Sanatana Resources (STA) AI Stock Analysis

• Market Cap: C$9.52M
• Dividend Yield: N/A
• Average Volume (3M): 253.83K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.65
• Revenue Growth: N/A
• EPS Growth: 52.02%
• Country: CA
• Employees: 3
• Sector: Energy
• Sector Strength: 46
• Industry: Gold
• EPS (TTM): -0.12
• Shares Outstanding: 14,648,995
• 10 Day Avg. Volume: 207,963
• 30 Day Avg. Volume: 253,831
• PEG Ratio: 0.04
• Price to Book (P/B): -1.43
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -0.90
• 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: 36 Underperform
• Price Target: ―

Sanatana Resources faces significant financial challenges, including no revenue, negative equity, and persistent cash flow issues, which heavily impact its overall score. Despite some neutral technical indicators, the negative trend and lack of profitability further weigh down the stock's attractiveness. The absence of earnings call data or notable corporate events means these factors did not influence the score, leaving the financial performance as the dominant concern.

Sanatana Resources Business Overview & Revenue Model

Company Description

Sanatana Resources Inc., an exploration stage company, engages in the acquisition, exploration, and development of mineral properties. It explores for copper and gold. The company was formerly known as Sanatana Diamonds Inc. and changed its name to Sanatana Resources Inc. in April 2011. Sanatana Resources Inc. was incorporated in 2004 and is based in Vancouver, Canada.

How the Company Makes Money

Sanatana Resources generates revenue primarily through the exploration and development of mineral properties, which involves identifying valuable mineral deposits such as gold, silver, and copper. The company's revenue model typically includes selling or leasing these properties to larger mining companies once substantial mineral resources have been identified and assessed. Additionally, Sanatana may form joint ventures or partnerships with other mining companies to co-develop projects, sharing costs and profits. These partnerships can provide necessary capital and expertise, enhancing project viability and potential returns. Furthermore, the company could earn revenue through options or royalties agreements, receiving payments based on the production or sale of minerals from their properties.

Sanatana Resources Financial Statement Overview

Summary

Sanatana Resources is facing severe financial challenges with no revenue generation, declining asset base, and increasing debt levels. The negative equity and persistent cash flow issues highlight significant risks, questioning the company’s ability to sustain operations without significant changes or external funding.

Income Statement

Sanatana Resources shows significant financial stress with no revenue generation and continuous negative net income over the periods analyzed. The company's inability to generate revenue or profit is a critical concern, particularly in the highly competitive mining industry.

Balance Sheet

The company exhibits a negative stockholders' equity position in the TTM, indicating financial distress and potential solvency issues. High total debt relative to the negative equity suggests a precarious financial structure, raising concerns about its long-term viability.

Cash Flow

Sanatana Resources has consistently negative free cash flow and operating cash flow, indicating poor cash generation capabilities. The reliance on financing activities to sustain operations is unsustainable in the long run, posing a significant risk to financial health.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-29.92K	-29.92K	-26.57K	-17.90K	-3.72K	-8.46K
	EBIT
-340.92K	-1.36M	1.61M	-1.34M	-4.32M	-558.49K
	EBITDA
-1.86M	-412.98K	-5.42M	-1.32M	1.37M	-1.09M
	Net Income Common Stockholders
-1.91M	-528.42K	-3.59M	-2.18M	1.37M	-1.10M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
324.04K	55.46K	427.37K	2.61M	4.45M	10.47K
	Total Assets
424.31K	153.64K	4.67M	5.03M	6.42M	568.22K
	Total Debt
768.63K	38.64K	174.53K	0.00	0.00	0.00
	Net Debt
454.60K	-21.46K	-164.84K	-1.21M	-3.04M	-10.47K
	Total Liabilities
1.05M	141.57K	408.71K	159.58K	447.79K	452.94K
	Stockholders Equity
-628.56K	12.06K	4.26M	4.87M	5.97M	115.28K
Cash Flow		Free Cash Flow
-1.54M	-593.32K	-669.11K	-2.35M	-1.78M	-1.10M
	Operating Cash Flow
-1.54M	-593.32K	-591.16K	-571.32K	-1.07M	-346.63K
	Investing Cash Flow
23.84K	32.27K	-3.06M	-1.86M	641.82K	-747.35K
	Financing Cash Flow
1.24M	243.13K	2.79M	600.00K	3.46M	3.58K

Sanatana Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.65
• 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:STA, the sentiment is Positive. The current price of 0.65 is above the 20-day moving average (MA) of 0.46, above the 50-day MA of 0.25, and above the 200-day MA of 0.25, indicating a bullish trend. The MACD of 0.11 indicates Negative momentum. The RSI at 76.55 is Negative, neither overbought nor oversold. The STOCH value of 82.46 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:STA.

Sanatana Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	57 Neutral	$7.22B	3.11	-4.49%	5.63%	0.82%	-49.15%
HVG	52 Neutral	C$6.61M	―	-18.29%	―	―	-0.88%
OPHR	43 Neutral	C$3.96M	―	-82.63%	―	―	-377.27%
STA	36 Underperform	C$9.52M	―		―	―	52.02%
GGM	27 Underperform	C$4.13M	―	15.80%	―	―	11.35%
EDWZF		$2.42M	―		―	―	―
RYES		$13.51M	―	-128.28%	―	―	―

Sanatana Resources Corporate Events

Sanatana Resources to Consolidate Shares on Seven-for-One Basis

Sanatana Resources Inc. has announced a consolidation of its common shares on a seven-for-one basis, effective January 13, 2025. The move aims to adjust the share structure, with approximately 14,648,995 shares expected to be issued and outstanding post-consolidation, affecting exercise prices and share counts under outstanding options and warrants.