Geodrill (GEO) AI Stock Analysis

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Geodrill

(TSX:GEO)

Select Model

Rating:56Neutral

Price Target:CAD 3.00▼(-5.06% Downside)

Action:reiterated

Date:11/10/26

The score is constrained primarily by weak trailing profitability and cash generation, despite a conservative balance sheet. Positive technical positioning and a highly encouraging latest earnings call provide meaningful support, but the negative P/E and lack of dividend yield limit the valuation score.

Positive Factors

Contract VisibilityNew contracts and extensions provide a durable revenue base beyond the current quarter, reducing dependence on immediate awards. The Chile program and West African work also demonstrate customer demand across multiple operating regions and support fleet utilization.

Negative Factors

Recent Losses and Margin PressureThe shift into losses, alongside compressed gross and EBITDA margins, shows that higher revenue has not yet translated into consistently durable profitability. Continued earnings weakness could constrain reinvestment and reduce resilience if operating conditions soften.

Geodrill (GEO) vs. iShares MSCI Canada ETF (EWC)

Market Cap: CAD 143.49M
Dividend Yield: ―
Average Volume (3M): 26.64K
Price to Earnings (P/E): -9.8
Beta (1Y): 1.28
Revenue Growth: 19.02%
EPS Growth: -209.57%
Country: Canada
Employees: 52
Sector: Basic Materials
Sector Strength: 61
Industry: Industrial Materials

Geodrill Business Overview & Revenue Model

Company Description

Geodrill Limited, along with its subsidiaries, delivers specialized mineral exploration drilling services to mining enterprises operating in West Africa, Zambia, and Peru. The company offers a broad spectrum of drilling solutions, encompassing revers...

Geodrill Earnings Call Summary

Earnings Call Date:Nov 09, 2026(Q3-2026)|% Change Since:10.49%|Next Earnings Date:Mar 08, 2027

Earnings Call SentimentPositive

The call was strongly positive, with record and sharply higher revenue, significant gross-margin and EBITDA improvement, a return to net profitability, strong contract awards, healthy liquidity and improving conditions in South America. Management also acknowledged ongoing work required to improve operational efficiencies and the recent profitability challenges in Chile, but the number and magnitude of the positive developments significantly outweighed these challenges.

Positive Updates

Second Consecutive Record-Revenue Quarter

Third-quarter revenue was $55.1 million, up 41% from $39 million in Q3 2025 and representing the second consecutive quarter with revenue of approximately $55 million. Activity remained strong despite the West African rainy season, supported by high fleet utilization, strong customer demand and operational execution.

Negative Updates

Historical Chile Profitability Challenges

South America, particularly Chile, has faced challenges. Chile weighed down profitability and gross margins significantly in the first and second quarters, and Geodrill exited some significantly unprofitable jobs before replacing them with new work.

Company Guidance

Management said approximately $25 million in new contracts and extensions, including a 50,000 meter drilling program in Chile, provides good visibility into the fourth quarter and 2027 and beyond. In Chile, management said Q4 should see the impact reverse from negative on the group and that they are hoping it flips to positive, while noting the new jobs are going extremely well; regarding additional fleet investment, management wants to get a few positive quarters ahead of itself, said the early signs are extremely encouraging, but stressed it is early days and would not commit to anything at this point in time.

Geodrill Financial Statement Overview

Summary

Strong balance sheet with low leverage is outweighed by materially weakened profitability, a larger net loss, minimal operating cash flow, and negative free cash flow.

Income Statement

38Negative

Balance Sheet

82Very Positive

Cash Flow

25Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	204.53M	188.15M	143.05M	130.54M	138.63M	115.21M
Gross Profit	30.64M	33.19M	34.68M	30.59M	40.58M	30.10M
EBITDA	26.38M	30.92M	31.16M	20.56M	38.35M	29.45M
Net Income	-10.48M	-1.55M	9.26M	3.90M	18.92M	14.14M
Balance Sheet
Total Assets	184.14M	176.28M	161.49M	148.61M	141.23M	116.56M
Cash, Cash Equivalents and Short-Term Investments	16.80M	18.93M	19.52M	15.81M	15.11M	13.53M
Total Debt	18.17M	10.26M	3.45M	978.29K	5.82M	7.61M
Total Liabilities	66.21M	59.08M	41.97M	38.65M	34.17M	29.03M
Stockholders Equity	118.94M	117.90M	119.88M	110.12M	107.07M	87.55M
Cash Flow
Free Cash Flow	-14.11M	-1.82M	372.49K	-4.28M	8.40M	150.12K
Operating Cash Flow	430.30K	16.40M	21.05M	11.00M	25.29M	14.78M
Investing Cash Flow	-14.54M	-18.22M	-20.68M	-15.28M	-16.88M	-14.63M
Financing Cash Flow	5.24M	-2.83M	-2.35M	5.39M	-2.85M	2.83M

Geodrill Technical Analysis

Technical Analysis SentimentPositive

Last Price3.16

Price Trends

50DMA2.71Positive

100DMA2.67Positive

200DMA2.92Positive

Market Momentum

MACD0.12Negative

RSI66.89Neutral

STOCH70.83Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GEO, the sentiment is Positive. The current price of 3.16 is above the 20-day moving average (MA) of 2.82, above the 50-day MA of 2.71, and above the 200-day MA of 2.92, indicating a bullish trend. The MACD of 0.12 indicates Negative momentum. The RSI at 66.89 is Neutral, neither overbought nor oversold. The STOCH value of 70.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:GEO.

Geodrill Peers Comparison

Overall Rating

UnderperformOutperform

Sector (61)

Financial Indicators

TSE:GEO against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
TSE:GMX	58Neutral	CAD 119.01M	13.22	20.67%	―	176.97%	1835.90%
TSE:GEO	56Neutral	CAD 143.49M	-9.78	-8.84%	―	19.02%	-209.57%
TSE:AGX	50Neutral	CAD 200.79M	44.96	7.81%	―	108.81%	―
TSE:FAR	50Neutral	CAD 221.14M	13.72	11.36%	―	16.55%	-31.54%
TSE:OGD	48Neutral	CAD 44.37M	-27.23	-2.18%	―	15.69%	-156.17%

* Basic Materials Sector Average

Performance Comparison

TSE:GEO and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TSE:GEO	Geodrill Limited Ord	3.16	-0.78	-19.80%
TSE:FAR	Foraco International	2.26	0.17	8.13%
TSE:GMX	Globex Mining Enterprises Inc.	1.99	0.29	17.06%
TSE:OGD	Orbit Garant Drill	1.08	-0.49	-31.21%
TSE:AGX	Silver X Mining Corp.	0.66	0.16	32.00%

Geodrill Corporate Events

Business Operations and StrategyFinancial Disclosures

Geodrill Reports Record Revenue and Returns to Profitability

Positive

Nov 9, 2026

Geodrill reported record third-quarter revenue of $55.1 million, up 41% from a year earlier, while gross profit rose to $10.2 million and the gross margin reached 18%. EBITDA increased to $8.7 million, and the company returned to profitability with n...

Financial Disclosures

Geodrill Sets Date to Unveil Q3 2026 Results

Neutral

Oct 13, 2026

Geodrill Limited, a leading drilling contractor in West Africa with expanding operations in other African countries and Chile, provides a wide range of services from exploration to grade control drilling for major, intermediate and junior mining and...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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.

Date of analysis: Nov 10, 2026

Geodrill AI Stock Analysis