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Granada Gold Mine Inc (TSE:GGM)
:GGM

Granada Gold Mine Inc (GGM) AI Stock Analysis

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Granada Gold Mine Inc

(GGM)

Rating:27Underperform
Price Target:
The overall score is driven down by severe financial weaknesses, including zero revenue and negative equity, suggesting insolvency risk. While recent corporate events highlight potential improvements, they are overshadowed by financial instability and unattractive valuation metrics.

Granada Gold Mine Inc (GGM) vs. iShares MSCI Canada ETF (EWC)

Granada Gold Mine Inc Business Overview & Revenue Model

Company DescriptionGranada Gold Mine Inc., a junior natural resource company, acquires, explores for, and develops mineral properties in Canada. It explores for gold deposits. The company holds 100% interest in the Granada property, which comprises 2 mining leases and 50 mining claims covering an area of 1,474 hectares located in Rouyn-Noranda, Quebec. The company was formerly known as Gold Bullion Development Corp. and changed its name to Granada Gold Mine Inc. in January 2017. The company was incorporated in 1985 and is headquartered in Coquitlam, Canada.
How the Company Makes MoneyGranada Gold Mine Inc. generates revenue primarily through the exploration and development of its gold mining projects. The company makes money by discovering gold deposits and advancing these projects towards production, which can then be monetized through gold sales or partnerships with larger mining companies. Additionally, GGM may engage in joint ventures or earn royalties from companies that invest in or operate their mining projects. The company's ability to raise capital through equity financing also supports its exploration and development activities, contributing to its potential earnings.

Granada Gold Mine Inc Financial Statement Overview

Summary
Granada Gold Mine Inc. is struggling financially across all major metrics. The absence of revenue, combined with high operational losses, negative equity, and poor cash flow, indicates severe financial distress and potential solvency issues.
Income Statement
10
Very Negative
The company has reported zero revenues consistently, which is concerning for financial health. There are significant net losses and negative EBIT and EBITDA margins, reflecting operational challenges and inefficiencies in cost management.
Balance Sheet
5
Very Negative
The balance sheet reveals high leverage with negative stockholders' equity, indicating insolvency risk. The debt-to-equity ratio is undefined due to negative equity, highlighting financial instability. The equity ratio is also negative, showing a lack of assets to cover liabilities.
Cash Flow
15
Very Negative
Negative operating and free cash flows over multiple periods suggest poor cash management and operational inefficiencies. The company relies heavily on financing activities to sustain operations, posing a risk if external funding becomes unavailable.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
0.000.000.000.000.000.00
Gross Profit
-18.36K-36.78K3.02K-56.56K-44.85K-45.02K
EBIT
-511.44K-1.19M-2.41M-2.62M-5.47M-3.44M
EBITDA
-1.67M-1.79M-2.15M-2.87M-5.20M-3.50M
Net Income Common Stockholders
-2.00M-1.93M-2.88M-4.08M-3.63M-3.70M
Balance SheetCash, Cash Equivalents and Short-Term Investments
852.08K120.96K134.48K417.94K193.10K267.91K
Total Assets
2.58M851.86K892.10K2.22M3.80M996.83K
Total Debt
1.53M1.39M1.28M1.18M1.77M1.62M
Net Debt
678.23K1.38M1.26M1.05M1.58M1.35M
Total Liabilities
5.07M13.07M11.34M9.81M9.40M8.26M
Stockholders Equity
-2.49M-12.22M-10.45M-7.60M-5.60M-7.27M
Cash FlowFree Cash Flow
-60.53K-6.26K-122.75K-1.86M-5.49M-2.15M
Operating Cash Flow
-60.53K-6.26K-122.75K-1.82M-5.30M-2.10M
Investing Cash Flow
51.49K0.006.00K-36.18K92.46K-50.66K
Financing Cash Flow
0.000.000.001.80M5.13M2.25M

Granada Gold Mine Inc Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.03
Price Trends
50DMA
0.03
Negative
100DMA
0.03
Negative
200DMA
0.03
Negative
Market Momentum
MACD
>-0.01
Positive
RSI
38.74
Neutral
STOCH
33.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GGM, the sentiment is Negative. The current price of 0.03 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.03, and above the 200-day MA of 0.03, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 38.74 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:GGM.

Granada Gold Mine Inc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (50)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
50
Neutral
$2.01B-1.12-21.15%3.68%2.69%-30.65%
TSICM
43
Neutral
C$5.90M-14.93%-101.09%
33
Underperform
C$5.09M
-121.02%
TSGGM
27
Underperform
C$4.95M15.80%11.35%
$2.98M-25.73%
$2.65M-11.78%
$3.14M
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:GGM
Granada Gold Mine Inc
0.02
>-0.01
-33.33%
TSE:LORD
St James Gold
0.15
0.03
25.00%
TSE:ICM
Iconic Minerals
0.04
0.02
100.00%
ALRGF
Antler Gold
0.03
-0.07
-70.00%
EREPF
Zonte Metals
0.04
-0.03
-42.86%
AMMPF
AmmPower Corp
0.02
0.00
0.00%

Granada Gold Mine Inc Corporate Events

Business Operations and Strategy
Granada Gold Mine Boosted by Record Gold Prices
Positive
Apr 24, 2025

Granada Gold Mine Inc. has announced that the recent surge in gold prices has significantly enhanced the potential of its gold deposit, prompting a review of previous resource calculations. The increase in gold prices from $1,260 to $3,324 per ounce since 2017 has improved the resource potential, with the company noting substantial increases in both measured and indicated, as well as inferred gold ounces. This development suggests a promising outlook for Granada’s mining operations, with potential expansion towards historic mining areas, and it underscores the need to update economic parameters to reflect current market conditions.

Spark’s Take on TSE:GGM Stock

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

The overall score for TSE:GGM is low due to significant financial weaknesses, including zero revenue and negative equity, suggesting insolvency risk. Although technical analysis and recent corporate events show some positive aspects, they are overshadowed by financial instability and unattractive valuation metrics.

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

Business Operations and Strategy
Granada Gold Mine Expands Exploration at Granada East Project
Positive
Apr 14, 2025

Granada Gold Mine Inc. has announced an expanded exploration initiative at its Granada East Project, targeting historic high-grade gold mineralization. The project aims to integrate modern technology with historical data to enhance exploration efforts in the largely unexplored eastern portion of the property. This strategic move is expected to position the company to make informed exploration decisions, potentially impacting its operational capabilities and market positioning.

Spark’s Take on TSE:GGM Stock

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

The overall stock score is low due to significant financial weaknesses, including zero revenue and negative equity, suggesting insolvency risk. While technical analysis and corporate events show some positive aspects, they are overshadowed by the financial instability and unattractive valuation metrics.

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

Private Placements and FinancingBusiness Operations and Strategy
Granada Gold Mine Inc. Advances with Custom Milling and Financing Initiatives
Positive
Mar 27, 2025

Granada Gold Mine Inc. has signed a non-binding memorandum of understanding (MOU) for custom milling of its ore at the Beacon Mill in Quebec. This development is expected to generate revenue for the company, aiding in the continuation of its deep drilling program and potentially increasing its current gold resource. The company also announced a private placement financing to raise up to C$1,000,000, which will support its operations and administrative expenses. The private placement is subject to approval by the TSX Venture Exchange.

Executive/Board ChangesShareholder Meetings
Granada Gold Mine Inc. Announces Successful AGM Outcomes
Positive
Mar 14, 2025

Granada Gold Mine Inc. held its 2025 Annual General Meeting, where all proposed resolutions were approved with over 93.87% shareholder support. Key outcomes included the re-election of directors, re-appointment of auditors, and renewal of the company’s share option plan. The board also appointed officers for the upcoming year, indicating stability and continuity in leadership. These developments are likely to reinforce stakeholder confidence and support the company’s ongoing exploration and development activities.

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.