Eastern Platinum (ELR) AI Stock Analysis

• Market Cap: C$109.89M
• Dividend Yield: N/A
• Average Volume (3M): 308.53K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.89
• Revenue Growth: -19.44%
• EPS Growth: -2980.00%
• Country: CA
• Employees: 1,805
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Other Precious Metals
• EPS (TTM): -0.01
• Shares Outstanding: 203,491,420
• 10 Day Avg. Volume: 563,224
• 30 Day Avg. Volume: 308,532
• PEG Ratio: <0.01
• Price to Book (P/B): 0.26
• Price to Sales (P/S): 0.31
• P/FCF Ratio: -0.96
• 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: 48 Neutral
• Price Target: C$0.54 ▲(72.58% Upside)

The score is primarily held back by weak financial performance, including negative margins and negative operating cash flow, despite low leverage. Technicals provide some support with a generally positive longer-term trend and a positive MACD, but valuation is constrained by ongoing losses (negative P/E) and no dividend yield data.

Positive Factors

Low leverage / balance-sheet stability

Relatively low debt levels provide durable financial flexibility through commodity cycles, lowering solvency risk and preserving capacity to fund near-term development or absorb shocks. This supports longer-term project execution without immediate reliance on emergency external financing.

Strategic asset location

Ownership of assets in the Bushveld Complex provides a structural competitive advantage: proven PGM geology, regional infrastructure, and skilled mining services. This reduces exploration risk and underpins long-term reserve potential and production scalability versus greenfield peers.

Exposure to structural PGM demand

Revenue tied to PGMs benefits from enduring industrial demand drivers—emissions regulations and industrial uses—supporting medium-term commodity demand. This structural end-market linkage provides a persistent revenue base despite cyclical price swings.

Negative Factors

Negative and worsening profitability

Sustained negative margins indicate the business is not generating operating profits, reflecting high costs or low realized prices. Over months this erodes retained capital, limits reinvestment into mines, and pressures the company to cut costs or seek dilutive financing to sustain operations.

Negative operating cash flow

Negative operating cash flow is a structural concern for a mining developer: it undermines the ability to fund capital expenditures, sustain production, or advance projects internally. Persistent cash burn forces reliance on equity/debt raises or asset disposals, diluting stakeholders and slowing development.

Declining revenue and earnings collapse

Material revenue decline and a catastrophic EPS drop signal deteriorating operational performance or recognition of large losses. Over the medium term this impairs reinvestment capacity, weakens stakeholder confidence, and raises questions about management's ability to restore profitable production.

Eastern Platinum Business Overview & Revenue Model

Company Description

Eastern Platinum Limited (ELR) is a mineral exploration and development company focused primarily on platinum group metals (PGMs) in South Africa. The company operates in the mining sector and is engaged in the acquisition, exploration, and development of platinum and palladium properties. ELR’s core assets include the Crocodile River Mine and the Spitzkop Platinum Project, which are strategically located in the Bushveld Complex, a world-renowned PGM-producing region.

How the Company Makes Money

Eastern Platinum generates revenue primarily through the extraction and sale of platinum group metals, including platinum, palladium, and rhodium. The company's revenue model is largely based on the production and sale of these metals to various industrial and commercial clients, including automotive manufacturers and jewelers, who require PGMs for catalytic converters and other applications. Key revenue streams include the sale of raw minerals from its mining operations, as well as potential royalties from partnerships with other mining entities. Additionally, fluctuations in global commodity prices, demand for PGMs, and production levels significantly impact its earnings. Strategic partnerships with other mining companies and financial institutions also play a role in enhancing its operational capabilities and market reach.

Eastern Platinum Financial Statement Overview

Summary

Financials are weak: profitability is negative with a negative gross margin and worsening net margin, and operating cash flow is negative with declining free cash flow. The balance sheet shows relatively low leverage, but negative ROE indicates the business is not generating shareholder returns.

Income Statement

Eastern Platinum's income statement shows a declining trend in profitability with negative margins across the board in the TTM period. The gross profit margin is negative, indicating costs exceed revenues. The net profit margin has worsened, reflecting increased losses. Revenue growth is positive but insufficient to offset the negative profitability metrics. The company needs to improve cost management and operational efficiency to enhance margins.

Balance Sheet

The balance sheet indicates a relatively low debt-to-equity ratio, suggesting limited leverage and potential financial stability. However, the return on equity is negative, highlighting inefficiencies in generating returns for shareholders. The equity ratio is stable, but the company must focus on improving profitability to enhance shareholder value.

Cash Flow

Cash flow analysis reveals challenges with negative operating cash flow and declining free cash flow growth. The operating cash flow to net income ratio is negative, indicating cash flow issues relative to earnings. The free cash flow to net income ratio is positive, suggesting some ability to cover losses, but overall cash flow management needs improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	56.32M	62.51M	106.94M	49.83M	68.20M	56.14M
Gross Profit	-12.43M	823.00K	35.63M	5.93M	9.62M	5.55M
EBITDA	-18.70M	-7.48M	23.48M	6.20M	9.10M	859.00K
Net Income	-22.82M	-12.78M	13.76M	-2.50M	-2.71M	-9.40M
Balance Sheet
Total Assets	173.61M	157.68M	160.77M	155.60M	162.78M	162.99M
Cash, Cash Equivalents and Short-Term Investments	106.00K	3.13M	21.35M	2.45M	6.15M	1.77M
Total Debt	5.52M	2.57M	1.48M	5.11M	3.66M	4.56M
Total Liabilities	105.05M	83.81M	73.11M	84.17M	82.43M	81.66M
Stockholders Equity	69.03M	74.28M	88.08M	71.87M	122.48M	125.58M
Cash Flow
Free Cash Flow	-13.93M	-20.46M	16.25M	-8.25M	-5.12M	-912.00K
Operating Cash Flow	-6.83M	-4.43M	18.89M	-5.42M	890.00K	1.56M
Investing Cash Flow	-5.49M	-12.09M	-5.20M	3.30M	-8.12M	-1.75M
Financing Cash Flow	4.37M	1.12M	1.37M	2.32M	7.61M	540.00K

Eastern Platinum Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.31
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ELR, the sentiment is Neutral. The current price of 0.31 is below the 20-day moving average (MA) of 0.61, below the 50-day MA of 0.46, and above the 200-day MA of 0.29, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 48.27 is Neutral, neither overbought nor oversold. The STOCH value of 21.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:ELR.

Eastern Platinum Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LUC	76 Outperform	C$113.05M	1.40	21.15%	―	28.12%	―
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
CUAU	57 Neutral	C$107.99M	-30.36	-44.59%	―	―	-56.33%
DEF	49 Neutral	C$120.14M	-46.48	-4.10%	―	―	43.20%
ELR	48 Neutral	C$109.89M	-3.54	-28.77%	―	-19.44%	-2980.00%
PGDC	47 Neutral	C$544.11M	-43.04	―	―	14.89%	-24.08%

Eastern Platinum Corporate Events

Eastern Platinum Secures Credit Facility to Boost Production

Eastern Platinum Limited has secured a credit facility of up to C$1,000,000 from Ka An Development Co. Limited to support the increase in underground production at the Crocodile River Mine. This financial move is part of Eastplats’ strategy to ramp up production at its Zandfontein underground mine, aiming for 70,000 tonnes of ore per month by the end of 2026, which could enhance its position in the PGM and chrome markets.

The most recent analyst rating on (TSE:ELR) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Eastern Platinum stock, see the TSE:ELR Stock Forecast page.

Eastern Platinum Reports Increased Q3 Revenue Amid Strategic Shift to PGM Production

Eastern Platinum Limited reported a 24.5% increase in revenue for Q3 2025 compared to the same period in 2024, driven by higher PGM sales. However, the company faced a net loss of $10.9 million for the nine months ended September 30, 2025, primarily due to decreased chrome concentrate sales following the cessation of its retreatment project operations. The company is focusing on ramping up underground operations at the CRM to enhance PGM production, which is expected to become the main revenue source. Despite a working capital deficit and increased utilization of its credit facility, the company is strategically positioning itself to capitalize on its PGM production capabilities.

The most recent analyst rating on (TSE:ELR) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Eastern Platinum stock, see the TSE:ELR Stock Forecast page.