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S2 Resources Ltd (S2R) Fair Value & Analysis

Basic Materials · AU · Market cap A$36.7M

SR S2 Resources Ltd S2R · AU
PriceA$0.0700
Fair ValueA$0.0296
Upside-57.7%
Quality48/100
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Expensive Growth
negative free cash flow
Mixed vs. peers (3/7)
Moderate moat 54/100
Evidence: Low Range A$0.0296 – A$0.0359 Share as image

Fair value as of: Jul 16, 2026

From 3 valuation models · updated 25 days ago

Fair value updated Jul 16, 2026, revised from A$0.0302 to A$0.0296 (−2.1%) since Jun 26, 2026. Share price +7.7% over the past month.

Below-average quality, and screening another 58% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (A$0.0359). The favourable scenario is already priced in.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • Solid but not exceptional quality (48/100) and above fair value, neither a clear bargain nor a standout compounder.
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Price vs Fair Value (5 years)

A$0.2250 A$0.0510 Fair Value A$0.0296 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 16, 2026.

How to read this chart

60‑month range A$0.0510 – A$0.2250 · fair‑value band A$0.0296 – A$0.0359 · the A$0.0700 price screens above the A$0.0296 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 16, 2026.

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Analysis

S2 Resources Ltd (S2R) currently trades at A$0.0700, while our model-based Fair Value estimate is A$0.0296, implying the stock looks roughly 57.7% overvalued today. The Quality Score stands at 48/100 (below-average quality), in the Basic Materials sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: low).

Trailing-twelve-month revenue stands at A$137K. Revenue declined 42.7% year over year. It earns a return on equity of 40.8%. The balance sheet holds a net cash position of A$3.7M. Fundamentals as of Jul 16, 2026

Our scenario range runs from A$0.0296 (bear case) to A$0.0359 (bull case); at A$0.0700, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 50% below its 52-week high and 33% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -34% fair-value upside, at -58%, S2R screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Gordon GGM A$0.0100 A$0.0100 70
DDM Multi-Stage A$0.0100 A$0.0100 61
NCAV (Graham) A$0.0100 A$0.0100 A$0.0200 50
All 3 models by family
Dividend Discount
Gordon GGM A$0.0100 A$0.0100 70
DDM Multi-Stage A$0.0100 A$0.0100 61
Asset-Based
NCAV (Graham) A$0.0100 A$0.0100 A$0.0200 50

Widest divergence: Dividend Discount (A$0.0100) versus Dividend Discount (A$0.0100). Highest evidence: Gordon GGM (70).

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Key figures & financial health

Revenue (TTM) A$137K
Revenue growth (YoY) -42.7%
Net margin 5,386%
Return on equity 40.8%
Free cash flow −A$5.2M FY2025
P/E ratio 6.9
More key figures
Operating margin -3,524%
EPS (TTM) A$0.0100
EPS growth (YoY) +364%
Net cash A$3.7M FY2025

Figures from reported company fundamentals · as of Jul 16, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 48/100

Of which business quality 46 · Market factors (momentum, volatility) 36

Profitability 1
Margins and returns on capital today
Quality Growth 37
Are margins and returns improving?
Cashflow 33
Earnings quality: real cash, not paper profit
Fin. Strength 100
Balance sheet, leverage, solvency risk
Investment 100
Disciplined investing over empire-building
Low Volatility 22
Calm price path (market factor)
Momentum 48
Price trend over the last 3–12 months (market factor)
52W Momentum 30
Distance to the 52-week high (market factor)
Net Issuance 16
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

S2 Resources Ltd engages in the exploration and evaluation of mineral properties in Australia and Finland. It primarily explores for gold, nickel, copper, base metals, palladium, and platinum-group elements deposits. S2 Resources Ltd was incorporated in 2015 and is based in Darch, Australia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

S2 Resources Ltd reported revenue of A$202K in FY2025 versus A$56.3K in FY2021, a compound +37.6%/yr. Reported net income was −A$2.6M in FY2025.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
A$202K
Latest YoY
−57.0%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+6.5%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+22.0%
Avg. growth/yr (9Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−7.0%
Revenue +37.6%/yr
FY21 A$56.3K
FY22 A$167K
FY23 A$130K
FY24 A$469K
FY25 A$202K
Net income
FY21 −A$7.2M
FY22 −A$7.4M
FY23 −A$6.8M
FY24 −A$8.2M
FY25 −A$2.6M

S2R screens 58% overvalued. Compare with BHP Group →

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Cite: Fair Value Calculator (2026). "S2 Resources Ltd Fair Value". https://www.fairvalue-calculator.com/stock/S2R

Peer Group

Other Industrial Metals & Mining · 475 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 48 · Above median
Fair Value upside −57% · Below median
Return on equity (TTM) 41% · Top 25%
Return on assets -19% · Bottom 25%
Revenue growth -43% · Bottom 25%

Valuation Multiples vs Other Industrial Metals & Mining median · lower = cheaper

P/E (TTM) 6.9× · Cheaper than 75% of peers
P/B 2.84× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 0 · sector 23
PAST 100 · sector 0
HEALTH 0 · sector 96
DIVIDEND 0 · sector 21

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Other Industrial Metals & Mining stocks, each showing price versus our Fair Value estimate (as of Jul 16, 2026).

Stock Price Fair Value vs Fair Value
BHP Group BHPN 1,425 MXN 942.42 MXN -34%
Rio Tinto Group RIO A$164.89 A$81.76 -50%
Grupo México, S.A. GMEXICOB 199.23 MXN 187.72 MXN -6%
Vale S.A VALE $14.19 $9.14 -36%
Saudi Arabian Mining Company 1211 58.05 SAR 33.87 SAR -42%
CMOC Group 603993 ¥18.20 ¥16.15 -11%
Fortescue Ltd FMG A$18.47 A$18.62 +1%
China Tungsten And Hightech Materials Co 000657 ¥74.71 ¥9.55 -87%
Hindustan Zinc Limited HINDZINC ₹521.95 ₹576.80 +11%
China Northern Rare Earth (Group) High-Tech Co 600111 ¥39.56 ¥10.59 -73%

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Frequently asked questions

Is S2 Resources Ltd (S2R) overvalued or undervalued?
As of Jul 16, 2026, our model estimates a fair value of A$0.0296 versus a price of A$0.0700, about −58% (overvalued).
What is the fair value of S2R?
Our model-based fair value for S2 Resources Ltd is A$0.0296 (as of Jul 16, 2026), built from audited fundamentals. The current price is A$0.0700.
What is the quality score of S2R?
S2 Resources Ltd has a Quality Score of 48/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of S2 Resources Ltd (S2R)?
S2 Resources Ltd reported trailing-twelve-month revenue of about A$137K (latest available figure, as of Jul 16, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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