Zacatecas Silver (ZAC) AI Stock Analysis

• Market Cap: C$31.32M
• Dividend Yield: N/A
• Average Volume (3M): 866.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.27
• Revenue Growth: N/A
• EPS Growth: -134.18%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Silver
• EPS (TTM): >-0.01
• Shares Outstanding: 208,803,000
• 10 Day Avg. Volume: 466,212
• 30 Day Avg. Volume: 866,438
• PEG Ratio: 0.01
• Price to Book (P/B): 0.19
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.80
• 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: 57 Neutral
• Price Target: C$0.13 ▲(17.27% Upside)

The score is held back mainly by weak financial performance (no revenue, ongoing losses, and cash burn) and a negative P/E, despite a debt-free balance sheet. Technicals are supportive with price above key moving averages and positive momentum, and recent corporate events (financing plus drill/access agreements) add near-term catalysts that modestly improve the outlook.

Positive Factors

Strong Equity Position

A strong equity position with zero debt provides financial stability and reduces risk, allowing Zacatecas Silver to focus on long-term growth without the burden of interest payments.

New Drill Program

The new drill program aims to expand the resource base, potentially increasing future revenue streams and enhancing the company's market position in the silver industry.

Sustainable Mining Practices

Focusing on sustainable mining practices can improve Zacatecas Silver's reputation and compliance with environmental regulations, attracting investors and partners interested in responsible mining.

Negative Factors

Lack of Revenue Generation

The absence of revenue generation leads to negative profit margins and cash flows, posing a risk to financial sustainability and limiting the company's ability to invest in growth opportunities.

Reliance on Financing Activities

Dependence on external financing to sustain operations can lead to dilution of equity and increased financial vulnerability if market conditions change or financing becomes less accessible.

Negative Free Cash Flows

Persistent negative free cash flows indicate operational cash drain, which can strain the company's ability to fund its operations and invest in future projects without additional financing.

Zacatecas Silver Business Overview & Revenue Model

Company Description

Zacatecas Silver Corp. engages in the acquisition, exploration, and evaluation of mineral properties in Mexico. The company explores for silver and gold resources. It owns 100% interests in the Zacatecas project, which covers as area of 7,826 hectares located in the Zacatecas State, Mexico; and the Esperanza project that consists of 8 mining concessions covering an area of 14,338 hectares located in the Morelos State, Mexico. The company incorporated in 2020 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Zacatecas Silver makes money primarily through the extraction and sale of silver. The company generates revenue by exploring and developing mineral-rich properties, extracting silver, and selling it on the global market. Key revenue streams include the sale of raw silver, and potentially silver by-products, to various industries such as electronics, jewelry, and investment sectors. Strategic partnerships with other mining companies and investors may also contribute to its earnings by providing capital and shared resources for large-scale mining operations.

Zacatecas Silver Financial Statement Overview

Summary

Zacatecas Silver is facing significant financial challenges due to the absence of revenue, resulting in negative profit margins and cash flows. Despite a strong equity base with zero debt, the reliance on financing activities to maintain cash reserves highlights a potential risk to financial stability. The improvement in net income is a positive sign; however, without sustainable revenue, it remains uncertain if this is a long-term trend.

Income Statement

Zacatecas Silver's income statement reveals a lack of revenue generation, with consistent negative gross profits and EBIT over the years. The company has shown a significant improvement in net income in the TTM, but without revenue, the sustainability of these earnings is questionable.

Balance Sheet

The balance sheet indicates a strong equity position with zero debt, suggesting low financial leverage and risk. However, the company has seen a decline in cash reserves over time. The equity ratio is relatively high, indicating reliance on shareholder equity for financing.

Cash Flow

Cash flow analysis shows persistent negative free cash flows, indicating operational cash drain. The operating cash flow to net income ratio suggests that net income improvements are not translating into cash flow. Financing activities have been a significant source of cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00	0.00
Gross Profit	-14.72K	-34.98K	-60.44K	-58.30K	-18.81K	0.00
EBITDA	-3.54M	-3.52M	7.95M	-12.73M	-6.89M	-1.13M
Net Income	-3.06M	-3.56M	7.89M	-11.49M	-6.91M	-1.13M
Balance Sheet
Total Assets	50.55M	47.22M	47.51M	48.52M	5.66M	12.08M
Cash, Cash Equivalents and Short-Term Investments	2.76M	6.72K	12.97K	1.11M	2.58M	796.57K
Total Debt	0.00	0.00	0.00	0.00	0.00	0.00
Total Liabilities	10.24M	10.89M	9.80M	22.62M	340.59K	10.52M
Stockholders Equity	40.30M	36.33M	37.71M	25.91M	5.32M	1.56M
Cash Flow
Free Cash Flow	-1.86M	-2.41M	-4.80M	-19.53M	-6.95M	-1.08M
Operating Cash Flow	-1.86M	-2.41M	-4.80M	-12.09M	-4.96M	-804.41K
Investing Cash Flow	0.00	0.00	0.00	-7.22M	-2.19M	-278.08K
Financing Cash Flow	4.63M	2.41M	3.43M	17.89M	363.65K	10.39M

Zacatecas Silver Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.11
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ZAC, the sentiment is Positive. The current price of 0.11 is below the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.11, and above the 200-day MA of 0.08, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 61.17 is Neutral, neither overbought nor oversold. The STOCH value of 81.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ZAC.

Zacatecas Silver 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%
KUYA	58 Neutral	C$133.58M	-14.92	-20.00%	―	―	21.09%
ZAC	57 Neutral	C$31.32M	-6.22	-7.84%	―	―	-134.18%
MSV	54 Neutral	C$30.81M	3.61	18.93%	―	―	―
KS	53 Neutral	C$8.07M	-10.71	-5.62%	―	―	―

Zacatecas Silver Corporate Events

Zacatecas Silver Targets 2026 Growth with New Drilling and Improved Mexican Permitting Climate

Zacatecas Silver has outlined a revitalized operational plan for 2026 following a year of strategic repositioning in 2025 that included a corporate rebranding, completion of strategic financings, and finalization of a new drill program at its Zacatecas Silver Project. The company is preparing to launch a 4,000-metre diamond drill campaign, backed by fresh access agreements with local communities and landowners, aimed at expanding existing resources and testing priority targets across multiple vein systems. At the same time, Zacatecas Silver’s advanced Esperanza Gold Project stands to benefit from a notable shift in Mexico’s regulatory stance on open-pit mining, underscored by the first new open-pit permit approval in the country since 2020 and reinforced by silver’s addition to the U.S. critical minerals list, developments that collectively improve the strategic outlook and potential valuation for its Mexican assets.

The most recent analyst rating on (TSE:ZAC) stock is a Hold with a C$0.13 price target. To see the full list of analyst forecasts on Zacatecas Silver stock, see the TSE:ZAC Stock Forecast page.

Zacatecas Silver Secures Land Access for Key Drill Program in Mexico

Zacatecas Silver Corp. has finalized land access agreements for its upcoming drill program at the El Cristo Target, part of its flagship Zacatecas Silver Project in Mexico. These agreements, achieved through community collaboration, enable the company to proceed with drilling plans to explore high-grade silver mineralization. This development positions Zacatecas Silver to advance its operations in one of Mexico’s most promising silver districts, potentially enhancing its market position and stakeholder value.

Zacatecas Silver Secures Key Agreements to Advance Drilling at Zacatecas Silver Project

Zacatecas Silver Corp. has secured a community access agreement with Ejido Panuco for its Zacatecas Silver Project, enabling the company to proceed with drilling permit applications. Additionally, the company signed a drill contract with Major Drilling for an initial 4,000 metres of diamond drilling, aiming to expand its Mineral Resource Estimate by targeting high-grade mineralization extensions. This development underscores local community support and positions Zacatecas Silver to enhance its resource base, potentially impacting its market standing positively.

Zacatecas Silver Partners with Capital Gain Media for Investor Relations Boost

Zacatecas Silver Corp. has engaged Capital Gain Media Inc. for a four-month investor relations agreement to enhance its content development and digital marketing efforts. This strategic move, involving a $250,000 upfront fee, aims to bolster Zacatecas Silver’s market presence and investor engagement, potentially impacting its operational visibility and stakeholder relations.