First Helium Inc. (HELI) AI Stock Analysis

• Market Cap: C$9.63M
• Dividend Yield: N/A
• Average Volume (3M): 287.43K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.23
• Revenue Growth: -71.68%
• EPS Growth: 78.98%
• Country: CA
• Employees: N/A
• Sector: Energy
• Sector Strength: 73
• Industry: Fossil Fuels
• EPS (TTM): -0.02
• Shares Outstanding: 213,899,020
• 10 Day Avg. Volume: 237,042
• 30 Day Avg. Volume: 287,430
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 19.49
• Price to Cash Flow (P/CF): -2.40
• 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

First Helium Inc.'s stock faces several challenges, with significant financial and technical hurdles. The company's unprofitability and poor technical indicators weigh heavily on its overall score. However, recent positive corporate developments, such as successful drilling operations, offer potential for future upside if they lead to increased production and financial improvement.

First Helium Inc. Business Overview & Revenue Model

Company Description

First Helium Inc. (HELI) is a Canadian-based helium exploration and production company focused on the discovery and development of helium resources. Operating within the natural resources sector, the company's primary mission is to supply helium gas to meet the growing global demand driven by various industrial and technological applications. First Helium Inc. is actively engaged in exploring helium plays predominantly in Western Canada, leveraging its expertise to identify and capitalize on helium-rich areas.

How the Company Makes Money

First Helium Inc. generates revenue primarily through the exploration, production, and sale of helium gas. The company identifies potential helium-rich sites, conducts exploratory drilling, and develops these assets to produce marketable helium. Revenue is earned by selling the extracted helium to industries that rely on this critical resource, such as healthcare, electronics, and aerospace. Additionally, strategic partnerships and joint ventures with other exploration and production companies can contribute to its earnings by pooling resources and sharing infrastructure costs, although specific partnerships are not detailed here.

First Helium Inc. Financial Statement Overview

Summary

First Helium Inc. faces significant financial challenges, particularly in achieving profitability and maintaining positive cash flows. While the balance sheet shows a strong equity base and no current debt, the company must address revenue declines and operational inefficiencies to improve its financial health. Continued reliance on external financing poses risks if not managed carefully.

Income Statement

The company's income statement shows significant volatility. Revenue has decreased sharply in recent periods, with a negative growth trajectory. Gross profit and net profit margins are negative, indicating ongoing profitability challenges. EBIT and EBITDA margins are also negative, reflecting operational inefficiencies.

Balance Sheet

The balance sheet reflects a relatively strong equity position with no total debt in the latest period, resulting in a low debt-to-equity ratio. However, there are concerns about asset efficiency and potential liquidity risks given the high liabilities relative to cash and cash equivalents.

Cash Flow

The cash flow statement reveals negative operating and free cash flows, highlighting cash management issues. The ratio of operating cash flow to net income is not applicable due to consistent net losses. Financing activities have provided substantial cash inflows, mitigating some cash flow concerns temporarily.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
493.86K	1.13M	8.22M	3.57M	0.00	0.00
	Gross Profit
-22.28K	-220.74K	5.75M	2.55M	-1.43K	-2.17K
	EBIT
-1.45M	-3.00M	1.45M	-405.96K	-376.02K	-498.75K
	EBITDA
-2.14M	-1.87M	1.25M	-396.19K	-356.31K	-487.57K
	Net Income Common Stockholders
-2.93M	-3.20M	-6.93M	-465.84K	-523.68K	-560.30K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
148.22K	157.79K	165.27K	5.53M	3.47M	1.92K
	Total Assets
16.64M	16.22M	17.07M	20.31M	15.79M	2.16M
	Total Debt
81.85K	60.63K	140.99K	0.00	2.49M	1.05M
	Net Debt
-66.37K	-97.16K	-24.29K	-5.53M	-974.54K	1.05M
	Total Liabilities
2.45M	2.59M	2.79M	3.55M	3.89M	1.49M
	Stockholders Equity
14.18M	13.63M	14.28M	16.76M	11.90M	663.48K
Cash Flow		Free Cash Flow
-2.31M	-2.32M	-1.43M	-3.04M	-2.00M	-869.14K
	Operating Cash Flow
-2.04M	-2.02M	2.82M	-493.64K	-450.11K	-377.14K
	Investing Cash Flow
96.52K	-252.47K	-12.15M	-6.55M	-1.55M	-492.01K
	Financing Cash Flow
4.49M	2.27M	3.96M	2.04M	12.53M	871.06K

First Helium Inc. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HELI, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.06, below the 50-day MA of 0.06, and below the 200-day MA of 0.05, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 26.72 is Positive, neither overbought nor oversold. The STOCH value of -33.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:HELI.

First Helium Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PSI	76 Outperform	C$1.01B	8.30	26.63%	4.09%	12.14%	26.17%
NVA	73 Outperform	$2.37B	7.84	13.72%	―	-15.57%	-12.73%
PEY	73 Outperform	C$3.04B	10.45	11.55%	8.44%	-14.63%	-18.40%
FEC	57 Neutral	$536.47M	4.28	-1.37%	4.09%	-1.54%	-113.55%
Sector *	57 Neutral	$8.36B	5.49	-6.03%	7.47%	0.03%	-68.64%
HELI	48 Neutral	C$9.63M	―	-19.36%	―	-71.68%	78.98%
RHC.H	37 Underperform	C$7.55M	―	-34.75%	―	―	-63.19%

First Helium Inc. Corporate Events

First Helium Advances Worsley Property Drilling Operations

First Helium Inc. announced the successful drilling and casing of its 7-15 exploration well at the Worsley Property in Northern Alberta, planning to complete and test both the 7-15 and 7-30 wells. This development is significant as the proximity of the two wells allows for efficient operations, and completion before spring break up could strategically position the company for systematic development of its land holdings, potentially enhancing its market presence and operations.

First Helium Begins Drilling High Impact Exploration Well in Northern Alberta

First Helium Inc. has commenced drilling its 7-15 exploration well at the Worsley Property in Northern Alberta, targeting the Leduc light oil formation. This well, identified through proprietary 3D seismic data, aims to de-risk the Leduc Play, where the company has identified additional primary locations. The success of this venture could lead to further development opportunities and increased shareholder value, as the company plans to evaluate multi-zone potential for oil, natural gas, and helium across its 100% owned land base.

First Helium Advances Drilling Operations at Worsley Property

First Helium Inc. has successfully drilled and cased its 7-30 well at the Worsley Property, encountering several promising zones for oil, natural gas, and helium. The company is now moving its rig to the 7-15 location for further drilling, with potential results expected to de-risk their Leduc Play and provide immediate financial benefits. The proximity of the drilling sites allows for cost-efficient operations, and preparations are in place to complete and equip the wells before spring restrictions.

First Helium Initiates Drilling at Worsley Property to Enhance Oil Production

First Helium Inc. has commenced drilling at its 7-30 undeveloped light oil well at the Worsley Property in Northern Alberta, with plans to proceed to the 7-15 location shortly after. This strategic move aims to further de-risk the Leduc Play, potentially generating immediate cash flow and significant near-term value for shareholders, as the company prepares to systematically develop its extensive land base.

First Helium to Advance Drilling Operations at Worsley Project

First Helium Inc. has secured a drilling rig to execute back-to-back drilling operations at its Worsley project locations 7-30 and 7-15, targeting Leduc light oil. This strategic move aims to reduce mobilization costs and streamline operations, with the potential for immediate cash flow and significant value for shareholders if successful, positioning the company for enhanced industry presence and stakeholder benefits.

First Helium Inc. Advances Drilling Plans in Worsley with New Licensing Approval

First Helium Inc. has received regulatory approval to drill at its 7-15 exploration site, alongside its previously approved 7-30 location, both targeting Leduc light oil in the Worsley region. The company plans to drill these wells in a cost-effective sequence, which could result in immediate cash flow and value for shareholders, and pave the way for an additional 10 well drilling program. Success in these operations could de-risk future locations, offering opportunities to exploit other oil and helium-rich zones, enhancing the company’s strategic positioning in the energy market.

First Helium Announces Ambitious 2025 Plans

First Helium Inc. has announced its plans for 2025, highlighting two high-impact drilling targets that are set for early execution, thanks to a recent $3.64 million financing round. The company aims to capitalize on proven undeveloped well targets and new structures identified through proprietary 3D seismic data, which could significantly enhance cash flow. Additionally, First Helium is poised to explore further opportunities across its extensive asset base, including helium-enriched natural gas potential.