Majestic Gold (MJS) AI Stock Analysis

• Market Cap: C$151.19M
• Dividend Yield: N/A
• Average Volume (3M): 1.25M
• Price to Earnings (P/E): 10.5
• Beta (1Y): 0.27
• Revenue Growth: 36.47%
• EPS Growth: 42.27%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 67
• Industry: Gold
• EPS (TTM): <0.01
• Shares Outstanding: 1,042,664,400
• 10 Day Avg. Volume: 1,301,179
• 30 Day Avg. Volume: 1,254,231
• PEG Ratio: 2.62
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 5.55
• Enterprise Value/Market Cap: 0.68
• Enterprise Value/Revenue: 0.40
• Enterprise Value/Gross Profit: 2.82
• Enterprise Value/Ebitda: 0.75
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: C$0.00 ▼(-100.00%Downside)

Majestic Gold's solid financial performance and strategic corporate decisions lead to a favorable stock outlook. The strong financial structure and recent positive corporate events are significant strengths. However, neutral technical indicators suggest cautious optimism regarding short-term price movement.

Majestic Gold Business Overview & Revenue Model

Company Description

Majestic Gold Corp., a mining company, focuses on exploration, development, and operation of mining properties in China, Australia, and Canada. The company primarily explores for gold ores. Its flagship project is the Songjiagou gold mine located in the Shandong Province of China. Majestic Gold Corp. is headquartered in Surrey, Canada.

How the Company Makes Money

Majestic Gold makes money through the exploration, extraction, and sale of gold. Its primary revenue stream comes from selling the gold produced at its mining sites to refineries, gold dealers, and through direct sales to jewelry manufacturers and investors. The company may also engage in hedging strategies, entering into forward contracts to stabilize revenue against gold price fluctuations. Additionally, partnerships with other mining firms and investments in joint ventures can contribute to its earnings by expanding its operational capabilities and reducing costs through shared resources.

Majestic Gold Financial Statement Overview

Summary

Majestic Gold shows strong financial growth and profitability with a notable increase in revenue and net margins. The low debt-to-equity ratio indicates minimal financial risk. However, the return on equity could be improved.

Income Statement

Majestic Gold has shown strong financial performance with steady revenue growth over the years, reaching $70.95 million in 2024 from $32.30 million in 2019. The company maintains a healthy gross profit margin, consistently above 50%, and an improving net profit margin, reaching 14% in 2024. The EBIT and EBITDA margins also indicate profitability with EBIT margin at 38.9% and EBITDA margin at 56.6% in 2024. These metrics highlight the company's ability to generate substantial profits from its operations, although the net income fluctuated in previous years.

Balance Sheet

Majestic Gold maintains a strong balance sheet with a low debt-to-equity ratio of 0.0012 in 2024, indicating minimal leverage and financial risk. The company has seen consistent growth in stockholders' equity, which increased to $107.93 million in 2024. The equity ratio is solid at 57.4%, reflecting a good financial structure. However, the return on equity has shown some volatility, being 9.2% in 2024, which suggests room for improvement in generating returns on shareholders' investments.

Cash Flow

Majestic Gold's cash flow performance is robust, with positive free cash flow every year, peaking at $20.55 million in 2024. The operating cash flow to net income ratio is strong, indicating effective cash generation relative to net income. Free cash flow growth was notable, with a significant improvement of 50.3% from 2023 to 2024. The company manages its capital expenditures efficiently, contributing to healthy cash reserves.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	70.95M	55.02M	63.47M	38.45M	52.36M
Gross Profit	36.36M	26.57M	33.88M	21.71M	28.18M
EBITDA	40.16M	26.35M	34.01M	18.21M	30.10M
Net Income	9.93M	7.56M	11.08M	4.51M	9.43M
Balance Sheet
Total Assets	187.93M	187.23M	139.61M	128.04M	126.72M
Cash, Cash Equivalents and Short-Term Investments	11.81M	15.21M	12.31M	6.35M	33.77M
Total Debt	131.83K	4.29M	4.38M	4.81M	4.60M
Total Liabilities	28.21M	34.93M	30.27M	35.23M	36.62M
Stockholders Equity	107.93M	105.75M	87.05M	82.40M	76.72M
Cash Flow
Free Cash Flow	20.55M	13.67M	22.85M	6.51M	19.36M
Operating Cash Flow	28.53M	24.49M	30.29M	15.46M	36.82M
Investing Cash Flow	-8.39M	-3.67M	-15.10M	-8.04M	-19.93M
Financing Cash Flow	-15.47M	32.04M	-1.48M	-6.95M	-8.88M

Majestic Gold Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.14
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

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 0.14 is below the 20-day moving average (MA) of 0.16, below the 50-day MA of 0.15, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 39.24 is Neutral, neither overbought nor oversold. The STOCH value of -9.52 is Positive, 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	77 Outperform	C$151.19M	10.51	9.39%	―	36.47%	42.27%
SANU	51 Neutral	C$107.07M	―	2.75%	―	―	60.14%
STLR	51 Neutral	C$102.87M	―	-23.25%	―	―	26.82%
AMX	46 Neutral	C$217.90M	118.75	-1.27%	―	―	-169.35%
Sector *	44 Neutral	C$961.63M	-6.69	-13.73%	2.61%	17.55%	-32.57%
TUD	39 Underperform	C$130.47M	―	-5.21%	―	―	36.41%
NCAU	38 Underperform	C$139.64M	―	-9.41%	―	―	-64.81%

Majestic Gold Corporate Events

Majestic Gold Corp. Grants 24.7 Million Stock Options

Majestic Gold Corp. has announced the granting of 24,700,000 stock options to its directors, officers, employees, and consultants as part of its Stock Option Plan. These options, exercisable at $0.15 per share for five years, are intended to align the interests of the stakeholders with the company’s growth objectives and are subject to a four-month hold period and TSX Venture Exchange policies.

Majestic Gold Announces AGM Results and New Dividend Policy

Majestic Gold Corp. announced the results of its 2025 Annual General Meeting, where shareholders approved all management nominees and resolutions, including the reappointment of auditors and the company’s Stock Option Plan. The Board reappointed Stephen Kenwood as President & CEO and James Mackie as CFO. Additionally, Majestic introduced a Dividend Policy to evaluate potential future dividends, reflecting confidence in the company’s financial stability and growth strategy.

Majestic Gold Corp. Reports Strong Q1 2025 Financial Results

Majestic Gold Corp. reported strong financial results for the first quarter of 2025, with a significant increase in revenue, gross profit, and net income compared to the same period in 2024. The company achieved a 25.2% increase in revenue to $19.5 million and a 24.7% rise in gross profit to $10.3 million, driven by a 3.6% increase in gold production. Despite higher cash costs and all-in sustaining costs per ounce, Majestic Gold maintains a robust financial position with substantial cash reserves and working capital, signaling positive operational momentum and financial health.