MegaWatt Lithium and Battery Metals (MEGA) AI Stock Analysis

• Market Cap: $558.76K
• Dividend Yield: N/A
• Average Volume (3M): 27.24K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.64
• Revenue Growth: N/A
• EPS Growth: 10.75%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.08
• Shares Outstanding: 37,250,400
• 10 Day Avg. Volume: 15,368
• 30 Day Avg. Volume: 27,238
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.52
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: -0.46
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 35 Underperform
• Price Target: ―

MegaWatt Lithium and Battery Metals' overall stock score is low due to significant financial performance challenges, including a lack of revenue and persistent negative cash flows. While technical analysis shows some short-term strength, the valuation remains unattractive due to negative earnings and no dividend yield. The company's financial instability is the primary factor affecting its score.

MegaWatt Lithium and Battery Metals Business Overview & Revenue Model

Company Description

MegaWatt Lithium and Battery Metals Corp. engages in the acquisition, exploration, and development of mineral properties in Canada and Australia. It holds a 100% interest in the Route 381 Lithium property that consists of 40 mineral claims covering an area of approximately 2,126 hectares located in James Bay Territory in the Province of Quebec. The company also holds interest in the Tyr silver project and Century South silver-zinc project located in Australia. In addition, it holds an option to acquire a 100% interest in the Cobalt Hill property that consists of eight mineral claims covering an area of approximately 1,727.43 hectares located in the Trail Creek Mining division in British Columbia. The company was formerly known as Walcott Resources Ltd. and changed its name to MegaWatt Lithium and Battery Metals Corp. in February 2021. MegaWatt Lithium and Battery Metals Corp. was incorporated in 2017 and is based in Vancouver, Canada.

How the Company Makes Money

MEGA makes money through the exploration, development, and eventual production and sale of lithium and battery metals. The company's revenue model is primarily based on the sale of these mined resources to manufacturers and producers in the electric vehicle and electronics industries. Key revenue streams include the sale of raw materials such as lithium and other battery metals extracted from their mining operations. Additionally, MEGA may engage in strategic partnerships or joint ventures with other mining companies or technology firms to enhance its resource extraction capabilities and market reach. These partnerships can provide additional revenue through shared profits or royalties from collaborative projects.

MegaWatt Lithium and Battery Metals Financial Statement Overview

Summary

MegaWatt Lithium and Battery Metals is facing significant financial challenges. The lack of revenue, increasing losses, and negative cash flows are concerning. While the debt level is low, the declining equity and persistent negative cash flows reflect financial instability. Strategic improvements are necessary to enhance revenue generation and operational efficiency.

Income Statement

MegaWatt Lithium and Battery Metals has reported zero revenue in the TTM (Trailing-Twelve-Months) and past years, indicating no sales activity. This is concerning for growth prospects, especially with increasing net losses over time. EBIT and EBITDA margins are negative due to operational losses, highlighting significant operational inefficiencies.

Balance Sheet

The company maintains a relatively low level of debt, which is positive, reflected in a low debt-to-equity ratio. However, the stockholders' equity has decreased significantly in recent periods, suggesting potential financial instability. The equity ratio is reasonably high, which indicates the company is primarily financed through equity rather than debt.

Cash Flow

Operating cash flow is consistently negative, indicating challenges in generating cash from core operations. Free cash flow is also negative, suggesting the company is not generating excess cash after accounting for capital expenditures. The cash flow to net income ratios are not favorable, highlighting cash flow management issues.

Breakdown	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	0.00
EBITDA	-1.98M	-508.99K	-1.72M	-2.92M	-670.35K
Net Income	-1.98M	-1.09M	-12.29M	-14.60M	-670.35K
Balance Sheet
Total Assets	4.28M	1.64M	2.86M	14.97M	3.08M
Cash, Cash Equivalents and Short-Term Investments	46.43K	36.72K	762.79K	495.19K	2.79M
Total Debt	83.88K	0.00	0.00	0.00	0.00
Total Liabilities	1.12M	477.06K	701.64K	148.61K	109.13K
Stockholders Equity	3.16M	28.97M	28.68M	10.49M	2.97M
Cash Flow
Free Cash Flow	-946.07K	-600.59K	-1.45M	-2.49M	-442.80K
Operating Cash Flow	-946.07K	-600.59K	-1.45M	-2.17M	-427.80K
Investing Cash Flow	-72.74K	-125.49K	-137.21K	-990.45K	-23.74K
Financing Cash Flow	1.03M	0.00	1.86M	863.61K	3.06M

MegaWatt Lithium and Battery Metals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MEGA, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and above the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 47.08 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:MEGA.

MegaWatt Lithium and Battery Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGML	50 Neutral	C$1.09B	-16.66	-47.88%	―	-25.68%	-637.02%
AVL	49 Neutral	C$25.51M	-3.92	-0.50%	―	―	-10100.00%
LAC	49 Neutral	C$2.14B	-26.36	―	―	―	―
CRE	41 Neutral	C$108.92M	-89.29	―	―	―	-152.83%
LITH	41 Neutral	C$97.19M	56.63	―	―	―	-69.60%
MEGA	35 Underperform	$558.76K	―	-234.41%	―	―	10.75%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

MegaWatt Lithium and Battery Metals Corporate Events

MegaWatt Settles Debt Through Share Issuance

MegaWatt Lithium and Battery Metals Corp. has announced the settlement of a debt by issuing 766,667 common shares at a price of $0.015 per share to an arm’s length creditor, totaling $11,500. This move is part of the company’s financial strategy to manage its obligations and may impact its financial standing and stakeholder interests, with the shares subject to a statutory hold period until June 21, 2025.

MegaWatt Lithium Settles Debt with Share Issuance

MegaWatt Lithium and Battery Metals Corp. has announced a debt settlement agreement with a creditor, which involves issuing 766,667 common shares at $0.015 per share to settle a debt of $11,500 for market making services. This move is subject to necessary approvals and includes a statutory hold period on the shares, reflecting MegaWatt’s strategic financial management and commitment to maintaining operational stability while navigating the mineral exploration industry.