Mandalay Resources (MND) AI Stock Analysis

• Market Cap: C$462.90M
• Dividend Yield: N/A
• Average Volume (3M): 163.65K
• Price to Earnings (P/E): 6.9
• Beta (1Y): 1.62
• Revenue Growth: 37.39%
• EPS Growth: 516.99%
• Country: CA
• Employees: 460
• Sector: Basic Materials
• Sector Strength: 52
• Industry: Gold
• EPS (TTM): 0.70
• Shares Outstanding: 94,662,506
• 10 Day Avg. Volume: 207,929
• 30 Day Avg. Volume: 163,649
• PEG Ratio: 0.01
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.45
• Price to Cash Flow (P/CF): 1.00
• P/FCF Ratio: 0.90
• 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: C$7.00
• Price Target Upside: 43.15% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Mandalay Resources scores a robust 79 due to its strong financial performance and promising corporate events. The company's strategic focus on enhancing profitability, reducing debt, and expanding reserves positions it well for future growth. While technical analysis shows positive momentum, the valuation suggests the stock is undervalued, offering a potentially attractive entry point for investors.

Positive Factors

Commodity Prices

Despite a decrease in NAV, there is an expected upside to earnings due to the favorable antimony price environment.

Earnings

Mandalay Resources reported earnings that beat expectations with adjusted EPS of $0.30/sh, versus an estimate of US$0.21/sh.

Production and Sales

The increased gold equivalent sales accompanied by increased gold and antimony prices could positively impact earnings.

Negative Factors

Financial Outlook

Updated unit and capital costs at both Costerfield and Björkdal have increased, impacting the company's financial outlook negatively.

Operational Costs

Updated unit and capital costs at Björkdal have increased the LOM costs compared to previous estimates.

Production Forecasts

The updated mine plan at Björkdal has resulted in lower gold production forecasts and delayed restart of the open pit, negatively affecting the company's NAV.

Mandalay Resources Business Overview & Revenue Model

Company Description

Mandalay Resources Corporation, a natural resource company, engages in the acquisition, exploration, extraction, processing, and reclamation of mineral properties. It explores for gold, silver, and antimony deposits. The company primarily holds 100% interests in the Costerfield gold-antimony mine located in Central Victoria, Australia; and the Björkdal gold mine located in Västerbotten County in northern Sweden. The company was incorporated in 1997 and is headquartered in Toronto, Canada.

How the Company Makes Money

Mandalay Resources generates revenue primarily through the sale of the precious and base metals it extracts from its mining operations. The company's key revenue streams include the production and sale of gold, antimony, and silver. These metals are sold in the global commodity markets, where prices are influenced by market demand, supply constraints, and geopolitical factors. Additionally, Mandalay Resources may engage in hedging activities to manage price volatility and secure predictable cash flows. The company's earnings are also affected by its operational efficiency, cost management, and the strategic development of its mining assets. Partnerships with local governments and adherence to regulatory frameworks play a significant role in ensuring the continuous operation and expansion of Mandalay Resources' mining projects.

Mandalay Resources Financial Statement Overview

Summary

Mandalay Resources demonstrates strong financial health with consistent improvements in profitability and cash flow generation. The company has managed to reduce its debt levels and increase equity, bolstering its financial stability. While the mining industry can be volatile, Mandalay's financials indicate a well-managed operation with good growth potential.

Income Statement

Mandalay Resources has shown significant improvement in its revenue and net income over the years. The gross profit margin and net profit margin have improved, indicating enhanced profitability. The company’s EBIT and EBITDA margins also reflect strong operational performance. However, some fluctuations in revenue growth highlight industry volatility.

Balance Sheet

The company's balance sheet shows a strong equity position with a favorable debt-to-equity ratio, indicating lower financial risk. The equity ratio is robust, reflecting balanced asset management. However, the presence of debt, despite being reduced over time, requires monitoring.

Cash Flow

The cash flow position of Mandalay Resources is solid, with growing free cash flow and a strong operating cash flow to net income ratio. The company effectively converts its profits into cash, though fluctuations in capital expenditures and financing activities warrant attention.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
240.66M	173.34M	191.70M	229.40M	178.97M
	Gross Profit
94.00M	67.42M	62.92M	82.16M	64.34M
	EBIT
78.58M	19.32M	45.04M	66.96M	53.91M
	EBITDA
107.90M	49.87M	77.08M	113.69M	86.29M
	Net Income Common Stockholders
47.76M	7.86M	23.51M	54.88M	9.31M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
76.37M	28.78M	41.13M	34.14M	34.21M
	Total Assets
329.58M	295.25M	282.22M	317.84M	301.28M
	Total Debt
4.65M	22.96M	24.02M	49.79M	63.95M
	Net Debt
-71.72M	-3.89M	-14.36M	19.05M	29.74M
	Total Liabilities
100.31M	98.32M	98.07M	141.16M	165.50M
	Stockholders Equity
229.27M	196.93M	184.15M	176.69M	135.78M
Cash Flow		Free Cash Flow
67.89M	1.55M	40.37M	13.92M	16.70M
	Operating Cash Flow
112.72M	43.29M	80.04M	62.03M	61.66M
	Investing Cash Flow
-44.07M	-44.61M	-36.99M	-43.84M	-34.74M
	Financing Cash Flow
-17.52M	-10.25M	-34.70M	-21.51M	-18.30M

Mandalay Resources Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 4.89
• 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:MND, the sentiment is Neutral. The current price of 4.89 is below the 20-day moving average (MA) of 5.18, below the 50-day MA of 4.92, and above the 200-day MA of 3.71, indicating a neutral trend. The MACD of 0.15 indicates Positive momentum. The RSI at 59.89 is Neutral, neither overbought nor oversold. The STOCH value of 40.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:MND.

Mandalay Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MND	79 Outperform	C$462.90M	6.94	22.34%	―	37.39%	516.99%
Sector *	47 Neutral	$2.44B	-2.84	-22.09%	3.51%	4.02%	-28.91%
RGLD	33 Underperform	C$2.51M	―	-15.83%	―	―	-1.20%

Mandalay Resources Corporate Events

Mandalay Resources Files Annual Information and Technical Reports for 2024

Mandalay Resources Corporation has filed its Annual Information Form for 2024 and updated NI 43-101 Technical Reports for its Björkdal and Costerfield operations. These filings, prepared by independent consultants, provide detailed insights into the company’s mineral resource and reserve estimates, underscoring Mandalay’s commitment to transparency and operational efficiency. The reports are expected to enhance the company’s industry positioning by optimizing production and profitability at its mines, which could have positive implications for stakeholders.

Mandalay Resources Reports Record Financial Success in 2024

Mandalay Resources Corporation announced a record financial performance for 2024, achieving $69 million in free cash flow and a 39% increase in revenue compared to 2023. The company improved its profitability, strengthened its balance sheet by becoming debt-free, and increased its cash balance significantly. These results, driven by strategic emphasis on higher-margin production and cost efficiency, position Mandalay well for future growth and long-term value creation.

Mandalay Resources Boosts Gold Reserves and Extends Mine Life

Mandalay Resources has reported an update on its mineral reserves and resources, revealing a significant increase in gold equivalent ounces. The Costerfield mine in Australia experienced substantial reserve replacement and potential growth at the True Blue deposit, while the Björkdal mine in Sweden saw an extension of mine life to 10 years with an increase in reserves more than doubling 2024 depletion. These updates enhance the company’s operational outlook and reinforce its position in the gold and antimony market.

Mandalay Resources to Release Q4 and Year-end 2024 Financial Results

Mandalay Resources announced the release of its fourth quarter and year-end 2024 financial results on February 20, 2025, with a subsequent conference call and webcast scheduled for February 21, 2025. The company continues to focus on enhancing production and optimizing profitability at its Costerfield and Björkdal mines, which is crucial for creating shareholder value and pursuing growth opportunities.

Mandalay Resources Unveils Promising Drilling Results at True Blue

Mandalay Resources announced high-grade drilling results at its True Blue prospect, adjacent to the Costerfield mine in Australia. These results indicate significant potential for expanding the mine’s operations, with high-grade gold and antimony mineralization discovered. The company plans to intensify its exploration efforts, signaling a potential extension of the mine’s life. This development positions Mandalay as a strong player in the gold industry and a leading Western source of antimony, with $9 million allocated for exploration in the first half of 2025.

Mandalay Resources Exceeds 2024 Production Goals, Strengthens Financial Position

Mandalay Resources announced strong operating results for the fourth quarter and full-year 2024, achieving the upper end of its production guidance with 97,128 gold equivalent ounces. The company’s robust performance, especially at Costerfield, highlights its cash-generating potential and positions it well for future growth opportunities, ending the year with a $76 million cash balance.