Sherritt International (S) AI Stock Analysis

• Market Cap: C$62.04M
• Dividend Yield: N/A
• Average Volume (3M): 199.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: 13.25%
• EPS Growth: 31.69%
• Country: CA
• Employees: 6,963
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.03
• Shares Outstanding: 496,288,670
• 10 Day Avg. Volume: 305,099
• 30 Day Avg. Volume: 199,879
• PEG Ratio: -0.07
• Price to Book (P/B): 0.11
• Price to Sales (P/S): 0.40
• P/FCF Ratio: -1.93
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 53 Neutral
• Price Target: C$0.15 ▲(8.57% Upside)

The overall stock score of 53 reflects significant financial challenges, particularly in profitability and cash flow, which weigh heavily on the score. Positive technical indicators provide some support, suggesting short-term bullish momentum. However, the negative valuation metrics, including a negative P/E ratio, further impact the score negatively.

Positive Factors

Strategic Partnerships

Sherritt's strategic partnerships enhance its market reach and resource access, supporting long-term revenue stability and growth potential.

Revenue Growth

Positive revenue growth indicates expanding operations and market demand, particularly in the electric vehicle sector, supporting future profitability.

Diversified Operations

Diversification across metals and energy sectors reduces dependency on a single market, enhancing resilience against sector-specific downturns.

Negative Factors

Negative Profitability

Persistent negative profitability indicates challenges in cost management and revenue generation, potentially hindering long-term financial health.

Cash Flow Challenges

Severe cash flow issues limit the company's ability to reinvest in operations and manage debt, posing risks to sustainable growth and financial stability.

Declining Revenues

Decreasing revenues reflect potential market share loss or reduced demand, challenging the company's ability to maintain growth and profitability.

Sherritt International Business Overview & Revenue Model

Company Description

Sherritt International Corporation engages in the mining, refining, and sale of nickel and cobalt from lateritic sources primarily in Canada and Cuba. It operates through Moa Joint Venture and Fort Site, Metals Other, Oil and Gas, Power, and Technologies segments. The company produces and sells agriculture fertilizers in Western Canada; and provides additional fertilizer storage and administrative facilities in Fort Saskatchewan, Alberta, and Canada. It also explores for and produces oil and gas primarily from offshore reservoirs located in the north coast of Cuba. In addition, the company generates and sells electricity from natural gas and steam from the waste heat with a generating capacity of 506 megawatts, as well as provides technical support, process optimization, and technology development services. It operates two combined cycle plants at Varadero and Boca de Jaruco. The company was incorporated in 1927 and is based in Toronto, Canada.

How the Company Makes Money

Sherritt International generates revenue primarily through the sale of nickel and cobalt, which are sourced from its mining operations, particularly from its Ambatovy joint venture in Madagascar. The company has established long-term contracts with various customers for the supply of these metals, ensuring a steady revenue stream. Additionally, Sherritt earns income from its oil and gas operations, which involve the production and sale of hydrocarbons in Cuba. The company's revenue model is further bolstered by strategic partnerships, such as those with other mining companies and joint ventures, which provide access to additional resources and markets. Fluctuations in commodity prices, operational efficiency, and the global demand for nickel and cobalt, driven by the electric vehicle market, are significant factors influencing Sherritt's earnings.

Sherritt International Financial Statement Overview

Summary

Sherritt International faces substantial financial challenges, with negative profitability and cash flow difficulties. The income statement shows significant losses, and the cash flow analysis indicates severe issues in converting earnings into cash. The balance sheet is moderately stable with a balanced debt-to-equity ratio, but the negative return on equity highlights the need for strategic improvements.

Income Statement

Sherritt International's income statement reveals a challenging financial position. The TTM data shows a negative net profit margin of -31.86%, indicating significant losses relative to revenue. Revenue growth has been negative, with a decline of 4.57% in the TTM period. The gross profit margin has also decreased to 5.23%, reflecting reduced profitability. Despite these challenges, the company has managed to slightly improve its EBITDA margin to 2.05% in the TTM period, suggesting some operational efficiency improvements.

Balance Sheet

The balance sheet shows a moderate financial structure with a debt-to-equity ratio of 0.60, indicating a balanced use of debt and equity financing. However, the return on equity is negative at -9.01%, reflecting the company's inability to generate positive returns for shareholders. The equity ratio stands at 44.22%, suggesting a reasonable level of equity financing relative to total assets.

Cash Flow

Cash flow analysis indicates significant challenges, with a negative free cash flow growth rate of -92.06% in the TTM period. The operating cash flow to net income ratio is low at 0.02, highlighting difficulties in converting earnings into cash. The free cash flow to net income ratio is also negative, indicating cash flow issues relative to net losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	160.70M	158.80M	223.30M	178.80M	110.20M	119.80M
Gross Profit	8.40M	20.30M	-42.20M	16.10M	-30.80M	-38.10M
EBITDA	3.30M	-18.60M	-12.00M	135.50M	-19.10M	7.30M
Net Income	-51.20M	-72.80M	-64.60M	63.50M	-13.40M	-85.70M
Balance Sheet
Total Assets	1.23B	1.38B	1.39B	1.56B	1.40B	1.35B
Cash, Cash Equivalents and Short-Term Investments	17.80M	34.30M	119.10M	123.90M	145.60M	167.40M
Total Debt	324.40M	382.30M	366.60M	350.90M	444.50M	441.40M
Total Liabilities	686.80M	785.40M	777.00M	860.70M	813.00M	745.40M
Stockholders Equity	544.20M	597.40M	613.60M	694.90M	585.00M	606.80M
Cash Flow
Free Cash Flow	-3.50M	-32.90M	6.00M	60.20M	-15.10M	28.60M
Operating Cash Flow	5.30M	-26.10M	27.30M	88.70M	-4.40M	40.70M
Investing Cash Flow	5.20M	36.10M	-18.40M	-23.40M	-9.90M	-11.40M
Financing Cash Flow	-21.10M	7.10M	-11.70M	-93.30M	-6.90M	-26.40M

Sherritt International Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:S, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.13, above the 50-day MA of 0.13, and below the 200-day MA of 0.14, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 54.80 is Neutral, neither overbought nor oversold. The STOCH value of 79.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:S.

Sherritt International 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%
S	53 Neutral	C$62.04M	-0.94	-12.98%	―	13.25%	31.69%
NBM	42 Neutral	C$69.50M	-12.31	-450.88%	―	―	-38.68%
FPX	40 Underperform	C$136.94M	-39.91	-6.27%	―	―	-60.92%
WHY	39 Underperform	C$45.84M	-10.82	―	―	―	8.06%
LI	37 Underperform	$191.44M	―	-7.81%	―	―	59.70%
HPQ	26 Underperform	C$73.94M	-10.80	―	―	―	50.72%

Sherritt International Corporate Events

Sherritt International Completes Moa JV Expansion Amidst Strategic Cost Reductions

Sherritt International has completed its Moa Joint Venture expansion, marking a significant milestone in its operations. The company has implemented cost reduction initiatives expected to save $20 million annually, positioning itself to benefit from nickel and cobalt price recoveries. Despite challenges in the Cuban operating environment, Sherritt is advancing its recovery plan at Moa and anticipates long-term benefits from geopolitical shifts in critical mineral value chains.

The most recent analyst rating on (TSE:S) stock is a Hold with a C$0.25 price target. To see the full list of analyst forecasts on Sherritt International stock, see the TSE:S Stock Forecast page.

Sherritt International to Announce Q3 2025 Results

Sherritt International Corporation announced it will release its third quarter 2025 results on November 5, 2025, followed by a conference call and webcast on November 6, 2025. This announcement is significant for stakeholders as it provides insights into the company’s financial and operational performance, potentially impacting its market positioning and strategic initiatives in the nickel, cobalt, and energy sectors.

The most recent analyst rating on (TSE:S) stock is a Hold with a C$0.25 price target. To see the full list of analyst forecasts on Sherritt International stock, see the TSE:S Stock Forecast page.

Sherritt International Unveils 2024 Sustainability Reports with Key Advancements

Sherritt International has released its 2024 Sustainability Reports, highlighting significant advancements in health and safety, environmental stewardship, and responsible production. The company has implemented enhanced safety protocols and embarked on a low-capital-intensity tailings project to ensure environmentally responsible solutions. Sherritt’s commitment to ethical sourcing and production is demonstrated by achieving high standards in sustainable mining protocols and advancing partnerships with Indigenous communities. These efforts underscore Sherritt’s dedication to delivering lasting value to stakeholders and maintaining its social license to operate.

The most recent analyst rating on (TSE:S) stock is a Hold with a C$0.25 price target. To see the full list of analyst forecasts on Sherritt International stock, see the TSE:S Stock Forecast page.

Sherritt International Unveils 2024 Sustainability Achievements

Sherritt International has released its 2024 Sustainability Reports, highlighting significant advancements in health and safety, environmental stewardship, and responsible production. The company has implemented enhanced safety protocols, initiated a tailings project at Moa JV, and assessed climate-related risks to reduce GHG emissions. Sherritt also achieved high standards in responsible sourcing and strengthened its partnerships with Indigenous communities, aligning with global sustainability frameworks.

The most recent analyst rating on (TSE:S) stock is a Hold with a C$0.25 price target. To see the full list of analyst forecasts on Sherritt International stock, see the TSE:S Stock Forecast page.