Atlas Lithium Corp (NASDAQ: ATLX)

Sector: Basic Materials Industry: Other Industrial Metals & Mining CIK: 0001540684
Market Cap 93.94 Mn
P/B 2.74
P/E -2.88
P/S 520.55
ROIC (Qtr) -86.69
Div Yield % 0.00
Rev 1y % (Qtr) 0.00
Total Debt (Qtr) 10.60 Mn
Debt/Equity (Qtr) 0.31

About

Atlas Lithium Corporation (ATLX) is a company operating in the mineral exploration and development industry, with a particular focus on lithium projects. The corporation has a significant presence in Brazil, specifically in the state of Minas Gerais, where it conducts the majority of its business activities. Atlas Lithium's primary business activities revolve around the exploration and development of lithium projects, with the Minas Gerais Lithium Project being its flagship endeavor. This project is situated in a region known for its abundant lithium-rich...

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Price action

Investment thesis

Bull case

  • Healthy cash reserves of 20.98M provide 51.22x coverage of short-term debt 409535, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 71.84M provides 6.78x coverage of total debt 10.60M, indicating robust asset backing and low credit risk.
  • Free cash flow of (31.57M) provides robust 240.81x coverage of R&D expenses (131102), enabling sustainable innovation investment.
  • Short-term investments of 419420 provide solid 10.08x coverage of other current liabilities 41600, indicating strong liquidity.
  • Tangible assets of 71.84M provide robust 1726.85x coverage of other current liabilities 41600, indicating strong asset backing.

Bear case

  • The company's operating cash flow of (19.94M) shows concerning coverage of stock compensation expenses of 15.10M, with a -1.32 ratio indicating potential earnings quality issues.
  • Free cash flow of (31.57M) provides weak coverage of capital expenditures of 11.63M, with a -2.71 ratio suggesting additional external financing needs for growth initiatives.
  • Operating cash flow of (19.94M) provides minimal -5260.64x coverage of tax expenses of 3790, suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Operating earnings of (32M) show weak coverage of depreciation charges of 286558, with a -111.66 ratio indicating high capital intensity and potential reinvestment needs.
  • Operating cash flow of (19.94M) barely covers operating expenses of 15.17M with a -1.31 ratio, suggesting thin operational efficiency margins and limited flexibility.

Peer comparison

Companies in the Other Industrial Metals & Mining
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 BHP BHP Group Ltd 162.30 Bn 17.99 3.17 -
2 TECK Teck Resources Ltd 24.54 Bn 27.27 3.23 3.67 Bn
3 MP MP Materials Corp. / DE 10.73 Bn -91.17 46.08 1.00 Bn
4 SKE Skeena Resources Ltd 3.07 Bn -36.58 0.00 0.04 Bn
5 MTRN MATERION Corp 2.85 Bn 87.35 2.45 0.53 Bn
6 VZLA Vizsla Silver Corp. 2.28 Bn -205.10 0.00 0.00 Bn
7 SGML Sigma Lithium Corp 1.76 Bn -65.03 15.16 0.12 Bn
8 ALM Almonty Industries Inc. 1.65 Bn -145.44 82.20 0.14 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 1.25 3.13
EV to Cash from Ops. EV/CFO -4.54 -51.74
EV to Debt EV to Debt 8.54 863.55
EV to EBIT EV/EBIT -2.83 -27.66
EV to EBITDA EV/EBITDA -2.62 566.13
EV to Free Cash Flow [EV/FCF] EV/FCF -2.87 -24.46
EV to Market Cap EV to Market Cap 0.96 0.59
EV to Revenue EV/Rev 501.41 42.69
Price to Book Value [P/B] P/B 2.74 10.60
Price to Earnings [P/E] P/E -2.88 -35.19
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -16.20
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 3.46
Dividend per Basic Share Div per Share (Qtr) 0.00 0.08
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 -0.53
Interest Coverage Int. cover (Qtr) -52.80 51.59
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) 61.68 -444.92
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -4.89 3,116.99
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -0.80
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 31.71 -69.51
EBITDA Growth (1y) % EBITDA 1y % (Qtr) 30.29 20.12
EBIT Growth (1y) % EBIT 1y % (Qtr) 31.70 -24.32
EBT Growth (1y) % EBT 1y % (Qtr) 31.43 -92.39
EPS Growth (1y) % EPS 1y % (Qtr) -100.72 -31.76
FCF Growth (1y) % FCF 1y % (Qtr) 40.54 -5,473.04
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -126.49 9.09
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.00 0.13
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.01
Cash Ratio Cash Ratio (Qtr) 3.29 5.35
Current Ratio Curr Ratio (Qtr) 3.69 6.87
Debt to Equity Ratio Debt/Equity (Qtr) 0.31 0.74
Interest Cover Ratio Int Coverage (Qtr) -52.80 51.59
Times Interest Earned Times Interest Earned (Qtr) -52.80 51.59
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) -17,572.70 -684.18
EBIT Margin % EBIT Margin % (Qtr) -17,731.52 -696.12
EBT Margin % EBT Margin % (Qtr) -18,067.35 -788.27
Gross Margin % Gross Margin % (Qtr) -36.00 11.29
Net Profit Margin % Net Margin % (Qtr) -18,069.50 -790.78