Grounded Lithium (GRD) AI Stock Analysis

• Market Cap: C$5.06M
• Dividend Yield: N/A
• Average Volume (3M): 153.52K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.22
• Revenue Growth: N/A
• EPS Growth: 82.88%
• Country: CA
• Employees: 1,885
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 72,270,940
• 10 Day Avg. Volume: 233,305
• 30 Day Avg. Volume: 153,518
• PEG Ratio: 0.04
• Price to Book (P/B): 1.45
• Price to Sales (P/S): 289.94
• P/FCF Ratio: -4.33
• 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: 48 Neutral
• Price Target: C$0.07 ▼(-31.00% Downside)

The score is primarily held down by weak financial performance (minimal/declining revenue, persistent losses, and ongoing cash burn) and a negative P/E with no dividend support. These are partly offset by a low-leverage balance sheet and improved cash burn, and by constructive technicals with the price above major moving averages and moderate momentum.

Positive Factors

Low leverage / strong equity base

A minimal-debt balance sheet and a positive equity base reduce financial distress risk and preserve financing optionality for a junior explorer. This structural strength lowers fixed financing costs, supports continued project funding flexibility, and lengthens the company's runway to advance assets before needing costly debt.

Improved cash burn trajectory

Material improvement in operating cash outflows suggests better expense control or scaled-back activity, extending near-term runway. Sustained lower cash burn increases the chance management can economically progress exploration, reducing immediate dilution pressure and improving odds of reaching value-accretive milestones.

Flexible monetization pathways for assets

The company's asset-centric model permits multiple, durable exit routes—direct production, JV/farm-outs, or royalties—offering strategic optionality. This structural flexibility enables management to choose capital-efficient paths to commercialize brine resources depending on market conditions and partner interest.

Negative Factors

Pre-revenue business reliant on financing

Being pre-revenue means the company cannot self-fund development and is structurally dependent on external capital. Ongoing equity financing to cover exploration and G&A risks meaningful dilution, which can erode shareholder value and constrain long-term returns unless milestones materially de-risk the assets.

Consistent negative cash generation

Persistent negative operating and free cash flows indicate the firm cannot internally finance exploration or development. This structural cash burn magnifies reliance on capital markets and creates execution risk: if funding access tightens, project timelines and the ability to retain talent or partners could be impaired.

Sustained losses and minimal revenue

The company remains structurally unprofitable with declining, negligible revenue and very negative margins. Continued losses depress returns on equity and risk ongoing dilution. Until exploration converts to economic resources or asset sales/JVs occur, profitability remains a distant outcome and value realization is uncertain.

Grounded Lithium Business Overview & Revenue Model

Company Description

Grounded Lithium Corp. acquires, explores, and develops minerals properties in Canada. It explores for lithium brine. The company was incorporated in 2020 and is headquartered in Calgary, Canada.

How the Company Makes Money

Grounded Lithium makes money through the exploration, extraction, and sale of lithium resources. The company's revenue model is centered on identifying and developing lithium-rich brine deposits, which are then processed into lithium carbonate or lithium hydroxide suitable for battery production. Key revenue streams include the sale of these processed lithium products to battery manufacturers, electric vehicle companies, and technology firms. Additionally, the company may engage in strategic partnerships or joint ventures with other mining companies, technology firms, or investors to enhance its extraction technologies, expand its operational capabilities, and increase its market reach. These collaborations can provide significant funding and resource-sharing opportunities, contributing to Grounded Lithium's earnings.

Grounded Lithium Financial Statement Overview

Summary

Financials are weak overall: revenue is very small and declined in 2024 (~-25% YoY), net losses persist with extremely negative margins, and operating/free cash flow remain negative (continued cash burn). Offsetting this, leverage is minimal (2024 debt at 0) and cash burn improved materially versus 2023, providing some balance-sheet flexibility despite dilution risk from ongoing losses.

Income Statement

Revenue remains very small and has declined in the most recent year (2024 revenue down ~25% vs. 2023). Profitability is weak: net losses persist across all reported years, with extremely negative net margins (2024 around -99.8% and even worse in prior years). A notable positive is that 2024 shows a sharp improvement versus 2022–2023 loss levels, but the business is still far from operating at scale and remains structurally unprofitable on the income statement.

Balance Sheet

Leverage is low, with minimal-to-zero debt in recent years (2024 debt is 0; 2023 debt-to-equity ~0.02; 2022 ~0.03), which reduces financial risk and provides flexibility. Equity is positive and sizable in 2021–2024, supporting the asset base. The key weakness is ongoing losses driving poor returns on equity (ROE negative every year since 2021, including ~-50% in 2024), signaling value dilution risk if losses continue.

Cash Flow

Cash generation is consistently negative: operating cash flow and free cash flow are both negative every year shown, including 2024 operating cash flow of about -$0.72M and free cash flow about -$0.72M. The cash burn improved materially from 2023 (operating cash flow about -$3.06M), but free cash flow growth in 2024 is still negative (down ~27.5%). Overall, the company remains dependent on external funding to sustain operations and development.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	16.70K	10.76K	16.18K	19.25K	0.00	0.00
Gross Profit	7.29K	10.76K	-89.50K	-152.98K	-35.74K	0.00
EBITDA	-386.44K	-1.01M	-4.07M	-6.64M	-156.02K	-80.84K
Net Income	-397.45K	-1.07M	-4.19M	-6.98M	-376.61K	-84.14K
Balance Sheet
Total Assets	2.58M	2.91M	3.36M	6.03M	2.49M	5.04K
Cash, Cash Equivalents and Short-Term Investments	277.21K	244.97K	193.01K	2.91M	2.33M	3.03K
Total Debt	0.00	0.00	56.36K	160.40K	0.00	55.00K
Total Liabilities	408.44K	763.88K	483.05K	870.67K	144.86K	357.56K
Stockholders Equity	2.17M	2.15M	2.87M	5.16M	2.35M	-352.53K
Cash Flow
Free Cash Flow	-217.75K	-720.31K	-3.26M	-3.87M	-352.91K	-64.30K
Operating Cash Flow	-217.74K	-720.31K	-3.06M	-3.83M	-185.00K	-64.30K
Investing Cash Flow	216.34K	730.43K	1.94M	-4.48M	-159.49K	5.00K
Financing Cash Flow	0.00	-57.39K	651.47K	6.67M	2.67M	55.00K

Grounded Lithium Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.10
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GRD, the sentiment is Neutral. The current price of 0.1 is above the 20-day moving average (MA) of 0.09, above the 50-day MA of 0.07, and above the 200-day MA of 0.06, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 40.36 is Neutral, neither overbought nor oversold. The STOCH value of 14.81 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:GRD.

Grounded Lithium 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%
PE	52 Neutral	C$10.19M	-71.43	-1.16%	―	2.42%	85.00%
ILI	51 Neutral	C$10.22M	-33.33	-1.36%	―	―	-136.00%
GRD	48 Neutral	C$5.06M	-18.42	-13.76%	―	―	82.88%
VLI	47 Neutral	C$6.98M	-1.77	-22.75%	―	―	7.52%
NRM	47 Neutral	C$12.52M	-5.43	-41.21%	―	―	48.66%
AWCM	33 Underperform	C$15.78M	-7.53	-17.86%	―	―	92.11%

Grounded Lithium Corporate Events

Grounded Lithium Buys Minority Oil and Gas Interest to Bolster Cash Flow for Lithium Projects

Grounded Lithium has entered into a definitive agreement to acquire a 30% minority interest in oil and gas mineral rights on four sections of land in south-central Saskatchewan for approximately $25,000, in a related-party transaction with Analogy Capital Advisors, which retains a 40% working interest, while a third party holds the remaining 30%. Grounded and the third party will immediately farm out their combined 60% interest to a new limited partnership, Saskatchewan Renewal Drilling Limited Partnership #1, which has raised $900,000 and will fund up to two shallow Mannville wells, with Grounded operating the drilling and production and earning a small share of net operating income before payout and a larger share thereafter. Framed as a non-core, low-risk oil and gas venture, the move is designed to diversify Grounded’s resource portfolio and generate supplemental cash flow to strengthen working capital and potentially help fund its future obligations under the Kindersley Lithium Project joint venture, while the company emphasizes that its primary focus on critical minerals remains unchanged.

The most recent analyst rating on (TSE:GRD) stock is a Hold with a C$0.10 price target. To see the full list of analyst forecasts on Grounded Lithium stock, see the TSE:GRD Stock Forecast page.

Grounded Lithium Corp. Reports Q3 2025 Results and Advances Kindersley Project

Grounded Lithium Corp. reported its third-quarter financial results for 2025, showing a net comprehensive loss reduction compared to the previous year. The company, in collaboration with Denison Mines Corp, is advancing technical studies for the Kindersley Lithium Project, focusing on cost-effective lithium extraction technologies and optimized field configurations to maximize recovery and minimize environmental impact. The pre-feasibility study is expected to be completed in the first half of 2026, potentially enhancing GLC’s position in the lithium industry.