Dynacor Gold Mines (DNG) AI Stock Analysis

• Market Cap: C$184.80M
• Dividend Yield: 3.59%
• Average Volume (3M): 108.44K
• Price to Earnings (P/E): 8.1
• Beta (1Y): 1.17
• Revenue Growth: 23.58%
• EPS Growth: -21.41%
• Country: CA
• Employees: 575
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): 0.17
• Shares Outstanding: 41,903,770
• 10 Day Avg. Volume: 103,285
• 30 Day Avg. Volume: 108,440
• PEG Ratio: 0.58
• Price to Book (P/B): 1.51
• Price to Sales (P/S): 0.53
• P/FCF Ratio: 13.79
• 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$7.50
• Price Target Upside: 69.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.57
• Revenue Forecast (FY): C$491.51M

• Rating: 74 Outperform
• Price Target: C$5.00 ▲(12.87% Upside)

The overall stock score of 74 reflects Dynacor Gold Mines' strong financial performance and attractive valuation. The company's solid balance sheet and profitability are significant strengths. However, technical indicators suggest bearish momentum, and the decline in free cash flow growth is a concern that could affect future financial flexibility.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a stable demand for Dynacor's gold processing services, supporting long-term business sustainability.

Balance Sheet Health

Minimal leverage reduces financial risk, providing Dynacor with flexibility to invest in growth opportunities and withstand economic downturns.

Profitability Margins

Strong profitability margins reflect efficient operations and pricing power, contributing to sustainable earnings and competitive positioning.

Negative Factors

Free Cash Flow Decline

A significant decline in free cash flow may limit Dynacor's ability to fund new projects, pay dividends, or reduce debt, impacting future growth.

Gross Profit Margin Pressure

Declining gross profit margins could signal rising costs or pricing pressures, potentially affecting future profitability if not managed.

Earnings Sentiment

A negative change in earnings sentiment may reflect market concerns about future performance, impacting investor confidence and stock valuation.

Dynacor Gold Mines Business Overview & Revenue Model

Company Description

Dynacor Gold Mines Inc. is a mining company based in Canada, primarily engaged in the exploration and processing of gold in Peru. The company operates in the gold mining sector through its flagship processing plant, which processes ore from local artisanal and small-scale miners. Dynacor is known for its focus on building a sustainable business model that supports local communities and adheres to environmentally responsible practices.

How the Company Makes Money

Dynacor Gold Mines generates revenue primarily through the processing of gold ore from artisanal and small-scale miners. The company's processing plant has the capacity to treat a significant volume of ore, allowing it to earn a fee for the services provided to these miners. Additionally, Dynacor sells the gold it produces to various buyers, including refiners and other gold market participants. The company benefits from strategic partnerships with local miners, which ensure a steady supply of ore. Factors contributing to its earnings include the efficiency of its processing operations, fluctuations in gold prices, and the demand for gold in the marketplace.

Dynacor Gold Mines Financial Statement Overview

Summary

Dynacor Gold Mines demonstrates solid financial health with consistent revenue growth and strong profitability margins. The balance sheet is robust with minimal leverage and a high return on equity. However, the decline in free cash flow growth is a concern that could impact future investments.

Income Statement

Dynacor Gold Mines shows a consistent revenue growth trend, with a TTM revenue growth rate of 4.14%. The company maintains healthy profitability margins, with a gross profit margin of 12.01% and a net profit margin of 5.81% in the TTM. However, there is a slight decline in gross profit margin compared to previous periods, which could indicate rising costs or pricing pressures.

Balance Sheet

The company has a strong balance sheet with a very low debt-to-equity ratio of 0.0089, indicating minimal leverage and financial risk. The return on equity is robust at 16.59%, reflecting efficient use of equity capital. The equity ratio stands at a healthy level, suggesting a stable financial position with a good proportion of equity financing.

Cash Flow

Dynacor's cash flow performance is mixed. While the operating cash flow to net income ratio is strong at 1.21, indicating good cash generation relative to net income, the free cash flow growth rate has significantly declined by 49.85% in the TTM. This decline in free cash flow could impact future investments and shareholder returns.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	308.91M	284.40M	250.19M	197.55M	195.91M	101.53M
Gross Profit	32.78M	35.80M	30.20M	24.43M	27.06M	13.61M
EBITDA	27.62M	30.80M	26.61M	21.53M	23.46M	11.65M
Net Income	16.21M	16.88M	15.07M	12.01M	11.78M	4.33M
Balance Sheet
Total Assets	146.39M	125.26M	111.78M	96.90M	91.36M	76.30M
Cash, Cash Equivalents and Short-Term Investments	57.75M	24.88M	22.48M	25.41M	26.91M	11.87M
Total Debt	695.76K	1.11M	635.69K	701.23K	343.97K	706.75K
Total Liabilities	21.50M	26.10M	22.19M	16.62M	19.35M	13.55M
Stockholders Equity	124.89M	99.16M	89.59M	80.28M	72.01M	62.74M
Cash Flow
Free Cash Flow	8.14M	10.87M	3.04M	2.57M	18.42M	10.34M
Operating Cash Flow	13.66M	16.13M	9.61M	6.23M	21.87M	11.22M
Investing Cash Flow	-7.98M	-11.16M	-6.45M	-3.51M	-3.21M	-769.83K
Financing Cash Flow	14.14M	-7.56M	-6.28M	-4.22M	-3.41M	-5.33M

Dynacor Gold Mines Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.43
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:DNG, the sentiment is Negative. The current price of 4.43 is below the 20-day moving average (MA) of 4.53, below the 50-day MA of 4.51, and below the 200-day MA of 4.70, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 46.42 is Neutral, neither overbought nor oversold. The STOCH value of 17.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:DNG.

Dynacor Gold Mines Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DNG	74 Outperform	C$184.80M	8.09	13.91%	3.59%	23.58%	-21.41%
STGO	69 Neutral	$495.54M	5.58	35.92%	―	104.75%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
TAU	55 Neutral	C$394.27M	-96.84	-1.82%	―	―	-251.92%
ITH	51 Neutral	C$517.63M	―	-7.47%	―	―	-26.52%
MFG	36 Underperform	C$265.11M	-28.47	-22.27%	―	―	50.13%
GOLD	27 Underperform	$414.40M	―	-10.17%	―	―	37.78%

Dynacor Gold Mines Corporate Events

Dynacor Group Announces October 2025 Dividend Payment

Dynacor Group Inc. announced its October 2025 dividend payment of C$0.01333 per common share, marking its 67th dividend and 57th monthly payment. The dividend, classified as an eligible dividend for Canadian tax purposes, will be paid on October 16, 2025, to shareholders of record by October 9, 2025. The decision to pay and increase dividends is at the discretion of the Board, depending on financial results and other factors. This announcement reflects Dynacor’s ongoing commitment to shareholder returns and its stable financial performance, reinforcing its position in the gold processing industry.

The most recent analyst rating on (TSE:DNG) stock is a Buy with a C$5.50 price target. To see the full list of analyst forecasts on Dynacor Gold Mines stock, see the TSE:DNG Stock Forecast page.

Dynacor Resumes Full Operations and Advances Expansion Plans

Dynacor Group Inc. has resumed full operations following the lifting of road blockades, with a strong focus on achieving its production guidance through mill optimization projects that enhance efficiency and productivity. The company is progressing with its expansion plans in West Africa and Latin America, including the construction of a pilot plant in Senegal and the acquisition of the Svetlana processing plant in Ecuador. These initiatives aim to strengthen Dynacor’s market position and drive future growth, with the company targeting over $1 billion in sales by 2030.

The most recent analyst rating on (TSE:DNG) stock is a Buy with a C$5.50 price target. To see the full list of analyst forecasts on Dynacor Gold Mines stock, see the TSE:DNG Stock Forecast page.

Dynacor Reports Strong Q2-2025 Results Amid Expansion Efforts

Dynacor reported its Q2-2025 financial results, highlighting sales of $79.7 million, the second-highest quarterly sales, despite facing challenges such as lower ore supply due to a government-mandated curfew in Peru. The company is advancing its international expansion plan, with significant progress in Senegal, Ghana, and Ecuador, including the acquisition of the Svetlana processing plant in Ecuador. These efforts are part of Dynacor’s strategy to achieve $1 billion in sales by 2030, although the company has adjusted its 2025 production forecast due to supply disruptions.

The most recent analyst rating on (TSE:DNG) stock is a Buy with a C$6.50 price target. To see the full list of analyst forecasts on Dynacor Gold Mines stock, see the TSE:DNG Stock Forecast page.