Pasinex Resources (PSE) AI Stock Analysis

• Market Cap: C$19.46M
• Dividend Yield: N/A
• Average Volume (3M): 74.51K
• Price to Earnings (P/E): ―
• Beta (1Y): -2.07
• Revenue Growth: N/A
• EPS Growth: -269.70%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): N/A
• Shares Outstanding: 204,813,870
• 10 Day Avg. Volume: 59,040
• 30 Day Avg. Volume: 74,513
• PEG Ratio: 1.75
• Price to Book (P/B): 20.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -8.90
• 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: 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: 48 Neutral
• Price Target: C$0.09 ▲(17.50% Upside)
• Action: Reiterated Date: 02/19/26
• Date: Action: Reiterated 02/19/26

The score is held down primarily by weak financial performance (ongoing losses and cash burn, with a fragile balance sheet). Technical indicators provide some offset via improving price trend and positive MACD, but valuation remains unfavorable/limited by negative earnings and no dividend data.

Positive Factors

Operating business model

Pasinex operates a clear, cash-generating business model built around producing and selling zinc-rich ore from Turkish mines. Ownership of producing assets provides a durable revenue mechanism tied to physical commodity production and contract terms, supporting long-term operational continuity.

Balance sheet scale increase

The doubling of total assets to $7.55M in 2025 signals measurable scale expansion of the company's asset base. Larger asset scale can enable higher production capacity or collateral for financing, improving strategic optionality and the company's ability to support operations or development over the medium term.

Equity turnaround

Equity moving from negative to a positive $0.70M reflects a repair in the capital structure versus prior years of deficit. Restoring positive equity reduces insolvency risk, modestly strengthens lender and stakeholder confidence, and gives management a firmer base for pursuing operational improvements or financing.

Negative Factors

Persistent cash burn

Sustained negative operating and free cash flows in 2024–2025 indicate ongoing cash consumption from core operations, forcing dependency on external financing or asset sales. This pattern undermines internal funding for sustaining capex and growth and raises risks to operational continuity absent durable cash-flow improvement.

Worsening profitability

Declining EBIT and deeper net losses in 2025 demonstrate deteriorating operational profitability. Persistent negative earnings limit the company's ability to self-finance, weaken retained earnings accumulation, and make it harder to absorb commodity price or cost shocks over the medium term without structural changes to margins or volumes.

Elevated leverage vs thin equity

High debt relative to a small equity base and prior equity deficits create a fragile capital structure. Leverage magnifies cash-flow strain from losses and increases refinancing and covenant risk, constraining strategic flexibility and raising the chance management must divert resources to servicing debt rather than investing in operations.

Pasinex Resources Business Overview & Revenue Model

Company Description

Pasinex Resources Limited engages in the acquisition, exploration, and development of mineral properties. It explores for zinc, lead, silver, and copper deposits. The company holds a 50% interest in the Pinargozu zinc mine; and the Akkaya property located in Adana Province, Turkey. It also holds an option to acquire 80% interest in the Gunman zinc exploration project in Nevada. The company was incorporated in 2006 and is headquartered in Toronto, Canada.

How the Company Makes Money

Pasinex Resources makes money primarily through the extraction and sale of zinc concentrate from its joint venture operations at the Pinargozu mine. Revenue is generated from the sale of zinc concentrate to third-party buyers in the market, where prices are influenced by global supply and demand dynamics. The company's financial performance is also impacted by the operational efficiency of its mining activities, the cost of production, and the quality of the mineral resources being extracted. Strategic partnerships, particularly the joint venture with Akmetal AS, play a crucial role in the company's operational capabilities and access to mining projects.

Pasinex Resources Financial Statement Overview

Summary

Financial performance is weak: EBIT and net income losses widened in 2025, and operating cash flow/free cash flow remain meaningfully negative. While assets increased and equity turned positive in 2025, the capital structure looks fragile given elevated debt versus thin equity and a history of negative equity.

Income Statement

Profitability is weak and deteriorating: EBIT fell to -$2.35M in 2025 (from -$1.58M in 2024) and net income also worsened to -$2.97M (from -$2.65M). Reported revenue is $0 across all periods provided, which limits evidence of operating scale and makes margin signals uninformative. A notable exception is 2022, which showed positive net income ($2.04M) despite negative EBIT—suggesting earnings were likely driven by non-operating items rather than a sustainably profitable core business.

Balance Sheet

Leverage and equity volatility are the core issues. Total debt remains elevated at $3.35M in 2025, while equity is thin at $0.70M, following periods of negative equity (2024: -$1.34M; 2021: -$1.12M; 2020: -$1.34M). Total assets increased to $7.55M in 2025 (from $3.56M in 2024), which helps the scale of the balance sheet, but the capital structure still looks fragile given the history of negative equity and debt levels that can pressure financial flexibility.

Cash Flow

Cash generation is consistently negative in recent years: operating cash flow was -$1.58M in 2025 and -$1.55M in 2024, with free cash flow also negative (-$1.59M in 2025; -$1.56M in 2024). Free cash flow declined further in 2025 (growth -32.5%), indicating worsening cash burn. The main bright spot is 2022, when operating cash flow and free cash flow were strongly positive (~$1.84M), but that improvement did not persist into 2023–2025.

Breakdown	Dec 2025	Jun 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	-1.91K	-2.16K	0.00
EBITDA	-2.35M	-2.62M	-2.05M	-1.73M	-1.14M
Net Income	-2.97M	-2.65M	-310.00K	2.04M	-130.00K
Balance Sheet
Total Assets	7.55M	3.56M	3.02M	4.08M	2.87M
Cash, Cash Equivalents and Short-Term Investments	562.13K	542.01K	177.28K	855.57K	100.03K
Total Debt	3.35M	4.28M	2.53M	2.44M	2.93M
Total Liabilities	6.84M	4.90M	2.98M	3.56M	3.99M
Stockholders Equity	700.43K	-1.34M	47.97K	517.17K	-1.12M
Cash Flow
Free Cash Flow	-1.59M	-1.56M	-556.22K	1.84M	-509.64K
Operating Cash Flow	-1.58M	-1.55M	-554.40K	1.84M	-480.03K
Investing Cash Flow	-1.12M	-1.70K	-1.82K	-2.04K	-29.61K
Financing Cash Flow	3.11M	1.58M	-50.00K	-634.62K	580.00K

Pasinex Resources Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.08
• 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:PSE, the sentiment is Neutral. The current price of 0.08 is below the 20-day moving average (MA) of 0.10, below the 50-day MA of 0.10, and below the 200-day MA of 0.08, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 47.97 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 Neutral sentiment for TSE:PSE.

Pasinex Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPL	62 Neutral	C$22.98M	44.68	3.69%	―	18.73%	-91.64%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SRA	49 Neutral	C$25.62M	-84.34	16.97%	―	―	―
MN	49 Neutral	C$27.96M	-18.94	-78.78%	―	―	29.85%
STE	49 Neutral	C$29.43M	-24.60	-6.76%	―	―	78.16%
PSE	48 Neutral	C$19.46M	-5.85	-184.63%	―	―	-269.70%
SMY	45 Neutral	C$17.18M	-10.63	-6.20%	―	―	-205.83%

Pasinex Resources Corporate Events

Pasinex Raises Capital and Aligns Turkish Operations in Strategic Update

Pasinex Resources has launched a non-brokered private placement of up to 15 million units at C$0.10 each to raise about C$1.5 million, with C$1.1 million already committed. The funds will support exploration at the Sarikaya project, mining development at the Pinargozu zinc mine and general working capital, following a recent C$3.34 million debt conversion on similar terms.

Operationally, the company reports continued production and sales of high-grade zinc sulfide from Pinargozu, ongoing site infrastructure upgrades and no lost-time accidents at its Turkish projects. Pasinex has also aligned governance across its Turkish subsidiaries by appointing a unified leadership team to strengthen operational management and financial oversight as it advances production and development activities.

The most recent analyst rating on (TSE:PSE) stock is a Hold with a C$0.11 price target. To see the full list of analyst forecasts on Pasinex Resources stock, see the TSE:PSE Stock Forecast page.

Pasinex takes full control of Turkish zinc assets as losses narrow in transformational 2025

Pasinex Resources reported its financial results for the three and twelve months ended December 31, 2025, marking what it called a transformational year of structural change and asset consolidation. The company changed its year end to March 31 and will report a 15‑month transitional period to better align its reporting with industry peers.

In 2025 Pasinex moved from a joint venture model to full ownership of its core zinc assets, acquiring the remaining 50% of Horzum A.Ş. and thereby securing 100% control of the producing Pinargozu high‑grade zinc mine in Türkiye. It also completed the purchase of Aydın Teknik A.Ş., adding the Sarıkaya lead‑zinc operating license and further expanding its Turkish zinc portfolio.

The miner posted a net loss of $1.8 million in the fourth quarter and $3.0 million for the year, slightly widening the annual loss compared with 2024 despite an improvement in the quarterly result. Management attributed the higher full‑year loss largely to an equity loss from Horzum while it was under trustee management and to elevated legal, professional and administrative costs tied to the acquisitions and restructuring.

These one‑time costs helped swing shareholders’ equity from a deficit to a modest surplus, while total assets more than doubled year‑on‑year, reflecting the consolidation of Horzum and the Sarıkaya acquisition. With the transactions completed and Horzum now fully consolidated in its accounts, Pasinex expects general and administrative expenses to normalize, supporting improved cost discipline and clearer exposure to production performance at one of the world’s highest‑grade zinc mines.

The most recent analyst rating on (TSE:PSE) stock is a Hold with a C$0.11 price target. To see the full list of analyst forecasts on Pasinex Resources stock, see the TSE:PSE Stock Forecast page.

Pasinex Cuts Debt with C$3.3 Million Shares-for-Debt Deal and Convertible Option

Pasinex Resources has completed a shares-for-debt transaction, issuing 33,405,205 common shares at C$0.10 each to settle C$3.34 million in liabilities owed to a group of creditors, including entities controlled by members of its board and senior leadership, in a move aimed at strengthening its balance sheet by reducing outstanding obligations. In tandem, the company amended a remaining C$2.05 million in debt to give participating creditors the option, for up to 36 months, to convert all or part of that balance into equity at the same C$0.10 price or be repaid in cash, a structure that both enhances Pasinex’s financial flexibility and underscores related-party participation under regulatory exemptions, with potential dilution balanced against improved financial stability for shareholders and other stakeholders.

The most recent analyst rating on (TSE:PSE) stock is a Hold with a C$0.09 price target. To see the full list of analyst forecasts on Pasinex Resources stock, see the TSE:PSE Stock Forecast page.

Pasinex Secures Full Control of Horzum and Advances Pinargözü Mine Development

Pasinex Resources has completed the transfer of all shares of Horzum A.Ş., giving its Turkish subsidiary Pasinex Arama full 100% ownership of the company that operates the high-grade Pinargözü zinc mine in Adana Province, Türkiye, and paving the way for a reconstituted board, updated governance and execution of its 2026 operational plan. The company reports ongoing operational progress at Pinargözü, including new infrastructure such as a material loading and sorting area, office upgrades and secured stock areas, steady production with roughly 340 tonnes of zinc sulphide now stockpiled at surface, evaluation of nearby processing facilities, and a health and safety program with no reported incidents, underscoring the mine’s readiness for expanded development and its importance to Pasinex’s growth strategy.

Pasinex Resources Gains Full Control of Pinargözü Zinc Mine; Launches Expansion Plan

Pasinex Resources has received approval from Türkiye’s General Directorate of Mining and Petroleum Affairs for full ownership of Horzum AS, which operates the Pinargözü zinc mine. The company plans a 1,000-metre development project to expand production capacity and access deeper zinc mineralization, aiming to extend the mine’s life and enhance shareholder value.