Allegiant Gold (AUAU) AI Stock Analysis

• Market Cap: $23.34M
• Dividend Yield: N/A
• Average Volume (3M): 51.05K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.25
• Revenue Growth: N/A
• EPS Growth: -195.91%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 53,038,414
• 10 Day Avg. Volume: 113,404
• 30 Day Avg. Volume: 51,046
• PEG Ratio: 0.04
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.57
• 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: $0.50
• Price Target Upside: 24.76% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 39 Underperform
• Price Target: ―

Allegiant Gold faces significant financial challenges with ongoing losses and negative cash flow, despite a strong balance sheet. Technical analysis points to a bearish trend, while valuation concerns are evident from a negative P/E ratio. However, positive corporate events, such as strategic initiatives and board changes, offer some potential for improvement. Overall, the stock is rated low due to financial performance and valuation issues, with a modest score reflecting these challenges.

Positive Factors

Exploration and Drilling

Allegiant announced plans to drill the High-Grade Zone at McIntosh by way of a 2,000-3,000m diamond drill program.

Financial Structure

Clean capital structure – Since new management took over in 2019, AUAU has had one of the lowest dilution and best performance in its peer group, hasn’t raised money in 2 years, and has no warrants outstanding.

Strategic Partnerships

Kinross Gold holds 10% of Allegiant Gold, providing strategic advisory and operational support, enhancing its attractiveness as an M&A target.

Negative Factors

Exploration Results

AUAU also announced disappointing results from its exploratory RC drill program at Eastside.

Resource Expansion Challenges

Allegiant laid out three main objectives for the near term at Eastside, including doubling the size of the resource beyond the current combined inferred resource.

Allegiant Gold Business Overview & Revenue Model

Company Description

Allegiant Gold Ltd. (AUAU) is a gold exploration and development company focused on identifying and advancing gold projects in the United States. The company operates primarily within the mining and resource sector, with a core emphasis on exploring and developing gold properties to increase shareholder value. Allegiant Gold's portfolio consists of multiple high-potential exploration projects, with a strategic focus on Nevada, a region known for its rich mineral deposits.

How the Company Makes Money

Allegiant Gold makes money through the exploration and development of gold mining projects. The company's primary revenue model involves the discovery and enhancement of gold resources, which can lead to increased property values and potential sales or joint ventures with larger mining companies. Key revenue streams include proceeds from the sale of gold resources once they are commercially viable, as well as potential income from strategic partnerships or joint ventures. Additionally, Allegiant Gold may generate income through the sale of equity or interests in its projects to raise capital for further exploration and development activities. The success of these projects and the company's ability to monetize discovered resources are critical factors contributing to its earnings.

Allegiant Gold Financial Statement Overview

Summary

Allegiant Gold's financial statements reveal significant challenges in profitability and cash flow management. The company faces persistent losses and negative cash flow, despite a strong balance sheet with no debt and substantial equity. The lack of revenue growth and ongoing profitability issues are concerning, indicating a need for operational improvement.

Income Statement

The income statement shows consistent losses with negative net income and EBIT across all periods analyzed. The TTM (Trailing-Twelve-Months) period shows a slight revenue of 4553, but gross profit remains negative. There is a lack of revenue growth, as previous periods reported zero revenue. Profitability metrics such as the net profit margin and gross profit margin are negative, indicating struggles in generating profit.

Balance Sheet

The balance sheet is relatively stable with a strong equity position and no significant debt, reflected in a Debt-to-Equity Ratio of 0. The company maintains a high Equity Ratio, indicating a strong capital structure, although the stockholders' equity has seen modest growth year over year. Return on Equity (ROE) is negative due to consistent net losses.

Cash Flow

The cash flow statement indicates challenges in generating positive cash flow, with negative operating cash flow and free cash flow. Operating Cash Flow to Net Income and Free Cash Flow to Net Income ratios are unfavorable, as cash outflows exceed inflows. The Free Cash Flow Growth Rate remains negative, highlighting liquidity concerns.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-13.06K	0.00	-36.48K	-28.51K	-28.22K	-12.39K
	EBIT
-2.37M	-1.49M	-1.54M	-2.55M	-1.57M	-1.60M
	EBITDA
-5.60M	2.28M	792.24K	-1.69M	-1.54M	359.31K
	Net Income Common Stockholders
-5.63M	1.51M	474.65K	-1.73M	-2.85M	127.93K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
900.22K	2.88M	2.39M	4.98M	4.81M	3.53M
	Total Assets
35.81M	37.16M	34.10M	33.84M	29.70M	29.58M
	Total Debt
0.00	337.85K	24.20K	60.69K	142.83K	150.67K
	Net Debt
-352.47K	-556.30K	-215.26K	-4.02M	-4.11M	-2.72M
	Total Liabilities
655.14K	1.28M	329.13K	1.13M	608.87K	2.21M
	Stockholders Equity
35.16M	35.89M	33.77M	32.72M	29.09M	27.37M
Cash Flow		Free Cash Flow
-2.44M	-1.29M	-4.57M	-4.97M	-3.56M	-2.45M
	Operating Cash Flow
-1.38M	-1.29M	-1.73M	-974.56K	-1.34M	-1.02M
	Investing Cash Flow
1.58M	1.56M	-2.04M	-3.13M	-1.86M	727.28K
	Financing Cash Flow
56.67K	384.49K	-39.85K	3.91M	4.59M	2.77M

Allegiant Gold Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AUAU, the sentiment is Positive. The current price of 0.4 is above the 20-day moving average (MA) of 0.30, above the 50-day MA of 0.28, and above the 200-day MA of 0.31, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 62.99 is Neutral, neither overbought nor oversold. The STOCH value of 82.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:AUAU.

Allegiant Gold Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
K	77 Outperform	C$26.33B	15.64	18.12%	0.77%	30.84%	188.80%
OR	69 Neutral	$6.74B	155.22	2.50%	0.68%	12.78%	―
Sector *	51 Neutral	$2.04B	-1.23	-21.09%	3.96%	2.90%	-30.45%
SEA	46 Neutral	$2.00B	―	-1.46%	―	―	1.89%
AUAU	39 Underperform	$23.34M	―	-12.11%	―	―	-195.91%

Allegiant Gold Corporate Events

Allegiant Gold to Spin-Out Bolo Project for Enhanced Focus

Allegiant Gold Ltd. and CopAur Minerals Inc. have announced a plan to spin out the Bolo Project into a new company. This strategic move aims to provide the Bolo Project with more focused attention and resources, as Allegiant has been primarily concentrating on its Eastside project. The spin-out is expected to enhance the value for shareholders by allowing the Bolo Project to become the flagship project of another company.

Spark’s Take on TSE:AUAU Stock

According to Spark, TipRanks’ AI Analyst, TSE:AUAU is a Neutral.

Allegiant Gold struggles with profitability and cash flow, reflected in a low financial performance score. Technical analysis indicates bearish trends, while valuation concerns arise from a negative P/E ratio and no dividend yield. However, recent corporate events, including exploration initiatives and a strategic board appointment, offer some positive outlook. Overall, the company faces significant financial challenges, with some potential for operational improvement.

To see Spark’s full report on TSE:AUAU stock, click here.

Allegiant Gold Targets High-Grade Mineralization at Eastside Project

Allegiant Gold Ltd. has announced new drill targets for its upcoming diamond core drill program at the McIntosh Zone within its Eastside property in Nevada. The program aims to explore high-grade mineralization at depths beyond previous drilling, following successful results from earlier programs. This initiative could significantly enhance Eastside’s development potential, positioning it as a compelling project in Nevada’s gold mining sector.

Spark’s Take on TSE:AUAU Stock

According to Spark, TipRanks’ AI Analyst, TSE:AUAU is a Neutral.

Allegiant Gold faces significant challenges with its financial performance, as evidenced by ongoing losses and negative cash flow. While the technical analysis suggests bearish trends, there is a potential for short-term recovery. Valuation concerns arise from the negative P/E ratio and absence of dividends. The recent board appointment is a positive development, potentially aiding strategic direction, but does not offset the financial and operational challenges faced by the company.

To see Spark’s full report on TSE:AUAU stock, click here.

Allegiant Gold Strengthens Board with New Appointment

Allegiant Gold announced the appointment of Javier Reyes to its Board of Directors. With extensive experience in finance and mining, Reyes is expected to bring strategic insight to the company, potentially enhancing Allegiant’s market position as a leading gold exploration firm. Reyes’ previous success and strategic leadership in other mining ventures, such as Luca Mining, highlight his capability to contribute positively to Allegiant’s ongoing projects and ambitions, especially at their flagship Eastside project.