Seabridge Gold (SEA) AI Stock Analysis

• Market Cap: $1.59B
• Dividend Yield: N/A
• Average Volume (3M): 176.51K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.35
• Revenue Growth: N/A
• EPS Growth: 63.45%
• Country: CA
• Employees: 41
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Mining
• EPS (TTM): -0.14
• Shares Outstanding: 100,199,670
• 10 Day Avg. Volume: 261,873
• 30 Day Avg. Volume: 176,510
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 92.48
• Price to Cash Flow (P/CF): -121.50
• P/FCF Ratio: 0.00
• 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: C$43.31
• Price Target Upside: 173.43% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Seabridge Gold's overall score reflects severe financial challenges, primarily due to ongoing operational losses and lack of revenue. While the technical indicators suggest potential stabilization, the valuation metrics are unfavorable. The recent positive corporate event offers some optimism for future growth, but significant strategic changes are needed to address financial shortcomings.

Seabridge Gold Business Overview & Revenue Model

Company Description

Seabridge Gold (SEA) is a publicly traded natural resource company engaged in the acquisition, exploration, and development of gold properties primarily in North America. Established with the aim of increasing gold reserves for development and sale, Seabridge Gold focuses on projects that have the potential for large, low-cost production. The company's flagship project is the KSM Project located in British Columbia, Canada, which is one of the largest undeveloped gold projects in the world.

How the Company Makes Money

Seabridge Gold primarily makes money through the exploration and development of gold mining properties. The company's revenue model is focused on increasing gold reserves and enhancing the value of its projects, which can then be monetized through joint ventures, partnerships, or outright sales to larger mining companies. Key revenue streams include the sale of interests in its projects, especially as properties advance towards production. Significant factors contributing to its earnings include the rise in gold prices, successful exploration results, and strategic partnerships with major mining companies that can provide funding or expertise needed for the development of large-scale mining operations.

Seabridge Gold Financial Statement Overview

Summary

Seabridge Gold is grappling with severe financial challenges, marked by a lack of revenue and persistent operational losses. Despite a moderately stable balance sheet, negative cash flows and continual losses pose significant risks, necessitating strategic improvements in revenue generation and cost management.

Income Statement

Seabridge Gold's income statement reveals substantial challenges, primarily due to the absence of revenue generation. Despite being a mining company, it has reported zero revenue across multiple periods, resulting in gross and net profit margins that are effectively non-existent. The recurring negative EBIT and EBITDA reflect ongoing operational losses. The lack of revenue growth is a critical area of concern, indicating a need for strategic shifts to improve financial performance.

Balance Sheet

The balance sheet shows a moderately stable financial position with a reasonable level of stockholders' equity relative to total assets, resulting in an adequate equity ratio. The debt-to-equity ratio suggests manageable leverage, though there has been an increase in total debt over recent years. The return on equity is negative due to consistent net losses, which could be a potential concern if not addressed. Overall, while the financial structure is not overly leveraged, the ongoing losses are problematic.

Cash Flow

Seabridge Gold's cash flow statement demonstrates significant challenges, particularly with negative operating and free cash flows, indicating insufficient operational cash generation to cover capital expenditures. The free cash flow growth rate is negative, underscoring ongoing financial strain. The operating cash flow to net income ratio is unfavorable, reflecting poor cash conversion. These issues highlight the need for improved cash management and operational efficiency.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-289.00K	-385.00K	-156.00K	-168.00K	-36.00K	-36.00K
	EBIT
-19.41M	-17.44M	18.11M	-16.43M	-14.93M	-12.04M
	EBITDA
-13.22M	-17.06M	-22.66M	5.92M	-14.70M	-11.81M
	Net Income Common Stockholders
-12.66M	-29.27M	-7.39M	895.00K	-14.94M	-11.61M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
19.79M	86.19M	131.54M	44.13M	41.26M	15.94M
	Total Assets
425.96M	1.35B	1.10B	747.74M	647.82M	449.37M
	Total Debt
292.00K	575.32M	265.17M	272.00K	248.00K	274.00K
	Net Debt
-1.60M	492.89M	219.02M	-11.25M	-17.28M	-8.52M
	Total Liabilities
36.03M	621.04M	355.09M	45.41M	33.10M	34.35M
	Stockholders Equity
389.93M	729.92M	740.53M	702.33M	614.72M	415.02M
Cash Flow		Free Cash Flow
-161.03M	-251.70M	-191.28M	-85.31M	-169.32M	-38.10M
	Operating Cash Flow
-17.37M	-21.54M	-7.98M	-11.70M	-10.52M	-10.90M
	Investing Cash Flow
-158.90M	-202.90M	-286.44M	-78.68M	-180.46M	-14.77M
	Financing Cash Flow
108.45M	260.45M	325.83M	84.56M	199.72M	31.53M

Seabridge Gold Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 15.84
• 50DMA: Negative
• 100DMA: Negative
• 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:SEA, the sentiment is Negative. The current price of 15.84 is below the 20-day moving average (MA) of 16.40, below the 50-day MA of 17.02, and below the 200-day MA of 20.51, indicating a bearish trend. The MACD of -0.50 indicates Negative momentum. The RSI at 45.23 is Neutral, neither overbought nor oversold. The STOCH value of 48.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:SEA.

Seabridge Gold Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
AGI	80 Outperform	$14.53B	34.89	8.74%	0.43%	33.75%	32.86%
K	75 Outperform	$19.78B	14.42	14.66%	1.14%	16.53%	206.89%
ABX	74 Outperform	$45.98B	15.66	9.00%	2.23%	15.40%	72.49%
NGD	66 Neutral	$3.43B	24.62	11.14%	―	18.32%	―
BTO	54 Neutral	$4.96B	―	-18.54%	6.17%	-4.17%	-318.18%
Sector *	46 Neutral	$2.64B	-3.89	-29.36%	3.33%	2.89%	-29.66%
SEA	38 Underperform	$1.59B	―	-1.59%	―	―	63.45%

Seabridge Gold Corporate Events

Seabridge Gold Renews $100 Million ATM Offering Agreement

Seabridge Gold has renewed its At-The-Market (ATM) Offering agreement, allowing the company to raise up to $100 million through the sale of common shares on the NYSE, with proceeds potentially funding exploration, acquisitions, and corporate purposes. This move replaces a previous agreement, providing Seabridge with flexible funding options to support its strategic initiatives.

Seabridge Gold Advances Exploration at Iskut’s Snip North Target

Seabridge Gold has announced the results of its 2024 drill program at the Snip North target on the Iskut project, revealing significant copper and gold mineralization. The discovery, characterized by two distinct mineralization styles, extends over a considerable strike length and remains open for further exploration. The company plans to focus on delineating a mineral resource in 2025, enhancing its potential for future discoveries in the region.

Seabridge Gold’s KSM Project Faces New Legal Challenge

Seabridge Gold is facing a new legal challenge regarding its KSM Project from environmental groups questioning the project’s substantial start determination. Despite the opposition, the project has significant support from local Indigenous communities and municipalities, indicating strong regional backing. The court will hear this new petition alongside a previous one, with Seabridge confident in their evidence supporting the project’s progress.

Seabridge Gold’s KSM Project Faces Legal Challenge

Seabridge Gold’s KSM Project faces a legal challenge from the Tsetsaut Skii km Lax Ha, an Indigenous group contesting the project’s ‘substantially started’ status granted by British Columbia’s Environmental Assessment Office. The group argues that they were not properly consulted about this decision, which prevents the project’s environmental certificate from expiring. This development adds a layer of complexity to Seabridge’s progress, potentially impacting its financial prospects and stock performance.