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Eloro Resources (TSE:ELO)
:ELO

Eloro Resources (ELO) AI Stock Analysis

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Eloro Resources

(TSX:ELO)

Rating:36Underperform
Price Target:
Eloro Resources faces significant financial challenges characterized by no revenue, increasing losses, and reliance on external funding. These factors heavily weigh on its overall stock score. Despite positive corporate developments hinting at future potential, the current financial distress and unfavorable valuation metrics present a high-risk profile, limiting the stock's attractiveness.

Eloro Resources (ELO) vs. iShares MSCI Canada ETF (EWC)

Eloro Resources Business Overview & Revenue Model

Company DescriptionEloro Resources Ltd. (ELO) is a Canadian mineral exploration and development company focused on the discovery and development of precious and base metal resources. The company primarily operates in the mining sector, with a particular emphasis on exploring and developing projects in Bolivia and Peru. Eloro's flagship project is the Iska Iska Silver-Tin Polymetallic Project, located in the Potosí Department of southern Bolivia, where the company is conducting extensive exploration activities to identify and delineate mineral resources.
How the Company Makes MoneyEloro Resources makes money primarily through the exploration and development of mineral properties, with the aim of discovering commercially viable deposits that can be developed into mines. The company generates revenue by advancing its projects to the stage where they can be sold, partnered, or operated to produce minerals such as silver, tin, and potentially other base and precious metals. Key revenue streams include the sale of mineral resources, joint ventures, and strategic partnerships with other mining companies that can provide funding or expertise for further exploration and development. Eloro's earnings are significantly influenced by the success of its exploration activities, fluctuations in commodity prices, and its ability to secure financing for its projects.

Eloro Resources Financial Statement Overview

Summary
Eloro Resources is in a precarious financial position due to the absence of revenue, sustained losses, and negative cash flows. While the company has low debt levels, its inability to generate income from operations suggests a high-risk profile. The financial instability is reflected in the low income statement, balance sheet, and cash flow scores.
Income Statement
10
Very Negative
Eloro Resources has reported zero revenue consistently, indicating no sales or production income. This lack of revenue coupled with increasing losses, as seen in the negative net income and EBIT, highlights significant financial distress. The absence of revenue growth and negative profit margins suggest the company struggles to cover its operational costs, impacting its sustainability.
Balance Sheet
30
Negative
The company maintains a strong equity base with an equity ratio of over 90%, indicating minimal leverage and reliance on debt. However, the negative net income has adversely affected the return on equity, which is negative. This imbalance highlights financial instability, despite the low debt levels offering some cushion against financial risk.
Cash Flow
25
Negative
Eloro Resources faces significant cash flow challenges, with consistently negative operating and free cash flows. The high negative free cash flow indicates that the company's operational activities do not generate enough cash to cover capital expenditures, relying heavily on financing activities to sustain operations. This reliance on external funding poses substantial risks to financial health.
Breakdown
TTMMar 2024Mar 2023Mar 2022Mar 2021Mar 2020
Income StatementTotal Revenue
0.000.000.000.000.000.00
Gross Profit
-44.35K-44.35K-44.35K-43.06K-42.64K-42.64K
EBIT
-2.70M-10.31M-7.77M-7.05M-4.61M-1.17M
EBITDA
-10.43M-16.95M-8.07M-7.00M-4.57M-1.22M
Net Income Common Stockholders
-10.48M-17.01M-7.99M-7.11M-4.66M-1.30M
Balance SheetCash, Cash Equivalents and Short-Term Investments
190.23K4.06M8.83M9.45M28.31M44.67K
Total Assets
5.28M59.36M58.49M37.90M37.81M5.30M
Total Debt
0.00133.95K176.59K216.27K33.97K76.83K
Net Debt
-31.33K-3.28M-8.63M-9.22M-28.23M61.41K
Total Liabilities
358.53K2.45M1.87M1.24M1.61M561.04K
Stockholders Equity
4.92M56.91M56.62M36.66M36.20M4.74M
Cash FlowFree Cash Flow
-7.11M-14.68M-23.67M-20.47M-4.39M-852.91K
Operating Cash Flow
-1.86M-2.42M-3.81M-3.33M-371.04K-462.23K
Investing Cash Flow
-5.41M-13.06M-20.24M-17.39M-4.01M-79.00K
Financing Cash Flow
7.04M9.87M23.34M1.83M32.62M567.60K

Eloro Resources Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.16
Price Trends
50DMA
0.99
Positive
100DMA
1.03
Positive
200DMA
0.99
Positive
Market Momentum
MACD
0.07
Negative
RSI
67.81
Neutral
STOCH
58.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ELO, the sentiment is Positive. The current price of 1.16 is above the 20-day moving average (MA) of 1.09, above the 50-day MA of 0.99, and above the 200-day MA of 0.99, indicating a bullish trend. The MACD of 0.07 indicates Negative momentum. The RSI at 67.81 is Neutral, neither overbought nor oversold. The STOCH value of 58.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ELO.

Eloro Resources Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TSAEM
80
Outperform
$81.70B24.5411.45%1.35%32.68%419.46%
TSLUN
75
Outperform
$12.38B25.632.66%2.45%-8.36%-200.42%
TSBTO
71
Outperform
C$6.62B-17.61%3.83%5.97%-1677.31%
TSIVN
69
Neutral
$15.13B25.509.67%137.28%
51
Neutral
$2.02B-1.19-21.37%3.64%2.88%-30.57%
TSELO
36
Underperform
C$109.02M-17.56%13.39%
TSGNG
36
Underperform
C$1.27M-159.85%-419.44%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:ELO
Eloro Resources
1.27
-0.16
-11.19%
TSE:BTO
B2Gold
5.05
1.60
46.29%
TSE:AEM
Agnico Eagle
162.19
74.75
85.49%
TSE:IVN
Ivanhoe Mines
11.25
-6.74
-37.47%
TSE:LUN
Lundin Mining
14.37
-0.25
-1.73%
TSE:GNG
Golden Goliath Resources
0.06
0.02
50.00%

Eloro Resources Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
Eloro Resources Closes $2.5 Million Private Placement to Boost Exploration
Positive
May 2, 2025

Eloro Resources Ltd. announced the successful closing of a non-brokered private placement, raising $2.5 million through the sale of 2,631,578 units. The funds will be used for the exploration and development of the Iska Iska project and general corporate purposes. This strategic financial move is expected to bolster Eloro’s operations and strengthen its position in the mining industry, particularly in the development of its significant mineral assets in Bolivia and Peru.

Spark’s Take on TSE:ELO Stock

According to Spark, TipRanks’ AI Analyst, TSE:ELO is a Underperform.

Eloro Resources’ overall stock score is primarily influenced by its financial instability, characterized by the absence of revenue, growing losses, and reliance on external funding. While positive corporate developments hint at future potential, the current financial distress and unfavorable valuation metrics present a high-risk profile, limiting the stock’s attractiveness.

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

Private Placements and Financing
Eloro Resources Launches $2.5 Million Private Placement to Fund Iska Iska Project
Positive
May 1, 2025

Eloro Resources Ltd. announced a non-brokered private placement offering of up to 2,631,579 units at C$0.95 per unit, aiming to raise C$2,500,000. The proceeds will be used for the exploration and development of the Iska Iska project and general corporate purposes. This move is expected to bolster Eloro’s financial position and support its ongoing projects, potentially enhancing its market presence in the mining industry.

Spark’s Take on TSE:ELO Stock

According to Spark, TipRanks’ AI Analyst, TSE:ELO is a Underperform.

Eloro Resources’ overall stock score is heavily impacted by financial instability, characterized by no revenue, increasing losses, and negative cash flows. Despite positive corporate events hinting at future potential, the current financial distress and unfavorable valuation metrics present a high-risk profile. Technical indicators provide a neutral outlook, but the fundamental weaknesses limit immediate upside potential.

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

Business Operations and Strategy
Eloro Resources Initiates New Drilling Program at Iska Iska Project
Positive
Apr 30, 2025

Eloro Resources Ltd. has announced the initiation of a new definition drilling program at its Iska Iska silver-tin polymetallic project in Bolivia. The program aims to upgrade and expand high-grade tin and silver mineralization zones, with a focus on the Santa Barbara starter pit area. This drilling effort is expected to enhance the company’s resource model by increasing drill hole density, which has previously shown to improve grade estimates for silver and tin. The results are anticipated to support a Preliminary Economic Assessment (PEA) by expanding the known resource extents and confirming the continuity and grade of mineralization. This development is significant for Eloro’s operational strategy and could potentially increase the economic viability of the project, impacting stakeholders positively.

Spark’s Take on TSE:ELO Stock

According to Spark, TipRanks’ AI Analyst, TSE:ELO is a Underperform.

Eloro Resources faces significant financial challenges with no revenue and increasing losses, heavily weighing down its overall stock score. The technical analysis suggests bearish trends, and negative valuation metrics further highlight the stock’s high-risk profile. While corporate events suggest potential future value, current financial instability and reliance on external funding limit the stock’s appeal.

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

Business Operations and Strategy
Eloro Resources Reports Promising Drilling Results at Iska Iska Project
Positive
Apr 15, 2025

Eloro Resources has announced the final assay results from its definition diamond drilling program at the Iska Iska silver-tin polymetallic project in Bolivia. The drilling revealed significant intervals of silver and tin-rich mineralization, with notable increases in grade as drill density improved. These results are expected to enhance the economic potential of the project and guide future drilling efforts, particularly in the Santa Barbara zone, as part of the company’s ongoing resource expansion strategy.

Spark’s Take on TSE:ELO Stock

According to Spark, TipRanks’ AI Analyst, TSE:ELO is a Underperform.

Eloro Resources faces acute financial challenges with no revenue and increasing losses, significantly weighing down its overall stock score. While corporate events indicate potential long-term project value, current technical and valuation metrics suggest caution. The stock’s high-risk profile, due to financial instability and reliance on external funding, results in a low overall score.

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

Private Placements and FinancingBusiness Operations and Strategy
Eloro Resources Secures C$5.3 Million for Iska Iska Project
Positive
Apr 8, 2025

Eloro Resources Ltd. announced the successful closing of a brokered private placement, raising C$5.3 million. The funds will be used for the continued exploration and development of the Iska Iska project in Bolivia, as well as for general corporate purposes and working capital. This move is expected to bolster Eloro’s financial position and support its strategic focus on advancing its mining projects, potentially enhancing its market positioning and stakeholder value.

Spark’s Take on TSE:ELO Stock

According to Spark, TipRanks’ AI Analyst, TSE:ELO is a Underperform.

Eloro Resources faces significant financial challenges with no revenue and sustained losses, which heavily weigh on its financial performance. While corporate events have shown promising developments with potential long-term value from the Iska Iska project, the current financial instability and bearish technical indicators limit the stock’s attractiveness. Potential investors should be cautious due to the high-risk profile and reliance on external funding.

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

Private Placements and Financing
Eloro Resources’ Oversubscribed Private Placement to Boost Bolivian Project
Positive
Mar 31, 2025

Eloro Resources Ltd. has announced that its brokered private placement is oversubscribed, with plans to raise up to C$5 million through the sale of units consisting of common shares and warrants. The funds will be used for the continued exploration and development of the Iska Iska project in Bolivia, as well as for general corporate purposes and working capital. The offering is expected to close on April 8, 2025, subject to necessary approvals, and highlights the strong investor interest in Eloro’s exploration activities.

Private Placements and FinancingBusiness Operations and Strategy
Eloro Resources Launches C$5 Million Private Placement for Bolivian Project
Positive
Mar 27, 2025

Eloro Resources Ltd. has announced a brokered private placement to raise up to C$5 million through the sale of units, each consisting of one common share and one-half of a common share purchase warrant. The funds will be used for the continued exploration and development of the Iska Iska project in southern Bolivia, as well as for general corporate purposes and working capital. This strategic move is expected to bolster Eloro’s financial position and support its ongoing mining operations, potentially enhancing its market presence in the exploration and development sector.

Business Operations and Strategy
Eloro Resources Unveils Major Silver Zone Expansion at Iska Iska
Positive
Mar 11, 2025

Eloro Resources has announced significant findings from its definition diamond drilling program at the Iska Iska deposit in Bolivia, revealing a major expansion of a high-grade silver zone. The latest drilling results from hole DSB-75 have shown the highest grade and longest silver intersection to date, with 151.47 g Ag/t over 135 meters within a broader interval. This discovery suggests a more extensive high-grade silver mineralization than previously estimated, potentially enhancing the project’s value and drawing increased interest from stakeholders.

Business Operations and Strategy
Eloro Resources Expands Tin Zone at Iska Iska Deposit with Promising Drilling Results
Positive
Feb 20, 2025

Eloro Resources has announced significant findings from its definition drilling program at the Iska Iska deposit in Bolivia, highlighting a major expansion of a tin zone with notable intersections. The discovery comprises a high-grade tin system alongside a large silver-zinc-lead system, potentially indicating the presence of two world-class deposits on the property. These developments could significantly enhance Eloro’s industry positioning by showcasing the potential for extensive tin and polymetallic resources, potentially impacting stakeholders positively by increasing the project’s value and future prospects.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.