Mountain Province Diamonds (MPVD) AI Stock Analysis

• Market Cap: C$11.68M
• Dividend Yield: N/A
• Average Volume (3M): 73.59K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.21
• Revenue Growth: -23.22%
• EPS Growth: -87.05%
• Country: CA
• Employees: 8
• Sector: Basic Materials
• Sector Strength: 69
• Industry: Other Precious Metals
• EPS (TTM): -0.16
• Shares Outstanding: 212,360,340
• 10 Day Avg. Volume: 38,599
• 30 Day Avg. Volume: 73,589
• PEG Ratio: <0.01
• Price to Book (P/B): 0.04
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -63.82
• 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: Hold
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: C$0.00 ▼(-100.00%Downside)

Mountain Province Diamonds is facing significant financial challenges, with weak financial performance marked by declining revenues and high leverage. The technical analysis supports a bearish outlook, while valuation metrics highlight ongoing profitability issues. Although the earnings call provided some positive operational insights, overall sentiment remains cautious due to financial and market hurdles.

Mountain Province Diamonds Business Overview & Revenue Model

Company Description

Mountain Province Diamonds Inc. (MPVD) is a Canadian-based diamond mining company primarily engaged in the exploration and development of diamond resources. The company's principal asset is its 49% interest in the Gahcho Kué Diamond Mine, located in Canada's Northwest Territories, which it operates in partnership with De Beers Canada, a subsidiary of De Beers Group. The Gahcho Kué Mine is one of the world's largest and richest new diamond mines, contributing significantly to the company's production and resource portfolio.

How the Company Makes Money

Mountain Province Diamonds generates revenue primarily through the sale of rough diamonds extracted from the Gahcho Kué Mine. The company conducts diamond sales through public tenders, where lots of rough diamonds are sold to the highest bidder. As a joint venture partner, Mountain Province receives a portion of the proceeds from these sales. The company's earnings are significantly influenced by diamond market conditions, such as demand, price fluctuations, and the quality and size of the diamonds produced. Strategic partnerships, particularly with De Beers Canada, enhance operational efficiencies and access to a global distribution network, further supporting the company's revenue generation.

Mountain Province Diamonds Financial Statement Overview

Summary

Mountain Province Diamonds shows financial instability with declining revenues and net losses. High leverage and negative free cash flow growth raise concerns about long-term financial sustainability. Despite these challenges, the company maintains a reasonable equity ratio and effective operational cash flow generation.

Income Statement

The company has experienced fluctuating revenue with recent declines, reflected in a negative revenue growth rate over the past year. Negative net income in recent years indicates profitability challenges, although gross profit margin is positive. EBIT and EBITDA margins have been volatile, showing difficulty in maintaining consistent operational profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, indicating significant leverage, which poses financial risk. However, the equity ratio remains healthy, suggesting a reasonable proportion of assets financed by equity. The return on equity is negative due to net losses, highlighting concerns about generating returns for shareholders.

Cash Flow

Cash flow analysis shows a negative free cash flow growth rate, raising concerns about cash generation capabilities. The operating cash flow to net income ratio is strong, suggesting effective cash generation from operations relative to reported losses. The free cash flow to net income ratio is negative, pointing to challenges in translating earnings into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	267.67M	328.63M	388.85M	308.72M	226.99M
Gross Profit	93.21M	173.00M	170.53M	113.73M	-1.49M
EBITDA	79.33M	72.23M	177.24M	368.81M	-159.33M
Net Income	-80.83M	-43.67M	49.20M	276.17M	-263.43M
Balance Sheet
Total Assets	838.54M	932.21M	898.54M	877.50M	595.33M
Cash, Cash Equivalents and Short-Term Investments	11.56M	29.67M	17.25M	25.00M	35.15M
Total Debt	352.37M	306.88M	317.40M	376.04M	407.69M
Total Liabilities	557.58M	571.21M	491.38M	526.76M	521.63M
Stockholders Equity	280.96M	361.00M	407.16M	350.74M	73.70M
Cash Flow
Free Cash Flow	-1.03M	60.11M	112.20M	68.76M	12.91M
Operating Cash Flow	79.43M	143.41M	172.63M	112.58M	51.75M
Investing Cash Flow	-80.33M	-85.15M	-64.64M	-53.74M	-53.69M
Financing Cash Flow	-15.95M	-47.07M	-115.50M	-69.79M	2.01M

Mountain Province Diamonds Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.05
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MPVD, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.09, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 37.76 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:MPVD.

Mountain Province Diamonds Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LUC	62 Neutral	C$106.44M	1.61	19.74%	―	14.23%	―
TAI	50 Neutral	C$2.14M	―	-1087.65%	―	―	-17.78%
MPVD	46 Neutral	C$11.68M	―	-39.12%	―	-23.22%	-87.05%
Sector *	44 Neutral	C$999.92M	-6.64	-13.68%	1.83%	17.55%	-32.71%
DMI	29 Underperform	$2.53M	―	107.68%	―	―	―
DIA	24 Underperform	C$934.57K	―	-1207.18%	―	―	83.91%

Mountain Province Diamonds Corporate Events

Mountain Province Diamonds Corrects Q2 2024 Carat Price

Mountain Province Diamonds Inc. announced a correction to its previously reported average selling price per carat for the second quarter of 2024. The corrected average selling price is CA$102 per carat (US$74 per carat), down from the initially reported CA$166 per carat (US$124 per carat). This correction does not affect any other information from the earlier release, but it may impact stakeholders’ perception of the company’s financial performance for that period.

Mountain Province Diamonds Reports Decline in Q2 2025 Production and Sales

Mountain Province Diamonds reported a significant decrease in production and sales for Q2 2025, with carats recovered dropping by 46% compared to the previous year. Despite operational challenges due to low-grade stockpiles, the company plans to ramp up production from the NEX orebody, expecting improved grades in the coming months. The company remains optimistic about its mining performance, having mined 32% more total tonnes than in Q2 2024, and is preparing for a steady increase in production in Q3.

Mountain Province Diamonds Secures CAD$33 Million Facility and Elects New Board

Mountain Province Diamonds announced the results of its 2025 annual and special shareholder meeting, where a CAD$33 million working capital facility with Dunebridge Worldwide Ltd. was approved. The facility, which is part of a bridge credit agreement, will be used on a revolving basis to support the company’s operations. Shareholders also elected directors and re-appointed KPMG as auditor, indicating continued stability and governance for the company.

Mountain Province Diamonds Secures CAD$33 Million Working Capital Facility

Mountain Province Diamonds Inc. has announced an amended and restated bridge credit facility agreement to secure a CAD$33 million working capital facility with Dunebridge Worldwide Ltd. This facility is crucial for the company’s 2025 funding strategy, addressing immediate financial needs with an initial drawdown of USD7 million. The transaction, involving related parties, has received conditional approval from the Toronto Stock Exchange, and the company plans to seek further shareholder approval at an upcoming meeting. This move highlights the company’s efforts to stabilize its financial position amid serious financial difficulties.

Mountain Province Diamonds Faces Challenges Amid Market Slump in Q1 2025

Mountain Province Diamonds reported its financial results for Q1 2025, highlighting a challenging quarter with a net loss of $34.4 million and a significant decrease in carats recovered compared to the previous year. Despite a depressed diamond market, the company improved its mining efficiency and anticipates accessing higher grade ore earlier than planned, which may positively impact future operations. The company also completed refinancing transactions to address financial obligations and secure additional working capital, with strong support from major stakeholders.

Mountain Province Diamonds Seeks Shareholder Approval for New Working Capital Facility

Mountain Province Diamonds has announced the mailing of meeting materials for its upcoming annual and special shareholder meeting, where a key agenda item is the approval of a CAD33 million working capital facility from Dunebridge Worldwide Ltd., a related party. This facility is intended to support the company’s cash flow needs and operational expenses at the Gahcho Kué diamond mine through 2025, following recent refinancing transactions. The facility includes specific financial terms and conditions, and its approval is crucial for the company’s ongoing financial stability.

Mountain Province Diamonds Reports Q1 2025 Production Decline Amid Strategic Shifts

Mountain Province Diamonds reported a significant decrease in production for the first quarter of 2025, with carats recovered dropping by 40% compared to the same period last year. The company attributed the lower production to treating low-grade stockpiles while focusing on stripping waste to access the high-grade NEX orebody. Despite this, the total tonnes mined increased by 28%, and the company plans to improve grades by the end of the second quarter. The sales results also showed a decline, with fewer carats sold compared to Q1 2024, although the average price per carat increased slightly.