Newfoundland Discovery Corp (NEWD) AI Stock Analysis

• Market Cap: C$1.12M
• Dividend Yield: N/A
• Average Volume (3M): 8.82K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.20
• Revenue Growth: N/A
• EPS Growth: 92.44%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 9,322,647
• 10 Day Avg. Volume: 3,575
• 30 Day Avg. Volume: 8,816
• PEG Ratio: 0.02
• Price to Book (P/B): -1.18
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.08K
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 54 Neutral
• Price Target: C$0.12 ▲(10.91% Upside)

The score is held back primarily by weak financial fundamentals (no revenue, ongoing losses, and negative equity despite improved 2025 cash burn). Technicals are the main offset, with the stock above major moving averages and positive momentum signals, while valuation remains difficult to assess due to negative earnings and no dividend support.

Positive Factors

Zero Debt / Low Leverage

Having no reported debt materially lowers fixed financing obligations and interest sensitivity, improving operational flexibility. Over 2–6 months this reduces bankruptcy risk and gives management optionality to fund exploration from equity or cash without servicing debt.

Improved Cash Burn Trend

The sharp reduction in cash outflows and near‑breakeven operating cash flow in 2025 indicates tighter cost control and more disciplined drilling/exploration spending. If sustained, this improves runway, reduces immediate financing needs, and supports phased project development choices.

Reduced Net Loss / Cost Control

A significant year‑over‑year reduction in net loss signals effective cost management or the absence of prior one‑time charges. Persisting lower losses would slow equity erosion, improve investor confidence in execution, and lengthen the timeframe to achieve a path to positive results.

Negative Factors

No Revenue / Pre‑Revenue Status

As a pre‑revenue explorer, the company lacks operating cash inflows and a demonstrated commercial model; long‑term viability depends on discovery, resource development, or continued external funding. This structural uncertainty raises execution and financing risk over months to years.

Negative Stockholders' Equity

Negative equity reflects cumulative losses eroding the capital base, constraining borrowing capacity and reducing buffers against shocks. Over the medium term this increases insolvency and dilution risk and may limit strategic options like joint ventures or sizeable capital commitments.

Historic Cash Burn & Funding Reliance

A history of persistent negative cash flow and dependence on outside capital creates recurring dilution and execution risk. Given volatile free cash flow, the company faces repeated financing rounds to sustain exploration, which can impair long‑term shareholder value and strategic independence.

Newfoundland Discovery Corp Business Overview & Revenue Model

Company Description

Newfoundland Discovery Corp., a junior exploration company, engages in the evaluation, exploration, and development of mineral properties in Canada. The company holds interests in the Chubb and Bouvier lithium properties located near Vald'Or, Quebec; Southern Star property situated to the northwest of the town of Matagami, Quebec; Urban Thunder gold property located in the Windfall Lake area, Quebec; Northbound property situated to the northwest of the town of Matagami, northern Quebec; and Valentine Mountain property located to the northwest of Sooke, British Columbia. It also holds interests in the Bursey and Grub, Goldson, and Rodgers Cove properties situated to the northeast of Gander, Newfoundland; and Southwest Pond property and Unity Group claims located in northeastern Newfoundland. The company was formerly known as Great Thunder Gold Corp. and changed its name to Newfoundland Discovery Corp. in September 2021. Newfoundland Discovery Corp. is headquartered in Vancouver, Canada.

How the Company Makes Money

Newfoundland Discovery Corp makes money through the exploration and potential development of mineral properties. Its revenue model is primarily based on identifying promising mineral resources, which can be capitalized upon through partnerships, joint ventures, or sales of mineral rights to larger mining companies. Additionally, NEWD may generate income from selling extracted minerals if they move into production phases. The company's earnings are significantly influenced by the success of its exploration activities, market demand for the minerals it discovers, and strategic partnerships that enable further development and commercialization of its resources.

Newfoundland Discovery Corp Financial Statement Overview

Summary

Pre-revenue explorer with persistent losses and no demonstrated profitability. 2025 losses and cash outflow improved sharply versus 2024, but the balance sheet weakened materially with stockholders’ equity turning negative, reducing financial resilience despite having zero debt.

Income Statement

The company reports no revenue across all provided annual periods, consistent with an early-stage gold explorer. Losses are persistent, though 2025 shows a much smaller net loss (about -$1.0M) versus the very large 2024 loss (about -$13.0M), indicating improved cost control or fewer one-time charges. Profitability remains weak overall with continued negative operating results and no clear path to positive earnings shown in the data.

Balance Sheet

Total debt is reported at zero, which reduces financial leverage risk. However, the balance sheet has deteriorated sharply: stockholders’ equity fell from positive levels in prior years to negative in 2025 (about -$0.4M), a major solvency red flag and a sign of accumulated losses eroding the capital base. Total assets also dropped materially by 2025, suggesting reduced financial flexibility.

Cash Flow

Cash burn is ongoing, with negative operating cash flow and negative free cash flow in each period provided. The good news is the magnitude of cash outflow improved dramatically in 2025 (operating cash flow near breakeven at about -$0.0002M and free cash flow about -$0.0002M) compared with large outflows in 2024, implying tighter spending. Still, the historical pattern shows reliance on external funding over time, and the latest free cash flow growth is sharply negative (down ~99.9%), highlighting volatility.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	―	0.00	0.00	-23.48K
EBITDA	-975.77K	-398.08K	-814.84K	-570.00K	-1.18M	-2.50M
Net Income	-975.86K	-977.86K	-2.30M	-12.98M	-1.09M	-2.11M
Balance Sheet
Total Assets	23.67K	47.73K	14.10M	1.08M	12.26M	9.71M
Cash, Cash Equivalents and Short-Term Investments	5.39K	25.82K	805.87K	272.67K	1.58M	3.44M
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	544.51K	482.71K	571.01K	540.92K	483.99K	895.66K
Stockholders Equity	-520.84K	-434.98K	13.53M	542.88K	11.77M	8.81M
Cash Flow
Free Cash Flow	-183.38K	-246.00	-2.24M	-744.05K	-2.64M	-3.33M
Operating Cash Flow	-152.90K	-213.00	-223.21K	-727.00K	-903.91K	-2.15M
Investing Cash Flow	-30.48K	-34.00	-1.24M	193.81K	-1.73M	-1.03M
Financing Cash Flow	0.00	0.00	686.15K	0.00	780.12K	5.01M

Newfoundland Discovery Corp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.11
• 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:NEWD, the sentiment is Negative. The current price of 0.11 is below the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.12, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 45.29 is Neutral, neither overbought nor oversold. The STOCH value of 60.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:NEWD.

Newfoundland Discovery Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
NEWD	54 Neutral	C$1.12M	-1.18	―	―	―	92.44%
GRAY	52 Neutral	C$770.43K	-5.42	―	―	―	44.88%
NXS	50 Neutral	C$5.95M	6.28	―	―	―	―
FWM	44 Neutral	C$2.07M	-8.16	-82.62%	―	―	42.77%