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Mexican Gold Corp (TSE:MEX)
:MEX

Mexican Gold Corp (MEX) AI Stock Analysis

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Mexican Gold Corp

(MEX)

Rating:29Underperform
Price Target:
Mexican Gold Corp faces significant challenges with no revenue generation and persistent financial losses, which severely impact its overall stock score. The recent private placement offers a temporary financial lifeline, but the company's valuation remains unattractive with negative earnings. Technical indicators show mixed signals, with short-term momentum providing a glimmer of hope. Overall, the company's precarious financial position significantly weighs down its stock score.

Mexican Gold Corp (MEX) vs. iShares MSCI Canada ETF (EWC)

Mexican Gold Corp Business Overview & Revenue Model

Company DescriptionMexican Gold Corp (MEX) is a mineral exploration company focused on the discovery and development of gold and other precious metal deposits in Mexico. The company operates primarily in the mining sector, leveraging its expertise to explore and potentially extract valuable mineral resources. Its core activities include identifying, acquiring, and exploring mineral properties with the aim of advancing them to production stages.
How the Company Makes MoneyMexican Gold Corp generates revenue primarily through the exploration and potential development of its mineral properties. The company seeks to increase its value by discovering economically viable mineral deposits, which can be sold to larger mining companies or developed into producing mines. Revenue may also be derived from joint venture agreements, where Mexican Gold Corp partners with other companies to share exploration and development costs and profits. Additionally, the company might engage in strategic partnerships or secure financing to fund its exploration activities, thus enhancing its ability to monetize its mineral assets.

Mexican Gold Corp Financial Statement Overview

Summary
Mexican Gold Corp's financial position is precarious, with no revenue generation and persistent losses across all financial verticals. The absence of debt is a positive aspect, but the company's inability to generate cash flow or profit poses significant risks. The shrinking asset base and declining equity ratio further increase the risk profile of the company, highlighting an urgent need for strategic restructuring to achieve stability and growth.
Income Statement
5
Very Negative
Mexican Gold Corp has not generated any revenue over the past years, which severely impacts its financial performance. The lack of revenue results in negative profit margins and EBIT margins, indicating ongoing operational challenges and inefficiencies. The consistent losses reflect the company's struggles to achieve profitability, which is crucial for long-term sustainability.
Balance Sheet
15
Very Negative
The balance sheet shows that the company has no debt, which reduces financial risk. However, the low stockholders' equity and significant net losses raise concerns about the company's ability to maintain financial stability. The equity ratio has decreased over time, indicating a shrinking asset base relative to equity, which is not a positive sign for potential investors.
Cash Flow
10
Very Negative
Free cash flow is negative, reflecting the company's inability to generate cash from its operations. The operating cash flow remains negative, which is alarming as it limits the company's ability to fund operations and growth without external financing. The company shows a deterioration in cash reserves, which may hinder its capacity to sustain operations without additional capital injections.
Breakdown
TTMJun 2024Jun 2023Jun 2022Jun 2021Jun 2020
Income StatementTotal Revenue
0.000.000.000.000.000.00
Gross Profit
-10.57K-81.93K-93.88K0.000.000.00
EBIT
-164.14K-447.09K-479.27K-737.89K-3.17M-2.27M
EBITDA
-363.98K0.00-479.27K-737.89K-3.17M-2.27M
Net Income Common Stockholders
-356.65K-383.46K-486.60K-739.58K-3.18M-2.28M
Balance SheetCash, Cash Equivalents and Short-Term Investments
36.87K210.51K560.97K92.02K121.46K1.86M
Total Assets
49.27K231.96K686.90K148.49K362.49K1.97M
Total Debt
0.000.000.000.000.000.00
Net Debt
-36.87K-210.51K-560.97K-92.02K-121.46K-1.86M
Total Liabilities
36.00K19.41K96.68K85.19K149.29K69.13K
Stockholders Equity
13.27K212.55K590.22K63.30K213.20K1.90M
Cash FlowFree Cash Flow
-305.67K-350.46K-542.90K-522.04K-3.14M-1.88M
Operating Cash Flow
-305.67K-350.46K-542.90K-522.04K-3.14M-1.88M
Investing Cash Flow
0.000.000.000.000.000.00
Financing Cash Flow
0.000.001.01M480.00K1.39M3.43M

Mexican Gold Corp Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.06
Price Trends
50DMA
0.06
Negative
100DMA
0.06
Negative
200DMA
0.06
Positive
Market Momentum
MACD
<0.01
Positive
RSI
44.80
Neutral
STOCH
0.00
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MEX, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.07, below the 50-day MA of 0.06, and above the 200-day MA of 0.06, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 44.80 is Neutral, neither overbought nor oversold. The STOCH value of 0.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:MEX.

Mexican Gold Corp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TSMND
81
Outperform
C$481.83M6.0225.03%41.30%340.97%
TSAEM
80
Outperform
$81.70B24.5411.45%1.35%32.68%419.46%
TSAZM
53
Neutral
C$50.64M221.74-0.64%88.31%
51
Neutral
$2.02B-1.14-21.37%3.64%2.88%-30.57%
TSRUP
45
Neutral
C$1.31B-4.03%
TSSGN
38
Underperform
C$43.01M-621.49%61.00%
TSMEX
29
Underperform
C$1.51M-209.73%31.71%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:MEX
Mexican Gold Corp
0.06
-0.06
-50.00%
TSE:AEM
Agnico Eagle
161.60
73.35
83.13%
TSE:MND
Mandalay Resources
5.09
2.95
137.85%
TSE:RUP
Rupert Resources
5.58
1.61
40.55%
TSE:AZM
Azimut Exploration
0.59
0.03
5.36%
TSE:SGN
Scorpio Gold
0.22
0.06
37.50%

Mexican Gold Corp Corporate Events

Private Placements and Financing
Mexican Gold Completes CAD $160,000 Private Placement to Boost Las Minas Project
Positive
Feb 26, 2025

Mexican Gold Mining Corp. has successfully closed a non-brokered private placement, raising CAD $160,000 through the issuance of 4,000,000 units at $0.04 per unit. The proceeds will primarily support the Las Minas project, cover claim fee payments, and fund general operations, with a small portion allocated to listing fees. The company adheres to the TSXV’s Minimum Price Exception, ensuring limited proceeds are used for non-arm’s length transactions and investor relations.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.