Novo Resources (NVO) AI Stock Analysis

• Market Cap: C$53.19M
• Dividend Yield: N/A
• Average Volume (3M): 322.94K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.92
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: 75
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): N/A
• Shares Outstanding: 354,630,280
• 10 Day Avg. Volume: 496,204
• 30 Day Avg. Volume: 322,941
• PEG Ratio: 0.02
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.69
• 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: 47 Neutral
• Price Target: C$0.15 ▲(23.33% Upside)

The score is held down primarily by weak financial performance (no revenue, ongoing losses, and continued cash burn), partially offset by a low-leverage balance sheet. Technicals are mixed but slightly constructive on longer-term averages, while valuation support is limited due to negative earnings and no dividend data.

Positive Factors

Low Leverage Balance Sheet

Very low leverage gives Novo durable financial flexibility typical explorers need: it reduces refinancing risk, preserves optionality to fund geological programs or structure JV/earn-in deals, and lengthens runway relative to highly leveraged peers when markets tighten.

Improving Loss / Burn Trend

Narrowing losses and reduced cash burn versus 2023 indicate the company is trimming spending or achieving greater operational efficiency. That sustainable improvement lowers near-term funding frequency and enhances the chance to advance projects further before needing dilutive financing.

Flexible Monetization Model

A multi-path monetization approach (asset sales, JVs, spinouts, or development) is structurally beneficial for explorers: it allows the firm to realize value without full-scale mine construction, match partner risk appetites, and capture upside from discoveries through flexible deal structures.

Negative Factors

No Revenue and Persistent Losses

Absence of recurring operating revenue and ongoing net losses mean the business remains pre-revenue; this structural profile forces reliance on capital markets or asset transactions to fund advancement, creating execution and dilution risk until production or material monetization occurs.

Consistent Negative Cash Flow

Persistent negative operating and free cash flow signals the company cannot self-fund exploration and technical programs. Over the medium term this necessitates repeated external financing or asset monetization, which can dilute shareholders and constrain strategic optionality.

Negative Return on Equity

A deeply negative ROE reflects that capital deployed has not generated shareholder value historically. Structurally, this hampers investor confidence and may raise the cost of capital, making it harder to raise funds on favorable terms to progress projects toward value-realizing milestones.

Novo Resources Business Overview & Revenue Model

Company Description

Novo Resources Corp., together with its subsidiaries, engages in evaluating, acquiring, exploring, and developing natural resource properties in Canada, Australia, and the United States. The company primarily explores for gold deposits. Its flagship property is the Beatons Creek property located in the Pilbara region of Western Australia. The company was formerly known as Galliard Resources Corp. and changed its name to Novo Resources Corp. in June 2011. Novo Resources Corp. was incorporated in 2009 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Novo Resources generates revenue through the exploration, development, and eventual production of gold from its mining projects. The company primarily earns money by discovering and developing gold deposits, which can then be sold to refiners or through contracts with other mining companies. Key revenue streams include the sale of gold produced from its mining operations, as well as potential joint ventures or partnerships with other mining firms that may involve sharing exploration and development costs. Additionally, Novo Resources may enter into strategic alliances to leverage technology or expertise that enhances their mining efficiency, contributing to their earnings.

Novo Resources Financial Statement Overview

Summary

Overall financial quality is weak: income statement and cash flow scores are very low due to no reported revenue, ongoing losses, and persistent negative free cash flow. The main offset is a relatively stronger balance sheet with very low leverage, but losses and cash burn still dominate the financial picture.

Income Statement

Profitability remains weak with persistent losses across periods and no revenue reported in the latest TTM (Trailing-Twelve-Months) and 2024 results. Losses have narrowed versus 2023 (net loss improved materially from 2023 to 2024 and again in TTM), but the business is still generating negative gross profit and deeply negative operating results, indicating limited near-term earnings power without a meaningful revenue ramp.

Balance Sheet

The balance sheet is a relative strength: leverage is very low in recent periods (TTM debt-to-equity ~0.005; 2024 ~0.006), providing flexibility and lowering refinancing risk. However, shareholder returns are negative (TTM return on equity about -23%), reflecting ongoing losses and continued pressure on equity value over time.

Cash Flow

Cash generation is a key concern with negative operating cash flow and negative free cash flow in every period shown. There is improvement in cash burn versus 2023 (operating and free cash outflows are substantially smaller in 2024 and further in TTM), but TTM free cash flow still deteriorated versus 2024 (negative growth), highlighting ongoing funding dependence until operations turn self-sustaining.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	92.04M	112.24M	0.00
Gross Profit	-921.00K	-2.15M	-5.96M	-23.64M	1.48M	-2.07M
EBITDA	-12.27M	-19.07M	-43.05M	15.52M	39.87M	-29.78M
Net Income	-15.67M	-23.23M	-127.81M	-105.42M	-704.00K	-27.80M
Balance Sheet
Total Assets	86.42M	85.27M	106.45M	256.16M	462.68M	371.44M
Cash, Cash Equivalents and Short-Term Investments	2.41M	10.80M	11.76M	48.08M	32.45M	40.69M
Total Debt	343.00K	427.00K	1.61M	6.60M	80.49M	75.11M
Total Liabilities	17.57M	15.78M	21.53M	68.19M	148.42M	126.97M
Stockholders Equity	68.85M	69.50M	84.92M	187.97M	314.26M	244.47M
Cash Flow
Free Cash Flow	-11.58M	-16.73M	-49.13M	-51.66M	-38.33M	-27.76M
Operating Cash Flow	-11.58M	-16.73M	-47.43M	-46.19M	-19.66M	-10.73M
Investing Cash Flow	10.72M	19.69M	-1.47M	119.69M	-7.76M	-77.83M
Financing Cash Flow	-2.79M	-3.81M	12.83M	-57.87M	19.63M	100.41M

Novo Resources Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.12
• 50DMA: Positive
• 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:NVO, the sentiment is Neutral. The current price of 0.12 is below the 20-day moving average (MA) of 0.18, below the 50-day MA of 0.14, and above the 200-day MA of 0.12, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 46.07 is Neutral, neither overbought nor oversold. The STOCH value of 24.69 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:NVO.

Novo Resources 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%
WHN	55 Neutral	C$60.87M	-31.76	-3.80%	―	―	58.19%
LVG	53 Neutral	C$50.74M	-12.21	-27.62%	―	―	40.00%
RDG	52 Neutral	C$32.88M	74.19	2.73%	―	―	―
BTR	50 Neutral	C$37.17M	-3.78	-67.80%	―	―	42.48%
NVO	47 Neutral	C$53.19M	-3.39	-21.84%	―	―	―
QIM	42 Neutral	C$29.62M	-2.16	-82.25%	―	―	-107.64%

Novo Resources Corporate Events

Novo Resources Unveils 2025 Sustainability Report, Emphasizing Integrity and Environmental Commitment

Novo Resources has released its 2025 Sustainability Report, emphasizing its commitment to sustainable business practices through integrity, community development, and environmental respect. The report outlines the company’s initiatives and progress in ethical governance, employee and community support, and minimizing environmental impact, reinforcing its dedication to long-term value creation for stakeholders.

Novo Resources Unveils Updated Investor Presentation Highlighting 2025 Milestones

Novo Resources has released an updated corporate presentation detailing its exploration and development activities for its key gold projects in Australia. The presentation highlights recent drilling results, strategic priorities, and upcoming milestones for 2025, underscoring Novo’s commitment to delivering shareholder value through focused exploration and responsible resource development.

Novo Resources Unveils Promising Gold and Antimony Exploration Results in Pilbara

Novo Resources Corp. has reported promising exploration results from its Teichman area in the Egina Gold Camp, revealing high-grade gold and antimony findings. The company is advancing its exploration efforts with significant rock chip assay results, indicating potential for further development and drilling, particularly at the Sherlock Crossing prospect, which remains open at depth. These findings underscore Novo’s strategic focus on unlocking the gold and antimony potential in the region, enhancing its industry positioning and offering promising implications for stakeholders.

Novo Resources Advances Exploration at Tibooburra Gold Project

Novo Resources Corp. has announced significant advancements in its exploration activities at the Tibooburra Gold Project in New South Wales. The company has identified new high-grade gold targets through rock chip sampling, with notable results from Pioneer North and South. The exploration has enhanced geological understanding, supporting further drilling assessments. Additionally, Novo has secured an exploration license covering 350 sq km, consolidating its position in the region. The company is also progressing regulatory approvals for drilling at the John Bull Gold Project, indicating a strategic expansion of its exploration efforts.

Novo Resources Advances Exploration at Tibooburra Gold Project

Novo Resources has announced significant progress in its exploration activities at the Tibooburra Gold Project in New South Wales. The company has identified new high-grade gold targets through rock chip sampling, with notable results from Pioneer North and South. The exploration has improved geological understanding, supporting further drilling plans to assess high-grade shoots. Additionally, Novo has secured regulatory approvals for drilling at the John Bull project, with ongoing negotiations for landholder access, indicating a strategic expansion in its exploration efforts.