Zacatecas Silver (ZAC) AI Stock Analysis

• Market Cap: C$22.97M
• Dividend Yield: N/A
• Average Volume (3M): 866.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.46
• 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: 48 Neutral
• Price Target: C$0.11 ▼(-0.91% Downside)

The score is primarily held back by a development-stage financial profile with no revenue, ongoing losses, and persistent cash burn (continued funding risk). This is partially offset by a strong, debt-free balance sheet and some improvement in cash outflows versus last year. Technicals are neutral-to-cautious with muted momentum, while valuation is constrained by a negative P/E and no dividend support.

Positive Factors

Debt-free balance sheet

A zero-debt capital structure materially reduces solvency risk for a development-stage miner, preserving flexibility to time equity financings or joint ventures. Over months this strengthens the company's ability to pursue exploration without near-term creditor pressure.

Growing equity capital cushion

Rising shareholders' equity provides a thicker capital cushion to fund exploration and technical studies. This trend lowers immediate dilution pressure, improves runway for advancing the Esperanza project, and increases the firm’s capacity to structure deals or staged financing.

Flagship asset in established mining district

Operating in the Zacatecas mining district gives structural advantages: existing regional mining infrastructure, contractor availability and geological prospectivity. A strong district location can accelerate exploration-to-development timelines and improve odds of attracting partners.

Negative Factors

No operating revenue

As a pure exploration/development company with no operating revenue, Zacatecas Silver must rely on external financing to fund operations. Over the coming months this structural dependence raises dilution risk and makes project progress contingent on capital access rather than operating cash generation.

Persistent negative cash flow

Consistent negative OCF and FCF indicate ongoing cash burn from exploration activities. Unless converted into operating revenue or materially reduced costs, persistent outflows will require repeated funding rounds or partner transactions, constraining long-term project development timing and increasing financing risk.

Volatile earnings and negative returns

Negative and volatile returns reflect weak operating leverage and reliance on non-recurring items for positive results. Over months this undermines predictability of shareholder returns and indicates management must demonstrate repeatable value creation from exploration to justify continued capital support.

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

Mixed but tilted weak: income statement shows no revenue and persistent losses with volatile net income (one-off-looking 2023 profit despite negative EBIT). Cash flow is consistently negative (TTM OCF and FCF about -1.9M), implying ongoing funding needs. Offset by a debt-free balance sheet (0 debt) and growing equity (~40.3M TTM), reducing solvency risk but not fixing negative returns (ROE ~-8.1% TTM).

Income Statement

The company reports no revenue across the periods provided, so profitability is driven by costs and other items rather than operating sales. Earnings quality is weak: TTM (Trailing-Twelve-Months) net loss is about -3.1M (vs. -3.6M in 2024), and EBIT remains materially negative in every year shown. A one-time-looking profit in 2023 (net income ~7.9M despite negative EBIT) contrasts sharply with the otherwise consistent losses, highlighting volatility and limited operating leverage at this stage.

Balance Sheet

The balance sheet is conservatively financed with total debt reported at 0 and a 0.0 debt-to-equity ratio across all periods, which meaningfully reduces solvency risk. Equity has grown to ~40.3M in TTM (Trailing-Twelve-Months) from ~36.3M in 2024, providing a thicker capital cushion. The main weakness is returns: return on equity is negative in TTM (about -8.1%) and 2024 (about -9.8%), reflecting ongoing losses and limited asset productivity despite a sizeable asset base (~50.5M total assets in TTM).

Cash Flow

Cash generation is a key pressure point: operating cash flow and free cash flow are negative in every period shown, including TTM (Trailing-Twelve-Months) operating cash flow of about -1.9M and free cash flow of about -1.9M. The burn rate has improved versus 2024 (operating cash flow ~-2.4M), and free cash flow growth is shown as strongly positive in TTM, but this is coming off a negative base and does not yet indicate self-funding operations. With no operating revenue and persistent cash outflows, continued funding needs remain a central risk.

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: Negative
• Last Price: 0.11
• 50DMA: Negative
• 100DMA: Negative
• 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:ZAC, the sentiment is Negative. The current price of 0.11 is below the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.12, and above the 200-day MA of 0.09, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 39.32 is Neutral, neither overbought nor oversold. The STOCH value of 21.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ZAC.

Zacatecas Silver Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SCZ	73 Outperform	C$1.49B	13.62	47.13%	―	21.03%	-48.39%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MSV	54 Neutral	C$34.51M	4.05	18.93%	―	―	―
IPT	52 Neutral	C$142.95M	-20.47	-8.15%	―	52.70%	60.33%
EXN	50 Neutral	C$167.04M	-12.85	-26.99%	―	―	49.02%
ZAC	48 Neutral	C$22.97M	-4.56	-7.84%	―	―	-134.18%
GSVR	46 Neutral	C$564.16M	-19.61	-111.62%	―	5.58%	50.96%

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.