Gabriel Resources (GBU) AI Stock Analysis

• Market Cap: C$19.01M
• Dividend Yield: N/A
• Average Volume (3M): 16.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.63
• Revenue Growth: N/A
• EPS Growth: 62.02%
• Country: CA
• Employees: 35
• Sector: Basic Materials
• Sector Strength: 59
• Industry: Other Precious Metals
• EPS (TTM): -0.09
• Shares Outstanding: 211,243,990
• 10 Day Avg. Volume: 15,445
• 30 Day Avg. Volume: 16,174
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Gabriel Resources is in a precarious financial state with severe operational challenges and no revenue generation. The technical analysis indicates a weak stock position, and the negative P/E ratio underscores significant valuation concerns. Recent corporate events further highlight financial and legal challenges, making the stock a high-risk investment with a very low score.

Gabriel Resources Business Overview & Revenue Model

Company Description

Gabriel Resources Ltd. is a Canadian resource company focused on the exploration and development of mineral properties. The company primarily operates in the mining sector, with its flagship project being the Rosia Montana gold and silver mine located in Romania. Gabriel Resources aims to leverage its expertise in mining to develop and manage high-quality mineral assets, with a particular emphasis on sustainable and responsible mining practices.

How the Company Makes Money

Gabriel Resources makes money primarily through the development and potential extraction of mineral resources at its Rosia Montana project. The company's revenue model centers on the exploration of gold and silver deposits, with future income expected from the sale of these precious metals once production commences. Significant factors contributing to its earnings include the successful acquisition of necessary permits, partnerships with local and international stakeholders, and the fluctuating market prices of gold and silver. As of now, the company is primarily in the development stage and does not have significant operating revenues from mining activities.

Gabriel Resources Financial Statement Overview

Summary

Gabriel Resources is facing severe financial struggles with zero revenue, negative profitability margins, and weak balance sheet indicators. The reliance on external financing to sustain operations poses significant risks. Immediate strategic financial restructuring is essential for viability.

Income Statement

The company has consistently reported zero revenue over the analyzed periods, which is highly concerning. Gross, EBIT, EBITDA, and net income margins are negative, indicating significant operational challenges and lack of profitability.

Balance Sheet

The balance sheet shows negative stockholders' equity, suggesting potential insolvency issues. However, the company has eliminated its total debt as of the TTM period, improving its debt position. Overall, the financial stability is weak due to consistent negative equity.

Cash Flow

Operating cash flow and free cash flow are persistently negative, indicating insufficient internal funds to cover expenses. The free cash flow growth rate is negative, reflecting worsening cash generation. The company heavily relies on financing activities to sustain operations.

Breakdown
Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
-11.00K	-25.00K	-31.00K	-39.00K	-104.00K
	EBIT
-24.50M	-9.33M	-14.54M	-25.61M	-36.22M
	EBITDA
-24.93M	-9.31M	-13.45M	-24.36M	-35.16M
	Net Income Common Stockholders
-24.94M	-7.62M	-25.13M	-44.48M	-53.52M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.61M	5.44M	3.29M	6.48M	25.73M
	Total Assets
5.20M	6.93M	6.79M	11.01M	31.18M
	Total Debt
0.00	0.00	0.00	85.64M	80.09M
	Net Debt
-4.61M	-5.44M	-3.29M	79.16M	54.36M
	Total Liabilities
20.71M	7.65M	6.69M	89.34M	91.42M
	Stockholders Equity
-19.35M	-4.56M	-3.79M	-82.30M	-64.19M
Cash Flow		Free Cash Flow
-10.59M	-8.30M	-11.35M	-29.95M	-28.13M
	Operating Cash Flow
-10.56M	-8.30M	-11.35M	-29.94M	-28.07M
	Investing Cash Flow
9.00K	3.49M	855.00K	-10.00K	3.30M
	Financing Cash Flow
9.62M	7.03M	7.22M	10.18M	32.95M

Gabriel Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.09
• 50DMA: Positive
• 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:GBU, the sentiment is Positive. The current price of 0.09 is above the 20-day moving average (MA) of 0.08, above the 50-day MA of 0.08, and below the 200-day MA of 0.11, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.85 is Neutral, neither overbought nor oversold. The STOCH value of 75.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:GBU.

Gabriel Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	49 Neutral	$1.95B	-1.27	-21.38%	3.72%	0.83%	-29.30%
FTEL	48 Neutral	C$17.83M	―	-240.37%	―	―	48.54%
KFR	42 Neutral	C$17.74M	―	-11.81%	―	―	5.59%
RK	41 Neutral	C$19.91M	―	-0.48%	―	―	50.00%
NVRO	39 Underperform	C$21.59M	―	19.19%	―	―	47.42%
GBU	38 Underperform	C$19.01M	―	108.02%	―	―	62.02%

Gabriel Resources Corporate Events

Gabriel Resources Faces Legal Hurdles in ICSID Arbitration Case

Gabriel Resources Ltd. has announced its financial results for the fourth quarter and year-end 2024, highlighting ongoing legal challenges following an ICSID arbitration decision against Romania. The Tribunal rejected Gabriel’s claims, resulting in a US$10 million costs order against the company, which Gabriel is contesting through annulment proceedings. The company is required to provide a bank guarantee for the costs order, with the annulment hearing scheduled for January 2026. This legal battle could significantly impact Gabriel’s financial stability and its operations in Romania.

Spark’s Take on TSE:GBU Stock

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

Gabriel Resources is currently in a precarious financial state with severe operational challenges and no revenue generation. The technical analysis indicates a weak stock position, and the negative P/E ratio underscores significant valuation concerns. Without viable earnings or corporate events to alter this outlook, the stock remains a high-risk investment with a very low score.

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

Gabriel Resources Announces Second Tranche Closing of Private Placement

Gabriel Resources Ltd. announced the second closing of its non-brokered private placement, issuing 19,976,600 units for gross proceeds of approximately US$0.7 million. This brings the total proceeds from the offering to US$3.0 million. The company is awaiting final approval from the TSX Venture Exchange to complete the final tranche of the offering. The involvement of insiders in the transaction, constituting related party transactions, is exempt from certain regulatory requirements. The funds are currently held in escrow and will be released upon clearance by the Exchange.

Spark’s Take on TSE:GBU Stock

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

Gabriel Resources is currently in a precarious financial state with severe operational challenges and no revenue generation. The technical analysis indicates a weak stock position, and the negative P/E ratio underscores significant valuation concerns. Without viable earnings or corporate events to alter this outlook, the stock remains a high-risk investment with a very low score.

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

Gabriel Resources Faces Financial Hurdles Amid ICSID Annulment Proceedings

Gabriel Resources Ltd. announced that the ad hoc committee reviewing its annulment application of the ICSID award has decided to continue the provisional stay of enforcement only if Gabriel provides a bank or third-party guarantee for the cost award. The company faces financial challenges, as it lacks sufficient cash or collateral to secure the required guarantee, despite a recent private placement. This situation underscores the urgency for Gabriel to secure additional funding to maintain operations and pursue its legal proceedings.

Gabriel Resources Announces US$4 Million Private Placement to Strengthen Financial Position

Gabriel Resources Ltd. has announced a private placement of up to 114,152,000 units at a price of C$0.05 per unit to raise up to US$4 million. This initiative includes a shares-for-debt settlement agreement, which will see the issuance of 43,946,956 units to settle US$1.54 million of outstanding debt with key investors. This move is significant for Gabriel Resources as it aims to strengthen its financial position through this capital raise, while also addressing existing financial obligations. The success of this offering is contingent upon regulatory approvals and the company’s ability to secure necessary consents.

Gabriel Resources Announces Share Consolidation and Legal Update

Gabriel Resources Ltd. announced a 10:1 share consolidation approved by the TSX Venture Exchange, effective February 18, 2025, to streamline its share structure without requiring shareholder approval. The company also provided updates on its ongoing ICSID annulment proceedings, which may have implications for its legal strategy and stakeholder interests.