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Silver Spruce Resources (TSE:SSE)
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Silver Spruce Resources (SSE) AI Stock Analysis

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TSE:SSE

Silver Spruce Resources

(SSE)

Rating:32Underperform
Price Target:
Silver Spruce Resources faces significant financial challenges with no revenue and negative profitability metrics, severely impacting the overall score. Technically, the stock shows limited momentum and faces valuation concerns with a negative P/E ratio. While strategic changes in corporate governance could offer some future potential, they do not currently offset the substantial financial and operational risks.

Silver Spruce Resources (SSE) vs. iShares MSCI Canada ETF (EWC)

Silver Spruce Resources Business Overview & Revenue Model

Company DescriptionSilver Spruce Resources Inc., a junior exploration company, explores for precious and base minerals. The company primarily explores for copper, zinc, lead, silver, gold, and rare earth elements. It holds 100% interests in the Pino de Plata project located in southwest corner of the state of Chihuahua, Mexico; and the Melchett Lake project situated in the Thunder Bay mining district, Northern Ontario, Canada. The company also holds an agreement to acquire 50% interests in the Jackie Gold project located in Sonora, Mexico; the El Mezquite project situated in eastern Sonora, Mexico; and the Diamante project located in eastern Sonora, Mexico, as well as 100% interests in the Mystery, Marilyn, and Till properties situated to Grand Falls, Newfoundland, Canada. The company was formerly known as First Labrador Acquisitions Inc. and changed its name to Silver Spruce Resources Inc. in October 2004. Silver Spruce Resources Inc. was incorporated in 1996 and is headquartered in Bedford, Canada.
How the Company Makes MoneySilver Spruce Resources generates revenue primarily through the exploration and potential development of mineral properties. The company acquires promising mineral exploration rights and invests in exploration activities to assess the viability and value of these properties. Revenue is typically derived from selling or leasing these rights to larger mining companies, or through joint ventures and partnerships that allow for shared development costs and revenue sharing. Additionally, the company may raise funds through equity financing, issuing shares to investors to support its exploration and development activities. The success of these ventures largely depends on the discovery of economically viable mineral deposits and favorable market conditions for metals.

Silver Spruce Resources Financial Statement Overview

Summary
Silver Spruce Resources exhibits severe financial distress across all financial statements. The absence of revenue, negative profitability metrics, and deteriorating balance sheet position raise significant concerns about its viability and ability to sustain operations. Immediate strategic changes are essential to reverse the negative trends and improve financial health.
Income Statement
20
Very Negative
Silver Spruce Resources has consistently reported zero revenue over the analyzed periods, indicating significant challenges in generating income. The company also faces negative EBIT, EBITDA, and net income, reflecting persistent operating and net losses without any improvement in profitability.
Balance Sheet
15
Very Negative
The balance sheet reveals a concerning financial position with negative stockholders' equity, suggesting potential solvency issues. While the company has no debt, the large negative equity ratio and mounting liabilities pose significant risks to financial stability.
Cash Flow
25
Negative
The company shows negative operating and free cash flows, indicating ongoing cash outflows and an inability to generate positive cash from operations. Despite some financing inflows, the reliance on external financing is unsustainable without revenue improvement.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue0.000.000.000.000.00
Gross Profit0.00-19.36K-19.36K-17.75K0.00
EBITDA-928.50K-962.84K-1.48M-2.29M-1.02M
Net Income-961.78K-1.05M-1.54M-2.39M-782.44K
Balance Sheet
Total Assets112.06K410.71K385.22K1.47M1.42M
Cash, Cash Equivalents and Short-Term Investments2.19K377.58K221.93K1.18M1.27M
Total Debt0.001.73K21.98K41.24K27.55K
Total Liabilities354.07K213.45K354.65K311.83K111.75K
Stockholders Equity-242.01K197.26K30.57K1.16M1.31M
Cash Flow
Free Cash Flow-714.61K-1.01M-1.18M-2.02M-973.05K
Operating Cash Flow-714.61K-1.01M-1.18M-2.02M-973.05K
Investing Cash Flow0.000.000.000.000.00
Financing Cash Flow339.22K1.17M227.56K1.92M2.09M

Silver Spruce Resources Peers Comparison

Overall Rating
UnderperformOutperform
Sector (67)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
67
Neutral
$15.28B9.736.25%5.18%4.49%-71.88%
56
Neutral
C$125.72M-122.83%-370.49%
50
Neutral
C$40.27M-53.99%43.11%
36
Underperform
C$9.49M-31.93%-9.80%
34
Underperform
C$10.18M23.81-54.27%-51.30%
32
Underperform
C$1.62M-707.40%35.71%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:SSE
Silver Spruce Resources
0.01
0.00
0.00%
TSE:NOB
Noble Mineral Exploration
0.04
-0.01
-20.00%
TSE:NIM
Nicola Mining
0.71
0.35
97.22%
TSE:GWM
Galway Metals
0.36
-0.06
-14.29%
TSE:SIC
Sokoman Minerals Corp
0.03
-0.01
-25.00%

Silver Spruce Resources Corporate Events

Business Operations and Strategy
Silver Spruce Resources Drops Option on Mystery Au Project
Negative
Mar 31, 2025

Silver Spruce Resources has decided to drop its option to earn a 100% interest in the Mystery Au Project in Newfoundland and Labrador, citing current junior market conditions as a reason for returning the property to the vendors. The decision comes despite the company’s belief in the property’s potential, indicating a strategic shift in focus due to market challenges.

Executive/Board ChangesBusiness Operations and Strategy
Silver Spruce Resources Strengthens Advisory Board with New Appointments
Positive
Mar 19, 2025

Silver Spruce Resources Inc. has appointed Paul K. Smith and William Fleming to its Advisory Board, aiming to leverage their extensive experience in geology and corporate governance to drive the company’s growth. This strategic move is expected to enhance Silver Spruce’s operational capabilities and strengthen its position in the mineral exploration industry, potentially benefiting stakeholders through improved project development and increased market presence.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Apr 06, 2025