K92 Mining (KNT) AI Stock Analysis

• Market Cap: C$6.22B
• Dividend Yield: N/A
• Average Volume (3M): 1.30M
• Price to Earnings (P/E): 17.5
• Beta (1Y): 1.38
• Revenue Growth: 81.13%
• EPS Growth: 234.33%
• Country: CA
• Employees: 1,650
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): 0.48
• Shares Outstanding: 243,373,110
• 10 Day Avg. Volume: 1,172,881
• 30 Day Avg. Volume: 1,298,065
• PEG Ratio: 0.05
• Price to Book (P/B): 3.00
• Price to Sales (P/S): 4.06
• P/FCF Ratio: 56.39
• 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: C$31.57
• Price Target Upside: 23.51% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: C$29.00 ▲(13.46% Upside)

K92 Mining's strong financial performance and positive earnings call sentiment are the primary drivers of its score. The company's robust revenue growth and operational efficiency, coupled with strategic expansions, position it well for future growth. However, technical indicators suggest caution due to overbought conditions, and the lack of a dividend yield may limit its appeal to certain investors.

Positive Factors

Record revenue and high margins

K92's recent record revenue and very high gross margin indicate durable operational strength. Sustained top-line growth and strong profitability support internal cash generation, enable reinvestment in expansion and exploration, and provide resilience to commodity price volatility over the medium term.

Strong balance sheet and low leverage

A conservatively leveraged balance sheet with a very low debt-to-equity ratio and a high equity base reduces refinancing and solvency risk. This financial flexibility helps fund the Stage 3 ramp-up and ongoing exploration without forcing near-term external financing, supporting stability through cycles.

Stage 3 Expansion increases capacity

The commissioning of the Stage 3 process plant is a structural production step-change. Achieving ~300k ozpa would create economies of scale, lower unit costs over time and materially boost recurring cash generation, underpinning longer-term growth and funding for exploration and development.

Negative Factors

Declining free cash flow growth

A steep decline in free cash flow growth indicates weaker conversion of earnings into spendable cash. Persisting negative FCF can constrain capital allocation, force reliance on cash reserves or debt for sustaining/growth capex, and reduce financial flexibility during the expansion ramp.

Elevated all-in sustaining costs (AISC)

Higher AISC tied to expansion activity compresses cash margins and profitability during the construction and ramp phases. If elevated AISC persists until full production benefits are realized, it will delay the timeline for improved unit economics and durable free cash flow expansion.

Single-jurisdiction operational concentration

Concentration of operations in Papua New Guinea creates structural geopolitical and operational risk. Single-jurisdiction exposure raises vulnerability to regulatory, fiscal, permitting, infrastructure and security disruptions, which could materially affect production continuity and long-term cash generation.

K92 Mining Business Overview & Revenue Model

Company Description

K92 Mining Inc. engages in the mining, exploration, and development of mineral deposits in Papua New Guinea. The company produces gold, copper, and silver. Its principal property is the Kainantu property that covers an area of 862 square kilometers located in the Eastern Highlands province of Papua New Guinea. The company is headquartered in Vancouver, Canada.

How the Company Makes Money

K92 Mining generates revenue primarily through the sale of gold and silver produced at its Kainantu Gold Mine. The company's revenue model is based on mining operations, where it extracts ore containing gold and silver, processes it to recover the precious metals, and then sells these metals on the global market. Key revenue streams include the sale of concentrate and dore bars, which contain gold and silver. Additionally, K92 Mining may benefit from any price appreciation in gold and silver, as well as potential partnerships with other mining companies or stakeholders that could enhance its operational efficiencies or expand its market reach. Factors contributing to its earnings include the mine's production capacity, operational costs, and fluctuating commodity prices.

K92 Mining Financial Statement Overview

Summary

K92 Mining shows strong financial health with impressive revenue growth and profitability metrics, supported by a solid balance sheet with low leverage. However, the decline in free cash flow growth warrants attention, as it may affect future investment capabilities.

Income Statement

K92 Mining demonstrates strong revenue growth with a 25.16% increase in TTM, indicating robust demand and operational efficiency. The company maintains high profitability with a gross profit margin of 71.03% and a net profit margin of 43.69%, reflecting effective cost management and strong pricing power. EBIT and EBITDA margins are also impressive at 62.85% and 68.76%, respectively, showcasing operational efficiency. However, the reliance on high margins could pose a risk if market conditions change.

Balance Sheet

The balance sheet is solid with a low debt-to-equity ratio of 0.075, indicating conservative leverage and financial stability. The return on equity is strong at 41.55%, suggesting efficient use of equity capital. The equity ratio stands at 79.92%, highlighting a strong equity base relative to total assets. While the low leverage minimizes financial risk, it may limit growth opportunities if not managed strategically.

Cash Flow

Operating cash flow is robust with a coverage ratio of 2.75, indicating strong cash generation relative to net income. However, free cash flow growth is negative at -42.44%, which could signal potential challenges in sustaining cash reserves or investing in future growth. The free cash flow to net income ratio of 0.25 suggests limited free cash flow relative to net income, which may impact future capital allocation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	605.77M	350.62M	200.25M	188.19M	154.33M	159.13M
Gross Profit	439.83M	208.21M	88.87M	91.91M	71.03M	85.70M
EBITDA	385.05M	198.40M	86.45M	83.33M	62.18M	79.41M
Net Income	282.96M	111.22M	33.16M	35.52M	27.24M	42.03M
Balance Sheet
Total Assets	1.20B	628.27M	412.83M	370.71M	273.02M	215.51M
Cash, Cash Equivalents and Short-Term Investments	258.00M	141.29M	79.11M	109.94M	71.27M	51.49M
Total Debt	59.93M	39.53M	4.76M	10.10M	14.10M	7.44M
Total Liabilities	240.74M	153.53M	61.94M	61.41M	47.89M	34.00M
Stockholders Equity	958.25M	474.74M	350.89M	309.31M	225.14M	181.51M
Cash Flow
Free Cash Flow	36.12M	25.27M	-27.84M	1.40M	21.40M	34.91M
Operating Cash Flow	266.11M	185.09M	74.43M	73.13M	61.22M	64.82M
Investing Cash Flow	-208.04M	-174.47M	-108.67M	-71.73M	-39.81M	-29.91M
Financing Cash Flow	9.47M	60.65M	-3.50M	39.41M	-1.71M	-5.09M

K92 Mining Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 25.56
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:KNT, the sentiment is Neutral. The current price of 25.56 is below the 20-day moving average (MA) of 26.24, above the 50-day MA of 23.33, and above the 200-day MA of 17.58, indicating a neutral trend. The MACD of 1.30 indicates Positive momentum. The RSI at 49.45 is Neutral, neither overbought nor oversold. The STOCH value of 44.40 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:KNT.

K92 Mining Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TXG	77 Outperform	$6.27B	13.66	17.29%	―	5.33%	143.67%
KNT	74 Outperform	C$6.22B	17.53	46.21%	―	81.13%	234.33%
SSRM	69 Neutral	$6.30B	21.91	6.84%	―	33.74%	―
OLA	62 Neutral	C$6.98B	95.76	9.79%	―	151.45%	1224.07%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SEA	52 Neutral	$4.02B	-72.29	-5.19%	―	―	-267.06%
NG	50 Neutral	$4.83B	-32.67	-162.67%	―	―	-92.71%

K92 Mining Corporate Events

K92 Mining Targets Higher 2026 Output with Major Expansion and Record Exploration Spend

K92 Mining has released its 2026 operational guidance, projecting a substantial increase in gold-equivalent output to 190,000–225,000 ounces, up from a record 174,134 ounces in 2025, supported by the ramp-up of new mining fronts and completion of key infrastructure projects, including ventilation, power, haulage, and pastefill plant upgrades. The company is also committing to a record US$31–35 million exploration program and US$100–108 million in growth capital, bringing forward several Stage 4 expansion initiatives and infrastructure improvements, underpinned by a strong balance sheet and record net cash at year-end 2025, positioning K92 for lower costs, higher production and enhanced long-term capacity at its Kainantu operation.

The most recent analyst rating on (TSE:KNT) stock is a Buy with a C$32.00 price target. To see the full list of analyst forecasts on K92 Mining stock, see the TSE:KNT Stock Forecast page.

K92 Mining Hits Record Annual Output and Completes Stage 3 Plant Commissioning at Kainantu

K92 Mining reported strong fourth-quarter 2025 results from its Kainantu Gold Mine, with production of 47,178 gold-equivalent ounces and record annual output of 174,134 gold-equivalent ounces, hitting the upper end of its 2025 guidance and marking a 16% increase over 2024. The company achieved record ore processed and mined, strong metallurgical recoveries that met or exceeded definitive feasibility study parameters, and completed commissioning of its new 1.2 million tonne-per-annum Stage 3 Expansion process plant, which is already running at design throughput. Record mine development and progress on key pastefill and tailings infrastructure suggest K92 is enhancing its long-term mining capacity and operational flexibility, positioning the operation for sustained higher production levels and supporting future growth for stakeholders.

The most recent analyst rating on (TSE:KNT) stock is a Buy with a C$26.00 price target. To see the full list of analyst forecasts on K92 Mining stock, see the TSE:KNT Stock Forecast page.