Eros Resources (ROCK) AI Stock Analysis

• Market Cap: C$17.79M
• Dividend Yield: N/A
• Average Volume (3M): 36.09K
• Price to Earnings (P/E): 4.3
• Beta (1Y): 0.48
• Revenue Growth: N/A
• EPS Growth: 14.55%
• Country: CA
• Employees: N/A
• Sector: Energy
• Sector Strength: 55
• Industry: Industrial Materials
• EPS (TTM): 0.15
• Shares Outstanding: 27,374,043
• 10 Day Avg. Volume: 51,794
• 30 Day Avg. Volume: 36,095
• PEG Ratio: 0.08
• Price to Book (P/B): 0.76
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -20.11
• 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: C$1.73
• Price Target Upside: 188.33% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

Rockridge Resources is facing substantial financial difficulties, primarily due to zero revenue and ongoing losses, which heavily weigh down its overall score. The technical analysis signals a bearish trend, further complicating the outlook. Valuation challenges, including a negative P/E ratio and no dividend yield, also negatively impact the score. Despite a positive corporate event with the merger, the fundamental financial weaknesses overshadow its potential benefits.

Eros Resources Business Overview & Revenue Model

Company Description

Rockridge Resources Ltd., a mineral exploration company, engages in the acquisition, exploration, and development of mineral resource properties in Canada. The company explores for copper, silver, zinc, gold, and cobalt deposits. Its flagship project is the Knife Lake Copper VMS project, which hosts the Knife Lake Cu-Co-Au-Ag-Zn VMS deposits comprising 82 claims totaling 56,865 hectares located in Saskatchewan, Canada. The company was formerly known as Rockridge Gold Ltd. and changed its name to Rockridge Resources Ltd. in March 2018. Rockridge Resources Ltd. was incorporated in 2015 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Rockridge Resources makes money by exploring and developing mineral properties with the potential for significant mineral deposits. The company's revenue model is primarily based on increasing the value of its mineral properties through exploration and geological studies, which can then attract investors or potential buyers. Key revenue streams include raising capital through equity financing, joint ventures, and strategic partnerships, which provide the necessary funding for ongoing exploration and development activities. In addition, Rockridge may generate revenue by selling or leasing its mineral properties to larger mining companies once significant resources have been identified.

Eros Resources Financial Statement Overview

Summary

Rockridge Resources shows significant financial challenges, primarily due to the absence of revenue and persistent losses. The company's balance sheet is strong with no debt, but the lack of revenue generation and negative cash flows pose considerable risks to its financial health and sustainability.

Income Statement

Rockridge Resources has consistently reported zero revenue, indicating a lack of operational sales. The EBIT and EBITDA margins are negative, reflecting ongoing operational challenges and inefficiencies. Net income has been negative, showcasing a trend of persistent losses.

Balance Sheet

The company exhibits a strong equity position with no debt, as indicated by a debt-to-equity ratio of zero. The equity ratio is high, suggesting a stable financial structure. However, the lack of revenue generation poses a risk to future financial stability.

Cash Flow

Operating and free cash flows are negative, indicating challenges in generating cash from operations. While there has been some improvement in free cash flow growth, the overall cash flow situation remains concerning due to the continuous negative operating cash flow.

Breakdown
Dec 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
0.00	75.00	0.00	0.00	0.00
	Gross Profit
-16.45K	75.00	0.00	0.00	0.00
	EBIT
-1.01M	-895.21K	-1.20M	-1.80M	-1.30M
	EBITDA
1.59M	-728.38K	-1.20M	-1.80M	-1.30M
	Net Income Common Stockholders
1.48M	-728.38K	-1.15M	-1.72M	-1.25M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
171.04K	650.18K	1.02M	590.97K	1.53M
	Total Assets
6.25M	6.95M	6.70M	5.41M	4.29M
	Total Debt
0.00	0.00	0.00	0.00	0.00
	Net Debt
-171.04K	-650.18K	-1.02M	-590.97K	-1.53M
	Total Liabilities
25.94K	209.94K	66.50K	16.67K	100.28K
	Stockholders Equity
6.22M	6.74M	6.64M	5.39M	4.19M
Cash Flow		Free Cash Flow
-325.84K	-786.15K	-1.84M	-3.50M	-1.89M
	Operating Cash Flow
-325.84K	-786.15K	-1.21M	-1.56M	-1.12M
	Investing Cash Flow
-153.29K	-559.93K	-632.85K	-1.94M	-767.82K
	Financing Cash Flow
0.00	973.94K	2.27M	2.56M	2.64M

Eros Resources Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.60
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ROCK, the sentiment is Positive. The current price of 0.6 is above the 20-day moving average (MA) of 0.56, above the 50-day MA of 0.56, and above the 200-day MA of 0.49, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 56.80 is Neutral, neither overbought nor oversold. The STOCH value of 80.95 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ROCK.

Eros Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	56 Neutral	$7.25B	3.36	-3.66%	5.65%	0.66%	-50.71%
TWR	46 Neutral	C$19.82M	―	-5.86%	―	―	-100.00%
TK	43 Neutral	C$14.30M	―	-1.26%	―	―	35.14%
CNX	39 Underperform	C$14.69M	―	-2.69%	―	―	5.16%
DAU	34 Underperform	C$18.85M	―	-1371.51%	―	―	-38.46%
ROCK	33 Underperform	C$17.79M	4.30	22.95%	―	―	14.55%

Eros Resources Corporate Events

Eros Resources Completes Merger with Rockridge and MAS Gold

Eros Resources, MAS Gold, and Rockridge Resources have completed a significant three-way merger, resulting in Rockridge and MAS Gold becoming wholly-owned subsidiaries of Eros. This merger consolidates high-grade gold and copper assets, marking a strategic expansion for Eros Resources and impacting shareholder distributions, with Eros shareholders owning 42.37% of the combined entity.

Rockridge Resources’ Merger Plans with Eros and MAS Gold Approved

Rockridge Resources has received final orders from the Supreme Court of British Columbia approving its proposed plans of arrangement with Eros Resources and MAS Gold. This approval marks a significant step towards finalizing a three-way merger, wherein Eros will acquire all shares of MAS Gold and Rockridge that it does not own, leading to the delisting of Rockridge shares from the TSX Venture Exchange and the emergence of a new trading issuer.

Rockridge Shareholders Approve Eros and MAS Gold Merger

Rockridge Resources announced that its shareholders have approved a business combination with Eros Resources and MAS Gold. This merger will create a well-financed company primarily focused on gold and copper exploration in Saskatchewan. The deal, which involves Eros acquiring all outstanding shares of Rockridge and MAS Gold, is expected to enhance the company’s market positioning with six exploration projects. The newly formed board of directors and the appointment of auditors were also confirmed during the meeting.