Equity Metals (EQTY) AI Stock Analysis

• Market Cap: C$35.07M
• Dividend Yield: N/A
• Average Volume (3M): 345.59K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.18
• Revenue Growth: N/A
• EPS Growth: 14.44%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Other Precious Metals
• EPS (TTM): -0.02
• Shares Outstanding: 194,816,800
• 10 Day Avg. Volume: 193,450
• 30 Day Avg. Volume: 345,588
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• 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: C$0.39
• Price Target Upside: 116.67% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

The overall stock score of 42 reflects significant financial challenges due to lack of revenue and increasing losses, which weigh heavily on the score. While technical indicators are neutral to bearish, valuation remains weak due to negative earnings. However, positive corporate events provide some optimism for future growth, slightly boosting the score.

Equity Metals Business Overview & Revenue Model

Company Description

Equity Metals Corporation engages in the acquisition, exploration, and development of mineral properties in Canada. The company explores for gold, silver, copper, metal, silica, and diamond ores. It owns a 100% interest in the Silver Queen property that consists of 17 crown-granted and 45 tenure claims covering an area of 18,852 hectares located in the Omineca Mining Division, near Owen Lake, British Columbia; 57.49% interest in the Monument Diamond property comprising 3 mining leases and 2 staked claims covering an area of approximately 3,581 hectares located on the south shore of Lac de Gras in the Northwest Territories; and 100% in the La Ronge Silica project covering an area of 54 acres located in central Saskatchewan. The company was formerly known as New Nadina Explorations Limited and changed its name to Equity Metals Corporation in September 2019. Equity Metals Corporation was incorporated in 1964 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Equity Metals makes money primarily through the exploration and development of mineral resources, which can eventually lead to the sale of these assets or joint venture agreements with larger mining companies. The company may also generate revenue by selling off stakes in its projects or through royalties and streaming agreements. Key revenue streams include proceeds from the sale of mineral rights, exploration partnerships, and potential future production. Equity Metals' earnings are influenced by factors such as metal prices, exploration success, and strategic alliances with other industry players.

Equity Metals Financial Statement Overview

Summary

Equity Metals struggles with profitability and cash flow generation, characteristic of early-stage mining firms. The absence of revenue and increasing losses are concerning, despite a strong equity position and no debt. The company may face challenges without clear revenue streams and efficient operations.

Income Statement

The company consistently reports no revenue, indicating significant challenges in generating sales. The net income remains negative, with substantial losses over time, and EBIT and EBITDA margins are not applicable due to zero revenue. The trend of increasing net losses suggests worsening financial performance.

Balance Sheet

The company maintains a debt-free balance sheet, which is a strength. However, the equity ratio is moderate, and the return on equity is negative due to ongoing losses, reflecting weak shareholder returns. Assets have grown, but primarily through equity, which indicates potential over-reliance on equity financing.

Cash Flow

The company has negative operating and free cash flows, indicating cash burn and inefficiencies in core operations. High financing cash flows suggest reliance on external funding. The free cash flow to net income ratio is not favorable, highlighting sustainability issues in cash generation.

Breakdown
Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
-69.52K	-6.91K	-8.37K	-11.04K	-15.47K
	EBIT
-4.90M	-2.93M	-5.20M	-4.18M	-1.14M
	EBITDA
-4.91M	-2.93M	-5.18M	-4.15M	-1.12M
	Net Income Common Stockholders
-4.08M	-2.91M	-5.01M	-4.21M	-1.13M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
5.00M	2.95M	497.52K	1.79M	1.79M
	Total Assets
5.50M	3.34M	802.49K	2.17M	2.29M
	Total Debt
0.00	0.00	0.00	0.00	0.00
	Net Debt
-5.00M	-2.95M	-497.52K	-1.79M	-1.79M
	Total Liabilities
1.53M	287.50K	96.86K	98.07K	284.71K
	Stockholders Equity
3.97M	3.06M	705.63K	2.07M	2.01M
Cash Flow		Free Cash Flow
-4.14M	-2.45M	-4.67M	-3.32M	-954.24K
	Operating Cash Flow
-4.13M	-2.45M	-4.67M	-3.31M	-951.80K
	Investing Cash Flow
-12.36K	0.00	-1.93K	25.70K	-102.02K
	Financing Cash Flow
6.19M	4.91M	3.38M	3.28M	2.81M

Equity Metals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.18
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EQTY, the sentiment is Negative. The current price of 0.18 is below the 20-day moving average (MA) of 0.19, below the 50-day MA of 0.20, and below the 200-day MA of 0.20, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.37 is Neutral, neither overbought nor oversold. The STOCH value of 39.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:EQTY.

Equity Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	49 Neutral	$1.95B	-1.21	-21.28%	3.72%	1.18%	-30.47%
NAU	48 Neutral	C$31.56M	―	-16.68%	―	―	-6.02%
KDK	44 Neutral	C$32.05M	―	-8.20%	―	―	-22.63%
EQTY	42 Neutral	C$35.07M	―	-102.11%	―	―	14.44%

Equity Metals Corporate Events

Equity Metals Launches 2025 Exploration Program on Arlington Property

Equity Metals Corporation has launched its 2025 summer exploration program on the Arlington property in British Columbia, focusing on the Fresh Pots geochemical anomaly. The program includes geophysical surveys, surface sampling, mapping, and a 3,000-meter core drilling initiative to explore gold-bearing veins. The exploration aims to enhance subsurface projections of mineralization and is fully funded for 2025, potentially impacting the company’s operational capabilities and industry positioning.

Spark’s Take on TSE:EQTY Stock

According to Spark, TipRanks’ AI Analyst, TSE:EQTY is a Neutral.

Equity Metals faces significant financial challenges with no revenue and increasing losses, impacting its financial performance score. Technical indicators are neutral to bearish, suggesting cautious sentiment. Valuation metrics are weak due to the lack of profitability. However, positive corporate events highlight strategic progress and exploration successes, providing some optimism for future growth.

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

Equity Metals Re-elects Directors and Grants Stock Options in Strategic Move

Equity Metals Corporation announced the re-election of its incumbent directors and the re-appointment of its officers following its annual general meeting. The company also granted incentive stock options to its directors, officers, and consultants, reflecting its ongoing commitment to strategic growth and development. These actions reinforce Equity Metals’ operational stability and strategic focus on its key projects, potentially impacting its market positioning and stakeholder interests.

Equity Metals Expands Gold Discoveries at Arlington Project

Equity Metals Corporation has reported significant progress in its exploration activities at the Arlington project in British Columbia. The company has expanded its gold-in-soil anomaly and discovered high-grade gold and polymetallic veins through recent sampling and trenching efforts. Additionally, Equity Metals has increased its land holdings at the site and completed a comprehensive airborne geophysical survey, which will aid in further exploration and drilling activities planned for Spring 2025.