Secova Metals (ESAU) AI Stock Analysis

• Market Cap: C$49.07M
• Dividend Yield: N/A
• Average Volume (3M): 140.72K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.18
• Revenue Growth: N/A
• EPS Growth: 5.97%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 65
• Industry: Other Precious Metals
• EPS (TTM): -0.02
• Shares Outstanding: 74,348,390
• 10 Day Avg. Volume: 228,827
• 30 Day Avg. Volume: 140,725
• PEG Ratio: N/A
• Price to Book (P/B): 4.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -14.49
• 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

• Rating: 46 Neutral
• Price Target: ―

Secova Metals faces significant financial challenges, including no revenue and ongoing losses, which are critical risks. However, recent corporate developments like the OTCQB listing offer some potential for improved market exposure and investor interest. The technical analysis shows some positive trends, but the lack of profitability and dividend yield are notable concerns.

Secova Metals Business Overview & Revenue Model

Company Description

ESGold Corp., an exploration stage company, engages in the acquisition, exploration, and evaluation of mineral properties in Canada. The company primarily explores for gold and silver deposits. It primarily holds a 100% interest in the Eagle River project that includes 77 claims or 4,354 contiguous hectares located in the Windfall Lake gold district, Quebec. The company also holds interest in the Montauban project, which comprises 65 mining claims and 1 mining concession covering an area of approximately 1,846 hectares situated in the Montauban and Chavigny townships, Quebec. In addition, it holds an option to acquire 50% interests in the Ottawa River project located in Ontario. The company was formerly known as Secova Metals Corp. and changed its name to ESGold Corp. in July 2022. ESGold Corp. was incorporated in 2004 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Secova Metals makes money through the acquisition and exploration of mineral properties, with a primary focus on gold and other precious metals. The company's revenue model is based on increasing the value of its mineral assets through exploration activities, which can lead to potential sales of these assets, joint ventures, or partnerships with larger mining companies. Secova Metals may also generate revenue by selling shares or securing financing from investors to fund its exploration and development projects. The company's earnings are influenced by factors such as mineral discoveries, market demand for precious metals, and successful collaborations with industry partners.

Secova Metals Financial Statement Overview

Summary

Secova Metals faces significant financial challenges with no revenue, ongoing losses, and liquidity constraints. The high leverage and declining equity position pose substantial risks requiring strategic improvements.

Income Statement

Secova Metals shows no revenue generation over multiple periods, which is a significant concern for sustainability. Consistent negative EBIT and net income indicate ongoing losses, and the absence of gross profit margins reflects operational challenges.

Balance Sheet

The company has a moderate equity position relative to its total assets, but the high debt-to-equity ratio suggests potential financial instability. The stockholders' equity has been decreasing, indicating weakening financial strength.

Cash Flow

Negative operating cash flow and free cash flow indicate liquidity challenges. Although the company secures financing, it is not generating enough internal cash flow to sustain operations, highlighting cash flow management issues.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
0.00	0.00	0.00	0.00	0.00	0.00
	EBIT
-1.30M	-1.45M	-3.53M	-4.48M	-1.69M	-576.65K
	EBITDA
-4.25M	-3.67M	0.00	0.00	0.00	-576.65K
	Net Income Common Stockholders
-4.28M	-3.69M	-3.71M	-4.90M	-1.13M	-606.65K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
35.20K	137.01K	80.35K	210.58K	19.95K	2.73K
	Total Assets
7.05M	7.11M	9.10M	8.77M	3.16M	2.50M
	Total Debt
191.25K	201.25K	40.00K	40.00K	1.07M	179.34K
	Net Debt
156.05K	64.24K	-40.35K	-170.58K	1.05M	176.61K
	Total Liabilities
3.82M	3.69M	3.39M	2.58M	2.92M	760.02K
	Stockholders Equity
3.24M	3.43M	5.71M	6.18M	239.49K	1.74M
Cash Flow		Free Cash Flow
-1.09M	-407.30K	-2.10M	-5.05M	-1.09M	-642.18K
	Operating Cash Flow
-1.05M	-303.93K	-985.04K	-2.60M	-859.64K	-642.18K
	Investing Cash Flow
-137.76K	-103.37K	-1.11M	-2.46M	-227.00K	0.00
	Financing Cash Flow
1.23M	463.96K	1.97M	5.25M	1.10M	562.24K

Secova Metals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.69
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ESAU, the sentiment is Positive. The current price of 0.69 is above the 20-day moving average (MA) of 0.54, above the 50-day MA of 0.49, and above the 200-day MA of 0.28, indicating a bullish trend. The MACD of 0.07 indicates Negative momentum. The RSI at 82.50 is Negative, neither overbought nor oversold. The STOCH value of 98.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ESAU.

Secova Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$2.04B	-1.15	-21.37%	3.64%	2.88%	-30.57%
ELR	48 Neutral	C$61.76M	27.27	-24.70%	―	-36.80%	-253.47%
ESAU	46 Neutral	C$49.07M	―	-84.29%	―	―	5.97%
PAU	46 Neutral	C$33.33M	―	-36.72%	―	―	2.82%
CTM	40 Underperform	C$29.18M	―	-15.64%	―	―	-66.67%
BBB	36 Underperform	C$31.99M	―	-65.33%	―	―	26.55%
AUCUF		$23.01M	―	-27.63%	―	―	―

Secova Metals Corporate Events

ESGold Corp. Retracts Non-Compliant Reporting and Plans Updated Assessment

ESGold Corp. has retracted non-compliant reporting following a review by the British Columbia Securities Commission, which found that previous reports did not comply with NI 43-101 standards. The company has removed non-compliant disclosures and plans to release an updated Preliminary Economic Assessment that reflects current market conditions, aiming to provide accurate and compliant information to shareholders.

ESGold Corp. Begins Trading on OTCQB, Expanding U.S. Market Reach

ESGold Corp. has announced that its common shares will commence trading on the OTCQB Venture Market in the United States, under the symbol SEKZF, which marks a significant milestone in its expansion strategy. This uplisting is expected to enhance liquidity, broaden exposure to U.S. investors, and ease trading through electronic settlement, thereby strengthening ESGold’s market presence and providing new opportunities for engagement and funding.