Metal Energy Corp (MERG) AI Stock Analysis

• Market Cap: C$21.44M
• Dividend Yield: N/A
• Average Volume (3M): 302.21K
• Price to Earnings (P/E): ―
• Beta (1Y): 3.30
• Revenue Growth: N/A
• EPS Growth: -204.22%
• Country: CA
• Employees: N/A
• Sector: Energy
• Sector Strength: 52
• Industry: Industrial Materials
• EPS (TTM): <0.01
• Shares Outstanding: 27,848,843
• 10 Day Avg. Volume: 591,935
• 30 Day Avg. Volume: 302,212
• PEG Ratio: >-0.01
• Price to Book (P/B): -1.14
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.56
• 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: 53 Neutral
• Price Target: C$0.79 ▲(1.54% Upside)

The score is held down primarily by weak financial performance (no revenue, ongoing losses, negative equity, and persistent cash burn). This is partially offset by bullish technical momentum (price above key moving averages with positive MACD) and positive corporate developments (strategic financing and project-ownership progress), while valuation remains pressured due to negative earnings and no dividend support.

Positive Factors

Strategic Financing

The strategic financing from major industry players enhances Metal Energy's financial stability and supports its exploration initiatives, potentially leading to significant discoveries and strengthening its market position.

Project Ownership Consolidation

Consolidating ownership of the NIV project enhances control over a promising asset, aligning with strategic goals to strengthen its asset base and exploration potential, which could lead to long-term growth.

Strategic Partnerships

Partnerships with major mining companies like Teck Resources validate the quality of Metal Energy's projects and could attract further investment, enhancing its industry credibility and growth prospects.

Negative Factors

Negative Equity

Negative equity indicates a weakened financial position, increasing reliance on external funding and potential dilution, which could hinder long-term financial stability and shareholder value.

Cash Flow Challenges

Persistent negative cash flow highlights ongoing operational challenges and the need for continuous external funding, which may impact the company's ability to sustain operations without new capital.

No Revenue Generation

Lack of revenue generation suggests the company is not yet commercially operational, relying heavily on external funding and facing significant risk if exploration projects do not yield results.

Metal Energy Corp Business Overview & Revenue Model

Company Description

Metal Energy Corp. engages in the acquisition, mining, and exploration of mineral properties in Canada. The company explores for nickel and copper deposits, and platinum group elements. Its flagship project is the Manibridge project located in Manitoba on the Thompson Belt. The company is headquartered in Toronto, Canada.

How the Company Makes Money

Metal Energy Corp generates revenue primarily through the extraction and sale of metals and energy resources. The company's key revenue streams include the sale of raw and processed metals to industrial manufacturers and technology companies, as well as energy production and distribution. Significant partnerships with manufacturing and technology firms help secure long-term contracts and stable revenue. Additionally, Metal Energy Corp invests in sustainable mining practices and renewable energy projects, contributing to its earnings by tapping into the growing demand for environmentally responsible resources.

Metal Energy Corp Financial Statement Overview

Summary

Metal Energy Corp shows a challenging financial position with zero revenue, narrowing net losses, strong equity, and no debt. Persistent negative cash flows are a concern, but the balance sheet strength offers some financial stability.

Income Statement

Metal Energy Corp operates in the Mining industry and currently reports zero total revenue, resulting in the inability to compute typical profitability margins like Gross Profit Margin, Net Profit Margin, EBIT Margin, and EBITDA Margin. The company shows a trend of narrowing net losses over the years, from -$4.77 million in 2022 to -$1.36 million in TTM (Trailing-Twelve-Months). However, the lack of revenue is a significant concern for profitability and sustainability, limiting the score.

Balance Sheet

The balance sheet of Metal Energy Corp reveals a strong equity position with zero debt, leading to a Debt-to-Equity Ratio of 0. The company has maintained a positive Stockholders' Equity, though it has decreased over recent years. The Equity Ratio for TTM is at a healthy 93.4%, indicating low leverage and strong equity backing. These factors contribute to a relatively strong balance sheet score.

Cash Flow

The cash flow analysis shows that Metal Energy Corp has been operating with negative Free Cash Flow and Operating Cash Flow over the years, with a recent improvement in cash outflows. The Free Cash Flow Growth Rate shows a positive trend from -$4.24 million in 2022 to -$1.14 million in TTM. However, the persistent negative cash flows and reliance on financing activities for liquidity pose risks to financial stability, resulting in a moderate cash flow score.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
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	-5.86M	-6.16M	-136.20K	-4.77M	-3.02M
Net Income	-5.79M	-6.16M	-1.67M	-4.77M	-3.02M
Balance Sheet
Total Assets	731.03K	1.38M	1.84M	3.16M	7.07M
Cash, Cash Equivalents and Short-Term Investments	657.60K	1.30M	1.74M	2.78M	7.01M
Total Debt	0.00	496.00	0.00	26.01K	0.00
Total Liabilities	4.45M	4.52M	84.17K	754.18K	723.49K
Stockholders Equity	-3.72M	-3.15M	1.76M	2.41M	6.34M
Cash Flow
Free Cash Flow	-1.19M	-1.40M	-1.61M	-4.24M	-510.74K
Operating Cash Flow	-1.19M	-1.40M	-1.61M	-4.24M	-510.74K
Investing Cash Flow	0.00	0.00	0.00	0.00	177.39K
Financing Cash Flow	961.40K	964.65K	568.25K	26.01K	7.35M

Metal Energy Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.78
• 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:MERG, the sentiment is Positive. The current price of 0.78 is above the 20-day moving average (MA) of 0.74, above the 50-day MA of 0.61, and above the 200-day MA of 0.26, indicating a bullish trend. The MACD of 0.04 indicates Positive momentum. The RSI at 56.88 is Neutral, neither overbought nor oversold. The STOCH value of 61.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:MERG.

Metal Energy Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%
MERG	53 Neutral	C$21.44M	-3.95	-128.71%	―	―	-204.22%
CAMP	46 Neutral	C$3.43M	-17.65	―	―	―	90.71%
NWI	44 Neutral	C$6.16M	-25.00	―	―	―	76.47%

Metal Energy Corp Corporate Events

Metal Energy Secures $9.25 Million Financing for Exploration Expansion

Metal Energy Corp has completed a C$9.25 million financing backed by Centerra Gold and Teck Resources, establishing both companies as strategic shareholders holding 9.9% each. The funds will be directed toward the 2026 maiden drill program at the company’s NIV copper-gold-molybdenum project, strengthening Metal Energy’s exploration potential and its positioning in the critical metals sector.

Metal Energy Secures Strategic Agreement for NIV Copper-Gold Project

Metal Energy Corp. has completed a right of first refusal agreement to potentially acquire the remaining 20% interest in the NIV and West NIV properties in British Columbia’s Toodoggone District. This agreement enhances the company’s ability to consolidate ownership of a promising copper-gold porphyry target, aligning with its strategy to strengthen its asset base and exploration potential in the region.

Metal Energy Secures Strategic Agreement for NIV Project in British Columbia

Metal Energy Corp. has finalized a right of first refusal agreement for the remaining 20% interest in the NIV and West NIV properties in British Columbia’s Toodoggone District. This agreement enhances the company’s ability to consolidate ownership of a promising copper-gold porphyry target, aligning with its strategy to potentially achieve full control of the NIV project. The issuance of 600,000 common shares as part of this agreement is subject to TSX Venture Exchange approval, reflecting Metal Energy’s commitment to advancing its exploration and ownership goals.

Metal Energy Gains Strategic Investment from Teck Resources

Metal Energy Corp. announced that Teck Resources Limited has acquired a 9.9% equity interest in the company, joining Centerra Gold Inc. as a strategic investor with the same stake. This investment aims to fund exploration on Metal Energy’s NIV property in British Columbia, highlighting the potential of the undrilled asset. The involvement of two major mining companies is seen as a validation of the project’s quality and is expected to attract further interest from the broader mining investment community.

Metal Energy Secures $9.3 Million Financing with Centerra Gold as Strategic Investor

Metal Energy Corp. has announced a financing initiative to raise C$9.3 million, aimed at funding its 2026 maiden drill program at the NIV copper-gold-molybdenum project in British Columbia. This financing includes a strategic investment by Centerra Gold Inc., which will acquire a 9.9% stake in Metal Energy, enhancing the company’s technical capabilities and positioning it for potential discoveries in the region.

Metal Energy Advances NIV Project with Phase 1 Completion

Metal Energy Corp. has completed the first phase of its option agreement for the NIV and West NIV exploration properties in British Columbia, moving closer to drilling in the Toodoggone District. This development allows Metal Energy to earn an 80% interest in these properties, enhancing its portfolio with a fully permitted, drill-ready copper-gold-molybdenum project, potentially impacting its market positioning and stakeholder interests.

Metal Energy Secures Right of First Refusal for Full Ownership of NIV Project

Metal Energy Corp. has entered into a right of first refusal agreement to potentially acquire the remaining 20% interest in the NIV and West NIV properties, enhancing its path to full ownership of this promising copper-gold porphyry target in British Columbia’s Toodoggone District. This agreement allows Metal Energy to match any third-party offers, thereby consolidating its control over the property, which is fully permitted and drill-ready, strengthening its strategic position in the region.

Metal Energy Corp. Issues Shares for Strategic Property Acquisition

Metal Energy Corp. announced the issuance of 862,708 common shares as part of the payment under an option agreement for the NIV and West NIV exploration properties in British Columbia. This issuance is a step towards acquiring an 80% interest in these properties, enhancing Metal Energy’s strategic positioning in the region. The shares are priced at $0.348 each and are subject to TSX Venture Exchange approval and a hold period, reflecting the company’s ongoing commitment to expanding its exploration footprint.

Metal Energy Corp Acquires Promising Copper-Gold Project in BC

Metal Energy Corp has announced an option agreement to acquire the NIV Copper-Gold porphyry project in British Columbia’s Toodoggone District. The project is notable for its significant geophysical and geochemical anomalies, suggesting a large-scale porphyry system. With all permits in place and a maiden drill program planned for 2026, the company aims to leverage the expertise of its new leadership team to explore this promising target. The acquisition positions Metal Energy strategically within a proven mineral-rich district, potentially enhancing its industry standing and offering significant opportunities for stakeholders.

Metal Energy Corp Announces Share Consolidation and Strategic Expansion Plans

Metal Energy Corp has announced a corporate update involving the consolidation of its outstanding common shares at a ratio of one new share for every five existing shares, effective October 20, 2025, pending TSX Venture Exchange approval. This move is part of the company’s strategy to streamline its share structure and potentially enhance its market position as it continues to explore additional acquisition opportunities in prolific mining jurisdictions, such as the Highland Valley District and the Thompson Nickel Belt.