Spruce Ridge Resources (SHL) AI Stock Analysis

• Market Cap: C$31.65M
• Dividend Yield: N/A
• Average Volume (3M): 186.43K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: N/A
• EPS Growth: -17400.00%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Other Precious Metals
• EPS (TTM): <0.01
• Shares Outstanding: 226,096,800
• 10 Day Avg. Volume: 299,004
• 30 Day Avg. Volume: 186,428
• PEG Ratio: -0.28
• Price to Book (P/B): 0.73
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.73
• 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: 45 Neutral
• Price Target: C$0.20 ▲(150.00% Upside)

The score is weighed down primarily by weak financial performance (no TTM revenue, ongoing losses, and negative free cash flow), with limited valuation support due to a negative P/E and no dividend. Technicals are a partial offset due to strong momentum above key moving averages, though signals are very overbought, increasing pullback risk.

Positive Factors

Exploration Progress

The significant exploration progress on key properties suggests potential for future resource development, enhancing long-term growth prospects.

Debt-Free Balance Sheet

A debt-free balance sheet provides financial stability and flexibility, allowing the company to invest in growth opportunities without the burden of interest payments.

Potential Growth Opportunities

The exploration updates indicate potential for resource expansion, which could lead to increased valuation and strategic partnerships in the long term.

Negative Factors

Consistent Financial Losses

Ongoing financial losses undermine investor confidence and could hinder the company's ability to attract necessary capital for exploration and development activities.

No Revenue

The absence of revenue highlights severe operational challenges, questioning the viability of the business model and its ability to generate future earnings.

Negative Cash Flow

Persistent negative cash flow indicates operational inefficiencies and could limit the company's ability to fund new projects or weather economic downturns.

Spruce Ridge Resources Business Overview & Revenue Model

Company Description

Homeland Nickel, Inc. is a mineral exploration company, which engages in the acquisition, exploration and development of exploration, and evaluation properties. Its projects include Cleopatra property, Red Flat Nickel property, Eight Dollar Mountain, Shamrock property, and Benton option. The company was founded on April 4, 1989 and is headquartered in Toronto, Canada.

How the Company Makes Money

Spruce Ridge Resources generates revenue primarily through the exploration and development of its mineral properties, which involves identifying and confirming the presence of economically viable mineral deposits. The company makes money by either selling or leasing these properties to larger mining companies or by entering into joint ventures and partnerships to further develop and eventually produce minerals from these sites. Additionally, Spruce Ridge may engage in strategic transactions such as property sales or option agreements with other exploration and mining entities. The company's earnings are significantly influenced by commodity prices, exploration success, and its ability to secure partnerships and investment for its projects.

Spruce Ridge Resources Financial Statement Overview

Summary

Spruce Ridge Resources is facing severe financial challenges, with no revenue and consistent financial losses. While the balance sheet is stable with no debt, the negative cash flows and income highlight deep operational issues.

Income Statement

Spruce Ridge Resources shows no revenue in recent periods, with a significant negative net income and EBIT margin. The gross profit margin is negative due to the absence of revenue, indicating severe operational challenges. The company's financial performance shows consistent losses, which suggest a struggling core business model.

Balance Sheet

The company maintains a solid equity position, with a high equity ratio indicating financial stability. The absence of debt is a positive sign, reducing financial risk. However, the persistent negative net income affects return on equity, highlighting profitability issues.

Cash Flow

The cash flow analysis reveals negative operating and free cash flows, which can strain liquidity. The free cash flow growth rate is negative, and the operating cash flow to net income ratio is unfavorable, indicating inefficiencies in converting income to cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2023	Dec 2021	Dec 2021
Income Statement
Total Revenue	0.00	0.00	60.63K	0.00	0.00	131.39K
Gross Profit	-17.65K	-18.94K	-195.00K	-54.31K	-5.68K	-484.00K
EBITDA	-1.71M	-2.24M	-992.00K	345.59K	23.15M	-2.15M
Net Income	-1.74M	-4.97M	-5.81M	320.79K	21.67M	-10.66M
Balance Sheet
Total Assets	9.95M	10.11M	10.57M	14.43M	34.13M	16.84M
Cash, Cash Equivalents and Short-Term Investments	3.30M	3.87M	9.30M	7.44M	10.93M	7.45M
Total Debt	0.00	0.00	60.00K	0.00	60.00K	60.00K
Total Liabilities	449.73K	521.68K	159.16K	241.90K	1.91M	612.23K
Stockholders Equity	9.50M	9.53M	10.41M	13.10M	32.22M	16.22M
Cash Flow
Free Cash Flow	-1.77M	-1.61M	-449.93K	-1.42M	-1.39M	-3.15M
Operating Cash Flow	-1.75M	-1.61M	-397.27K	-257.34K	-1.34M	-3.02M
Investing Cash Flow	1.83M	1.75M	-102.66K	-777.16K	134.29K	-71.10K
Financing Cash Flow	0.00	0.00	0.00	992.99K	3.39M	1.63M

Spruce Ridge Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SHL, the sentiment is Positive. The current price of 0.08 is below the 20-day moving average (MA) of 0.09, below the 50-day MA of 0.09, and above the 200-day MA of 0.07, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 92.96 is Negative, neither overbought nor oversold. The STOCH value of 86.11 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:SHL.

Spruce Ridge Resources 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%
PEX	53 Neutral	C$16.91M	-1.58	-82.13%	―	―	1.73%
XGC	52 Neutral	C$13.54M	10.67	―	―	―	―
ATHA	52 Neutral	C$18.27M	9.33	19.89%	―	―	―
RRI	48 Neutral	C$21.31M	-11.65	-15.87%	―	―	-90.32%
SHL	45 Neutral	C$31.65M	-26.28	-17.20%	―	―	-17400.00%
NOB	36 Underperform	C$27.29M	-100.00	―	―	―	-970.00%

Spruce Ridge Resources Corporate Events

Homeland Nickel Forms Patriot Nickel Corp to Boost U.S. Presence

Homeland Nickel Inc. has announced the formation of Patriot Nickel Corp, a Delaware-registered private company, to enhance its exposure to strategic holdings in the United States. This partnership aligns with the ‘America First’ trend and focuses on building a domestic supply of nickel in Southern Oregon. The agreement includes Homeland optioning its Cleopatra and Eight Dollar Mountain properties to Patriot, receiving 20% of Patriot’s common shares, and staged cash payments. This strategic move is expected to benefit Homeland’s shareholders by attracting American investor interest and minimizing dilution, while also positioning the company advantageously within the U.S. regulatory system.

Homeland Nickel Expands Resource Base with New Acquisitions and Promising Assay Results

Homeland Nickel Inc. has announced promising assay results from its Josephine Creek Property in Southern Oregon, where it has staked 174 mining claims over nickel laterite lenses. The company plans to define an initial resource in 2026, leveraging its proximity to existing infrastructure and other properties. Additionally, Homeland has acquired more nickel laterite claims at Woodcock Mountain and staked additional properties, aiming to consolidate the best nickel laterite deposits in Southern Oregon. These strategic moves are expected to enhance Homeland’s resource base and strengthen its position in the nickel mining sector.