Lara Exploration (LRA) AI Stock Analysis

• Market Cap: C$150.61M
• Dividend Yield: N/A
• Average Volume (3M): 9.96K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.21
• Revenue Growth: N/A
• EPS Growth: -1816.67%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.01
• Shares Outstanding: 50,541,320
• 10 Day Avg. Volume: 12,696
• 30 Day Avg. Volume: 9,964
• PEG Ratio: 0.86
• Price to Book (P/B): 7.32
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -18.55
• 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$3.00 ▲(20.00% Upside)

The score is held back primarily by weak financial performance (recurring losses and significant cash burn), with only the debt-free balance sheet as a major offset. Technicals are mixed-to-weak (negative MACD and price below short-term averages). Corporate events provide some support due to positive Planalto project updates and expansion, while valuation is difficult to assess given the negative P/E and no dividend yield.

Positive Factors

Debt-free Balance Sheet

A zero-debt balance sheet meaningfully lowers refinancing and solvency risk, giving Lara flexibility to fund exploration via equity or partner deals. Over months this cushioning supports continued project advancement despite operating losses and reduces near-term liquidity pressure.

Partner-led, Asset-monetization Model

Lara’s business model focuses on advancing assets via options, JVs, farm-outs and royalties, which is capital efficient. Reliance on partner-funded exploration preserves cash and lets the company progress projects and de-risk assets without becoming a capital-intensive operator.

Planalto PEA & License Expansion

A filed PEA and expanded license area are structural advances that formalize project economics and increase resource optionality. These developments materially enhance the project’s attractiveness to partners or acquirers and improve medium-term chances of monetization.

Negative Factors

Recurring Net Losses

Consistent multi-year net losses erode equity value and limit internal funding for exploration. Without sustained profitability or partner funding, ongoing losses increase dilution risk and weaken the company’s ability to independently advance projects over the next several months.

Negative Operating & Free Cash Flow

Material negative OCF and FCF (~-3.2M TTM) create persistent funding needs that force reliance on equity raises or farm-outs. This constrains the company’s optionality and negotiating leverage with partners and risks dilution if capital markets or deal activity slow.

Loss of Strategic Option (Minsur)

A partner relinquishing an option represents a tangible setback to pipeline and third-party validation. It reduces near-term external funding prospects for that asset and may force Lara to spend cash or seek new partners, delaying project timelines and potential monetization.

Lara Exploration Business Overview & Revenue Model

Company Description

Lara Exploration Ltd. engages in the acquisition, exploration, and development of mineral properties in South America. The company explores for copper, gold, iron, phosphate, titanium, vanadium, and zinc deposits. Its flagship property is the Planalto copper project, in which the company has an option to acquire 100% interest located in the Carajás Mineral Province of northern Brazil. Lara Exploration Ltd. was incorporated in 2003 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Lara Exploration generates revenue primarily through joint ventures, option agreements, and sales of exploration projects. The company collaborates with larger mining companies and investors to co-develop projects, allowing it to benefit from shared exploration costs and expertise. These partnerships often result in milestone payments and royalties as the projects reach specific stages of development or production. Additionally, Lara Exploration may sell its stakes in projects once they reach a certain level of maturity, generating capital from these transactions to reinvest in new opportunities.

Lara Exploration Financial Statement Overview

Summary

Overall financial quality is weak: the income statement reflects recurring losses and deeply negative TTM profitability, and cash flow shows meaningful ongoing cash burn. The main offset is a debt-free balance sheet, which reduces solvency risk but does not offset persistent losses and negative operating/free cash flow.

Income Statement

TTM (Trailing-Twelve-Months) shows modest revenue (about 0.65M) but deeply negative profitability, with gross profit and net income both materially negative (net loss about 3.4M) and very weak margins. Annual results also show recurring losses across most years (despite a one-off profitable 2021), suggesting the business has not yet demonstrated a stable earnings engine and remains highly sensitive to spending levels versus limited revenue generation.

Balance Sheet

The balance sheet is conservatively levered with zero debt across the periods provided, which meaningfully reduces financial risk and refinancing pressure. However, equity and returns have been volatile and recently weak (TTM return on equity is substantially negative), indicating continued erosion risk if losses persist, even with a solid equity base versus total assets.

Cash Flow

Cash generation is currently a key weakness: TTM (Trailing-Twelve-Months) operating cash flow and free cash flow are both meaningfully negative (about -3.2M), consistent with the ongoing net losses. While free cash flow growth improved versus the prior period in the TTM data, the multi-year pattern is predominantly cash burn (with only a small positive year in 2021), implying continued funding needs unless spending is reduced or revenues scale.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	647.72K	0.00	0.00	0.00	0.00	0.00
Gross Profit	-1.46M	-5.55K	-76.60K	-461.00K	-537.00K	-309.00K
EBITDA	-3.32M	-1.11M	-2.99M	-318.00K	2.32M	-920.00K
Net Income	-3.42M	-1.16M	-3.02M	-345.00K	2.41M	-981.00K
Balance Sheet
Total Assets	7.15M	8.60M	6.20M	8.56M	5.81M	2.23M
Cash, Cash Equivalents and Short-Term Investments	3.54M	5.14M	1.04M	3.28M	1.94M	1.61M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	266.12K	109.09K	208.25K	594.30K	1.48M	318.38K
Stockholders Equity	6.88M	8.49M	5.99M	7.96M	4.34M	1.91M
Cash Flow
Free Cash Flow	-3.22M	-3.35M	-2.26M	-2.72M	42.62K	-740.18K
Operating Cash Flow	-3.22M	-1.85M	-2.26M	-2.70M	97.84K	-562.18K
Investing Cash Flow	1.50M	2.54M	15.12K	-18.23K	213.72K	-210.87K
Financing Cash Flow	3.69M	3.43M	0.00	3.97M	0.00	227.50K

Lara Exploration Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.50
• 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:LRA, the sentiment is Positive. The current price of 2.5 is below the 20-day moving average (MA) of 2.54, below the 50-day MA of 2.55, and above the 200-day MA of 2.23, indicating a bullish trend. The MACD of 0.07 indicates Negative momentum. The RSI at 70.00 is Neutral, neither overbought nor oversold. The STOCH value of 98.19 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:LRA.

Lara Exploration 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%
OCO	60 Neutral	C$230.55M	-56.10	-3.75%	―	―	29.51%
PML	50 Neutral	C$122.79M	-50.60	-4.35%	―	―	-45.61%
ANDC	49 Neutral	C$181.86M	-28.35	-9.75%	―	―	85.71%
CCCM	49 Neutral	C$114.87M	-36.36	-4.33%	―	―	10.13%
LRA	48 Neutral	C$150.61M	-42.90	-50.05%	―	―	-1816.67%
HAN	48 Neutral	C$113.61M	-61.59	-21.16%	―	―	56.70%

Lara Exploration Corporate Events

Lara Exploration Sees 3km Expansion Potential at Planalto via Atlantica Copper Results

Lara Exploration has reported new exploration results from the recently acquired Atlantica license, adjacent to its Planalto Project in northern Brazil, indicating potential to extend the known Planalto copper mineralization by approximately 3km along strike to the southeast. Relogging and resampling of historical Atlantica drill core, combined with a 2025 soil survey, have defined three northwest-southeast copper-anomalous zones and revealed previously underappreciated oxide copper intersections, including 35.8m at 0.35% Cu and 17.0m at 0.25% Cu from surface or near-surface in two holes, as well as multiple sulfide intervals comparable in style to Planalto. These results, which reframe the exploration potential of Atlantica and highlight untested high-priority drill targets down dip and along the granite-volcanic contact, support the strategic rationale of the acquisition and could materially expand the resource base and project scale if follow-up drilling, planned for late Q1 2026, confirms continuity of mineralization, offering potential upside for the company’s copper portfolio and its positioning in the Carajás district.

The most recent analyst rating on (TSE:LRA) stock is a Hold with a C$2.50 price target. To see the full list of analyst forecasts on Lara Exploration stock, see the TSE:LRA Stock Forecast page.

Lara Exploration Completes Acquisition of Atlantica License to Expand Planalto Project

Lara Exploration Ltd. has successfully closed a purchase and sale agreement with Atlantica do Brasil Mineração Ltda., acquiring an exploration license adjacent to its Planalto Copper-Gold Project in Brazil. This acquisition is expected to enhance Lara’s resource base, with commitments to drill 2,000 meters and prepare a NI-43-101-compliant Technical Report by 2027. The agreement includes staged success fee payments based on exploration results, and Atlantica will receive a net smelter return royalty on production from the license.

Lara Exploration Files PEA for Planalto Copper-Gold Project in Brazil

Lara Exploration Ltd. has announced the filing of a Preliminary Economic Assessment (PEA) for its Planalto Copper-Gold Project in Brazil. The assessment highlights an estimated production of 560 kt of copper and 111 koz of gold over an 18-year life of mine, with significant infrastructure advantages and potential for further project optimization. The project boasts a strong after-tax net present value of $378 million and an internal rate of return of 21%, supported by favorable regional infrastructure and regulatory conditions.

Minsur Relinquishes Option on Lara’s Copper Project in Peru

Lara Exploration Ltd. announced that Minsur S.A. has decided to relinquish its option to acquire Lara’s 45%-owned Copper Project in southern Peru. This project includes a copper-molybdenum porphyry deposit with significant drilling results. The decision by Minsur may impact Lara’s operations and strategic positioning in the region, as the company will need to explore alternative partnerships or strategies to advance the project.