Established in 2009, Goldmining Inc is a mineral exploration company which primarily engages in the acquisition, exploration, and development of gold and copper assets in America. The company manages a diversified portfolio of resource-stage gold and gold-copper projects in Canada, the United States, Brazil, Colombia, and Peru.
Goldmining Inc with its global presence and state of the art operations, handles principal projects like La Mina Gold Project and Titiribi Gold-Copper Project located in Colombia; Whistler Gold-Copper Project situated in Alaska, the United States; and São Jorge Gold Project located in the State of Pará, Brazil. An interesting fact about the company is that the company was formerly known as Brazil Resources Inc., however changed its name to GoldMining Inc. in December, 2016.
Thereby keeping the present situations in consideration and expected future
market sentiments, we have compiled an overview of all the factors impacting the
company’s growth in every aspect.
Bull Factors impacting Goldmining Inc.
1) Recent Developments : Goldmining Inc. in the month of April this year, publicly announced that post reviewing historic drill results, they have identified antimony mineralization occurring with gold mineralization on its fully owned Crucero Project in Carabaya Province, Peru. Antimony (Sb) is a critical raw material as it is used in emerging technologies and military applications. Moreover, its presence can be a significant indicator of valuable mineral deposits, making it a valuable pathfinder element in geochemical prospecting.
2) Market Penetration : Goldmining Inc enjoys a strong reputation in the industry being a public mineral exploration company primarily focused on the acquisition and development of gold assets in America. Through the company’s disciplined acquisition strategy, it now controls a diversified portfolio of resource-stage gold and gold-copper projects and strategic investments in various countries namely Canada, U.S.A., Brazil, Colombia as well as Peru. Goldmining Inc. also owns around 21 million shares of Gold Royalty Corp. (NYSE American: GROY), 10 million shares of U.S. GoldMining Inc. (Nasdaq: USGO), and 25 million shares of NevGold Corp. (TSXV: NAU).
3) Growth Implications : Goldmining Inc. has achieved immense financial and business success during recent times. Below are few major developments that can potentially drive its future growth : ● In the month of June this year, Goldmining Inc. released an announcement mentioning that their majority-owned subsidiary, U.S. GoldMining Inc. (“U.S. GoldMining”) (Nasdaq: USGO), has been added as a member of the broad-market Russell 3000 ® Index according to a preliminary list published by FTSE. Being added in the Russell 3000 ® Index is a strong indicator of confidence as the index includes the 4,000 largest U.S. stocks by market capitalization and serves as the foundation for the Russell 1000 ® and Russell 2000 ® indexes. ● Based on the recent developments in Crucero, the indicated resource is estimated to a total of approximately 30 million tonnes (“Mt”) at an average grade of 1.0 gram per tonne gold (“g/t Au”) containing approximately 990,000 ounces (“oz”) gold with an additional inferred resource of approximately 35 Mt at 1.0 g/t Au containing approximately 1,147,000 oz Au. Hence, the Mineral Resource Estimate is reported within a conceptual pit design shell using an average gold price of approximately $1,500 USD/oz. ● In the month of May this year, Goldmining Inc. received approval by the Alberta Energy Regulator for its metallic minerals exploration application for the Rea Uranium Project in Western part of Athabasca Basin. Approval for the Rea project which is 75% owned by the company and remaining 25% owned by Orano Canada Inc. poses as an essential milestone and adds to the confidence for the company’s performance in the near future.
Analysing Financial Ratios of Goldmining Inc.
1) Price to Earnings (P/E Ratio) : Analysis of the Goldmining Inc.’s PE ratio for the trailing 12 months depicts significant improvement. The companies in the mineral sector have an average P/E Ratio of -5.0x with a standard deviation of close to 20. Considering the above sector benchmark analysis, GoldMining Inc’s
P/E Ratio of -9.2 makes the stock a strong buy, as a P/E ratio of -9.2 ranks the company in the 28.5% percentile for the Sector.
2) Price to Book Value (Price/Book) : Price to Book Value or Price to Book ratio depicts the confidence shown by the market in the stock and the company as a whole. It is the ratio of current market price divided by the booking value of its equity. The company’s trailing 12 months P/B ratio of 1.8 is a strong indicator of Goldmining Inc.’s financial performance as well as excellent future growth prospects.
3) Book Value per share (BVPS) : Book value per share is a useful ratio when taking a strategic investment decision. It provides an overview of the company’s financials as it is a comparison between a company’s net assets and outstanding shares. This provides an investor an estimate of the return if the company decides to liquidate its assets. Goldmining Inc.’s BVPS of 0.63 depicts a safety haven for investors and high potential for future growth.
Bearish Factors impacting Goldmining Inc.
1) Decline in EBITDA : Goldmining Inc.’s Earning Before Interest, Taxation, Depreciation and Amortization has been declining from approximately (-)$5 million in August 2016 to (-)$26 million in May 2025. However, one must understand that interest and taxation may have a varied impact based on the operational costs and mineral exploration companies have high operational costs.
2) Stagnant Negative Return on Equity : ROE or Return on Equity helps in measuring how a company utilises its investments to generate profit. Even though the company has had excellent developments in recent years, the ROE has remained stagnant. This shows high operational costs and low returns on investments. However, analysing the financials of the company reveals that Goldmining Inc. has focused its investments in acquisition for business growth.
Conclusion
Post in-depth analysis of Goldmining Inc‘s financial reports, balance sheet as well as cash flow statements it is quite evident that the company is all equipped for growth. Considering the recent developments, it clearly depicts the company is focused on asset acquisition, initiating long term value projects and gaining market penetration.
Undoubtedly the industry Goldmining Inc dominates is one of the most competitive and high risk as mineral exploration demands high operational costs, high risk investments and requires immense patience. As per the market sentiment, we can deduce that businesses and general populous alike, are now inclining towards better and more efficient investments and with increasing demand of copper and antimony in the Technology sector, specifically for semiconductors used in developing Artificial Intelligence.
Hence considering the analysis, the stock has a strong potential and high growth prospects.
Author : Puneet Malik
Puneet Malik is a seasoned Financial Advisor with an experience of over 8 years in Financial Markets, Capital Markets and Strategic Investment Analysis. He is an Economics Major specialising in Capital Markets and Derivatives and has authored research reports for renowned financial firms like Schaeffer’s Investment Research.