Targa Exploration Corp. (TEX) AI Stock Analysis

• Market Cap: C$8.27M
• Dividend Yield: N/A
• Average Volume (3M): 78.80K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.60
• Revenue Growth: N/A
• EPS Growth: 72.19%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): -0.02
• Shares Outstanding: 41,343,063
• 10 Day Avg. Volume: 61,230
• 30 Day Avg. Volume: 78,801
• 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: 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: 29 Underperform
• Price Target: ―

Targa Exploration Corp.'s financial instability, demonstrated by a lack of revenue and negative cash flow, heavily impacts its stock score. Weak technical indicators and an unattractive valuation further depress the score, suggesting significant risk for potential investors.

Positive Factors

No Debt

Having no debt provides Targa Exploration Corp. with greater financial flexibility and reduces the risk of insolvency, allowing the company to potentially focus on strategic investments and exploration activities without the burden of interest payments.

Potential for Mineral Discoveries

Targa Exploration Corp.'s business model is centered around discovering valuable mineral deposits. This focus on exploration can lead to significant value creation if successful, offering potential upside for shareholders through partnerships or sales of mineral rights.

Industry Position

Operating in the mineral exploration sector positions Targa Exploration Corp. to benefit from rising demand for industrial materials. As global infrastructure projects and technological advancements increase, the demand for minerals may provide growth opportunities.

Negative Factors

Negative Cash Flow

Consistently negative cash flow from operations indicates that Targa Exploration Corp. is not generating sufficient cash from its core activities. This reliance on external financing for cash needs poses a risk to long-term financial sustainability and operational viability.

No Revenue Generation

The lack of revenue generation is a major concern for Targa Exploration Corp., as it reflects challenges in monetizing its exploration activities. Without revenue, the company faces difficulties in achieving profitability and sustaining operations without external funding.

Negative Equity

Negative stockholders' equity indicates that Targa Exploration Corp. has more liabilities than assets, which is a sign of financial distress. This situation can limit the company's ability to raise capital and invest in exploration, impacting its growth prospects.

Targa Exploration Corp. Business Overview & Revenue Model

Company Description

Targa Exploration Corp. engages in the acquisition, exploration, and development of mineral properties in Canada. It holds an option to acquire 100% interests in the Shanghai property with 150 Quartz claims covering 2,600 hectares located in the Mayo mining district, Yukon territory. The company was formerly known as RCM Minerals Ltd. and changed its name to Targa Exploration Corp. in July 2021. Targa Exploration Corp. was incorporated in 2017 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Targa Exploration Corp. primarily makes money through the exploration and development of mineral properties. The company generates revenue by discovering mineral deposits and either selling the rights to these deposits to larger mining companies or entering into joint ventures and partnerships for further development. Additionally, Targa may raise capital through issuing shares or securing investments to fund its exploration activities, which can lead to future earnings as the projects progress and gain value.

Targa Exploration Corp. Financial Statement Overview

Summary

Targa Exploration Corp. faces severe financial challenges with no revenue generation, negative net income, and a precarious balance sheet position. The lack of cash flow from operations and reliance on financing raises concerns about the company's long-term viability.

Income Statement

Targa Exploration Corp. has consistently reported no revenue across all periods, which is a significant concern for its income statement. The company has shown increasing net losses, with no gross profit or positive EBIT margins. This indicates significant operational challenges and a lack of profitability in its core mining activities.

Balance Sheet

The balance sheet reflects a challenging position with negative stockholders' equity in the latest TTM period, indicating the company is in a negative net worth situation. The company has no debt, which is a positive aspect, but the equity ratio is negative due to negative equity, signaling financial instability. The decline in total assets and cash reserves over time further highlights financial strain.

Cash Flow

Cash flows from operations have been consistently negative, indicating a lack of cash generation from core activities. There is no free cash flow growth, and the reliance on financing activities to cover cash deficits is evident. The company's inability to generate positive operating or free cash flow poses significant risks to sustainability.

Breakdown	TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	0.00
EBITDA	-3.86M	-9.87M	-2.85M	-117.63K	-120.00
Net Income	-3.43M	-9.87M	-2.85M	-236.45K	-120.00
Balance Sheet
Total Assets	2.39M	2.42M	653.15K	1.24M	122.38K
Cash, Cash Equivalents and Short-Term Investments	2.10M	2.22M	604.32K	1.24M	122.38K
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	688.32K	1.38M	38.88K	12.66K	0.00
Stockholders Equity	1.70M	1.04M	614.28K	1.23M	122.38K
Cash Flow
Free Cash Flow	-1.28M	-3.08M	-652.68K	-139.38K	-120.00
Operating Cash Flow	-1.28M	-3.08M	-652.68K	-139.38K	-120.00
Investing Cash Flow	0.00	234.40K	0.00	0.00	0.00
Financing Cash Flow	2.49M	4.47M	16.50K	1.26M	122.50K

Targa Exploration Corp. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.18
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TEX, the sentiment is Positive. The current price of 0.18 is below the 20-day moving average (MA) of 0.19, below the 50-day MA of 0.19, and above the 200-day MA of 0.15, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 52.30 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:TEX.

Targa Exploration Corp. 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%
MEGA	35 Underperform	$745.01K	-0.17	-234.41%	―	―	10.75%
SCV	34 Underperform	C$1.30M	-0.06	-246.26%	―	―	-70.47%
TEX	29 Underperform	C$8.27M	―	-234.48%	―	―	72.19%
MYR	13 Underperform	C$5.66M	-11.54	-230.08%	―	―	71.86%