Latest news with #AuraEnergy
News.com.au
3 days ago
- Business
- News.com.au
Guy on Rocks: Aura Energy builds Mauritaniun uranium momentum
Guy Le Page looks at Aura Energy's acceleration heading into the development phase of its Tiris uranium project in Mauritania.
Herald Sun
02-06-2025
- Business
- Herald Sun
Break it Down: Aura Energy welcomes Swedish push to lift uranium mining ban
Don't miss out on the headlines from Stockhead. Followed categories will be added to My News. Stockhead's Break it Down brings you today's leading market news in under 90 seconds. In this episode, host Tylah Tully explains the latest developments in Sweden, where the country is looking at potentially removing a ban on uranium mining. Aura Energy (ASX:AEE) has interest in uranium projects in Sweden, and is working with the coalition to get the ban lifted. Watch the video to find out the latest. While Aura Energy is a Stockhead advertiser, it did not sponsor this content. Originally published as Break it Down: Aura Energy welcomes Swedish push to lift uranium mining ban Stockhead Rumble Resources could join the ASX's new gold producer class of 2025, with several key steps underway to prepare its Western Queen project for near term mining. Stockhead ReNerve has inked a strategic partnership with US-based Berkeley Biologics LLC to develop and commercialise two new complementary tissue-based product ranges.
Yahoo
14-03-2025
- Business
- Yahoo
Is Aura Energy (ASX:AEE) In A Good Position To Invest In Growth?
Just because a business does not make any money, does not mean that the stock will go down. For example, although made losses for many years after listing, if you had bought and held the shares since 1999, you would have made a fortune. But while history lauds those rare successes, those that fail are often forgotten; who remembers So, the natural question for Aura Energy (ASX:AEE) shareholders is whether they should be concerned by its rate of cash burn. In this report, we will consider the company's annual negative free cash flow, henceforth referring to it as the 'cash burn'. The first step is to compare its cash burn with its cash reserves, to give us its 'cash runway'. View our latest analysis for Aura Energy A company's cash runway is the amount of time it would take to burn through its cash reserves at its current cash burn rate. In December 2024, Aura Energy had AU$21m in cash, and was debt-free. Looking at the last year, the company burnt through AU$19m. That means it had a cash runway of around 13 months as of December 2024. Importantly, the one analyst we see covering the stock thinks that Aura Energy will reach cashflow breakeven in 3 years. That means unless the company reduces its cash burn quickly, it may well look to raise more cash. Depicted below, you can see how its cash holdings have changed over time. Because Aura Energy isn't currently generating revenue, we consider it an early-stage business. So while we can't look to sales to understand growth, we can look at how the cash burn is changing to understand how expenditure is trending over time. During the last twelve months, its cash burn actually ramped up 79%. Oftentimes, increased cash burn simply means a company is accelerating its business development, but one should always be mindful that this causes the cash runway to shrink. Clearly, however, the crucial factor is whether the company will grow its business going forward. For that reason, it makes a lot of sense to take a look at our analyst forecasts for the company. Given its cash burn trajectory, Aura Energy shareholders may wish to consider how easily it could raise more cash, despite its solid cash runway. Generally speaking, a listed business can raise new cash through issuing shares or taking on debt. Commonly, a business will sell new shares in itself to raise cash and drive growth. By comparing a company's annual cash burn to its total market capitalisation, we can estimate roughly how many shares it would have to issue in order to run the company for another year (at the same burn rate). Since it has a market capitalisation of AU$105m, Aura Energy's AU$19m in cash burn equates to about 18% of its market value. As a result, we'd venture that the company could raise more cash for growth without much trouble, albeit at the cost of some dilution. Even though its increasing cash burn makes us a little nervous, we are compelled to mention that we thought Aura Energy's cash burn relative to its market cap was relatively promising. Shareholders can take heart from the fact that at least one analyst is forecasting it will reach breakeven. We don't think its cash burn is particularly problematic, but after considering the range of factors in this article, we do think shareholders should be monitoring how it changes over time. Separately, we looked at different risks affecting the company and spotted 4 warning signs for Aura Energy (of which 3 can't be ignored!) you should know about. If you would prefer to check out another company with better fundamentals, then do not miss this free list of interesting companies, that have HIGH return on equity and low debt or this list of stocks which are all forecast to grow. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
