Sarama Resources (SWA) AI Stock Analysis

Sarama Resources

(TSXV:SWA)

Select Model

Rating:37Underperform

Price Target:CAD 0.02▼(-8.00% Downside)

Action:downgraded

Date:10/15/26

The score is at the minimum because severe financial weakness is the dominant factor, reinforced by bearish technical indicators and a negative P/E ratio with no dividend support.

Positive Factors

Low reported debtThe absence of reported debt reduces interest burdens and insolvency pressure, giving Sarama greater flexibility while it advances exploration. This is an important offset to its early-stage profile because capital is not currently being absorbed by substantial debt servicing.

Negative Factors

Pre-revenue operating profileMinimal revenue means Sarama currently lacks operating income to fund exploration, corporate costs or future development. The company therefore remains dependent on advancing projects toward a later-stage outcome, leaving earnings visibility and self-funded growth structurally limited.

Sarama Resources (SWA) vs. iShares MSCI Canada ETF (EWC)

Market Cap: CAD 12.59M
Dividend Yield: ―
Average Volume (3M): 227.37K
Price to Earnings (P/E): -3.4
Beta (1Y): 0.34
Revenue Growth: ―
EPS Growth: 63.82%
Country: Canada
Employees: 3
Sector: General
Sector Strength: 55
Industry: Gold

Sarama Resources Business Overview & Revenue Model

Company Description

Sarama Resources Ltd is an exploration-phase firm focused on discovering, evaluating, and advancing gold deposits across West Africa. Its portfolio includes key assets in southwest Burkina Faso. Within the southern Houndé Belt, the company possesses...

Sarama Resources Financial Statement Overview

Summary

Financial performance is critically weak: the provided income statement, balance sheet, and cash flow scores are 22, 15, and 20. The company has no recent revenue, persistent losses, negative equity, and sustained cash burn, with only modest improvement in losses and no debt as a limited positive.

Income Statement

22Negative

Balance Sheet

15Very Negative

Cash Flow

20Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Mar 2022
Income Statement
Total Revenue	0	0	0	0	0	179.40K
Gross Profit	-3,708	-13.46K	-4,476	-4,770	-4,046	179.40K
EBITDA	-2.17M	-2.80M	-2.68M	-2.74M	-4.02M	-2.44M
Net Income	-1.53M	-2.83M	-4.28M	-2.48M	-4.20M	-2.61M
Balance Sheet
Total Assets	1.05M	939.90K	1.24M	2.46M	3.05M	3.20M
Cash, Cash Equivalents and Short-Term Investments	958.55K	864.28K	1.15M	492.52K	843.09K	1.03M
Total Debt	0	0	0	0	0	267.70K
Total Liabilities	1.87M	1.95M	1.47M	1.13M	706.98K	1.95M
Stockholders Equity	-822.39K	-1.01M	-233.00K	1.33M	2.35M	1.24M
Cash Flow
Free Cash Flow	-1.90M	-2.00M	-1.32M	-1.90M	-5.06M	-2.10M
Operating Cash Flow	-1.90M	-1.99M	-1.32M	-1.90M	-4.97M	-2.10M
Investing Cash Flow	-1,164	-5,766	212.34K	40.75K	-97.85K	-2,745
Financing Cash Flow	2.60M	1.66M	1.85M	1.54M	5.22M	1.55M

Sarama Resources Technical Analysis

Technical Analysis SentimentNegative

Last Price0.03

Price Trends

50DMA0.03Negative

100DMA0.04Negative

200DMA0.04Negative

Market Momentum

MACD-0.00Negative

RSI0.50Positive

STOCH0.00Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SWA, the sentiment is Negative. The current price of 0.03 is above the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.03, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of -0.00 indicates Negative momentum. The RSI at 0.50 is Positive, neither overbought nor oversold. The STOCH value of 0.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:SWA.

Sarama Resources Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TSE:SWA against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TSE:IRV	46Neutral	CAD 19.83M	-12.13	-3.35%	―	―	73.19%
TSE:PRG	43Neutral	CAD 23.81M	-5.35	-55.92%	―	―	-109.48%
TSE:FFOX	42Neutral	CAD 23.74M	-1.72	-173.75%	―	―	-267.10%
TSE:OMM	42Neutral	CAD 12.05M	-5.41	-36.04%	―	―	42.64%
TSE:SGC	42Neutral	CAD 27.95M	-12.50	-447.67%	―	―	-36.54%
TSE:SWA	37Underperform	CAD 12.59M	-3.44	271.05%	―	―	63.82%

* General Sector Average

Performance Comparison

TSE:SWA and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TSE:SWA	Sarama Resources	0.03	-0.02	-41.86%
TSE:IRV	Irving Resources	0.20	-0.05	-18.00%
TSE:OMM	Omineca Mining and Metals	0.04	-0.02	-33.33%
TSE:PRG	Precipitate Gold	0.13	0.00	0.00%
TSE:FFOX	Firefox Gold Corp.	0.48	-0.24	-33.56%
TSE:SGC	Solstice Gold Corp.	0.09	0.02	38.46%

Sarama Resources Corporate Events

Business Operations and StrategyExecutive/Board ChangesLegal ProceedingsShareholder Meetings

Sarama Resources Grants Performance Share Units Tied to Burkina Faso Arbitration

Neutral

Aug 31, 2026

Sarama Resources has granted 16,500,000 Performance Share Units to its directors and chief financial officer under a previously approved equity incentive plan, with 1,500,000 units allocated to the CFO and 15,000,000 to directors subject to sharehold...

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: Oct 15, 2026

Sarama Resources AI Stock Analysis