Steppe Gold (STGO) AI Stock Analysis

• Market Cap: $379.24M
• Dividend Yield: N/A
• Average Volume (3M): 194.19K
• Price to Earnings (P/E): 4.3
• Beta (1Y): 1.02
• Revenue Growth: 212.74%
• EPS Growth: N/A
• Country: CA
• Employees: 275
• Sector: Basic Materials
• Sector Strength: 65
• Industry: Gold
• EPS (TTM): 0.05
• Shares Outstanding: 252,827,200
• 10 Day Avg. Volume: 238,412
• 30 Day Avg. Volume: 194,189
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 2.64
• Enterprise Value/Gross Profit: 5.38
• Enterprise Value/Ebitda: 4.26
• 1Y Price Target: $1.49
• Price Target Upside: 0.93% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 78 Outperform
• Price Target: C$1.50 ▲(1.35% Upside)

Steppe Gold's strong technical indicators and attractive valuation are the primary drivers of its high score. The company's solid financial performance further supports its potential, though attention to margin pressures and return on equity is advised.

Steppe Gold Business Overview & Revenue Model

Company Description

Steppe Gold Ltd. is a precious metals exploration and production company primarily focused on gold and silver projects. The company operates in the mining sector, with its core activities centered around the development and operation of its flagship asset, the ATO Gold Mine, located in Mongolia. Steppe Gold aims to become a leading gold producer in the region, leveraging its strong local partnerships and expertise in mining operations.

How the Company Makes Money

Steppe Gold makes money through the exploration, mining, and sale of precious metals, primarily gold and silver. Its main revenue stream is derived from the production and sale of gold and silver extracted from its ATO Gold Mine. The company benefits from fluctuations in global precious metal prices, which can enhance revenue during periods of high market prices. Additionally, Steppe Gold may engage in strategic partnerships or joint ventures to optimize its mining operations and expand its resource base, further contributing to its earnings. The company also invests in exploration activities to identify new reserves, ensuring a sustained revenue stream over the long term.

Steppe Gold Financial Statement Overview

Summary

Steppe Gold has demonstrated strong financial performance with significant revenue growth and improved profit margins. The company shows robust cash flow management, although its reliance on debt requires careful oversight.

Income Statement

Steppe Gold has shown remarkable revenue growth, increasing from $54.2M in 2023 to $178.1M in 2024, a growth rate of 228%. The gross profit margin improved significantly, reaching 54%, and the net profit margin is at a healthy 34%. The company has also improved its EBIT and EBITDA margins to 49% and 62%, respectively, indicating strong operational efficiency. The rapid growth trajectory and improved profitability metrics position the company favorably in the gold industry.

Balance Sheet

The balance sheet shows a substantial increase in stockholders' equity to $110M. The debt-to-equity ratio is 1.70, indicating a moderate level of leverage. The return on equity is an impressive 55.7%, showcasing effective use of equity capital to generate profits. However, the equity ratio of 31% suggests a reliance on debt financing, which could pose risks if not managed carefully.

Cash Flow

Operating cash flow has grown significantly, aligning with the increase in net income. The free cash flow to net income ratio is 1.10, indicating efficient cash generation relative to net income. The free cash flow growth rate is an impressive 2,054%, underscoring strong cash flow management. The operating cash flow to net income ratio of 1.33 further highlights sound cash flow performance.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	148.25M	178.13M	54.24M	62.37M	24.05M	52.10M
Gross Profit	72.80M	96.28M	29.41M	30.82M	9.65M	28.45M
EBITDA	91.94M	109.85M	23.08M	26.52M	3.68M	20.03M
Net Income	42.27M	61.35M	56.34M	15.96M	-22.68M	-4.05M
Balance Sheet
Total Assets	327.54M	352.14M	98.29M	72.66M	146.28M	86.01M
Cash, Cash Equivalents and Short-Term Investments	107.46M	144.18M	6.01M	2.88M	4.07M	20.12M
Total Debt	155.65M	187.15M	36.05M	9.52M	81.50M	13.14M
Total Liabilities	201.98M	242.08M	50.29M	55.44M	139.26M	44.69M
Stockholders Equity	125.62M	110.09M	48.59M	17.72M	7.27M	41.53M
Cash Flow
Free Cash Flow	109.70M	67.66M	3.14M	12.79M	-15.95M	9.24M
Operating Cash Flow	90.58M	81.83M	8.20M	18.71M	-7.04M	11.41M
Investing Cash Flow	24.33M	-11.99M	-5.23M	-5.92M	-3.88M	-7.21M
Financing Cash Flow	-119.95M	-37.61M	592.00K	-13.19M	-1.47M	10.28M

Steppe Gold Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.48
• 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:STGO, the sentiment is Positive. The current price of 1.48 is above the 20-day moving average (MA) of 1.32, above the 50-day MA of 1.29, and above the 200-day MA of 0.89, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 71.88 is Negative, neither overbought nor oversold. The STOCH value of 97.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:STGO.

Steppe Gold Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
STGO	78 Outperform	$379.24M	4.27	51.45%	―	212.74%	―
Sector *	61 Neutral	$10.31B	6.18	0.76%	2.94%	3.30%	-36.34%
GDRZF	―	$228.83M	―	-48.98%	―	―	―
THM	―	$279.55M	―	-7.27%	―	―	―
OMG	56 Neutral	C$579.78M	―	-64.22%	―	―	-103.67%
TAU	55 Neutral	C$328.41M	53.85	-0.48%	―	―	50.00%
GLDG	―	$178.45M	―	-18.70%	―	―	―

Steppe Gold Corporate Events

Steppe Gold Reports Strong Q2 2025 Results and Strategic Developments

Steppe Gold Ltd. reported strong financial results for Q2 2025, with total revenue of $32,327,000 from gold sales. The company produced 32,831 ounces of gold in the first half of 2025 and maintained competitive costs, with a Site All in Sustaining Cost of $1,088 per ounce. The expiration of a forward sales contract is expected to enhance cash flows, supporting debt restructuring and growth plans. The company is also exploring financing options for the ATO Phase 2 Expansion and anticipates revised feasibility studies to extend mine life at Boroo and Ulaanbulag.

Steppe Gold Announces AGM Voting Results and Board Changes

Steppe Gold Ltd. held its annual general and special meeting where shareholders elected seven individuals to the Board of Directors. However, nominee Byambats eren Tsogbadrak h received more votes withheld than in favor, prompting a required resignation submission. Additionally, Kingston Ross Pasnak LLP was re-appointed as the company’s auditors, while the proposed long-term incentive plan was not approved by shareholders.

Steppe Gold Reports Strong Q1 2025 Financial Results and Strategic Plans

Steppe Gold Ltd. reported strong financial results for Q1 2025, with total revenue of $32.4 million from gold sales and an adjusted EBITDA of $18.4 million. The company maintained a competitive all-in sustaining cost of $991 per ounce due to effective cost control. With higher gold prices anticipated in the latter half of 2025, Steppe Gold plans to restructure its debt and explore financing options for its Phase 2 Expansion. The company expects to exceed 70,000 ounces of gold production in 2025, supported by ongoing production at its Boroo Gold and ATO mine sites.