Starcore International Mine (SAM) AI Stock Analysis

• Market Cap: C$18.39M
• Dividend Yield: N/A
• Average Volume (3M): 61.28K
• Price to Earnings (P/E): 6.5
• Beta (1Y): 0.88
• Revenue Growth: 32.89%
• EPS Growth: N/A
• Country: CA
• Employees: 53
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Industrial Materials
• EPS (TTM): 0.04
• Shares Outstanding: 66,863,520
• 10 Day Avg. Volume: 43,187
• 30 Day Avg. Volume: 61,278
• PEG Ratio: <0.01
• Price to Book (P/B): 0.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.33
• 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

• Rating: 78 Outperform
• Price Target: C$0.50 ▲(78.57%Upside)

Starcore International Mines demonstrates strong financial performance with robust revenue growth and improved profitability. The technical indicators suggest positive momentum, reinforced by recent corporate events that enhance operational efficiency and exploration potential. The low P/E ratio indicates a potential undervaluation, making it an attractive investment candidate. However, attention to liquidity management and historical cash flow volatility remains necessary.

Starcore International Mine Business Overview & Revenue Model

Company Description

Starcore International Mines Ltd. is a Canadian mining company engaged primarily in the exploration, extraction, and production of precious metals. The company's operations are predominantly focused on gold and silver mining within its properties located in Mexico. Starcore is committed to developing its assets to maximize shareholder value through sustainable and efficient mining practices.

How the Company Makes Money

Starcore International Mines Ltd. generates revenue through the sale of precious metals, primarily gold and silver, extracted from its mining operations. The company sells produced metals to market refineries and brokers, securing income based on the prevailing market prices of these commodities. Additionally, Starcore may engage in joint ventures or partnerships with other mining entities to optimize its resource extraction and operational efficiency, further contributing to its revenue streams. The company's financial performance is influenced by factors such as commodity prices, operational costs, and production volumes.

Starcore International Mine Financial Statement Overview

Summary

Starcore International Mine exhibits a robust revenue growth trajectory and improved profitability in recent periods. The balance sheet is strong with low leverage and high equity levels, though liquidity management requires attention due to fluctuating cash flows. While the company has demonstrated positive trends, the historical volatility in performance and recent negative cash flows highlight areas for improvement.

Income Statement

The company has shown a positive trend in revenue growth over the past years, with Total Revenue increasing from $22.9M in 2023 to $32.1M in TTM. The Gross Profit Margin improved significantly in the TTM period, reaching approximately 25.2%, compared to negative margins in 2023. The Net Profit Margin in the TTM period is about 9.7%, indicating a healthy profitability level. However, historical volatility in EBIT and negative margins in prior years highlight some operational challenges.

Balance Sheet

The company's Debt-to-Equity Ratio is low, indicating conservative leverage, with Total Debt at $610K against Stockholders' Equity of $40.4M. The Equity Ratio is strong at approximately 75.3%, suggesting a stable capital structure. Despite these strengths, fluctuations in cash reserves and net debt levels suggest potential liquidity management issues.

Cash Flow

Free Cash Flow has been negative in the TTM period at -$2.49M, showing a decline in cash generation from the previous year. The Operating Cash Flow to Net Income Ratio is stable, but negative Free Cash Flow indicates challenges in capital expenditure management. Positive trends in Operating Cash Flow suggest underlying strength in cash generation capabilities.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
32.13M	28.33M	22.91M	25.68M	26.80M	24.82M
	Gross Profit
8.10M	5.19M	-1.50M	5.31M	6.40M	1.98M
	EBIT
2.96M	1.26M	-4.92M	1.50M	3.38M	-1.49M
	EBITDA
4.01M	901.00K	-637.00K	6.36M	6.05M	1.95M
	Net Income Common Stockholders
3.13M	1.63M	-5.26M	2.40M	2.89M	-3.63M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.67M	5.66M	7.08M	9.31M	5.17M	2.10M
	Total Assets
53.69M	51.97M	50.91M	52.04M	46.47M	54.41M
	Total Debt
610.00K	758.00K	384.00K	898.00K	947.00K	4.90M
	Net Debt
-1.73M	-4.57M	-2.30M	-7.92M	-3.44M	2.79M
	Total Liabilities
13.27M	11.37M	12.13M	11.99M	10.19M	17.11M
	Stockholders Equity
40.42M	40.60M	38.78M	40.05M	36.28M	37.30M
Cash Flow		Free Cash Flow
-2.49M	-854.00K	-3.83M	3.08M	6.15M	-375.00K
	Operating Cash Flow
3.17M	1.89M	-2.32M	5.83M	7.73M	2.74M
	Investing Cash Flow
-5.25M	-2.19M	-1.47M	-1.02M	-1.12M	-1.28M
	Financing Cash Flow
-192.00K	-390.00K	553.00K	-611.00K	-3.96M	-2.45M

Starcore International Mine Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.28
• 50DMA: Positive
• 100DMA: Positive
• 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:SAM, the sentiment is Positive. The current price of 0.28 is above the 20-day moving average (MA) of 0.27, above the 50-day MA of 0.24, and above the 200-day MA of 0.17, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 64.07 is Neutral, neither overbought nor oversold. The STOCH value of 55.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SAM.

Starcore International Mine Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAM	78 Outperform	C$18.39M	6.53	8.22%	―	32.89%	―
Sector *	51 Neutral	$2.04B	-1.15	-21.24%	3.95%	2.91%	-30.44%
TGOL	44 Neutral	C$12.51M	―	-12.23%	―	―	-52.78%
CCE	42 Neutral	C$12.72M	―	-45.75%	―	―	-1014.38%
SME	40 Underperform	C$14.30M	2.60	24.42%	―	―	―
PX	38 Underperform	C$17.80M	―		―	―	28.70%
SUPR	32 Underperform	C$15.04M	―	-21.42%	―	―	9.29%

Starcore International Mine Corporate Events

Starcore International Mines Reports Successful Commissioning of New Processing Circuit

Starcore International Mines Ltd. announced its fourth-quarter production results for the San Martin Mine in Queretaro, Mexico. The company successfully commissioned a new processing circuit for carbonaceous ore, achieving significant production milestones with 5,000 tonnes of ore processed and 180 gold equivalent ounces produced. This development is expected to extend the mine’s life and enhance exploration potential, particularly in the San José mine area. The company continues to focus on sustainable growth and operational efficiency, maintaining its position in the precious metals industry.

Starcore Completes Auger Drilling at Kimoukro Gold Project

Starcore International Mines Ltd. has completed an auger drilling and soil geochemistry campaign at its Kimoukro gold project in Côte d’Ivoire. The campaign aimed to confirm previously identified gold anomalies and explore untested areas, resulting in the collection of 1,367 samples. Despite weather challenges, the drilling was successful, providing valuable data for future exploration efforts and potentially enhancing the company’s position in the gold mining sector.

Starcore Unveils Promising Geophysical Survey Results at Kimoukro Gold Project

Starcore International Mines Ltd. has announced the results of a geophysical survey conducted at its Kimoukro gold project in the Ivory Coast. The survey, which included Induced Polarisation, Resistivity, and ground Magnetic methods, identified multiple moderate-to-strong chargeability anomalies that will guide future drilling targets. The findings highlight significant structural features and potential mineralized zones, which could enhance Starcore’s exploration efforts and strengthen its position in the gold mining sector.

Starcore Advances Exploration at Kimoukro Gold Project

Starcore International Mines Ltd. has announced advancements in the exploration of its Kimoukro Gold Project located in the Fetekro-Oumé greenstone belt in Côte d’Ivoire. This region is known for its rich gold deposits, and the project is strategically positioned near other significant mines. The geological conditions, characterized by complex structural features and favorable mineralization conditions, suggest promising potential for gold discovery, which could enhance Starcore’s operations and strengthen its position in the mining industry.

Starcore Achieves Breakthrough in Carbonaceous Ore Processing at San Martin

Starcore International Mines Ltd. has announced successful test results for processing carbonaceous ore at its San Martin mine, achieving over 80% gold and 63% silver recovery rates. This development allows for the continuous processing of carbonaceous ore, expected to significantly increase cash flow and resource estimates, marking a major advancement for the company’s operations.

Starcore International Mines Reports Strong Q3 Earnings and Positive Outlook

Starcore International Mines Ltd. reported its financial results for the third quarter ending January 31, 2025, highlighting a return to full production with earnings from mining operations reaching $2.1 million and positive cash flow. The company achieved gold and silver sales of $9.0 million and anticipates further increases in metal production following the completion of carbonaceous ore tests, which could enhance its market positioning and stakeholder value.