Majestic Gold (MJS) AI Stock Analysis

• Market Cap: C$166.83M
• Dividend Yield: 8.87%
• Average Volume (3M): 1.02M
• Price to Earnings (P/E): 13.9
• Beta (1Y): 0.62
• Revenue Growth: 37.11%
• EPS Growth: 5.50%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): <0.01
• Shares Outstanding: 1,042,664,400
• 10 Day Avg. Volume: 855,354
• 30 Day Avg. Volume: 1,018,969
• PEG Ratio: 0.18
• Price to Book (P/B): 0.54
• Price to Sales (P/S): 0.82
• P/FCF Ratio: 2.82
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: C$0.00 ▼(-100.00% Downside)

Majestic Gold's overall stock score is driven by a solid financial performance and attractive valuation, despite technical indicators showing bearish momentum. The company's strong revenue growth and operational efficiency are offset by declining net profit margins and cash flow challenges. The high dividend yield enhances its appeal to income investors.

Majestic Gold Business Overview & Revenue Model

Company Description

Majestic Gold (MJS) is a prominent player in the gold mining sector, primarily focused on the exploration, development, and production of gold resources. The company operates in regions with rich mineral deposits, leveraging advanced mining techniques and technologies to optimize extraction processes. MJS is committed to sustainable practices and aims to deliver high-quality gold products to meet the growing global demand for precious metals.

How the Company Makes Money

Majestic Gold generates revenue primarily through the sale of gold and gold-related products. The company operates mining sites where it extracts gold ore, which is then processed and refined into pure gold for sale on the open market. Key revenue streams include direct sales of gold bullion to wholesalers, precious metal exchanges, and jewelry manufacturers. Additionally, MJS may engage in strategic partnerships with other mining companies or trading firms to enhance its market reach and operational efficiency, further contributing to its earnings. The company's financial performance is also influenced by global gold prices, which can fluctuate based on market demand, geopolitical factors, and economic conditions.

Majestic Gold Financial Statement Overview

Summary

Majestic Gold demonstrates a solid financial position with strong revenue growth and operational efficiency. However, declining net profit margins and free cash flow growth pose potential risks. The company maintains a conservative balance sheet with low leverage, providing stability. Continued focus on improving net profitability and cash flow management will be crucial for sustaining growth.

Income Statement

Majestic Gold shows a solid income statement with a consistent revenue growth rate of 6.95% in the TTM period. The gross profit margin remains strong at 50.43%, indicating efficient cost management. However, the net profit margin has decreased to 10.73% from 13.99% in the previous year, suggesting some pressure on net profitability. The EBIT and EBITDA margins are robust, reflecting strong operational efficiency.

Balance Sheet

The balance sheet of Majestic Gold is stable with a low debt-to-equity ratio of 0.21, indicating conservative leverage. The return on equity is moderate at 7.64%, showing a decline from previous years, which could be a concern for investors seeking high returns. The equity ratio is healthy, suggesting a strong capital structure.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by 26.83% in the TTM period, which could impact future investments. The operating cash flow to net income ratio is 0.60, indicating adequate cash generation relative to net income. The free cash flow to net income ratio is 0.72, showing decent cash conversion but highlighting the need for improvement in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	80.08M	70.95M	55.02M	63.47M	38.45M	52.36M
Gross Profit	40.38M	36.36M	26.57M	33.88M	21.71M	28.18M
EBITDA	40.65M	36.83M	26.35M	34.01M	18.21M	30.10M
Net Income	8.59M	9.93M	7.56M	11.08M	4.51M	9.43M
Balance Sheet
Total Assets	268.84M	187.93M	187.23M	139.61M	128.04M	126.72M
Cash, Cash Equivalents and Short-Term Investments	31.66M	11.81M	15.21M	12.31M	6.35M	33.77M
Total Debt	24.56M	131.83K	4.29M	4.38M	4.81M	4.60M
Total Liabilities	90.61M	28.21M	34.93M	30.27M	35.23M	36.62M
Stockholders Equity	115.41M	107.93M	105.75M	87.05M	82.40M	76.72M
Cash Flow
Free Cash Flow	20.87M	20.55M	13.67M	22.85M	6.51M	19.36M
Operating Cash Flow	28.90M	28.53M	24.49M	30.29M	15.46M	36.82M
Investing Cash Flow	-9.21M	-8.39M	-3.67M	-15.10M	-8.04M	-19.93M
Financing Cash Flow	-19.67M	-15.47M	32.04M	-1.48M	-6.95M	-8.88M

Majestic Gold Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.16
• 50DMA: Negative
• 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:MJS, the sentiment is Neutral. The current price of 0.16 is below the 20-day moving average (MA) of 0.17, below the 50-day MA of 0.17, and above the 200-day MA of 0.13, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.63 is Neutral, neither overbought nor oversold. The STOCH value of 46.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:MJS.

Majestic Gold Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MJS	66 Neutral	C$166.83M	13.91	7.79%	8.87%	37.11%	5.50%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SANU	51 Neutral	C$126.34M	-42.75	-9.71%	―	―	62.09%
STLR	51 Neutral	C$192.02M	-5.79	-24.39%	―	―	25.76%
AMX	46 Neutral	C$342.06M	-112.93	-2.58%	―	―	-379.52%
TUD	39 Underperform	C$287.97M	-29.46	-5.03%	―	―	22.75%
NCAU	38 Underperform	C$161.74M	-49.60	-3.61%	―	―	-14.81%

Majestic Gold Corporate Events

Majestic Gold’s Subsidiary Raises HK$472 Million for Expansion

Majestic Gold’s Hong Kong-listed subsidiary, Persistence Resources Group Ltd., successfully completed a private placement, raising HK$472 million. The proceeds will be used for potential gold mine acquisitions, business expansion, and general corporate purposes, enhancing Persistence’s market position and operational capabilities.

Majestic Gold Resumes Operations at DGZ Mine After Safety Approval

Majestic Gold Corp. has resumed operations at its Denggezhuang Underground Mine in Shandong Province, China, following regulatory approval after a suspension due to a fatal workplace accident. The company, along with its subsidiary Yantai Mujin Mining Co. Ltd., implemented necessary corrective measures and received confirmation from the Emergency Management Bureau that all required rectifications were completed, allowing for the resumption of mining activities.

Majestic Gold’s Subsidiary Secures HK$472 Million Financing

Majestic Gold’s subsidiary, Persistence Resources Group Ltd., has announced a private placement financing on the Hong Kong Stock Exchange, aiming to raise up to HK$472 million. The proceeds will be used for potential gold mine acquisitions, business expansion, and general corporate purposes. This financing will reduce Majestic’s ownership in Persistence from 70.5% to approximately 58.8%, pending regulatory approvals.

Majestic Gold Temporarily Halts Underground Production for Safety Permit Renewal

Majestic Gold Corp. has temporarily suspended production at its Songjiagou Underground Mine due to the expiration of its safety production permit. The suspension allows for a comprehensive safety inspection by the Shandong Provincial Emergency Management Department, with the company expecting to receive the renewed permit by the end of October 2025. During this period, the company will continue processing previously mined ore, while operations at the Songjiagou Open-Pit Mine remain unaffected.

Majestic Gold Corp. Declares Dividend, Enhancing Shareholder Value

Majestic Gold Corp. has declared a dividend of CAD$0.0072 per common share, totaling approximately CAD$7.5 million, to be distributed on October 9, 2025. This move underscores the company’s commitment to shareholder value and reflects a strong financial position, with the dividend representing an estimated yield of 5.14% based on current share prices. The announcement may enhance Majestic’s attractiveness to investors by providing a tangible return on investment, while the designation as an ‘eligible dividend’ offers tax advantages for Canadian shareholders.

Majestic Gold Corp. Reports Strong Revenue Growth Despite Decline in Net Income for 2025 Q2

Majestic Gold Corp. reported its financial results for the first half of 2025, revealing a 27.1% increase in revenue to $42.7 million compared to the same period in 2024. Despite a slight decrease in gold production, the company achieved a 22.3% rise in gross profit, though net income fell by 9.3%. The company maintained a strong financial position with cash and cash equivalents of $103.5 million. The increase in revenue and gross profit highlights Majestic Gold’s robust market performance, although the rise in production costs and decrease in net income may impact future profitability.