tiprankstipranks
Trending News
More News >
Forum Energy Metals Corp (TSE:FMC)
:FMC

Forum Energy Metals Corp (FMC) AI Stock Analysis

Compare
14 Followers

Top Page

TS

Forum Energy Metals Corp

(FMC)

Rating:37Underperform
Price Target:
Forum Energy Metals Corp's stock score reflects severe financial instability with no revenue, persistent losses, and negative cash flows. Technical indicators suggest a downward trend, reinforcing the financial challenges. Despite positive corporate events suggesting potential growth in uranium exploration, the current financial and technical conditions remain weak, making the stock a high-risk investment.

Forum Energy Metals Corp (FMC) vs. iShares MSCI Canada ETF (EWC)

Forum Energy Metals Corp Business Overview & Revenue Model

Company DescriptionForum Energy Metals Corp (FMC) is a Canadian-based mineral resource company primarily engaged in the acquisition, exploration, and development of energy metals. The company focuses on uranium, copper, nickel, and other strategic metals that are essential for clean energy production. With its operations centered in Canada, Forum Energy Metals is strategically positioned in regions rich in these critical minerals, contributing to the global transition towards sustainable energy solutions.
How the Company Makes MoneyForum Energy Metals Corp generates revenue through the exploration and development of mineral properties, primarily focusing on energy metals such as uranium, copper, and nickel. The company makes money by acquiring promising mineral properties, conducting exploratory drilling and geological surveys, and increasing the value of these properties through successful exploration results. Once a property demonstrates potential for economically viable mineral deposits, Forum Energy Metals may either develop the property towards production, partner with larger mining companies through joint ventures, or sell the property at a premium. Additionally, the company may earn revenue from option agreements, where other companies pay for the right to explore and potentially develop the properties. Key partnerships with other mining firms and investors are significant contributors to Forum Energy Metals' earnings, providing financial resources and technical expertise to advance their projects.

Forum Energy Metals Corp Financial Statement Overview

Summary
Forum Energy Metals Corp faces significant financial challenges with no revenue, persistent losses, and negative cash flows. While the absence of debt is a positive, the company's inability to generate revenue, along with declining equity and liquidity issues, indicates a precarious financial position. Strategic changes are needed to improve the financial health and sustainability of the company.
Income Statement
15
Very Negative
The company has consistently reported zero revenue across all periods, indicating an absence of sales. The gross profit is negative due to the lack of revenue, and the company consistently incurs significant losses. Margins such as EBIT and net profit are negative, highlighting ongoing operational challenges. There is no revenue growth, which is a major concern.
Balance Sheet
30
Negative
The balance sheet reveals no debt, which is a positive aspect, indicating low financial leverage. However, the stockholders' equity has declined over time, reducing the equity ratio. The return on equity is negative due to consistent net losses, indicating inefficiency in generating returns for shareholders.
Cash Flow
20
Very Negative
The company consistently reports negative operating and free cash flows, suggesting ongoing liquidity issues. The free cash flow shows no growth, reflecting the continued cash burn. The operating cash flow to net income ratio is unfavorable, mirroring cash flow struggles tied to poor income performance.
Breakdown
TTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
0.000.000.000.000.000.00
Gross Profit
-89.51K-73.29K-18.94K-2.86M-2.70M-228.38K
EBIT
-13.74M-13.61M-6.48M-4.87M-4.05M-793.18K
EBITDA
-13.30M-9.81M-5.32M-4.57M-3.43M-2.07M
Net Income Common Stockholders
-10.24M-9.89M-5.36M-4.57M-3.43M-2.07M
Balance SheetCash, Cash Equivalents and Short-Term Investments
676.14K601.34K1.47M1.15M3.12M285.08K
Total Assets
2.54M2.31M3.45M3.36M5.97M2.41M
Total Debt
0.000.000.000.000.0087.42K
Net Debt
-615.47K-496.52K-1.42M-1.10M-3.10M-182.93K
Total Liabilities
2.18M1.75M1.27M763.36K634.91K537.10K
Stockholders Equity
359.98K553.63K2.18M2.60M5.34M1.87M
Cash FlowFree Cash Flow
-12.26M-11.69M-6.85M-4.06M-4.02M-639.74K
Operating Cash Flow
-12.04M-11.54M-6.70M-3.93M-3.93M-606.46K
Investing Cash Flow
-216.20K-150.90K-177.40K26.90K20.56K136.72K
Financing Cash Flow
2.35M10.76M6.42M1.14M7.25M1.65M

Forum Energy Metals Corp Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.06
Price Trends
50DMA
0.05
Positive
100DMA
0.05
Positive
200DMA
0.07
Negative
Market Momentum
MACD
<0.01
Negative
RSI
80.72
Negative
STOCH
100.00
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:FMC, the sentiment is Positive. The current price of 0.06 is above the 20-day moving average (MA) of 0.05, above the 50-day MA of 0.05, and below the 200-day MA of 0.07, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 80.72 is Negative, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:FMC.

Forum Energy Metals Corp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (57)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
57
Neutral
$7.22B3.16-4.49%5.63%0.82%-49.15%
TSNXE
53
Neutral
$4.92B27.25-9.06%-197.27%
TSFMC
37
Underperform
C$17.01M-242.26%-57.21%
TSFUU
37
Underperform
C$120.14M-28.31%-2288.89%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:FMC
Forum Energy Metals Corp
0.06
-0.06
-50.00%
TSE:NXE
NexGen Energy
8.75
-0.95
-9.79%
TSE:FUU
F3 Uranium
0.24
-0.11
-32.86%

Forum Energy Metals Corp Corporate Events

Business Operations and Strategy
Forum Energy Metals and Global Uranium Complete Key Exploration Phase in Saskatchewan
Positive
Apr 24, 2025

Forum Energy Metals Corp. and Global Uranium Corp. have completed a diamond drilling program and geophysical surveys on the Northwest Athabasca Project in Saskatchewan, confirming the project’s potential for uranium mineralization. The recent exploration efforts, which included overcoming logistical challenges, have provided valuable insights into the subsurface systems, enhancing the companies’ understanding and future exploration strategies. This development underscores the strategic value of the project, with implications for advancing uranium exploration in the region.

Spark’s Take on TSE:FMC Stock

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

The overall stock score reflects the company’s significant financial challenges, including no revenue, persistent losses, and negative cash flows. While recent positive corporate events indicate potential future growth, the current financial and technical conditions are weak. The stock remains a high-risk investment, primarily due to its financial instability and lack of earnings, despite some positive exploration developments.

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

Business Operations and Strategy
Forum Energy Metals and Global Uranium Launch Drilling at Athabasca Project
Positive
Mar 20, 2025

Forum Energy Metals Corp. and Global Uranium Corp. have commenced diamond drilling and geophysical surveys at the Northwest Athabasca Project in Saskatchewan, Canada. This initiative aims to explore high-potential uranium deposits, leveraging historical data to refine targeting strategies. The project involves collaboration with local communities and First Nations, and the completion of camp construction and logistics marks a significant step forward in the exploration efforts.

Business Operations and Strategy
Forum Energy Metals Uncovers Promising Uranium Levels in Thelon Basin
Positive
Feb 18, 2025

Forum Energy Metals Corp has announced significant drill results indicating elevated uranium values at the Ayra and Loki grids in the Thelon Basin. This discovery marks the first major evidence of unconformity-style uranium mineralization at the sandstone/basement contact, suggesting potential for Tier One uranium deposits. The findings, which include high uranium concentrations in both the sandstone and basement, could signify a game-changing discovery for the company and enhance its position in the uranium mining sector.

Business Operations and Strategy
Forum Energy Metals and Global Uranium Launch New Exploration Phase in Saskatchewan
Positive
Feb 11, 2025

Forum Energy Metals Corp. and Global Uranium Corp. have commenced the construction of a 20-person camp at the Northwest Athabasca Project in Saskatchewan, Canada, and planned geophysical surveys, including Time Domain Electromagnetic and Direct Current Resistivity, which will start in March. These surveys aim to refine drill targeting at the Spring Bay target, which is known for its strong gravity low anomaly and historical uranium findings, thus enhancing the project’s potential value and positioning the companies to capitalize on the site’s resources.

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.