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Global Atomic Corporation (TSE:GLO)
:GLO

Global Atomic (GLO) AI Stock Analysis

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Global Atomic

(OTC:GLO)

Rating:67Neutral
Price Target:
Global Atomic's stock score reflects a mix of growth potential and financial challenges. Strong technical indicators and strategic project developments are positive, but the high valuation, profitability concerns, and reliance on external financing require cautious optimism.
Positive Factors
Financial Partnership
Discussions remain ongoing with a U.S. Development Bank to finance approximately 60% of CapEx, and management expects Credit Committee approval in Q2 2025.
Non-equity Investment
A potential non-equity investment with a uranium industry group could eliminate the need for near term equity financing.
Project Advancement
Global Atomic is advancing the Dasa Project, a high-grade uranium deposit located in the Republic of Niger, with first production targeting H1 2026.
Negative Factors
Capital Requirement
There is a need for additional capital in H2 2025 to continue project construction.
Volume Decline
The Turkish joint venture achieved EBITDA recovery despite a decline in volume, driven by higher zinc prices.

Global Atomic (GLO) vs. iShares MSCI Canada ETF (EWC)

Global Atomic Business Overview & Revenue Model

Company DescriptionGlobal Atomic Corporation (GLO) is a Canadian-based resource company engaged in the exploration and development of uranium and zinc. The company operates in two core sectors: uranium mining and zinc recycling. Its uranium division focuses on the exploration and advancement of its Dasa project located in Niger, which is one of the largest high-grade uranium projects in Africa. In addition, Global Atomic's zinc division operates through its joint venture with Befesa Zinc S.A.U. in Turkey, where it processes electric arc furnace dust (EAFD) to produce zinc concentrates.
How the Company Makes MoneyGlobal Atomic makes money primarily through two key revenue streams: uranium exploration and zinc recycling. The uranium segment generates revenue from the exploration, development, and potential future sale of uranium from its Dasa project. As the project progresses towards production, future revenue is expected from uranium sales to utilities and other customers. In the zinc segment, the company earns revenue from its joint venture in Turkey, where the plant processes EAFD to produce zinc concentrates that are sold to smelters. This joint venture provides a stable cash flow, which supports the company's overall financial health. Significant partnerships, such as the joint venture with Befesa Zinc S.A.U., enhance the company's capabilities in the zinc recycling sector and contribute to its income.

Global Atomic Financial Statement Overview

Summary
Global Atomic shows strong revenue growth but struggles with profitability and negative cash flow, causing reliance on external financing. A strong equity base and low leverage suggest stability, but financial performance is challenged by negative operating margins.
Income Statement
60
Neutral
Global Atomic has shown significant improvement in revenue, with a revenue growth rate of approximately 24.5% from 2023 to 2024. However, profitability remains a challenge, evidenced by negative EBIT and EBITDA margins. The net profit margin turned positive in 2024, which is a positive sign, but the historical trend of negative margins indicates ongoing operational challenges.
Balance Sheet
70
Positive
The company maintains a strong equity base, with an equity ratio of about 90% in 2024, indicating financial stability. The debt-to-equity ratio is low at about 0.02, suggesting low financial leverage and risk. However, the substantial increase in liabilities over the years requires careful monitoring.
Cash Flow
55
Neutral
Operating cash flow remains negative, indicating reliance on external financing. The free cash flow growth rate is negative, reflecting significant capital expenditures. The company has managed to maintain a positive financing cash flow, but the sustainability of this trend is uncertain given the negative operating cash flow.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
859.34K690.00K1.15M957.72K707.55K
Gross Profit
614.39K417.56K888.20K805.43K585.99K
EBIT
-8.06M-9.59M-6.45M-8.20M-2.69M
EBITDA
-7.81M-9.39M-7.62M-8.04M-2.57M
Net Income Common Stockholders
7.74M-16.60M-18.52M-8.35M-3.66M
Balance SheetCash, Cash Equivalents and Short-Term Investments
18.67M24.86M8.40M34.18M2.45M
Total Assets
273.88M177.60M110.26M93.60M53.04M
Total Debt
5.42M9.74M670.13K272.94K47.92K
Net Debt
-13.25M-15.12M-7.73M-33.91M-2.40M
Total Liabilities
26.76M19.41M8.75M2.90M1.23M
Stockholders Equity
246.66M157.76M101.08M90.70M51.81M
Cash FlowFree Cash Flow
-55.83M-40.51M-28.16M-5.00M-1.44M
Operating Cash Flow
-6.24M-5.33M-4.42M-4.06M-1.43M
Investing Cash Flow
-68.43M-43.92M-31.29M-13.27M-3.59M
Financing Cash Flow
69.52M65.62M9.81M49.12M3.58M

Global Atomic Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.93
Price Trends
50DMA
0.78
Positive
100DMA
0.68
Positive
200DMA
0.90
Positive
Market Momentum
MACD
0.05
Positive
RSI
53.69
Neutral
STOCH
42.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GLO, the sentiment is Positive. The current price of 0.93 is below the 20-day moving average (MA) of 0.93, above the 50-day MA of 0.78, and above the 200-day MA of 0.90, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 53.69 is Neutral, neither overbought nor oversold. The STOCH value of 42.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:GLO.

Global Atomic Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TSGEO
78
Outperform
C$164.13M9.2010.72%27.28%
TSFAR
68
Neutral
C$159.78M5.6624.45%3.70%-22.18%-32.05%
TSGLO
67
Neutral
C$283.44M255.560.63%5.30%
TSGMA
55
Neutral
C$21.51M-65.04%-89.84%-16.41%
51
Neutral
$2.04B-1.15-21.37%3.64%2.88%-30.57%
TSCVV
45
Neutral
C$150.76M-55.96%19.32%
TSLAM
38
Underperform
C$173.63M-5.14%-29.27%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:GLO
Global Atomic
0.92
-1.09
-54.23%
TSE:LAM
Laramide Resources
0.62
-0.11
-15.07%
TSE:CVV
CanAlaska Uranium
0.81
0.23
39.66%
TSE:GEO
Geodrill
3.48
1.36
64.15%
TSE:GMA
Geomega Resources
0.15
0.03
25.00%
TSE:FAR
Foraco International
1.62
-0.92
-36.22%

Global Atomic Corporate Events

Private Placements and FinancingBusiness Operations and StrategyFinancial Disclosures
Global Atomic Reports Q1 2025 Progress and Financial Outlook
Positive
May 13, 2025

Global Atomic reported progress in the first quarter of 2025, highlighting advancements in the Dasa Uranium Project and a return to profitability for its Turkish zinc joint venture. The company is actively pursuing financing options to support the Dasa Project, including a potential debt facility with a U.S. Development Bank and discussions for non-equity investments. Despite fluctuations in uranium prices, the company remains optimistic about the long-term market outlook due to increasing global demand for nuclear energy. The Turkish joint venture is expected to perform well as steel mill activity rebounds, providing better access to raw materials.

The most recent analyst rating on (TSE:GLO) stock is a Hold with a C$1.10 price target. To see the full list of analyst forecasts on Global Atomic stock, see the TSE:GLO Stock Forecast page.

Private Placements and FinancingBusiness Operations and Strategy
Global Atomic Advances Financing for Dasa Uranium Project
Positive
Apr 28, 2025

Global Atomic Corporation has provided an update on the financing of its Dasa Uranium Project in Niger. The company is in discussions for a non-equity investment and has engaged with key suppliers interested in investing in the project. This approach could negate the need for near-term equity financing, allowing time for the U.S. Development Bank’s debt facility approval and potential joint venture financing. The company aims to finalize project financing without returning to the equity market soon, ensuring favorable terms for its shareholders.

Private Placements and FinancingBusiness Operations and StrategyFinancial Disclosures
Global Atomic Reports 2024 Results and Advances Dasa Project Financing
Positive
Mar 27, 2025

Global Atomic Corporation announced its 2024 financial results, highlighting significant progress in the development of the Dasa Uranium Project. The company is actively pursuing financing options, including a debt facility with a U.S. Development Bank and potential joint venture partnerships, to cover the remaining capital costs. Despite logistical challenges, the project’s capital costs have only slightly increased, and the company is managing expenditures to avoid interim financing. The uranium market has seen fluctuating spot prices but steady long-term contract prices, with a positive outlook for future demand.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.