Cornish Metals (CUSN) AI Stock Analysis

• Market Cap: C$162.81M
• Dividend Yield: N/A
• Average Volume (3M): 45.03K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.59
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: 7
• Sector: Basic Materials
• Sector Strength: 59
• Industry: Industrial Materials
• EPS (TTM): 0.02
• Shares Outstanding: 1,252,414,100
• 10 Day Avg. Volume: 46,177
• 30 Day Avg. Volume: 45,026
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -14.40
• 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

Cornish Metals faces significant financial risks due to high cash burn and dependence on external funding, which greatly impacts its stock score. The bearish technical indicators further lower the score, while the valuation highlights the challenges typical of a non-revenue generating exploration phase company. Recent positive corporate events are promising for future development but do not immediately change the current risk profile.

Cornish Metals Business Overview & Revenue Model

Company Description

Cornish Metals Inc. engages in the acquisition, evaluation, exploration, and development of mineral properties in North America and the United Kingdom. The company primarily explores for tin, tungsten, nickel, lithium, copper, and cobalt deposits. Its flagship projects are the South Crofty project comprising an underground mine permission area that covers 1,490 hectares located in the Central Mining District of Cornwall, the United Kingdom; and the United Downs exploration project located within the historic Gwennap copper and tin mining district in Cornwall, the United Kingdom. It also holds interest in Nickel King project located in the Northwest Territories in Canada; and Sleitat project located in Alaska. The company was formerly known as Strongbow Exploration Inc. and changed its name to Cornish Metals Inc. in July 2020. Cornish Metals Inc. was incorporated in 2004 and is based in Vancouver, Canada.

How the Company Makes Money

Cornish Metals makes money primarily through the exploration and development of mineral resources, focusing on tin and copper deposits. The company generates revenue by advancing its mining projects towards production, which involves resource estimation, feasibility studies, securing necessary permits, and eventually mining operations. Once operational, revenue is generated from the sale of extracted metals. Additionally, the company might engage in strategic partnerships, joint ventures, or royalty agreements to fund its exploration activities and share project risks, which can also contribute to its revenue streams.

Cornish Metals Financial Statement Overview

Summary

Cornish Metals is in the exploration phase, characterized by no revenue generation and ongoing operational losses. The balance sheet reveals a strong cash position but highlights the need for external financing to support its operations. The company faces significant financial risks typical for early-stage mining companies, including high cash burn and dependence on external funding.

Income Statement

Cornish Metals has no revenue, which is typical for a mining exploration company not yet in production. The company has persistent negative EBIT and net income, indicating ongoing operational losses. The lack of revenue growth and negative profitability margins highlight significant financial challenges in its current phase.

Balance Sheet

The company shows a moderate equity ratio with a significant portion of total assets financed by equity, which is positive. However, the debt-to-equity ratio is relatively low, suggesting limited leverage usage. While the cash position is strong, the company is burning cash due to its development stage without revenue generation.

Cash Flow

Cornish Metals exhibits a negative free cash flow, which is expected for a company in the exploration phase. The operating cash flow is negative, and there's significant capital expenditure, reflecting investment in mining development. The company relies heavily on financing activities to cover cash burn.

Breakdown
TTM	Dec 2023	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
0.00	0.00	-443.00	-25.51K	-87.03K	-91.40K
	EBIT
-4.56M	-5.21M	-3.03M	-2.99M	-1.68M	-1.55M
	EBITDA
-2.38M	-3.28M	-3.03M	-2.87M	-1.65M	-1.45M
	Net Income Common Stockholders
-1.07M	-2.96M	-1.22M	-2.93M	-1.90M	-4.78M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
12.46M	28.46M	58.21M	8.50M	1.36M	1.85M
	Total Assets
123.46M	104.22M	102.11M	36.09M	18.18M	15.86M
	Total Debt
13.46M	642.00	642.00	4.87K	6.01M	5.31M
	Net Debt
3.87M	-25.79M	-55.49M	-6.92M	5.66M	4.00M
	Total Liabilities
27.52M	14.13M	11.65M	15.38M	9.85M	8.81M
	Stockholders Equity
95.94M	90.09M	90.46M	20.71M	8.33M	7.06M
Cash Flow		Free Cash Flow
-33.76M	―	-13.91M	-7.07M	-2.91M	-2.74M
	Operating Cash Flow
-4.46M	―	-3.61M	-3.09M	-1.26M	-1.36M
	Investing Cash Flow
-24.94M	―	-10.32M	-3.99M	-1.65M	-504.51K
	Financing Cash Flow
12.04M	―	61.66M	13.96M	1.97M	1.02M

Cornish Metals Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.12
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CUSN, the sentiment is Positive. The current price of 0.12 is below the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.14, and below the 200-day MA of 0.13, indicating a bullish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 52.03 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CUSN.

Cornish Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KNT	81 Outperform	C$3.14B	20.24	26.82%	―	77.93%	236.93%
Sector *	49 Neutral	$1.93B	-1.63	-22.29%	3.87%	0.68%	-27.40%
CUSN	39 Underperform	C$162.81M	―		―	―	―

Cornish Metals Corporate Events

Cornish Metals Appoints Joint Brokers to Enhance Market Position

Cornish Metals Inc. has announced the appointment of SP Angel Corporate Finance LLP and H&P Advisory Limited as joint brokers. This strategic move is aimed at enhancing the company’s financial advisory and brokerage capabilities, potentially impacting its operational efficiency and market positioning.

Cornish Metals Expands Land Holdings at South Crofty Tin Project

Cornish Metals Inc. has expanded its land ownership at the South Crofty tin project by purchasing 4.5 acres from Cornwall Council, increasing its total land area to approximately 32.5 acres. This acquisition provides direct access to a main road and facilitates the development of new mine infrastructure, which is crucial for the project’s advancement. The expansion is expected to enhance the company’s operational capabilities and strengthen its position in the tin market, potentially generating significant economic benefits and job opportunities in the region.

Cornish Metals Completes Fundraising and Strengthens Board

Cornish Metals Inc. has successfully closed the final tranche of its fundraising initiative, raising approximately £46.7 million to support the development of its South Crofty Tin Mine. This funding will be used for shaft refurbishment, de-watering, and early project works, positioning the company for a formal investment decision. Additionally, the company has appointed Mr. James Whiteside as a Non-Executive Director, which may enhance its strategic direction and governance.