- The EDV price is trading at 1537 GBX.
- It is currently sustaining above its 1520 GBX support.
- The company stock has been traded with a volume of 19.61K in the last trading session.
Endeavour Mining Plc (LSE: EDV) is a mining company that was founded on 21 March 2021. It is one of the gold producers in West Africa and a member of the World Gold Council. The company has a strong portfolio of advanced development projects and exploration assets in the prospective Birimian Greenstone Belt across West Africa.
Endeavour Mining Plc (EDV) Stock: Financial Analysis
The Endeavour company’s revenue has grown consistently throughout the year. It increased from 1.10B GBP in 2020 to 1.94B GBP in 2021, which showed a growth of 76.63% compared to the previous year. In 2022, the company increased its revenue to 1.99B GBP with a growth of 2.81% compared to the previous year.
The gross profit of the company has also been consistently increasing. In 2020, the company generated a gross profit of 373.16 Million which they increased to 640.78 Million GBP in 2021 with a growth of 71.72%. But in 2022, the company’s gross profit declined by 10.05%. It only generated 576.35 Million GBP compared to its previous year.
The company’s net income in 2020 was around 56.30 Million GBP. In 2021, it showed strong growth in its net income with a growth of 181.57%. The firm generated around 158.53 Million GBP. Endeavour’s net income declined in 2022 by 137.47% when it generated 59.40M GBP.
The company has increased its total debts each year from 2020 to 2022. It could be bad for the company as the investors don’t invest their money in a company that has been increasing its debts every year.
The company has been growing its revenue, profit, and net income at a healthy rate. However, profit and net income declined in 2022 and the firm is trying to recover in these finance sectors. Its equity-to-debt ratio is also high which could affect the company finances in the future.
Endeavour Mining Plc (EDV) Stock: Technical Analysis
At the end of 2022, the EDV price formed support at 1435 GBP and initiated a bullish rally. The price went up to the 2020 GBX level from where it started to face rejection. The price fell to the 1520 GBX and formed support over there.
After the price got stable and formed support at 1520 GBX the price again commenced a bullish rally. The price went up and the 2023 year high of 2242 GBX. The moment the price reached 1420 GBX, it started to fall in a falling parallel channel and fell to the 1520 GBX level.
Currently, the stock price is trying to sustain over the 1520 GBX level. If the breaks below the 1520 GBX, then it may fall to its next immediate support at 1435 GBX. The price can continue its downtrend if breaks below 1435 GBX support. Thus, it may fall to the 1330 GBX level.
If the price sustained over 1520 GBX support then it may rise to the upper trendline of the parallel channel. It could also be seen rising more if it gives the breakout of the parallel channel. It may rise to 1990 GBX after the breakout.
Technical Indicators’ Prediction About the Current Trend
Currently, the EDV price is trading below the 50 and 200 EMAs. The EMAs have also shown a crossover between them. It indicates the bearish signs and control of sellers over the price.
The relative strength index is at 33.09. The RSI line is currently flat and is in bearish territory indicating the seller’s presence over the EDV price.
Conclusion
The Endeavour Mining (EDV) price is bearish. The price has been seen falling after it made its 2023 year high. The finances of the company have been stable in the previous years but declined in 2022. The price is currently trading at 1520 GBX support. If the price sustains above the 1520 GBX support, it may give a breakout of the parallel channel and rise to 1990 GBX.
However, If the breaks below the 1520 GBX, it may fall to its next immediate support at 1435 GBX. However, if it breaks below 1435 GBX support, it may fall to the 1330 GBX level.
Technical levels
Resistance levels: 1990 GBX.
Support levels: 1520 GBX, 1435 GBX, and 1330 GBX.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing or trading comes with a risk of financial loss.