Radius Gold (RDU) AI Stock Analysis

• Market Cap: C$19.09M
• Dividend Yield: N/A
• Average Volume (3M): 196.81K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.50
• Revenue Growth: N/A
• EPS Growth: 21.15%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): >-0.01
• Shares Outstanding: 115,704,254
• 10 Day Avg. Volume: 223,773
• 30 Day Avg. Volume: 196,805
• PEG Ratio: 0.14
• Price to Book (P/B): 6.11
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -12.68
• 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: 49 Neutral
• Price Target: C$0.15 ▼(-0.67% Downside)

The score is held down primarily by the lack of revenue, recurring losses, and ongoing cash burn, which increase financing and dilution risk. Technical signals are modestly supportive and recent corporate actions are positive for project optionality, but valuation is difficult to justify with negative earnings.

Positive Factors

Strategic Land Acquisition

The strategic acquisition of additional land at Tierra Roja enhances the potential for significant mineral discoveries, which can attract investment and partnerships, bolstering future revenue opportunities.

Low Financial Leverage

Low financial leverage reduces financial risk, providing Radius Gold with greater flexibility to fund exploration activities and withstand industry volatility, supporting long-term stability.

Exploration Expansion

Expanding exploration efforts at Tierra Roja indicates a strategic move to enhance resource potential, which could lead to future discoveries and partnerships, strengthening the company's long-term growth prospects.

Negative Factors

Declining Assets

A decline in assets and equity may indicate funding challenges or asset depletion, which could hinder Radius Gold's ability to invest in exploration and development, impacting long-term viability.

Zero Revenue

The absence of revenue reflects the company's pre-revenue stage, typical of exploration firms, but underscores the challenge of achieving profitability without successful project development or asset sales.

Negative Cash Flows

Persistent negative cash flows highlight the company's reliance on external financing, posing a risk to its ability to sustain operations without significant mineral discoveries or partnerships.

Radius Gold Business Overview & Revenue Model

Company Description

Radius Gold Inc. engages in the acquisition and exploration of mineral properties. It explores for gold, silver, copper, zinc, and lead deposits. The company holds interests in the Holly and Banderas project located in Guatemala; the Maricela project covering an area of 155 hectares located in Sonora, Mexico; the Rambler project covering an area of 10,379-hectares located in Chihuahua, Mexico; and the Amalia project covering an area of 10,250 hectares, as well as the Plata Verde project covering an area of 300 hectares located in Chihuahua, Mexico. Radius Gold Inc. is headquartered in Vancouver, Canada.

How the Company Makes Money

Radius Gold makes money through the exploration and potential development of gold and silver properties. The company's revenue model is primarily based on the successful identification and development of mineral resources, which can lead to either the sale of these properties to larger mining companies or the establishment of joint ventures. Revenue can also be generated through option agreements, where Radius Gold grants other companies the right to acquire an interest in its projects in exchange for a series of cash and share payments, and often a commitment to fund further exploration work. Additionally, any significant mineral discoveries can increase the company's value and attract investment, contributing to its earnings. Partnerships and strategic alliances with other mining and exploration companies also play a crucial role in funding exploration activities and sharing the risks and rewards associated with mineral development.

Radius Gold Financial Statement Overview

Summary

Radius Gold's financial performance is reflective of its early-stage mining activities with no revenue and negative profitability. The company exhibits low financial leverage, which mitigates some risk, but ongoing negative cash flows and asset declines present significant financial challenges.

Income Statement

Radius Gold has consistently reported zero revenue over multiple periods, indicative of its pre-revenue stage or exploration phase typical in the mining industry. The company has negative net income, with a recent worsening trend in losses, highlighting ongoing operational challenges. The EBIT and EBITDA margins are negative, reflecting poor profitability.

Balance Sheet

The balance sheet shows a relatively low level of debt compared to equity, indicating low financial leverage which reduces financial risk. However, the declining trend in total assets and stockholders' equity suggests potential asset depletion or funding issues. The equity ratio is strong, suggesting a solid capital structure despite declining equity levels.

Cash Flow

Operating cash flows are negative, indicating that the company is not generating cash from its core operations. The free cash flow is also negative, suggesting ongoing capital requirements without corresponding inflows. The cash flow situation is precarious, with a consistent need for financing to sustain operations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-44.83K	-74.09K	-69.31K	-62.70K	-78.09K	-74.02K
EBITDA	-1.27M	-876.69K	-2.56M	-1.17M	-1.23M	-986.98K
Net Income	-1.32M	-956.00K	-2.64M	1.08M	-893.00K	-893.00K
Balance Sheet
Total Assets	2.50M	1.84M	2.36M	3.71M	2.80M	3.75M
Cash, Cash Equivalents and Short-Term Investments	2.03M	1.40M	1.92M	3.29M	2.27M	3.12M
Total Debt	85.51K	95.52K	81.94K	154.63K	218.89K	275.49K
Total Liabilities	546.05K	437.57K	171.88K	254.69K	303.22K	373.41K
Stockholders Equity	1.95M	1.40M	2.19M	3.46M	2.50M	3.38M
Cash Flow
Free Cash Flow	-1.09M	-673.89K	-2.19M	-1.10M	-1.09M	-1.05M
Operating Cash Flow	-1.08M	-666.56K	-2.15M	-1.10M	-1.09M	-1.05M
Investing Cash Flow	1.13M	107.23K	-210.54K	1.05M	433.12K	1.95M
Financing Cash Flow	701.78K	486.78K	1.85M	-60.51K	-37.85K	-27.05K

Radius Gold Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RDU, the sentiment is Positive. The current price of 0.15 is below the 20-day moving average (MA) of 0.15, above the 50-day MA of 0.14, and above the 200-day MA of 0.14, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 57.74 is Neutral, neither overbought nor oversold. The STOCH value of 88.89 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:RDU.

Radius Gold 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%
RDU	49 Neutral	C$19.09M	-13.41	-88.09%	―	―	21.15%
PMC	48 Neutral	C$42.06M	93.33	―	―	―	-56.52%
NBRK	48 Neutral	C$16.76M	122.73	13.19%	―	―	―
FFOX	45 Neutral	C$19.36M	-2.98	-130.54%	―	―	-47.82%
NINE	30 Underperform	C$17.35M	-13.49	-26.39%	―	―	54.76%

Radius Gold Corporate Events

Radius Gold Appoints New VP Exploration to Drive Project Growth

Radius Gold Inc. has appointed Alejandro Ly as Vice President of Exploration, leveraging his extensive experience in precious and base-metal systems to advance the company’s exploration portfolio. Mr. Ly will focus on the Tierra Roja copper project and utilize his connections in Peru, Mexico, and the U.S. to expand the project pipeline. Despite delays in obtaining a final administrative access waiver, Radius is prepared to commence drilling at Tierra Roja, having completed all necessary preparations and secured required permits, except for the final authorization.