Group Eleven Resources (ZNG) AI Stock Analysis

• Market Cap: C$193.47M
• Dividend Yield: N/A
• Average Volume (3M): 437.21K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.73
• Revenue Growth: N/A
• EPS Growth: -59.57%
• Country: CA
• Employees: 27
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): >-0.01
• Shares Outstanding: 261,448,030
• 10 Day Avg. Volume: 734,343
• 30 Day Avg. Volume: 437,210
• PEG Ratio: -0.84
• Price to Book (P/B): 5.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -11.56
• 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$0.93 ▲(33.14% Upside)

The score is held back primarily by weak financial performance (no revenue, widening losses, and worsening cash burn), partially offset by a low-debt balance sheet. Technicals are supportive with strong uptrend and positive momentum, while valuation remains pressured due to negative earnings. Recent corporate updates are constructive, driven by encouraging exploration results.

Positive Factors

Conservative Balance Sheet

Low leverage and materially higher assets and equity versus prior periods reduce refinancing and solvency risk for an exploration company. This stronger capitalization increases runway flexibility for drilling programs and potential transactions, improving durability through funding cycles.

Constructive Corporate Developments

Encouraging exploration results at Ballywire and management/shareholder-aligned equity incentives are structural positives: better drill outcomes can materially advance asset value, while equity compensation aligns incentives for discovery and value-accretive deals over the medium term.

Focused Commodity Exposure

A clear strategic focus on zinc and associated base/precious metals matches structural demand for base metals and allows concentrated technical expertise. Specialization supports efficient capital allocation in exploration and strengthens the company’s ability to advance projects toward development or transactions.

Negative Factors

Pre-Revenue Profile

A sustained pre-revenue model with widening net losses limits internal funding capacity and requires ongoing financing to progress projects. Without imminent revenue or a transaction, persistent losses erode shareholder value and increase execution risk over the medium term.

Negative Cash Flow/Cash Burn

Consistent negative operating cash flow and accelerating cash burn are structural constraints for an exploration firm, raising dependency on equity or debt raises. This creates dilution risk and can force project prioritization or delays if market funding conditions tighten.

Persistently Negative Returns on Equity

Negative ROE despite improved capitalization indicates the company currently destroys economic value rather than creating it. Over months, continued negative returns without a financing or value-creating transaction heightens risk that equity infusions will dilute existing holders rather than fund accretive development.

Group Eleven Resources Business Overview & Revenue Model

Company Description

Group Eleven Resources Corp. engages in the exploration and evaluation of mineral properties in Ireland. The company primarily explores for zinc, lead, and silver deposits. It owns 100% interest in the Silvermines project comprising five licenses (PLs) covering 133 square kilometers located in the northern County Tipperary; the PG West project consists of 25 PLs located in the Limerick region. The company also holds 60% interest in the Ballinalack project, which comprises 6 PLs located in northeast Ireland; and 76.56% interest in the Stonepark project located in County Limerick, Ireland. Group Eleven Resources Corp. was founded in 2015 and is based in Vancouver, Canada.

How the Company Makes Money

Group Eleven Resources generates revenue primarily through the exploration and potential development of mineral resources. The company seeks to discover and delineate economically viable mineral deposits, which can either be developed into producing mines or sold to larger mining companies. Revenue can be generated through the sale of mineral rights, joint venture agreements, or eventual mining operations. The company may also secure funding through equity financing, partnerships, and strategic alliances, which contribute to its capital for ongoing exploration activities.

Group Eleven Resources Financial Statement Overview

Summary

Overall fundamentals are weak due to a pre-revenue model with widening net losses and accelerating cash burn (Income Statement 6; Cash Flow 18). The main offset is a conservatively levered balance sheet with improving equity/asset base and minimal debt (Balance Sheet 62).

Income Statement

Across annual periods and TTM (Trailing-Twelve-Months), the company reports no revenue and consistently negative profitability, with net losses widening in TTM versus 2024 (net income of about -$5.0M TTM vs. -$3.4M in 2024). With no top-line base, margins are effectively not meaningful and losses reflect ongoing spending rather than an operating model scaling toward profitability. The main positive is that losses appear typical for an early-stage, pre-revenue profile, but the near-term earnings trajectory is deteriorating.

Balance Sheet

The balance sheet is conservatively levered with essentially no debt (debt-to-equity near 0 across periods), which reduces financial risk and refinancing pressure. Total assets and equity increased materially in TTM versus 2024 (assets ~$17.6M vs. ~$10.7M; equity ~$13.7M vs. ~$7.0M), indicating improved capitalization. The key weakness is persistently negative returns on equity (roughly -0.52 TTM), reflecting ongoing losses that erode value over time if not offset by future funding or a move toward revenue generation.

Cash Flow

Cash generation is weak, with operating cash flow and free cash flow consistently negative and worsening in TTM (operating cash flow about -$4.4M TTM vs. -$3.2M in 2024). While free cash flow growth shows a positive figure in TTM, the company is still burning cash and will likely remain dependent on external funding. A relative positive is that free cash flow is broadly in line with net loss (cash burn roughly tracks reported losses), but the magnitude and trend of outflows remain the 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	-9.76K	-5.29K	-3.81K	-5.65K	-5.06K	-5.46K
EBITDA	-4.98M	-3.46M	-2.53M	-2.51M	-1.98M	-1.94M
Net Income	-5.03M	-3.38M	-2.49M	-2.40M	-1.99M	-1.86M
Balance Sheet
Total Assets	17.62M	10.73M	12.34M	10.11M	9.93M	11.32M
Cash, Cash Equivalents and Short-Term Investments	8.42M	1.70M	3.36M	1.12M	943.69K	2.28M
Total Debt	0.00	0.00	0.00	40.00K	40.00K	40.00K
Total Liabilities	940.88K	760.47K	896.11K	751.61K	611.17K	751.73K
Stockholders Equity	13.75M	6.99M	8.57M	6.43M	6.27M	7.46M
Cash Flow
Free Cash Flow	-4.48M	-3.17M	-2.15M	-2.43M	-2.09M	-1.80M
Operating Cash Flow	-4.44M	-3.17M	-2.13M	-2.42M	-2.09M	-1.80M
Investing Cash Flow	-47.17K	-6.10K	-20.85K	-2.97K	0.00	0.00
Financing Cash Flow	10.92M	1.52M	4.38M	2.60M	747.00K	3.22M

Group Eleven Resources Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.70
• 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:ZNG, the sentiment is Neutral. The current price of 0.7 is below the 20-day moving average (MA) of 0.79, above the 50-day MA of 0.66, and above the 200-day MA of 0.41, indicating a neutral trend. The MACD of 0.02 indicates Positive momentum. The RSI at 49.76 is Neutral, neither overbought nor oversold. The STOCH value of 21.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:ZNG.

Group Eleven Resources 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%
ZNG	57 Neutral	C$193.47M	-35.11	-46.64%	―	―	-59.57%
GRSL	56 Neutral	C$220.92M	-25.98	-50.60%	―	―	-235.10%
DMX	51 Neutral	C$162.81M	-43.69	-20.92%	―	―	7.50%
AGX	50 Neutral	C$307.02M	-109.09	-6.09%	―	8.28%	87.46%
BCM	49 Neutral	C$257.81M	-1.78	-525.71%	―	-4.16%	-66.82%
EMO	42 Neutral	C$165.05M	-12.10	-46.38%	―	―	19.55%

Group Eleven Resources Corporate Events

Group Eleven Extends Ballywire Massive Sulphide Zone with Best Drill Results to Date

Group Eleven Resources reported its best drilling results to date from the Ballywire discovery at its PG West project in Ireland, highlighted by hole 25-3552-51, which intersected 29.9 metres grading 15.3% zinc plus lead, 552 g/t silver and 0.67% copper from 339 metres depth, extending the main massive sulphide zone by 80 metres to the southwest and revealing exceptionally high silver, copper and antimony grades over shorter intervals. A second key hole, 25-468-19, uncovered a new significantly mineralized zone in a 400-metre gap at the southwest end of the discovery, intersecting 32.3 metres of 3.0% zinc plus lead with several higher-grade sub-intervals, suggesting additional mineralized lenses south of and potentially parallel to the current trend; with four rigs now active and a strong treasury, the company is signaling substantial exploration upside and a potential step-change in the scale and significance of Ballywire for stakeholders.

The most recent analyst rating on (TSE:ZNG) stock is a Hold with a C$0.76 price target. To see the full list of analyst forecasts on Group Eleven Resources stock, see the TSE:ZNG Stock Forecast page.

Group Eleven Grants Stock Options and DSUs to Align Management and Board with Shareholders

Group Eleven Resources has granted 2.6 million stock options to directors, officers and employees under its stock option plan, vesting over two years with a five-year term and an exercise price of C$0.63 per share. The company has also awarded 95,238 deferred share units to its independent directors for 2024 services, reinforcing equity-based incentives that align management and board interests with shareholders as it advances its Irish base metals projects.

Group Eleven Unveils New Mineralized Zone at Ballywire

Group Eleven Resources Corp. announced the discovery of a new mineralized zone at its Ballywire prospect in Ireland, with promising zinc, lead, and silver results. The latest drilling results extend the known mineralization and suggest potential for additional zones, enhancing the project’s tonnage potential and exploration upside.