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Gold Resource Corp. (GORO)
:GORO
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Gold Resource
(NYSE MKT:GORO)
52Neutral
Gold Resource (GORO) vs. S&P 500 (SPY)
Market Cap
$75.89M
Dividend YieldN/A
Average Volume (3M)3.14M
Price to Earnings (P/E)―
Beta (1Y)1.79
Revenue Growth-34.57%
EPS Growth-238.18%
CountryUS
Employees480
SectorBasic Materials
Sector Strength62
IndustryGold
Share Statistics
EPS (TTM)-0.15
Shares Outstanding121,600,590
10 Day Avg. Volume5,895,196
30 Day Avg. Volume3,136,163
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)0.00
Price to Cash Flow (P/CF)0.00
P/FCF Ratio0.00
Enterprise Value/Market Cap1.25
Enterprise Value/RevenueN/A
Enterprise Value/Gross Profit-4.62
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$1.25Price Target Upside101.61% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
Gold Resource Business Overview & Revenue Model
Company DescriptionGold Resource Corporation engages in the exploration, development, and production of gold and silver projects in Mexico and the United States. The company also explores for copper, lead, and zinc deposits. Its principal asset is the 100% owned Back Forty project covering approximately 1,304 hectares located in Menominee county, Michigan. The company was founded in 1998 and is headquartered in Denver, Colorado.
How the Company Makes MoneyGold Resource Corporation generates revenue primarily through the extraction and sale of precious and base metals, including gold, silver, copper, lead, and zinc. The company operates mines and processing facilities where these metals are extracted and processed for sale. Revenue is influenced by the production volume, market prices of metals, and operational efficiency. The company may also enter into strategic partnerships or joint ventures to optimize resource extraction and distribution. Additionally, GORO may engage in hedging activities to manage price volatility and protect its revenue streams.
Gold Resource Financial Statement Overview
Summary
Gold Resource is experiencing financial distress, with declining revenues, negative profit margins, and weakening balance sheet metrics. Immediate strategic changes are necessary to address operational inefficiencies and stabilize the company's financial health.Income Statement
Gold Resource has faced significant challenges in recent years, with total revenue dropping to zero in 2024, indicating a severe downturn in operations. The net profit margin and gross profit margin have also suffered, being negative or zero in recent periods. EBIT and EBITDA margins show consistent losses, reflecting operational inefficiencies and financial distress.20
Very Negative
Balance Sheet
The company’s balance sheet reveals a concerning financial position. Although total debt was reduced to zero in 2024, the substantial decline in stockholders' equity and total assets suggests declining financial stability. The equity ratio has weakened significantly over time, indicating increased financial risk.30
Negative
Cash Flow
Cash flow analysis shows negative free cash flow with no significant improvement in operating cash flow, emphasizing liquidity issues. The operating cash flow to net income ratio indicates inefficiencies in generating cash from operations, which poses sustainability concerns.25
Negative
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 65.73M | 97.73M | 138.72M | 125.20M | 90.69M | Gross Profit |
| -20.49M | -5.32M | 29.75M | 36.75M | 12.49M | EBIT |
| -27.79M | -11.90M | 5.71M | 29.02M | -248.00K | EBITDA |
| -14.12M | 5.15M | 30.27M | 33.64M | 17.12M | Net Income Common Stockholders |
| -56.50M | -16.02M | -6.32M | 8.03M | -6.33M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 1.63M | 6.25M | 23.68M | 34.30M | 26.08M | Total Assets |
| 145.87M | 183.89M | 204.17M | 215.76M | 105.73M | Total Debt |
| 0.00 | 44.93M | 43.47M | 42.56M | 13.00K | Net Debt |
| -1.63M | -6.25M | 19.79M | 8.85M | -25.39M | Total Liabilities |
| 118.59M | 87.19M | 92.41M | 95.01M | 15.20M | Stockholders Equity |
| 27.28M | 96.69M | 111.76M | 120.75M | 90.54M |
| Cash Flow | Free Cash Flow | |||
| -8.25M | -17.71M | -4.08M | 14.17M | 22.59M | Operating Cash Flow |
| -627.00K | -5.22M | 14.16M | 34.78M | 35.40M | Investing Cash Flow |
| -6.44M | -12.49M | -19.44M | -22.97M | -14.45M | Financing Cash Flow |
| 2.71M | 62.00K | -3.91M | -3.06M | -5.22M |
Gold Resource Technical Analysis
Positive
0.62
Price Trends
0.49
Positive
0.39
Positive
0.35
Positive
Market Momentum
0.04
Negative
66.19
Neutral
87.78
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GORO, the sentiment is Positive. The current price of 0.62 is above the 20-day moving average (MA) of 0.46, above the 50-day MA of 0.49, and above the 200-day MA of 0.35, indicating a bullish trend. The MACD of 0.04 indicates Negative momentum. The RSI at 66.19 is Neutral, neither overbought nor oversold. The STOCH value of 87.78 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GORO.
Gold Resource Risk Analysis
Gold Resource disclosed 37 risk factors in its most recent earnings report. Gold Resource reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Gold Resource Peers Comparison
Overall Rating
UnderperformOutperform
Sector (49)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
52 Neutral | $75.89M | ― | -91.15% | ― | -34.57% | -238.18% | |
50 Neutral | $162.90M | ― | -9999.00% | ― | ― | 18.69% | |
49 Neutral | $1.96B | -1.23 | -21.20% | 3.72% | 0.88% | -29.24% | |
45 Neutral | $228.07M | 24.88 | 31.88% | ― | 88.66% | 619.17% | |
45 Neutral | $32.60M | ― | -20.99% | ― | ― | 0.16% | |
31 Underperform | $80.70M | ― | ― | ― | 1.67% |
* Basic Materials Sector Average
Performance Comparison
GORO
Gold Resource
0.62
0.15
31.91%
USAU
US Gold
10.60
6.00
130.43%
PZG
Paramount Gold Nevada
0.48
0.05
11.63%
HYMC
Hycroft Mining Holding
3.45
-0.04
-1.15%
CTGO
Contango ORE
14.28
-3.92
-21.54%
IDR
Idaho Strategic Resources
16.69
7.44
80.43%
Gold Resource Earnings Call Summary
Earnings Call Date:Apr 08, 2025
(Q4-2024)
| % Change Since: 58.97%|
Next Earnings Date:May 13, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant operational challenges faced in 2024, including low ore grades, equipment constraints, and a financial restatement. However, the discovery of the Three Sisters system and planned operational improvements are expected to address these challenges, leading to increased production and reduced costs. The sentiment is cautiously optimistic as the company plans to execute its turnaround strategy.Q4-2024 Updates
Positive Updates
Discovery of Three Sisters System
The company discovered a new system called the Three Sisters, expected to result in lower mining costs due to its proximity to the mine entrance and higher-grade ore.
Safety Milestone Achieved
The company celebrated one year without a lost time injury, reflecting a strong commitment to workplace safety.
Operational Improvements
Significant improvements in drilling, blasting practices, and narrow-vein long hole mining have reduced mining costs and improved material quality.
Expected Increase in Production
The company plans to increase daily production initially to 1,300 tons and then to 1,500 tons with the addition of a third filter for the tailings filter plant.
New Mining Fleet Acquisition
The acquisition of a lightly used mining fleet is expected to improve mechanical availability, productivity, and reduce repair and maintenance costs.
Negative Updates
Challenging Year with Low Ore Grades
The company faced lower mining flexibility, equipment constraints, and lower-grade ore, impacting performance.
Restatement of Financial Liabilities
A restatement of the Back Forty Project gold and silver stream liabilities revealed an error in the accounting model, understating the streaming liability and net loss.
Significant Cash Decrease
The company's cash balance decreased by $4.7 million, driven by exploration, project maintenance, and general administration costs.
Underperformance Impact on Stock Price
The company's stock has lost 95% of its value, with executives expressing shared financial pain due to the downturn.
Company Guidance
During the Gold Resource Year-End 2024 Earnings Call, the company outlined several metrics and strategies to address its recent challenges and improve future performance. The firm reported facing a "perfect storm" in 2024, with low-grade ore, equipment availability issues, and adverse weather impacting operations. To counter these, they discovered a new high-grade system called Three Sisters, projected to enhance mining efficiency and costs due to its location and quality. They plan to mobilize a contractor in Q2 and aim to have a new mining fleet operational by Q3, targeting a return to cash positivity by the end of Q3. Operational enhancements include increasing daily production capacity from 1,300 to 1,500 tons and improving safety, as evidenced by a year without a lost time injury. Financially, the company managed to cover operational costs despite a $4.7 million decrease in cash balance, attributing these to exploration, project maintenance, and administrative costs. The firm is also addressing a restatement of liabilities related to the Back Forty Project, which did not impact cash flow. Overall, they express confidence in their ability to execute these plans and improve profitability.Gold Resource Corporate Events
Executive/Board ChangesBusiness Operations and Strategy
Gold Resource Appoints New COO Amid Leadership Change
Neutral
Apr 25, 2025
Gold Resource Corporation announced the departure of its Chief Operating Officer, Alberto Reyes, effective April 21, 2025, and the appointment of Armando Alexandri as his successor, effective April 22, 2025. Alexandri, a mining engineer with over 40 years of experience, is expected to advance the company’s strategic goals, particularly in enhancing the operations of the Don David Gold Mine in Mexico.
Spark’s Take on GORO Stock
According to Spark, TipRanks’ AI Analyst, GORO is a Underperform.
Gold Resource Corporation is facing severe financial and operational challenges, with significant declines in revenue, negative profit margins, and a weak technical outlook. Despite the company’s strategic plans and recent positive developments in reserve replacement, the overall outlook remains precarious, resulting in a low overall score. Investors should be cautious as the company attempts to execute its turnaround strategy.
To see Spark’s full report on GORO stock, click here.
Business Operations and StrategyRegulatory Filings and Compliance
Gold Resource Boosts Reserves with Successful Drilling
Positive
Mar 5, 2025
On March 5, 2025, Gold Resource Corporation announced the release of the S-K 1300 Technical Report Summary for the Don David Gold Mine, highlighting a successful 2024 drilling program. The program resulted in a replacement of mined reserves and a 10% increase in Mineral Reserves, with a significant increase in the Three Sisters vein system. The report, prepared under S-K 1300 standards, enhances confidence in the reliability of the company’s Mineral Resources and Reserves.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.