Noram Lithium Corp (NRM) AI Stock Analysis

• Market Cap: C$9.84M
• Dividend Yield: N/A
• Average Volume (3M): 60.90K
• Price to Earnings (P/E): ―
• Beta (1Y): -1.83
• Revenue Growth: N/A
• EPS Growth: 48.66%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 89,452,614
• 10 Day Avg. Volume: 109,218
• 30 Day Avg. Volume: 60,895
• PEG Ratio: 0.06
• Price to Book (P/B): 1.39
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.66
• 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: 37 Underperform
• Price Target: ―

Noram Lithium Corp's overall score is low due to its exploration-stage status with no revenue generation and significant cash burn. Although the balance sheet is stable with minimal debt, the technical indicators suggest a bearish trend, and the valuation remains speculative. The company's financial health is typical for its industry stage, but the lack of immediate revenue prospects and reliance on external financing pose potential risks.

Positive Factors

Stable Balance Sheet

A stable balance sheet with minimal leverage provides financial stability, allowing the company to focus on exploration and development without the immediate pressure of debt repayment.

Industry Demand

The rising demand for lithium due to the growth of electric vehicles and renewable energy storage presents a strong market opportunity for Noram Lithium, potentially driving future revenue growth.

Equity Financing

Relying on equity financing reduces the risk associated with debt, providing Noram Lithium with more flexibility to manage its financial resources during the exploration phase.

Negative Factors

No Revenue Generation

The absence of revenue generation indicates that Noram Lithium is still in the early stages of development, which may delay profitability and increase reliance on external funding.

High Cash Burn

A high cash burn rate without sufficient operating cash inflow can strain financial resources, necessitating continuous external financing to sustain operations.

Asset Management Challenges

Decreasing total assets may indicate difficulties in asset management, which could impact the company's ability to capitalize on its lithium projects and achieve long-term growth.

Noram Lithium Corp Business Overview & Revenue Model

Company Description

Noram Lithium Corp. engages in the acquisition, exploration, and development of mineral properties in the United States. Its flagship property is the Zeus Lithium project that covers an area of approximately 1,113 hectares located in Clayton Valley, Nevada. The company was formerly known as Noram Ventures Inc. and changed its name to Noram Lithium Corp. in July 2021. Noram Lithium Corp. was incorporated in 2010 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Noram Lithium Corp makes money through the exploration and potential development of lithium resources. The company's revenue model is primarily based on the identification and enhancement of lithium properties, which are then either developed into operational mines or sold to larger mining entities. Key revenue streams include the sale of lithium, either directly or through joint ventures and partnerships with other mining companies. Additionally, Noram Lithium may generate income through strategic partnerships or agreements that provide funding for exploration activities in exchange for a stake in the projects or future lithium supply. Factors such as lithium market prices, successful resource discoveries, and favorable regulatory environments significantly contribute to its earnings potential.

Noram Lithium Corp Financial Statement Overview

Summary

Noram Lithium Corp's financial statements reflect the typical profile of an exploration-stage mining company with no revenue generation and reliance on equity for financing. While the balance sheet is stable with low debt, the cash flow situation requires attention due to significant cash burn. Continued reliance on external financing could pose risks if asset development does not progress as planned.

Income Statement

Noram Lithium Corp's income statement shows a lack of revenue generation, typical for exploration-stage mining companies. The company has been unable to generate any revenue over recent periods, resulting in persistent negative net income and gross profit. EBIT and EBITDA margins are negative, indicating high operational costs relative to nonexistent revenue, which is expected for a company still in development. Revenue growth analysis is not applicable due to zero revenue.

Balance Sheet

The balance sheet reflects a solid equity position with a low debt-to-equity ratio, showing financial stability with minimal leverage. However, the company's total assets have decreased over time, reflecting potential challenges in asset management or investment strategy. The equity ratio is strong, suggesting a high reliance on equity financing, which mitigates financial risk.

Cash Flow

Cash flow analysis indicates negative operating and free cash flows, which is common for companies in the exploration phase. The company heavily relies on financing activities to support operations and investing activities. Free cash flow has been consistently negative, showing a high cash burn rate without sufficient operating cash inflow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2022	Dec 2021
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-54.66K	-56.77K	-56.73K	-59.61K	-56.21K	-55.81K
EBITDA	-2.33M	-3.09M	-6.30M	-5.26M	-5.17M	-4.93M
Net Income	-2.39M	-3.15M	-5.66M	-5.32M	-4.18M	-5.01M
Balance Sheet
Total Assets	5.94M	6.30M	8.43M	5.94M	14.24M	5.04M
Cash, Cash Equivalents and Short-Term Investments	172.64K	577.36K	3.64M	1.60M	12.22M	1.62M
Total Debt	128.41K	151.05K	55.68K	160.88K	110.90K	50.60K
Total Liabilities	923.05K	511.87K	480.54K	550.13K	694.47K	341.03K
Stockholders Equity	5.02M	5.79M	7.95M	5.39M	13.55M	4.70M
Cash Flow
Free Cash Flow	-997.46K	-2.19M	-4.88M	-2.39M	-5.99M	-1.31M
Operating Cash Flow	-971.72K	-2.19M	-4.88M	-1.64M	-3.97M	-1.07M
Investing Cash Flow	-203.15K	1.83M	4.33M	-1.50M	-11.17M	-990.16K
Financing Cash Flow	-33.06K	-24.83K	-63.30K	2.37M	16.61M	2.92M

Noram Lithium Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.11
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:NRM, the sentiment is Positive. The current price of 0.11 is above the 20-day moving average (MA) of 0.11, below the 50-day MA of 0.12, and above the 200-day MA of 0.11, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 50.30 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:NRM.

Noram Lithium 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%
ILI	53 Neutral	C$10.22M	-33.33	-1.36%	―	―	-136.00%
GRG	46 Neutral	C$11.01M	-2.48	-105.74%	―	―	40.18%
SRA	39 Underperform	C$16.55M	30.22	16.97%	―	―	―
NRM	37 Underperform	C$9.84M	-4.10	-41.21%	―	―	48.66%
MUR	33 Underperform	C$7.58M	-4.55	-121.94%	―	―	55.15%
AWCM	33 Underperform	C$6.71M	-7.43	-17.86%	―	―	92.11%