Wedgemount Resources (WDGY) AI Stock Analysis

• Market Cap: C$3.41M
• Dividend Yield: N/A
• Average Volume (3M): 18.90K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.04
• Revenue Growth: 123.58%
• EPS Growth: -65.69%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 52
• Industry: Other Precious Metals
• EPS (TTM): -0.06
• Shares Outstanding: 52,487,934
• 10 Day Avg. Volume: 16,300
• 30 Day Avg. Volume: 18,900
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.10
• Price to Cash Flow (P/CF): -0.90
• 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

Wedgemount Resources faces significant financial challenges with negative profitability and cash flows. Technical indicators suggest bearish momentum, and valuation metrics are unattractive due to ongoing losses. However, recent corporate events show a positive operational and regulatory direction, potentially improving future prospects.

Wedgemount Resources Business Overview & Revenue Model

Company Description

Wedgemount Resources (WDGY) is a resource exploration company focused on the acquisition, exploration, and development of mineral properties. Operating primarily in the mining sector, the company aims to discover and develop economically viable mineral deposits, with a particular focus on copper, gold, and other precious and base metals. Utilizing a strategic approach to exploration, Wedgemount Resources seeks to maximize shareholder value through targeted exploration activities and potential joint ventures.

How the Company Makes Money

Wedgemount Resources primarily generates revenue through the exploration and potential development of mineral properties. The company aims to increase the value of its mineral assets by identifying promising exploration targets and advancing these projects to attract interest from larger mining companies or investors. Revenue streams include potential sales or joint ventures of mineral properties, where the company can earn income from outright sales, royalties, or equity stakes in developed projects. Additionally, Wedgemount may engage in strategic partnerships or collaborations with other mining entities to leverage expertise and share risks, further contributing to its earnings potential. However, as an exploration-focused company, significant revenues are often contingent on successful exploration outcomes and favorable market conditions for metals.

Wedgemount Resources Financial Statement Overview

Summary

Wedgemount Resources shows revenue growth but faces significant profitability and leverage challenges. Negative cash flows further stress the financial health, necessitating strategic adjustments to improve operational efficiency and manage debt levels.

Income Statement

The company has shown recent revenue growth, increasing from 292,180 to 1,171,405 in TTM, indicating a positive trajectory. However, it consistently reports negative net income with a net profit margin of -215.7% in TTM, and negative EBIT and EBITDA margins, highlighting operational inefficiencies and profitability challenges.

Balance Sheet

The company has a high debt-to-equity ratio of 3.11, indicating potential leverage risks. The equity ratio stands at 8.1%, suggesting limited equity financing relative to total assets. Despite these concerns, the presence of equity provides some stability.

Cash Flow

Operating cash flow remains negative at -1,211,873 in TTM, pressuring liquidity. Free cash flow is also negative, indicating cash utilization challenges. The operating cash flow to net income ratio is positive, suggesting some cash conversion efficiency despite overall losses.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Dec 2020
Income Statement		Total Revenue
1.17M	1.08M	292.18K	0.00	0.00	0.00
	Gross Profit
817.65K	857.86K	211.96K	-431.03K	-1.94K	0.00
	EBIT
-671.71K	0.00	-920.04K	-915.80K	-916.46K	-17.58K
	EBITDA
-1.95M	-1.07M	-1.19M	-915.80K	52.81K	-17.58K
	Net Income Common Stockholders
-2.53M	-1.55M	-1.36M	-2.41M	-896.89K	-17.58K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
362.53K	99.48K	950.62K	220.46K	1.47M	125.56K
	Total Assets
13.66M	7.43M	5.16M	617.09K	2.06M	218.62K
	Total Debt
3.44M	1.58M	768.99K	0.00	0.00	0.00
	Net Debt
3.08M	1.48M	-181.62K	-220.46K	-1.47M	-125.56K
	Total Liabilities
12.56M	5.64M	2.17M	82.03K	325.45K	17.70K
	Stockholders Equity
1.11M	1.80M	3.00M	535.06K	1.73M	200.92K
Cash Flow		Free Cash Flow
-2.45M	-876.69K	-3.48M	-1.25M	-757.05K	-89.94K
	Operating Cash Flow
-1.21M	-33.11K	-595.04K	-1.21M	-624.57K	-74.94K
	Investing Cash Flow
-1.31M	-910.94K	-3.04M	-35.00K	-161.98K	-15.00K
	Financing Cash Flow
2.33M	92.91K	4.36M	0.00	2.25M	215.50K

Wedgemount Resources Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.06
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:WDGY, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.07, below the 50-day MA of 0.08, and below the 200-day MA of 0.10, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 34.82 is Neutral, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:WDGY.

Wedgemount Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GMA	55 Neutral	C$13.62M	―	-58.91%	―	-83.85%	-24.32%
PGE	47 Neutral	C$31.44M	―	-79.38%	―	―	34.27%
Sector *	47 Neutral	$2.43B	-2.83	-21.77%	3.74%	4.16%	-28.83%
WDGY	45 Neutral	C$3.41M	―	-202.33%	―	123.58%	-65.69%
BEX	42 Neutral	C$15.42M	―	-38.92%	―	―	-1080.77%

Wedgemount Resources Corporate Events

Wedgemount Resources Announces Stock Option Grant

Wedgemount Resources Corp. has announced the approval of a stock option grant allowing the acquisition of up to 800,000 common shares, exercisable over a five-year term at a price of $0.10 per option. This move is likely aimed at enhancing shareholder value and could impact the company’s market positioning by potentially increasing investor interest and capital inflow.

Wedgemount Resources Resumes Oil Production and Achieves Financial Compliance

Wedgemount Resources Corp. has resumed oil production after temporarily shutting down due to extreme cold weather, aiming to protect its wells and facilities. With favorable weather conditions, the company is now focusing on production growth and optimization, planning chemical treatments and well workovers to improve efficiency. Additionally, Wedgemount has addressed its financial reporting obligations, leading to the revocation of a Management Cease Trade Order by the British Columbia Securities Commission.

Wedgemount Resources Updates on Management Cease Trade Order

Wedgemount Resources Corp., a junior oil and gas company, is providing an update regarding its management cease trade order issued by the British Columbia Securities Commission on November 29, 2024. The company is diligently working with auditors to finalize its audited financial statements and related filings for the fiscal year ending July 31, 2024, by January 27, 2025. The cease trade order restricts trading by the company’s CEO and CFO until the filings are complete but does not affect other shareholders. Wedgemount continues to comply with regulations by issuing bi-weekly status updates and confirms no material changes or defaults have occurred since the initial announcement.