Northern Lights Resources (NLR) AI Stock Analysis

• Market Cap: $4.90M
• Dividend Yield: N/A
• Average Volume (3M): 116.44K
• Price to Earnings (P/E): ―
• Beta (1Y): -2.93
• Revenue Growth: N/A
• EPS Growth: -89.71%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Industrial Materials
• EPS (TTM): N/A
• Shares Outstanding: 54,488,705
• 10 Day Avg. Volume: 112,259
• 30 Day Avg. Volume: 116,441
• 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: 0.31
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: -2.17
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 35 Underperform
• Price Target: ―

The overall stock score reflects significant financial challenges and poor valuation metrics, with no revenue generation and consistent losses. While corporate events indicate potential for improved financial stability and exploration capabilities, technical indicators suggest bearish momentum. The stock remains unattractive to value investors due to its negative P/E ratio and lack of dividends.

Northern Lights Resources Business Overview & Revenue Model

Company Description

Northern Lights Resources (NLR) is a resource exploration and development company focused on identifying, acquiring, and advancing mineral properties in North America. The company's primary sectors include mining and natural resource extraction, with a core focus on developing gold, silver, and other valuable mineral deposits. NLR leverages its technical expertise and strategic partnerships to enhance the value of its exploration projects, aiming to unlock the potential of underexplored regions.

How the Company Makes Money

Northern Lights Resources makes money through the exploration and development of mineral deposits, primarily focusing on gold and silver. The company generates revenue by discovering valuable mineral resources and advancing these projects to attract investment or potential buyers. Key revenue streams include selling or leasing exploration rights, forming joint ventures with larger mining companies, and eventually, if successful, extracting and selling the minerals themselves. Partnerships with other mining companies and financial institutions play a significant role in funding exploration activities and sharing risks. Additionally, the company's ability to raise capital through public or private offerings is crucial to sustaining its operations during the exploration phase when direct revenue from mineral sales is not yet realized.

Northern Lights Resources Financial Statement Overview

Summary

Northern Lights Resources is facing significant financial challenges with no revenue generation and consistent losses. The balance sheet shows some resilience with a manageable debt level but declining equity. Cash flows are concerning, with negative free cash flow and reliance on external financing. The company needs a strategic turnaround to achieve revenue growth and financial stability.

Income Statement

The company has consistently reported zero revenue over the past years, indicating no top-line growth. The net losses have been substantial, with the latest TTM period showing a net loss of $783,177. EBIT and EBITDA margins are negative, reflecting ongoing operational challenges and inefficiencies.

Balance Sheet

The company shows a moderate debt level with a debt-to-equity ratio of approximately 0.36 in the latest TTM period, which is manageable. However, declining stockholders' equity and total assets suggest weakening financial stability. The equity ratio remains strong at around 51.5%, indicating that the company is primarily financed by equity rather than debt.

Cash Flow

Operating cash flow has been negative, indicating cash burn from operations. Free cash flow is also negative, reflecting inadequate cash generation to cover capital expenditures. The operating cash flow to net income ratio suggests poor cash conversion efficiency, and financing activities are primarily used to cover operational deficits.

Breakdown	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	0.00
Gross Profit	0.00	0.00	0.00	0.00	-1.21K
EBITDA	-894.00K	464.96K	-598.00K	-917.00K	-429.00K
Net Income	-972.00K	-166.00K	-1.16M	-917.00K	-430.00K
Balance Sheet
Total Assets	2.61M	3.75M	2.73M	2.11M	971.49K
Cash, Cash Equivalents and Short-Term Investments	469.39K	804.18K	24.41K	427.82K	6.24K
Total Debt	389.83K	1.01M	788.09K	30.00K	30.00K
Total Liabilities	1.01M	1.46M	1.05M	131.13K	367.02K
Stockholders Equity	1.60M	2.30M	1.68M	1.98M	604.48K
Cash Flow
Free Cash Flow	-113.56K	-337.13K	-410.97K	-927.80K	-228.61K
Operating Cash Flow	-113.56K	-337.13K	-410.97K	-927.80K	-228.61K
Investing Cash Flow	-2.86K	109.40K	-958.52K	-645.99K	-552.83K
Financing Cash Flow	96.62K	227.50K	966.09K	2.00M	777.39K

Northern Lights Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.08
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:NLR, the sentiment is Positive. The current price of 0.08 is above the 20-day moving average (MA) of 0.06, above the 50-day MA of 0.05, and above the 200-day MA of 0.04, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 75.23 is Negative, neither overbought nor oversold. The STOCH value of 92.59 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:NLR.

Northern Lights Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KNT	78 Outperform	3.95B	13.07	35.49%	―	131.16%	648.58%
FVI	77 Outperform	3.59B	15.75	10.55%	―	13.55%	5720.77%
ROS	39 Underperform	59.20M	-21.13	―	―	―	41.32%
BTR	39 Underperform	33.70M	-4.08	―	―	―	2.05%
NLR	35 Underperform	$4.90M	―	-243.41%	―	―	-89.71%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%

Northern Lights Resources Corporate Events

Northern Lights Resources Seeks Exploration Boost with Horetzky Project Permit

Northern Lights Resources Corp. has applied for a multi-year exploration permit for its Horetzky Project in the Babine Porphyry Belt, Central British Columbia. The permit application includes plans for extensive exploration activities, aiming to drill up to 100 diamond core holes and conduct 250 meters of trenching, focusing on a significant copper soil anomaly. This strategic move positions the company to advance its exploration efforts following the removal of previous financial constraints, potentially enhancing its standing in the mining sector.

Northern Lights Resources Strengthens Financial Position with Debt Settlement and Private Placement

Northern Lights Resources Corp. has finalized a debt settlement with Mirabel Capital, settling US$285,502 of outstanding debt with a combination of cash and shares of Renya Silver Corp. Additionally, the company completed a private placement, raising C$100,000 through the issuance of subscription receipts, which have been converted into common shares and share purchase warrants. This financial restructuring and fundraising effort enhances Northern Lights’ financial stability and positions it for future opportunities without the burden of interest on the settled debt.