Nelson Resources Ltd. (NES) AI Stock Analysis

• Market Cap: AU$6.52M
• Dividend Yield: N/A
• Average Volume (3M): N/A
• Price to Earnings (P/E): ―
• Beta (1Y): 1.10
• Revenue Growth: N/A
• EPS Growth: -110.53%
• Country: AU
• Employees: 120
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Gold
• EPS (TTM): 0.00
• Shares Outstanding: 2,171,927,700
• 10 Day Avg. Volume: N/A
• 30 Day Avg. Volume: N/A
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• 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

• Rating: 30 Underperform
• Price Target: ―

Nelson Resources Ltd. is currently facing significant financial distress, with declining revenue, persistent losses, and negative cash flows. The technical analysis is inconclusive due to a lack of data, and the valuation metrics indicate potential overvaluation. These factors contribute to a low overall stock score, reflecting the high-risk nature of the investment.

Nelson Resources Ltd. Business Overview & Revenue Model

Company Description

Nelson Resources Limited engages in the exploration and development of natural resources in Australia. It primarily explores for gold and nickel. The company's flagship project is the 1185 square kilometers Woodline Project located at the boundary between the Proterozoic Albany-Fraser Orogen and the Archean Yilgarn-Craton. It holds a portfolio of gold projects covering an area of 1641 square kilometers located in the Western Australia. The company was formerly known as Mongolian Resource Corporation Limited and changed its name to Nelson Resources Limited in November 2016. Nelson Resources Limited was incorporated in 2007 and is based in Perth, Australia.

How the Company Makes Money

Nelson Resources Ltd. generates revenue primarily through the exploration and development of mineral properties, with a focus on gold deposits. The company seeks to increase its mineral resource base through successful exploration activities, leading to potential partnerships or joint ventures with larger mining companies for project development. Revenue streams may also include the sale or optioning of exploration assets and, eventually, the production and sale of gold and other minerals if a project moves to the operational phase. Significant factors contributing to earnings include the successful identification of economically viable mineral deposits, favorable commodity prices, and strategic partnerships that provide capital and technical expertise for project advancement.

Nelson Resources Ltd. Financial Statement Overview

Summary

Nelson Resources Ltd. faces significant financial challenges, with ongoing losses and decreasing revenues. The balance sheet shows some strength with minimal debt, but declining equity and assets are concerning. Cash flow issues persist with negative cash from operations and free cash flow, indicating potential liquidity constraints.

Income Statement

The income statement shows declining revenue over the years, with a total lack of revenue in the most recent year. Margins are negative, indicating persistent losses, and the company has failed to achieve profitability. There is a significant deterioration in profitability metrics like EBIT and EBITDA margins.

Balance Sheet

The balance sheet highlights a relatively low level of debt, which is a positive. However, the decline in stockholders' equity and total assets raises concerns about financial health and stability. The equity ratio has weakened, indicating a reduction in asset backing over time.

Cash Flow

The company continues to struggle with negative operating and free cash flows, reflecting inadequate cash generation from operations. There is no substantial improvement in cash flow metrics, and the company may face liquidity challenges if the trend continues.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	36.76K	45.27K	374.49K	204.46K	25.86K
Gross Profit	12.51K	-347.00K	-1.13M	-92.05K	-107.75K
EBITDA	-6.38M	-907.00K	-1.88M	-2.79M	-586.58K
Net Income	-6.40M	-1.31M	-2.32M	-3.10M	-723.63K
Balance Sheet
Total Assets	1.24M	7.36M	7.77M	6.46M	6.02M
Cash, Cash Equivalents and Short-Term Investments	100.97K	896.80K	1.06M	126.86K	70.58K
Total Debt	0.00	249.68K	249.68K	287.51K	11.69K
Total Liabilities	208.49K	71.94K	470.20K	1.08M	2.24M
Stockholders Equity	1.04M	7.29M	7.30M	5.37M	3.78M
Cash Flow
Free Cash Flow	-811.63K	-1.66M	-3.35M	-4.02M	-878.74K
Operating Cash Flow	-222.73K	-796.23K	-2.98M	-2.86M	-829.26K
Investing Cash Flow	-573.10K	-623.60K	-339.12K	-1.16M	-30.68K
Financing Cash Flow	0.00	1.26M	4.25M	4.07M	264.30K

Nelson Resources Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARD	45 Neutral	48.64M	-17.06	―	―	―	15.00%
RML	44 Neutral	58.10M	-0.63	―	―	―	-620.20%
SFX	37 Underperform	55.37M	-2.50	―	―	―	31.75%
MEU	35 Underperform	63.63M	-135.00	―	―	―	-33.33%
NES	30 Underperform	AU$6.52M	―	-114.81%	―	―	-110.53%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Nelson Resources Ltd. Corporate Events

Nelson Resources Explores New Opportunities at Yarri Project

Nelson Resources Ltd. has conducted a site visit to its Yarri Project, where historic workings and samples were inspected, with results pending. The visit revealed potential new areas for targeting within the Yarri South and Beatrice areas, suggesting different local lithological controls to mineralization, which could impact future exploration strategies.

Nelson Resources Limited Releases Half-Year Report

Nelson Resources Limited has released its half-year report for the period ending December 31, 2024. The report provides an overview of the company’s corporate structure, including details about its directors, company secretary, and principal place of business. This announcement is primarily administrative and does not provide specific insights into the company’s operational performance or strategic direction. Stakeholders may find this information useful for understanding the company’s governance and corporate framework.