South Star Battery Metals (STS) AI Stock Analysis

• Market Cap: $16.05M
• Dividend Yield: N/A
• Average Volume (3M): 44.16K
• Price to Earnings (P/E): ―
• Beta (1Y): <0.01
• Revenue Growth: N/A
• EPS Growth: 15.22%
• Country: CA
• Employees: 12
• Sector: Basic Materials
• Sector Strength: 68
• Industry: Industrial Materials
• EPS (TTM): N/A
• Shares Outstanding: 60,557,724
• 10 Day Avg. Volume: 55,291
• 30 Day Avg. Volume: 44,161
• PEG Ratio: -0.07
• Price to Book (P/B): 1.17
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.53
• 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: $1.92
• Price Target Upside: 612.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 38 Underperform
• Price Target: ―

South Star Battery Metals struggles with no revenue generation and increasing losses, raising concerns about its financial sustainability. Technical indicators show limited momentum, and valuation is challenging with a negative P/E ratio. However, recent corporate events are positive, indicating strategic efforts to bolster growth and operational capacity.

South Star Battery Metals Business Overview & Revenue Model

Company Description

South Star Battery Metals (STS) is a company focused on the exploration and development of graphite projects in the Americas. With an emphasis on building sustainable and high-quality operations, the company aims to serve the rapidly growing demand for battery metals, which are essential for electric vehicles, energy storage solutions, and various high-tech applications.

How the Company Makes Money

South Star Battery Metals generates revenue primarily through the exploration, development, and eventual production of graphite resources. The company's primary revenue streams are expected to come from the sale of high-purity graphite concentrates to industries involved in battery production, electric vehicles, and energy storage. Additionally, South Star may form strategic partnerships or joint ventures with other companies in the battery supply chain to enhance its market reach and improve its financial performance. The company's earnings are significantly influenced by global demand for battery metals and the price of graphite in international markets.

South Star Battery Metals Financial Statement Overview

Summary

South Star Battery Metals faces significant financial challenges, with no revenue generation and increasing losses. While the company maintains a strong equity position relative to debt, its cash flow and profitability metrics indicate potential sustainability concerns without strategic intervention or revenue generation.

Income Statement

The company has consistently reported zero revenue over the years, indicating no sales activity or monetization of its operations. Net income remains negative, with increasing losses, suggesting persistent operational challenges and inefficiencies.

Balance Sheet

The balance sheet shows a relatively low debt-to-equity ratio due to minimal debt, suggesting low leverage risk. However, the company has negative gross profit and accumulated losses, weighing down equity growth. The equity ratio remains strong, but overall asset growth is slow.

Cash Flow

Free cash flow has significantly decreased, reflecting high capital expenditures and negative operating cash flows. The operating cash flow to net income ratio is negative, indicating cash flow challenges despite equity financing inflows.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00
	Gross Profit
-28.35K	-41.98K	-14.70K	-1.30K	-1.42K
	EBIT
-7.29M	-4.19M	-4.27M	-2.20M	-704.75K
	EBITDA
-7.65M	-4.97M	-4.73M	-2.20M	-705.01K
	Net Income Common Stockholders
-7.68M	-5.01M	-4.90M	-2.22M	-733.72K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.09M	6.45M	17.26M	3.48M	74.41K
	Total Assets
20.21M	29.22M	26.47M	9.39M	5.82M
	Total Debt
0.00	10.34K	27.26K	0.00	289.32K
	Net Debt
-2.09M	-6.44M	-17.23M	-3.48M	214.91K
	Total Liabilities
15.99M	17.18M	15.36M	415.89K	716.94K
	Stockholders Equity
4.22M	12.04M	11.12M	8.97M	5.11M
Cash Flow		Free Cash Flow
-9.35M	-14.83M	8.48M	-2.34M	-305.46K
	Operating Cash Flow
-5.51M	-3.12M	9.65M	-2.33M	-305.46K
	Investing Cash Flow
-3.84M	-12.79M	-2.26M	-4.46K	0.00
	Financing Cash Flow
7.11M	4.47M	6.20M	5.74M	280.00K

South Star Battery Metals Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.27
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:STS, the sentiment is Negative. The current price of 0.27 is below the 20-day moving average (MA) of 0.34, below the 50-day MA of 0.38, and below the 200-day MA of 0.50, indicating a bearish trend. The MACD of -0.04 indicates Positive momentum. The RSI at 30.36 is Neutral, neither overbought nor oversold. The STOCH value of 20.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:STS.

South Star Battery Metals Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$2.03B	-1.27	-21.09%	4.14%	2.90%	-30.49%
LAC	49 Neutral	C$794.62M	―	-8.91%	―	―	―
MARI	43 Neutral	C$559.46M	―	-13.43%	―	―	-83.79%
NOU	39 Underperform	C$359.34M	―	-46.88%	―	―	-13.44%
STS	38 Underperform	$16.05M	―	-59.91%	―	―	15.22%
NEXT	36 Underperform	C$43.45M	―	-23.89%	―	―	-57.70%
GRAT	30 Underperform	C$6.01M	―	-15.44%	―	―	47.15%

South Star Battery Metals Corporate Events

South Star Battery Metals Strengthens Board with New Appointment

South Star Battery Metals Corp. has appointed Tiago Cunha to its board of directors, leveraging his expertise in capital markets and mineral resources to support the company’s strategic growth initiatives. This move comes as South Star ramps up graphite production at a critical time for the metals market, positioning itself as a key player in the industry with projects in Brazil and the USA.

South Star Battery Metals Partners with University of Alabama for Graphite Anode Development

South Star Battery Metals has signed a Memorandum of Understanding with the University of Alabama’s Alabama Mobility and Power Center to develop a battery anode materials program in the U.S. This partnership aims to establish a comprehensive framework for research, pilot demonstration, and commercial-scale manufacturing of graphite anode materials. The initiative is expected to enhance the company’s operations by positioning it as a key player in the critical materials ecosystem, supporting the advancement of a diversified technology and battery supply chain in the U.S. The collaboration also highlights South Star’s commitment to developing a robust business plan and quick-to-market strategy, leveraging its Santa Cruz and BamaStar projects.

South Star Battery Metals Grants Incentives to Boost Strategic Growth

South Star Battery Metals Corp. has announced the granting of restricted share units, deferred share units, and stock options to its directors, officers, employees, and consultants as part of its incentive plan. This move is poised to enhance stakeholder alignment and support the company’s strategic growth as it ramps up production and development of key projects in the battery-metals sector.