tiprankstipranks
Trending News
More News >
Emx Royalty Corporation (US) (TSE:EMX)
:EMX

EMX Royalty (EMX) AI Stock Analysis

Compare
24 Followers

Top Page

TS

EMX Royalty

(NYSE MKT:EMX)

Rating:62Neutral
Price Target:
C$3.50
▲(6.06%Upside)
EMX Royalty's overall score is influenced by solid technical indicators and positive corporate events that boost sentiment and market perception. However, high valuation concerns and financial performance challenges, including cash flow issues and negative profitability, temper the overall outlook.
Positive Factors
Revenue Growth
The company posted $8.4M in total revenue, which is an increase compared to 1Q24, reflecting ongoing growth in revenue year over year.
Share Repurchase
Management repurchased about 1.5M common shares during the quarter and an additional 1.2M after quarter-end, showing a commitment to returning capital to shareholders.
Negative Factors
Discount Rate Impact
The decreased price target results from updates to reflect increases in discount rates applied across EMX's asset base.
Sales Forecast
Management expects sales for the year to fall into a range of 10,000 — 12,000 Gold Equivalent Ounces (GEOs), indicating a small decrease compared to previous guidance.

EMX Royalty (EMX) vs. iShares MSCI Canada ETF (EWC)

EMX Royalty Business Overview & Revenue Model

Company DescriptionEMX Royalty (EMX) is a company that operates in the natural resources sector, focusing primarily on acquiring and managing royalty and mineral properties. The company's core business involves generating revenue through royalties derived from mining operations, as well as strategic investments in mineral assets. EMX Royalty leverages its extensive geological expertise and industry knowledge to identify, acquire, and manage a diversified portfolio of mineral royalty interests and exploration properties across the globe.
How the Company Makes MoneyEMX Royalty makes money primarily through a royalty revenue model, where it earns income from royalties on mineral production from mining properties in which it holds an interest. These royalties are typically structured as a percentage of the revenue or profit generated from the mineral production at these sites. Additionally, EMX generates income through strategic investments and sales of mineral properties, as well as through partnership agreements with mining companies. Such partnerships often involve EMX acquiring interests in exploration and development projects in exchange for providing funding, expertise, or other resources. These diversified revenue streams allow EMX to benefit from various stages of the mining lifecycle, from exploration to production.

EMX Royalty Financial Statement Overview

Summary
EMX Royalty shows mixed financial health, with strong asset management and moderate leverage. However, challenges persist in revenue growth and profitability, as indicated by negative net income and declining cash flows.
Income Statement
45
Neutral
EMX Royalty's revenue has shown volatility, with a decline observed in the latest year. The gross profit margin improved to 72.07%, up from 45.58% a year prior, indicating better cost management. However, net profit remained negative, reflecting ongoing profitability challenges. The EBIT margin at 4.05% is low but positive, suggesting marginal operational efficiency improvements.
Balance Sheet
60
Neutral
The company's balance sheet shows moderate stability with a debt-to-equity ratio of 0.30, highlighting manageable leverage. Stockholders' equity forms a significant portion of total assets, with an equity ratio of 73.59%. These factors demonstrate a solid capital structure, though profitability remains a concern with negative return on equity.
Cash Flow
50
Neutral
Operating cash flow decreased significantly, and free cash flow saw a sharp decline of 77.30%. The operating cash flow to net income ratio is negative, indicating cash flow issues. However, free cash flow remains positive, suggesting some capacity to fund operations without additional financing.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
23.80M27.38M16.50M2.93M1.16M
Gross Profit
17.16M12.48M1.77M-7.06M-6.41M
EBIT
964.00K2.95M-1.97M
EBITDA
10.78M6.92M3.81M-9.54M-8.44M
Net Income Common Stockholders
-3.29M-4.63M3.35M
Balance SheetCash, Cash Equivalents and Short-Term Investments
32.12M26.73M25.92M31.85M54.25M
Total Assets
156.90M158.57M168.83M164.56M80.73M
Total Debt
34.55M32.75M40.49M50.52M0.00
Net Debt
8.28M12.65M24.98M30.74M-41.11M
Total Liabilities
41.42M38.13M45.63M55.53M4.06M
Stockholders Equity
115.48M120.44M123.20M109.03M76.66M
Cash FlowFree Cash Flow
3.32M14.61M15.55M
Operating Cash Flow
6.82M14.78M16.73M
Investing Cash Flow
6.35M8.83M-19.98M
Financing Cash Flow
-6.86M-12.12M-526.00K58.65M1.69M

EMX Royalty Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.30
Price Trends
50DMA
2.99
Positive
100DMA
2.77
Positive
200DMA
2.61
Positive
Market Momentum
MACD
0.09
Negative
RSI
63.15
Neutral
STOCH
73.10
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EMX, the sentiment is Positive. The current price of 3.3 is above the 20-day moving average (MA) of 3.08, above the 50-day MA of 2.99, and above the 200-day MA of 2.61, indicating a bullish trend. The MACD of 0.09 indicates Negative momentum. The RSI at 63.15 is Neutral, neither overbought nor oversold. The STOCH value of 73.10 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:EMX.

EMX Royalty Risk Analysis

EMX Royalty disclosed 23 risk factors in its most recent earnings report. EMX Royalty reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

EMX Royalty Peers Comparison

Overall Rating
UnderperformOutperform
Sector (50)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TSEMX
62
Neutral
C$356.37M737.780.17%11.11%
56
Neutral
C$361.34M37.31-18.51%100.84%17.40%
50
Neutral
$2.00B-1.12-21.15%3.68%2.69%-30.65%
TSERD
47
Neutral
C$375.57M-16.90%-1666.67%
TSWRN
46
Neutral
C$320.01M-3.62%-77.62%
TSEMO
42
Neutral
C$292.92M-47.70%51.26%
38
Underperform
C$331.03M5,680.00-2.20%-2226.67%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:EMX
EMX Royalty
3.32
0.76
29.69%
TSE:WRN
Western Copper
1.65
0.01
0.61%
TSE:ERD
Erdene Resources
1.03
0.55
114.58%
TSE:EMO
Emerita Resources
1.06
0.39
58.21%
TSE:LUCA
Altaley Mining Corporation
1.36
0.93
216.28%
TSE:PMET
Patriot Battery Metals Inc
2.09
-5.07
-70.81%

EMX Royalty Corporate Events

Business Operations and Strategy
EMX Royalty Expands Portfolio with Trench Gold Project Agreement
Positive
May 29, 2025

EMX Royalty Corporation has entered into an exploration and option agreement with Ridgeline Minerals for the Trench Gold Project in Nevada. This agreement allows EMX to receive cash and share payments over a five-year term, along with a 3% net smelter returns royalty and annual advanced royalty payments. The project, identified through EMX’s geochemical sampling, represents a strategic addition to EMX’s royalty portfolio, offering potential near-term cash flow and future exploration upside. The agreement also marks the fourth collaboration between EMX and Ridgeline, highlighting their ongoing efforts to develop prospective projects in Nevada.

The most recent analyst rating on (TSE:EMX) stock is a Buy with a C$4.25 price target. To see the full list of analyst forecasts on EMX Royalty stock, see the TSE:EMX Stock Forecast page.

Private Placements and FinancingFinancial Disclosures
EMX Royalty Strengthens Financial Position with Early Payment and Debt Reduction
Positive
Apr 10, 2025

EMX Royalty Corporation has received an early payment of $6.85 million from AbraSilver Resource Corp, reducing its original obligation and retaining a 1% NSR on AbraSilver’s Diablillos project in Argentina. The funds will be used to repay $10 million of EMX’s long-term debt, reducing its outstanding debt from $35 million to $25 million, which strengthens its financial position and enhances its market standing.

Executive/Board ChangesBusiness Operations and Strategy
EMX Royalty Corporation Grants Security-Based Compensation to Align Interests
Positive
Mar 31, 2025

EMX Royalty Corporation has announced the grant of security-based compensation, including incentive stock options, restricted share units (RSUs), and deferred share units (DSUs) to its officers, directors, employees, and consultants. This move is part of the company’s equity incentive plan and aims to align the interests of its team with the company’s performance and growth objectives. The issuance of these securities is subject to certain restrictions and approvals, reflecting EMX’s strategic focus on enhancing shareholder value and operational milestones.

Stock Buyback
EMX Royalty Corporation Initiates New Share Repurchase Program
Positive
Mar 26, 2025

EMX Royalty Corporation has announced the commencement of a new Normal Course Issuer Bid (NCIB) following the successful completion of its previous NCIB. The new program allows the company to repurchase and cancel up to 5% of its issued and outstanding shares over a twelve-month period, aiming to enhance shareholder value and increase liquidity. The company will fund these purchases from available cash and has appointed National Bank Financial Inc. to facilitate the transactions. This move is expected to positively impact EMX’s market positioning by potentially increasing the value of its shares.

Business Operations and StrategyFinancial Disclosures
EMX Royalty Reports Record Revenue and Positive 2025 Outlook
Positive
Mar 12, 2025

EMX Royalty Corporation reported strong financial results for the year ending December 31, 2024, with record adjusted royalty revenue of $33.1 million, marking a 28% increase from the previous year. The company anticipates a positive outlook for 2025, driven by successful royalty expansions and a reduction in cash operating expenditures, positioning it for continued growth and financial flexibility.

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.