potential and market competitiveness.