Renforth Resources (RFR) AI Stock Analysis

• Market Cap: C$5.45M
• Dividend Yield: N/A
• Average Volume (3M): 187.02K
• Price to Earnings (P/E): ―
• Beta (1Y): -2.23
• Revenue Growth: N/A
• EPS Growth: 5.36%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 62
• Industry: Mining
• EPS (TTM): >-0.01
• Shares Outstanding: 363,111,100
• 10 Day Avg. Volume: 170,951
• 30 Day Avg. Volume: 187,020
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -8.70
• 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

Renforth Resources faces critical financial distress with zero revenue, significant net losses, and negative cash flows. The technical analysis indicates weak momentum and potential overbought conditions, while valuation metrics reflect unattractive prospects with a negative P/E ratio. These factors collectively suggest a high-risk investment profile requiring strategic intervention.

Renforth Resources Business Overview & Revenue Model

Company Description

Renforth Resources Inc. (RFR) is a Canadian-based exploration company focused on the discovery and development of mineral resources, primarily in the province of Quebec. The company is engaged in the acquisition, exploration, and development of mineral properties, with a particular emphasis on gold and battery metals such as nickel. Renforth Resources aims to advance its projects through exploration and strategic partnerships, enhancing shareholder value through resource discovery and development.

How the Company Makes Money

Renforth Resources makes money primarily through the acquisition and exploration of mineral properties, leading to the discovery and development of valuable mineral resources. The company's revenue model is centered around increasing the value of its mineral assets through exploration success, which can attract partnerships or investments from larger mining companies. Additionally, Renforth Resources may generate revenue by selling or optioning its mineral properties to other companies or through joint ventures. The company also benefits from any potential increases in the market value of the minerals it discovers, which can enhance the overall valuation of its projects and provide opportunities for monetization through asset sales or stock offerings.

Renforth Resources Financial Statement Overview

Summary

Renforth Resources faces severe financial challenges with zero revenue generation, persistent net losses, and negative cash flows, suggesting operational and financial distress. The balance sheet reveals potential solvency issues with negative equity, despite no debt burden. The company's financial position is precarious, requiring strategic shifts to improve sustainability.

Income Statement

Renforth Resources has consistently reported zero revenue, indicating an absence of income generation activities. The company shows persistent negative net income, with notably worsening net losses over the years, reaching -1.82 million CAD in the TTM. The EBIT and EBITDA margins are negative, reflecting significant operational challenges and lack of profitability.

Balance Sheet

The balance sheet reflects a negative stockholders' equity as of the TTM, highlighting potential insolvency risks. The absence of debt is a positive aspect, but extremely low asset levels and negative equity suggest financial instability. The equity ratio is negative, further emphasizing the company's financial distress.

Cash Flow

The company exhibits negative free cash flow and operating cash flow, indicating cash burn without revenue support. While there is some financing cash flow, it primarily covers operating losses. The lack of revenue and persistent negative cash flow ratios highlight liquidity challenges.

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
-50.00K	0.00	0.00	0.00	0.00	0.00
	EBIT
-1.66M	-2.35M	-1.71M	-2.98M	-1.06M	-489.32K
	EBITDA
-1.88M	209.43K	-842.46K	649.46K	4.85M	9.61K
	Net Income Common Stockholders
-1.82M	-2.14M	-5.62M	-4.51M	-217.35K	-479.71K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
647.54K	356.58K	2.26M	4.46M	6.71M	885.76K
	Total Assets
6.41M	660.20K	2.67M	4.65M	12.79M	8.33M
	Total Debt
0.00	0.00	0.00	0.00	0.00	0.00
	Net Debt
-647.54K	-356.58K	-558.07K	-1.59M	-2.63M	-885.76K
	Total Liabilities
168.18K	582.75K	763.37K	757.97K	2.29M	576.35K
	Stockholders Equity
6.24M	77.44K	1.91M	3.90M	10.50M	7.76M
Cash Flow		Free Cash Flow
-1.74M	-2.30M	-2.52M	-3.03M	-3.14M	-1.68M
	Operating Cash Flow
-1.74M	-2.30M	-2.52M	-3.03M	-998.40K	-183.91K
	Investing Cash Flow
0.00	1.70M	12.83K	0.00	-1.37M	-1.44M
	Financing Cash Flow
567.10K	401.60K	1.47M	1.99M	4.12M	1.87M

Renforth Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.01
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RFR, the sentiment is Positive. The current price of 0.01 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.02, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 53.64 is Neutral, neither overbought nor oversold. The STOCH value of 200.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:RFR.

Renforth Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KNT	75 Outperform	C$2.43B	23.27	20.56%	―	64.92%	185.22%
Sector *	47 Neutral	$2.64B	-3.82	-29.05%	3.32%	2.72%	-29.50%
GMA	44 Neutral	C$12.91M	―	-58.91%	―	-83.85%	-24.32%
BTR	31 Underperform	C$36.72M	―	-91.29%	―	―	7.15%
RFR	21 Underperform	C$5.45M	―	-638.22%	―	―	5.36%

Renforth Resources Corporate Events

Renforth Resources Advances Parbec Gold Deposit Update

Renforth Resources Inc. has commenced an update to the NI43-101 Mineral Resource Estimate for its Parbec gold deposit, incorporating new drill data to improve its deposit model. This update aims to enhance the company’s efforts to generate cash flow from the gold resource, which could be used to further develop their nearby large-scale nickel sulphide polymetallic system. The company is also exploring the potential of using advanced ‘surgical drilling’ technology to minimize environmental impact. Additionally, Renforth is testing TOMRA’s sorting technology to optimize processing by removing waste rock, which could lower costs and improve ore grade. The company has also discovered mineralized ultramafic material at the Victoria nickel sulfide polymetallic structure, potentially expanding the amount of mineralized material and raising questions about the relationship with the nearby Lalonde structure.

Renforth Resources Updates Parbec Gold Deposit Plans

Renforth Resources Inc. has announced a series of developments at their Parbec Gold Deposit in Quebec, aiming to enhance their understanding of the deposit and move towards potential production. These initiatives include updating the resource estimate, permitting for dewatering underground access, and testing technology to optimize gold recovery. With these efforts, Renforth seeks to increase the value of their assets amid a favorable gold price environment.

Renforth Resources Announces Private Placement and Webinar

Renforth Resources Inc. is raising $250,000 through a non-brokered private placement to fund exploration on its Malartic Metals Package property in Quebec, known for its diverse mineral occurrences, including battery minerals and precious metals. The company is also hosting a virtual Town Hall to discuss 2024 developments and future exploration plans, inviting shareholders and interested parties to participate.