Commerce Resources (CCE) AI Stock Analysis

• Market Cap: C$15.48M
• Dividend Yield: N/A
• Average Volume (3M): 208.48K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.53
• Revenue Growth: N/A
• EPS Growth: -1009.03%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 62
• Industry: Mining
• EPS (TTM): -0.16
• Shares Outstanding: 212,021,560
• 10 Day Avg. Volume: 97,372
• 30 Day Avg. Volume: 208,484
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -15.60
• P/FCF Ratio: 0.00
• 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

Commerce Resources Corp. faces severe financial challenges, with no revenue generation and persistent losses impacting its financial stability. The technical analysis indicates a bearish trend, though potential for a rebound exists due to oversold indicators. The valuation is weak, given the negative P/E ratio and lack of dividends. However, the recent funding for infrastructure development is a positive step towards future growth. Overall, the stock is rated at the lowest end of the spectrum, reflecting significant risks and challenges.

Commerce Resources Business Overview & Revenue Model

Company Description

Commerce Resources Corp. (CCE) is a Canadian-based mineral exploration and development company focused on rare earth elements (REE) and rare metals in Canada. The company primarily operates through its key projects: the Ashram Rare Earth Element/Fluorspar Deposit located in Quebec and the Blue River Tantalum-Niobium Project in British Columbia. Commerce Resources aims to advance these projects towards production to meet the growing demand for rare earth elements used in various high-tech and green energy applications.

How the Company Makes Money

Commerce Resources Corp. generates revenue primarily through the exploration and development of its mineral projects. The company seeks to enhance the value of its properties through activities such as drilling, geological surveys, and feasibility studies, which can attract investment or acquisition interest from larger mining companies. Revenue is also generated through partnerships or joint ventures with other mining entities, which can provide funding in exchange for a stake in project developments. Additionally, Commerce Resources may earn income by selling off stakes in its projects or through royalties from future production agreements.

Commerce Resources Financial Statement Overview

Summary

Commerce Resources faces significant financial challenges, primarily due to its inability to generate revenue and persistent losses. While its balance sheet reflects a strong equity position with minimal debt, the lack of positive cash flow from operations and reliance on financing raises concerns about future financial stability. The company needs to address its revenue generation and operational efficiency to improve its financial outlook.

Income Statement

Commerce Resources has consistently reported zero revenue over the years, indicating a lack of income generation from its core operations. The company also exhibits negative EBIT and EBITDA margins, highlighting operational inefficiencies and high expenses relative to nonexistent revenue. The net income has been persistently negative, showing ongoing losses without signs of improvement.

Balance Sheet

The company maintains a strong equity position with a high equity ratio, indicating a solid capital structure. The debt-to-equity ratio is low, reflecting minimal leverage and reduced financial risk. However, the consistent decline in total assets and equity over recent periods suggests potential challenges in maintaining asset growth and shareholder value.

Cash Flow

Commerce Resources has been reporting negative operating and free cash flows, indicating struggles in generating cash from operations. Although there is an influx of financing cash flow, it primarily serves to cover operational deficits rather than fuel growth. The company's inability to generate positive free cash flow poses a risk to long-term financial sustainability.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-24.52K	-32.69K	-19.07K	0.00	0.00	0.00
	EBIT
-1.12M	-1.60M	-680.54K	-1.42M	-823.41K	-1.05M
	EBITDA
-28.63M	-1.60M	-688.89K	-807.64K	-823.41K	-1.05M
	Net Income Common Stockholders
-28.70M	-1.70M	-723.56K	-451.11K	-827.41K	-1.14M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.81M	3.98M	545.78K	3.31M	1.09M	693.15K
	Total Assets
54.74M	77.29M	73.19M	71.20M	63.83M	62.97M
	Total Debt
91.14K	121.81K	149.02K	0.00	0.00	0.00
	Net Debt
-2.40M	-3.83M	-364.77K	-3.26M	-1.05M	-242.66K
	Total Liabilities
1.64M	571.03K	1.60M	982.53K	1.10M	1.08M
	Stockholders Equity
53.10M	76.72M	71.59M	70.22M	62.73M	61.89M
Cash Flow		Free Cash Flow
-3.23M	-2.99M	-5.08M	-5.67M	-1.25M	-2.16M
	Operating Cash Flow
-2.32M	-509.69K	-774.14K	-2.36M	-828.10K	-1.59M
	Investing Cash Flow
-5.87M	-2.48M	-4.31M	-3.31M	-8.52K	-965.10K
	Financing Cash Flow
6.72M	6.43M	2.34M	7.88M	1.65M	2.74M

Commerce Resources Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.07
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CCE, the sentiment is Negative. The current price of 0.07 is below the 20-day moving average (MA) of 0.08, below the 50-day MA of 0.08, and below the 200-day MA of 0.11, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 44.31 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CCE.

Commerce Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MND	79 Outperform	C$450.76M	6.71	22.34%	―	37.39%	516.99%
Sector *	47 Neutral	$2.64B	-3.82	-29.05%	3.32%	2.72%	-29.50%
LGO	46 Neutral	$157.71M	―	-21.82%	―	-27.73%	-44.62%
NGC	44 Neutral	$13.77M	―	-329.25%	―	31.19%	-46.99%
AVL	43 Neutral	C$18.25M	―	-5.00%	―	―	-1118.18%
CCE	37 Underperform	C$15.48M	―	-44.22%	―	―	-1009.03%

Commerce Resources Corporate Events

Commerce Resources Secures $2.6M for Ashram Deposit Access Road

Commerce Resources Corp. has received conditional approval for $2.6 million CAD from Canada’s Critical Minerals Infrastructure Fund to develop an access road to its Ashram REE/Fluorspar Deposit in Quebec. This funding is crucial for advancing various studies and enhancing access to the Nunavik region, supporting multiple projects and indigenous groups, and aligning with Canada’s strategy to expand sustainable critical minerals production, thereby strengthening supply chains and fostering economic growth.

Commerce Resources Corp. Grants Performance Share Units to CEO

Commerce Resources Corp. has granted 9,000,000 performance share units to CEO Ross Carroll under its Equity Incentive Plan. These units will vest based on specific performance criteria met over the next year. This development reflects the company’s strategic efforts to incentivize leadership aligned with its growth objectives, potentially impacting its market position and operational efficiency.

Commerce Resources Announces Board Change and Focus

Commerce Resources Corp. announces the resignation of Jody Dahrouge from its Board of Directors, marking the end of his influential role in the company. Dahrouge’s leadership was crucial in the discovery and development of significant projects like the Ashram Rare Earth and Fluorspar Deposit in Quebec. The company remains focused on becoming a leading low-cost producer in the rare earth market.

Commerce Resources Unveils Major Niobium Discovery

Commerce Resources Corp. has confirmed significant niobium discoveries at its Eldor Property in Quebec, enhancing the prospects of the Ashram Rare Earth and Fluorspar Deposit. The company has expanded the niobium mineralized footprint with new high-grade zones at the Northwest and Moira prospects, demonstrating the potential for large-scale niobium extraction. These discoveries could position Commerce Resources as a key player in the niobium market, which is crucial for various industrial applications.