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Gold Terra Resource (TSE:YGT)
:YGT

Gold Terra Resource (YGT) AI Stock Analysis

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Gold Terra Resource

(YGT)

Rating:46Neutral
Price Target:
Gold Terra Resource's overall stock score is primarily impacted by its substantial financial challenges, notably zero revenue and negative cash flow, which overshadow its strong balance sheet. Technical analysis provides a slightly optimistic outlook with potential short-term gains, but the poor valuation due to a negative P/E ratio tempers enthusiasm. The corporate events, while positive, are already reflected in the company's strategic positioning.

Gold Terra Resource (YGT) vs. iShares MSCI Canada ETF (EWC)

Gold Terra Resource Business Overview & Revenue Model

Company DescriptionGold Terra Resource Corp. engages in the exploration and development of mineral properties in Canada. The company holds 100% interests in the Yellowknife City gold project that includes Northbelt, Southbelt, Eastbelt, and Quyta-Bell properties in the Northwest Territories, as well as other claims and property interests encompassing 800 square kilometers of land located in the Northwest Territories. It also holds 100% interests in Mulligan property located in New Brunswick. In addition, the company holds interests in the Aurora 1 and 2 claims located in Yellowknife. The company was formerly known as TerraX Minerals Inc. and changed its name to Gold Terra Resource Corp. in February 2020. Gold Terra Resource Corp. was incorporated in 2007 and is headquartered in Vancouver, Canada.
How the Company Makes MoneyGold Terra Resource Corp generates revenue primarily through the exploration and development of its mining properties, particularly gold. The company aims to increase its resource base and attract investment by demonstrating the potential yield of its projects. Revenue is generated through the sale of mineral rights, raising capital through equity financing, and entering into joint ventures or partnerships with other mining companies. These partnerships can provide additional funding and expertise needed to advance exploration projects towards production. Significant factors contributing to its earnings include the successful discovery of economically viable mineral deposits, favorable market conditions for gold, and effective management of exploration costs.

Gold Terra Resource Financial Statement Overview

Summary
Gold Terra Resource's financials indicate a company facing significant operational challenges due to zero revenue generation. While the balance sheet is strong with no debt, the absence of income and negative cash flow signify risks to long-term viability. Strategic shifts are crucial to improve financial health.
Income Statement
10
Very Negative
The company has consistently reported zero revenue, leading to negative margins across all metrics. Notably, the TTM data shows a negative EBIT margin, emphasizing ongoing financial struggles. Without revenue growth, profitability remains unattainable, which is a significant concern.
Balance Sheet
60
Neutral
The balance sheet shows a strong equity position with no debt, resulting in a healthy debt-to-equity ratio of zero. The equity ratio is robust, indicating financial stability. However, the lack of revenue and profitability could strain resources over time despite the current strong equity.
Cash Flow
20
Very Negative
Cash flows reveal negative free cash flow and operating cash flow, highlighting potential liquidity challenges. Although financing activities have historically provided cash inflows, reliance on external financing might not be sustainable long-term without revenue generation.
Breakdown
TTMDec 2023Dec 2022Dec 2021Mar 2021Mar 2020
Income StatementTotal Revenue
0.000.000.000.000.000.00
Gross Profit
-4.36K-6.26K-2.94K-13.16K-112.19K
EBIT
-1.45M-2.18M-2.35M-2.42M-1.86M-1.33M
EBITDA
-1.80M-1.84M-1.23M-2.53M-1.85M-1.75M
Net Income Common Stockholders
-1.78M-2.24M-1.86M-2.71M-1.86M-1.69M
Balance SheetCash, Cash Equivalents and Short-Term Investments
2.49M1.37M3.06M2.15M3.28M4.77M
Total Assets
8.08M50.86M49.14M42.59M41.40M37.39M
Total Debt
0.000.000.000.000.00100.89K
Net Debt
-2.49M-1.10M-3.06M-2.15M-3.28M-4.67M
Total Liabilities
349.47K1.48M1.45M455.45K584.97K713.76K
Stockholders Equity
7.73M49.38M47.69M42.13M40.81M36.68M
Cash FlowFree Cash Flow
-2.36M-2.03M-7.56M-5.46M-7.94M-4.72M
Operating Cash Flow
-1.55M-2.02M-2.18M-1.80M-2.15M-1.78M
Investing Cash Flow
-2.86M-3.95M-5.38M-3.65M-5.79M-2.85M
Financing Cash Flow
2.50M4.01M8.47M4.32M6.45M8.44M

Gold Terra Resource Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.05
Price Trends
50DMA
0.06
Negative
100DMA
0.06
Negative
200DMA
0.06
Positive
Market Momentum
MACD
>-0.01
Positive
RSI
50.46
Neutral
STOCH
44.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:YGT, the sentiment is Positive. The current price of 0.05 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.06, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 50.46 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:YGT.

Gold Terra Resource Peers Comparison

Overall Rating
UnderperformOutperform
Sector (51)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
TSGG
70
Outperform
C$41.67M23.974.03%97.57%
51
Neutral
$2.04B-1.15-21.37%3.64%2.88%-30.57%
TSRYR
50
Neutral
C$31.88M-46.25%70.10%
TSYGT
46
Neutral
C$22.75M-2.79%42.53%
$24.07M-41.17%
$45.26M-246.19%
$19.83M-9.66%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:YGT
Gold Terra Resource
0.05
-0.03
-37.50%
TSE:GG
Galane Gold
0.58
0.36
163.64%
TSE:RYR
Royal Road Minerals
0.11
>-0.01
-8.33%
BTLLF
North Peak Resources
0.56
-0.08
-12.50%
TETOD
Tectonic Metals
0.69
0.16
30.19%
RDGMF
Ridgeline Minerals
0.14
0.03
27.27%

Gold Terra Resource Corporate Events

Business Operations and Strategy
Gold Terra Achieves Key Drilling Milestone at Campbell Shear Target
Positive
Apr 25, 2025

Gold Terra Resource Corp. announced a successful drilling intersection at the Campbell Shear gold target, located at a vertical depth of 2,560 meters below the surface on the Con Mine Option Property. This drilling success supports the company’s model of high-grade gold potential at depth, which could significantly enhance its resource base. The company has also met the financial requirements of its agreement with Newmont Canada, positioning it to further its exploration efforts and potentially acquire full ownership of the property. This development could strengthen Gold Terra’s position in the mining industry and offer promising implications for stakeholders.

Spark’s Take on TSE:YGT Stock

According to Spark, TipRanks’ AI Analyst, TSE:YGT is a Neutral.

Gold Terra Resource’s overall stock score reflects significant financial challenges due to zero revenue and negative cash flow, moderated by a strong balance sheet with no debt. The technical analysis suggests a potential short-term upward trend, but the negative P/E ratio and lack of dividends present valuation concerns. The absence of earnings call insights or recent corporate events contributes to uncertainty regarding future prospects.

To see Spark’s full report on TSE:YGT stock, click here.

Private Placements and FinancingBusiness Operations and Strategy
Gold Terra Secures Financing to Advance High-Grade Gold Exploration
Positive
Apr 11, 2025

Gold Terra Resource Corp. has successfully closed the first tranche of a non-brokered financing package, raising C$1,843,000 to support its drilling program at the Con Mine Option property and for general working capital. The financing, supported by Osisko Gold Royalties’ early exercise of a 2% NSR royalty option, underscores confidence in Gold Terra’s strategy to advance its high-grade gold assets towards potential production, potentially impacting the company’s operational capabilities and market positioning.

Spark’s Take on TSE:YGT Stock

According to Spark, TipRanks’ AI Analyst, TSE:YGT is a Neutral.

Gold Terra Resource’s overall stock score reflects significant financial challenges due to zero revenue and negative cash flow, moderated by a strong balance sheet with no debt. The technical analysis suggests a potential short-term upward trend, but the negative P/E ratio and lack of dividends present valuation concerns. The absence of earnings call insights or recent corporate events contributes to uncertainty regarding future prospects.

To see Spark’s full report on TSE:YGT stock, click here.

Private Placements and FinancingBusiness Operations and Strategy
Gold Terra Secures C$4.4 Million Funding to Advance Yellowknife Gold Project
Positive
Apr 1, 2025

Gold Terra Resource Corp. has announced a funding package totaling C$4,400,000, supported by Osisko Gold Royalties. This includes a non-brokered financing of C$2,400,000 and an early exercise of a 2% NSR royalty option by Osisko for C$2,000,000. The funds will support ongoing drilling programs at the Con Mine property, aimed at increasing the current resource estimates and advancing the project towards potential production. The Con Mine, historically one of Canada’s richest high-grade gold mines, offers significant potential with its existing infrastructure and high-grade ore targets.

Business Operations and Strategy
Gold Terra Advances Drilling at High-Grade Gold Target in NWT
Positive
Feb 27, 2025

Gold Terra Resource Corp. announced significant progress in its 2025 control drilling program at the Con Mine Option Property in Northwest Territories. The drilling targets the Campbell Shear zone, aiming to intersect high-grade gold deposits at depths below historic mine workings. The program’s success could enhance Gold Terra’s resource potential, positioning it favorably within the gold mining sector and potentially benefiting stakeholders by increasing the company’s gold reserves.

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.