Scotch Creek Ventures (SCV) AI Stock Analysis

• Market Cap: C$1.69M
• Dividend Yield: N/A
• Average Volume (3M): 7.42K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.60
• Revenue Growth: N/A
• EPS Growth: -70.47%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 26,046,091
• 10 Day Avg. Volume: 6,701
• 30 Day Avg. Volume: 7,424
• PEG Ratio: >-0.01
• Price to Book (P/B): -1.34
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.50
• 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: 40 Underperform
• Price Target: C$0.04 ▼(-28.33% Downside)
• Action: Downgraded Date: 01/31/26
• Date: Action: Downgraded 01/31/26

The score is driven primarily by very weak financial performance (no revenue, ongoing losses and cash burn, and negative equity). Technical indicators add downside risk with the stock trading below key moving averages and negative MACD, while valuation metrics are not supportive due to losses and no dividend.

Positive Factors

Declining net loss

A meaningful reduction in absolute net loss versus the prior annual period indicates progress toward cost containment or operational stabilization. If sustained, this trend reduces near-term recapitalization needs and improves the company's runway and strategic optionality over months.

Lower cash burn

Reduced operating cash outflow signals improved cash management or lower operating intensity. Persistently smaller negative cash flow extends surviving horizon without external financing, easing dilution risk and providing management time to execute strategic fixes or find revenue sources.

Low absolute debt load

Very modest absolute debt limits fixed-interest obligations and reduces near-term default pressure. Lower nominal leverage gives flexibility for restructuring or incremental borrowing if needed, though this benefit is contingent on resolving larger solvency and revenue issues.

Negative Factors

No revenue base

The absence of any revenue is a structural weakness: without product or service sales the firm cannot self-fund operations or demonstrate product-market fit. Long-term viability depends on building a revenue-generating business or persistent external capital, increasing execution risk.

Negative shareholders' equity

Negative equity is a durable solvency red flag that constrains financing options, undermines creditor confidence and raises recapitalization or restructuring risk. It often forces dilutive financings or asset sales, weakening long-term shareholder value unless corrected.

Persistent negative cash flow

Ongoing negative operating and free cash flow means the business relies on external funding to continue. This limits ability to invest in growth, increases vulnerability to capital market conditions, and is a sustained constraint until operating cash generation turns positive.

Scotch Creek Ventures Business Overview & Revenue Model

Company Description

Scotch Creek Ventures Inc. engages in the acquisition, exploration, and development of mineral properties in the United States. The company holds a 100% interest in the Cupz property comprising 39 unpatented lode mining claims covering an area of approximately 806 acres located in Esmeralda County, Nevada. It also holds interest in the Highlands West project covering an area of 5,960 acres located on the southwest side of Clayton Valley, Nevada; and the Macallan East project covering an area of 3,180 acres located on the southeast side of southern Clayton Valley, Nevada. The company was incorporated in 2017 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Scotch Creek Ventures makes money primarily through the exploration and development of lithium resources. Its revenue model is centered around the acquisition and enhancement of lithium-rich properties, which are either sold or partnered with larger mining companies for further development and production. SCV may also enter into joint ventures or strategic partnerships with industry players to share the financial burden of exploration and capitalize on shared expertise, thus reducing risk and accelerating project timelines. Additionally, the company might generate revenue through the sale of its exploration rights or by licensing its proprietary geological data and findings to other interested parties in the mining sector.

Scotch Creek Ventures Financial Statement Overview

Summary

Very weak fundamentals: no revenue base, persistent net losses, negative operating/free cash flow, and negative shareholders’ equity in the latest annual and TTM periods, indicating elevated solvency and financing risk. Slightly lower loss/cash burn vs. 2024 is a minor positive but does not offset the overall risk profile.

Income Statement

Across annual periods and TTM (Trailing-Twelve-Months), the company reports no revenue and consistently negative operating results. Losses remain significant (TTM net loss of ~6.6M) and profitability is structurally weak given the lack of a revenue base. A modest improvement versus 2024 annual net loss (~9.6M) is a positive, but earnings quality remains pressured by ongoing operating losses.

Balance Sheet

The balance sheet has deteriorated meaningfully: shareholders’ equity is now negative in 2024 annual and TTM (Trailing-Twelve-Months), which is a key solvency red flag and limits financial flexibility. Total debt is low in absolute terms (TTM ~60K; 2024 ~183K), but negative equity makes leverage risk harder to assess and increases recapitalization risk. Total assets are also small relative to the scale of recent losses.

Cash Flow

Cash generation is weak, with negative operating cash flow and negative free cash flow across periods (TTM operating cash flow ~-0.5M). Cash burn appears lower in TTM versus 2024 annual, which is a near-term positive, but the business remains dependent on external funding without a self-funding operating model. Free cash flow trends have been volatile, reflecting instability in spending and underlying operations.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	0.00	0.00
EBITDA	-3.82M	-9.58M	0.00	-3.80M	-2.05M	-202.85K
Net Income	-6.59M	-9.58M	-1.01M	-3.80M	-2.05M	-211.25K
Balance Sheet
Total Assets	97.51K	100.93K	9.20M	10.60M	10.28M	310.26K
Cash, Cash Equivalents and Short-Term Investments	6.63K	14.22K	218.71K	1.85M	6.22M	33.98K
Total Debt	60.00K	183.00K	0.00	0.00	0.00	116.00K
Total Liabilities	344.62K	543.51K	65.73K	708.68K	128.78K	251.72K
Stockholders Equity	-247.11K	-442.58K	9.14M	9.89M	10.16M	58.54K
Cash Flow
Free Cash Flow	-503.02K	-237.22K	-789.70K	-4.80M	-2.64M	-41.47K
Operating Cash Flow	-503.03K	-237.22K	-789.70K	-2.85M	-2.08M	-28.46K
Investing Cash Flow	4.80K	-150.28K	-937.10K	-1.99M	-564.89K	-13.00K
Financing Cash Flow	486.13K	183.00K	100.00K	470.19K	8.83M	69.21K

Scotch Creek Ventures Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.06
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SCV, the sentiment is Positive. The current price of 0.06 is above the 20-day moving average (MA) of 0.05, above the 50-day MA of 0.05, and above the 200-day MA of 0.06, indicating a bullish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 66.96 is Neutral, neither overbought nor oversold. The STOCH value of -41.67 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SCV.

Scotch Creek Ventures 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%
LION	49 Neutral	C$2.71M	-3.18	―	―	―	8.70%
RFLX	44 Neutral	C$1.77M	-1.96	-673.26%	―	―	-20.88%
SCV	40 Underperform	C$1.69M	-1.97	-246.26%	―	―	-70.47%
EDDY	36 Underperform	C$2.85M	-2.08	-9.82%	―	―	46.67%

Scotch Creek Ventures Corporate Events

Scotch Creek Ventures Cancels Planned Private Placement

Scotch Creek Ventures has decided not to proceed with its previously announced non-brokered private placement, with no securities issued under the proposal. The company plans to explore other financing options and may consider a private placement in the future, indicating a strategic reassessment of its financial approach.