Star Diamond (DIAM) AI Stock Analysis

• Market Cap: $30.88M
• Dividend Yield: N/A
• Average Volume (3M): 230.25K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.75
• Revenue Growth: N/A
• EPS Growth: -72.88%
• Country: CA
• Employees: 5
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Other Precious Metals
• EPS (TTM): -0.01
• Shares Outstanding: 617,574,000
• 10 Day Avg. Volume: 201,166
• 30 Day Avg. Volume: 230,247
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -16.60
• 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

Star Diamond's overall stock score of 45 reflects significant financial challenges, as highlighted by negative revenues and cash flows. The technical analysis suggests potential upward momentum, but valuation metrics remain a concern. The strategic acquisition is a positive development that could aid future growth, but immediate financial instability and unprofitability weigh heavily on the score.

Star Diamond Business Overview & Revenue Model

Company Description

Star Diamond (DIAM) is a publicly traded company engaged in the exploration and development of diamond resources. The company primarily focuses on its core project, the Star-Orion South Diamond Project, located in Saskatchewan, Canada. Star Diamond is dedicated to advancing its exploration efforts to transition its diamond project from development to production, aiming to supply high-quality diamonds to the global market.

How the Company Makes Money

Star Diamond makes money through its efforts to explore and develop diamond resources, particularly the Star-Orion South Diamond Project. The company's revenue model is based on the successful extraction and sale of diamonds once the project transitions into the production phase. Key revenue streams include the sale of rough diamonds to international markets and potential partnerships with larger mining companies to co-develop and expand their projects. Additionally, the company may engage in joint ventures or secure financing to support its operations, which can also contribute to its earnings.

Star Diamond Financial Statement Overview

Summary

Star Diamond faces significant financial challenges. The income statement reveals ongoing losses with no revenue, the balance sheet indicates limited financial flexibility with declining equity, and the cash flow statement shows consistent negative cash flows. Strategic changes are necessary to improve the financial outlook.

Income Statement

Star Diamond has consistent negative revenue, with no signs of revenue growth. The gross profit, EBIT, and EBITDA are all negative, indicating that the company is not covering its operational costs. The net profit margin is also negative. These factors highlight significant challenges in achieving profitability.

Balance Sheet

The company's balance sheet shows a high proportion of liabilities compared to equity, but the debt-to-equity ratio is relatively low due to minimal total debt. The equity ratio is reasonable, yet the declining stockholders' equity and total assets suggest potential financial instability.

Cash Flow

Operating cash flow and free cash flow are both consistently negative, indicating cash outflows from operations without any incoming cash to cover these expenses. The free cash flow to net income ratio is also negative, suggesting persistent cash flow issues that need addressing.

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
-357.00K	-91.00K	-102.00K	-100.00K	-107.00K	-136.00K
	EBIT
-3.68M	-2.88M	-3.38M	-7.97M	-6.05M	-4.07M
	EBITDA
-5.10M	-2.79M	-68.68M	-7.58M	-6.01M	-3.97M
	Net Income Common Stockholders
-6.02M	-2.82M	-134.19M	-7.99M	-6.29M	-4.16M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
164.00K	553.00K	2.61M	1.26M	4.77M	7.95M
	Total Assets
14.39M	1.16M	3.07M	69.37M	72.63M	75.73M
	Total Debt
122.00K	193.00K	39.00K	117.00K	192.00K	257.00K
	Net Debt
-42.00K	-360.00K	-2.57M	-1.15M	-4.58M	-7.69M
	Total Liabilities
9.18M	980.00K	717.00K	4.16M	2.23M	1.91M
	Stockholders Equity
5.21M	181.00K	2.35M	65.21M	70.40M	73.82M
Cash Flow		Free Cash Flow
-3.60M	-2.27M	-4.96M	-5.36M	-4.79M	-2.66M
	Operating Cash Flow
-3.59M	-2.27M	-4.95M	-5.36M	-4.79M	-2.66M
	Investing Cash Flow
2.57M	0.00	610.00K	-5.00K	12.00K	-2.00K
	Financing Cash Flow
633.00K	212.00K	5.68M	1.85M	1.60M	7.80M

Star Diamond Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 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:DIAM, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.06, above the 50-day MA of 0.05, and above the 200-day MA of 0.04, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 45.87 is Neutral, neither overbought nor oversold. The STOCH value of 36.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:DIAM.

Star Diamond Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	47 Neutral	$2.53B	-3.19	-22.23%	3.49%	4.01%	-27.90%
DIAM	45 Neutral	$30.88M	―	-233.00%	―	―	-72.88%
MPVD	44 Neutral	$12.74M	―	-24.75%	―	-18.55%	-84.45%

Star Diamond Corporate Events

Star Diamond Corporation Reports 2024 Year-End Results and Strategic Acquisition

Star Diamond Corporation has announced its 2024 year-end financial results, highlighting its acquisition of a 75% interest in the Fort à la Corne Project from Rio Tinto Exploration Canada Inc. This acquisition grants Star Diamond full control over the project and includes the transfer of key assets and equipment. The transaction, valued at $9,187, strengthens Star Diamond’s position in the diamond exploration industry and involves strategic agreements with Rio Tinto, including an Investor Rights Agreement and responsibilities for future reclamation activities.

Star Diamond Completes Private Placement and Announces Management Change

Star Diamond Corporation has successfully closed the second tranche of its non-brokered private placement, raising a total of C$565,000 through the issuance of convertible debentures and share purchase warrants. The proceeds will be used for general working capital and to further discussions with potential investors for a pre-feasibility study on the Fort à la Corne kimberlites. The offering includes participation from a company director, constituting a related party transaction, and remains subject to regulatory approvals.

Star Diamond Closes First Tranche of Private Placement

Star Diamond Corporation has announced the closing of the first tranche of its non-brokered private placement, raising C$335,000 through convertible debentures. These debentures offer an 8% annual interest rate and can be converted into common shares under certain conditions. The company plans to close a second tranche by the end of February 2025, aiming to raise an additional C$165,000. Proceeds from this offering will be utilized for working capital as the company seeks investors for a pre-feasibility study on their Fort à la Corne kimberlites project. The transaction also involved the issuance of 16,750,000 share purchase warrants and included a related party transaction with the CEO purchasing C$25,000 of debentures.