Gelum Resources Ltd. (GMR) AI Stock Analysis

• Market Cap: C$4.26M
• Dividend Yield: N/A
• Average Volume (3M): 6.78K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: N/A
• EPS Growth: 94.04%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 15,494,319
• 10 Day Avg. Volume: 7,600
• 30 Day Avg. Volume: 6,783
• PEG Ratio: 0.08
• Price to Book (P/B): -2.37
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -68.30
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: C$0.28 ▲(458.00% Upside)

The score is held down primarily by weak financial fundamentals (no revenue, ongoing losses, negative equity and funding risk). Technicals are a notable offset with strong trend support and positive momentum, while valuation remains constrained by loss-making operations and no dividend support.

Positive Factors

Improving cash burn

TTM cash burn has materially declined versus 2024 and 2023, reflecting tighter cost control. This lower absolute cash outflow extends operational runway, reduces near-term financing pressure, and improves the company's ability to execute strategy over the next several months.

Smaller net loss vs prior year

A substantial reduction in net loss signals operational stabilization and improved expense discipline. Persistently smaller losses reduce dilution and refinancing urgency, improving the firm's optionality to pursue exploration or development milestones over the medium term.

Exploration-stage operational leverage potential

As a pre-production gold explorer, successful resource advancement or a move to production would create high operating leverage: relatively small revenue increases could materially improve margins and cash flow, offering structural upside if exploration results progress.

Negative Factors

Negative equity and weak solvency

Negative shareholders' equity and a thin asset base materially constrain financial flexibility and increase default and refinancing risk. Over the coming months this weak solvency profile raises the likelihood of dilutive capital raises or restrictive financing terms.

No revenue; recurring operating losses

Absence of revenue means the company cannot self-fund operations, leaving performance reliant on external capital. Recurring losses limit ability to build reserves, increasing structural funding risk and constraining long-term strategic investments absent a change in operating model.

Ongoing negative cash flow requires financing

Despite improvement, persistent negative operating and free cash flow imply the company will need external funding to sustain operations. This sustains dilution and refinancing risk, potentially limiting execution flexibility and increasing financing costs over the medium term.

Gelum Resources Ltd. Business Overview & Revenue Model

Company Description

Gelum Resources Ltd. engages in the acquisition, exploration, and evaluation of mineral properties in Canada. The company holds a 100% interest in the Eldorado gold property that consists of approximately 9,028 hectares located in the Bralorne-Bridge River gold district in south-central British Columbia. It also holds an option agreement to acquire a 100% interest in the ML Copper-Gold property located in the south-central British Columbia, Cariboo Mining District; and option agreement to acquire interest in the Roxey claims. The company was formerly known as Gelum Capital Ltd. and changed its name to Gelum Resources Ltd. in September 2021. Gelum Resources Ltd. was incorporated in 1987 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Gelum Resources Ltd. makes money primarily through the exploration and development of mineral resources. The company generates revenue by discovering valuable mineral deposits and either selling the rights to these deposits to larger mining companies or entering into joint ventures to develop the mines. Additionally, Gelum Resources may earn income from the eventual extraction and sale of precious metals, such as gold and silver, from these mining operations. The company's earnings are influenced by factors including mineral prices, exploration success, operational efficiency, and strategic partnerships with other mining entities.

Gelum Resources Ltd. Financial Statement Overview

Summary

No revenue and continued losses indicate an early-stage/exploration profile. Although TTM losses and cash burn improved versus prior years, negative equity and a stressed solvency position materially increase funding/dilution risk.

Income Statement

Across both TTM (Trailing-Twelve-Months) and the annual periods provided, the company reports no revenue and recurring operating losses, indicating it remains in a pre-production/exploration phase with limited operating leverage. Losses appear smaller in the latest TTM (net loss of ~183k) versus the large loss in 2024 (net loss of ~3.1M), which is a positive directional shift, but profitability is still structurally weak given the absence of revenue and negative EBIT.

Balance Sheet

The balance sheet is stressed: stockholders’ equity is negative in the latest TTM and recent annual periods (e.g., ~-871k TTM), which reduces financial flexibility and increases refinancing/dilution risk. Debt is meaningful relative to the small asset base (TTM debt ~373k vs assets ~114k), and the negative equity makes leverage metrics difficult to interpret in a healthy way; overall solvency quality is weak despite some year-to-year movement in debt levels.

Cash Flow

Cash generation remains negative, with TTM (Trailing-Twelve-Months) operating cash flow of about -37.8k and free cash flow of about -35.9k, implying ongoing cash burn to sustain operations. A key positive is that cash burn is far lower than in prior years (e.g., 2024 operating cash flow about -158.8k and 2023 about -409.9k), suggesting improved cost control; however, the business is still not self-funding and will likely need external capital absent revenue.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	-6.34K	-15.58K
EBITDA	2.26K	-303.00K	-447.00K	-732.00K	-116.30K
Net Income	-256.81K	-3.07M	-683.00K	-765.00K	-165.63K
Balance Sheet
Total Assets	117.63K	168.47K	2.51M	1.97M	89.26K
Cash, Cash Equivalents and Short-Term Investments	2.61K	30.19K	12.41K	677.38K	4.80K
Total Debt	324.33K	300.31K	0.00	0.00	295.73K
Total Liabilities	913.02K	707.06K	142.96K	213.28K	402.30K
Stockholders Equity	-795.40K	-538.59K	2.37M	1.75M	-313.04K
Cash Flow
Free Cash Flow	-27.58K	-158.76K	-1.61M	-602.57K	-105.17K
Operating Cash Flow	-27.58K	-158.76K	-409.86K	-602.06K	-55.17K
Investing Cash Flow	0.00	-11.56K	-1.20M	-515.03K	-54.00K
Financing Cash Flow	0.00	188.10K	941.30K	1.79M	104.68K

Gelum Resources Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.05
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GMR, the sentiment is Positive. The current price of 0.05 is below the 20-day moving average (MA) of 0.19, below the 50-day MA of 0.14, and below the 200-day MA of 0.11, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 63.66 is Neutral, neither overbought nor oversold. The STOCH value of 84.18 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:GMR.

Gelum Resources Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
GMR	53 Neutral	C$4.26M	-17.63	―	―	―	94.04%
GRHK	52 Neutral	C$3.02M	-1.24	-213.10%	―	―	-110.45%
TGII	51 Neutral	C$1.83M	-16.00	-16.03%	―	―	77.68%
AVG	49 Neutral	C$1.55M	3.20	152.16%	―	―	-81.75%