Lara Exploration (LRA) AI Stock Analysis

• Market Cap: C$121.80M
• Dividend Yield: N/A
• Average Volume (3M): 9.96K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.55
• 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$2.50 ▲(0.00% 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.

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

Lara Exploration faces significant financial challenges, with no revenue generation and persistent losses impacting its income statement. While the balance sheet remains strong with no debt, cash flow issues due to negative operating cash flows highlight the need for external funding. The company's financial health is concerning, requiring strategic adjustments to improve revenue and reduce operational losses.

Income Statement

Lara Exploration has reported no revenue over the past years, indicating operational challenges typical for mining exploration companies. The company consistently reports negative net income and EBIT, suggesting ongoing unprofitability and financial strain. The absence of revenue growth and negative profit margins paint a concerning picture for the income statement.

Balance Sheet

The company's balance sheet shows a strong equity position with no debt, resulting in a favorable debt-to-equity ratio of 0. The equity ratio is also high, indicating that assets are primarily funded by equity. However, total assets have decreased over time, which may pose future liquidity risks.

Cash Flow

Cash flow analysis reveals a negative operating and free cash flow, suggesting cash consumption in operations. Despite a positive financing cash flow in some years, the company struggles with consistent negative free cash flow, indicating dependency on external financing for operations.

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: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 above the 20-day moving average (MA) of 2.49, below the 50-day MA of 2.53, and above the 200-day MA of 2.14, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 50.26 is Neutral, neither overbought nor oversold. The STOCH value of 48.74 is Neutral, 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	53 Neutral	C$110.51M	-50.39	-3.75%	―	―	29.51%
ANDC	50 Neutral	C$148.28M	-24.14	-9.75%	―	―	85.71%
HAN	50 Neutral	C$127.75M	-43.30	-21.16%	―	―	56.70%
LRA	48 Neutral	C$121.80M	-36.23	-50.05%	―	―	-1816.67%
CCCM	48 Neutral	C$121.86M	-40.75	-4.33%	―	―	10.13%
PML	46 Neutral	C$130.98M	-56.63	-4.35%	―	―	-45.61%

Lara Exploration Corporate Events

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.

Lara Exploration Unveils Promising PEA Results for Planalto Project

Lara Exploration Ltd. has announced the results of a Preliminary Economic Assessment for its Planalto Copper-Gold Project in Brazil, highlighting an estimated production of 560 kt of copper and 111 koz of gold over an 18-year mine life. The project benefits from excellent infrastructure and a supportive regulatory environment, with an after-tax NPV of $378 million and an IRR of 21%, positioning it favorably in the market amid growing copper demand driven by digitalization and energy transition trends.

Lara Exploration Expands Planalto Project with New License Acquisition

Lara Exploration Ltd. has signed a purchase and sale agreement with Atlantica do Brasil Mineração Ltda. to acquire an exploration license adjacent to its Planalto Copper-Gold Project in northern Brazil. This acquisition aims to expand Lara’s Silica Cap resource, with commitments to drill 2,000 meters and prepare a compliant Technical Report by 2027. The agreement includes staged payments based on exploration success, with a minimum payment of US$500,000 due by 2027, and a net smelter return royalty for Atlantica and an underlying vendor.