Avanti Energy (AVN) AI Stock Analysis

• Market Cap: C$11.97M
• Dividend Yield: N/A
• Average Volume (3M): 82.13K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.33
• Revenue Growth: N/A
• EPS Growth: -37.46%
• Country: CA
• Employees: 19
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.12
• Shares Outstanding: 114,040,110
• 10 Day Avg. Volume: 170,561
• 30 Day Avg. Volume: 82,129
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -2.00
• P/FCF Ratio: 0.00
• 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

Avanti Energy's overall score reflects significant financial struggles, including zero revenue, persistent losses, and negative cash flows. While technical analysis shows some potential, the valuation suggests current unprofitability with no immediate returns for investors. The recent private placement financing provides some capital, but financial challenges remain a major concern.

Avanti Energy Business Overview & Revenue Model

Company Description

Avanti Energy (AVN) is a company primarily engaged in the exploration, acquisition, and development of helium-rich properties. Operating within the energy sector, Avanti Energy focuses on identifying and exploiting helium reserves, which are crucial for various high-tech applications, including medical imaging, electronics manufacturing, and scientific research.

How the Company Makes Money

Avanti Energy makes money through the exploration and extraction of helium gas from its properties. The company's revenue model is centered around identifying high-potential helium reserves, developing these sites, and selling the extracted helium to industries that require it for their operations. Significant revenue streams include the sale of helium to sectors such as healthcare, technology, and research institutions. Additionally, strategic partnerships with other energy companies and technological advancements in extraction and processing may contribute to Avanti Energy's earnings by optimizing production efficiency and expanding market reach.

Avanti Energy Financial Statement Overview

Summary

Avanti Energy faces substantial financial challenges, with consistent zero revenue and persistent losses indicating difficulty in establishing a profitable business model. The balance sheet shows strong equity backing, but negative cash flows and reliance on external financing pose risks to financial stability.

Income Statement

Avanti Energy has consistently reported zero revenue over multiple years, indicating a lack of sales or operational income generation. The company also shows persistent negative net income and EBIT, which suggests ongoing operational and financial challenges. The lack of revenue growth and negative profit margins signify significant struggles in achieving profitability.

Balance Sheet

The company has maintained positive stockholders' equity, which is a positive sign. However, the debt-to-equity ratio is low due to minimal debt levels, which indicates limited leverage but also potentially limits growth opportunities. The equity ratio suggests the company is majorly financed by equity, which is generally stable but might not be the most efficient capital structure for growth.

Cash Flow

Avanti Energy's cash flow statements reveal significant negative free cash flows, indicating that the company is burning through cash at a concerning rate. The operating cash flow to net income ratio is negative, reflecting insufficient operational cash generation relative to expenses. The company's reliance on financing cash flows for liquidity is unsustainable long-term.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-49.49K	-26.84K	-22.22K	-3.66K	0.00	-3.66K
	EBIT
-4.57M	-11.41M	-8.21M	-10.60M	-534.61K	-374.59K
	EBITDA
-10.39M	-5.44M	-8.27M	-10.55M	-489.06K	-361.29K
	Net Income Common Stockholders
-10.47M	-11.64M	-8.29M	-10.56M	-534.76K	-320.79K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
443.49K	1.41M	2.83M	5.38M	1.77M	439.76K
	Total Assets
5.41M	28.63M	30.35M	17.06M	1.78M	451.47K
	Total Debt
472.91K	251.04K	2.20K	5.50K	0.00	0.00
	Net Debt
29.42K	-1.16M	-2.83M	-1.33M	-1.77M	-439.76K
	Total Liabilities
866.11K	2.81M	4.64M	1.63M	14.86K	26.24K
	Stockholders Equity
4.55M	25.82M	25.71M	15.44M	1.77M	425.22K
Cash Flow		Free Cash Flow
-6.74M	-11.04M	-17.85M	-11.23M	-151.82K	-653.49K
	Operating Cash Flow
-2.33M	-6.73M	-1.94M	-6.15M	-153.32K	-653.49K
	Investing Cash Flow
-4.32M	-5.95M	-11.87M	-9.18M	1.49M	0.00
	Financing Cash Flow
6.57M	11.26M	15.27M	14.90M	1.49M	1.05M

Avanti Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AVN, the sentiment is Negative. The current price of 0.1 is below the 20-day moving average (MA) of 0.12, below the 50-day MA of 0.12, and below the 200-day MA of 0.15, indicating a bearish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 71.83 is Negative, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:AVN.

Avanti Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GASX	61 Neutral	C$208.80M	―	-161.10%	―	275.77%	-148.72%
Sector *	57 Neutral	$7.68B	4.29	-3.52%	6.80%	-0.14%	-64.60%
HELI	51 Neutral	C$5.35M	―	-19.36%	―	-71.68%	78.98%
DME	48 Neutral	C$19.86M	―	-8.81%	―	-81.44%	59.09%
RHC.H	37 Underperform	$7.55M	―	-34.75%	―	―	-63.19%
AVN	29 Underperform	C$11.97M	―	-36.94%	―	―	-37.46%

Avanti Energy Corporate Events

Avanti Helium Completes $1.5M Private Placement Financing

Avanti Helium Corp. has successfully closed a private placement financing, raising $1,532,700 through the sale of over 17 million units. Each unit consists of one common share and a warrant to purchase an additional share, with proceeds intended for project costs and general working capital. CEO Chris Bakker participated in the financing, increasing his stake in the company. This transaction, classified as a related party transaction, is exempt from certain regulatory requirements.

Avanti Helium Expands Private Placement Financing

Avanti Helium Corp. has announced an increase in the size of its non-brokered private placement financing from up to 13,363,333 units to 17,030,000 units, aiming for gross proceeds of up to $1,532,700. This move is expected to support ongoing project costs and general working capital, with CEO Chris Bakker participating in the financing, which is considered a related party transaction. The closing of the offering is anticipated around January 13, 2025, pending TSX Venture Exchange acceptance.

Avanti Helium Expands Private Placement to Bolster Projects

Avanti Helium Corp. has announced an increase in its non-brokered private placement financing, raising the offering size to up to 13,363,333 units for potential gross proceeds of $1,202,700. The proceeds will be used for ongoing project costs and general working capital, with the offering expected to close around January 13, 2025, pending TSX Venture Exchange approval.

Avanti Helium Amends Equity Incentive Plan

Avanti Helium Corp. has received shareholder approval to amend its equity incentive compensation plan, increasing the number of common shares issuable under the plan. This move aligns with TSXV Venture Exchange requirements and supports Avanti’s focus on helium exploration and production to meet global demand.