EQ RESOURCES LIMITED (EQR)
Share Price Analysis and Chart

14/08/2026

1

Upgrade to Buy from Trim

$0.52

73.33%

Morgans upgrades its rating for EQ Resources to Buy with its target price increased to $0.52 from $0.23 following rising tungsten price premiums outside of China.

The ammonium paratungstate price has surged from sub-US$40,000/t to current levels above US$312,000/t for non-Chinese users, driven by supply restrictions, military consumption, and sovereignty concerns.

The analyst notes June quarter production was relatively weak across both the Mt Carbine and Barruecopardo operations, constrained by lower-grade ore processing and weather impacts.

The broker's estimates suggest production should recover towards mid-term targets, supported by a planned $39m capacity expansion at Mt Carbine and a return to regular processing at Barruecopardo.

The valuation upgrade incorporates this expansion and higher long-term commodity price assumptions, with management also flagging a potential North American listing to better align with the trading multiples of peers like Almonty Industries.

01/08/2026

1

Buy

$0.50

66.67%

Canaccord Genuity maintains a Buy rating for EQ Resources with a $0.50 target price following a June quarter operational update delivering 28,315 MTU in tungsten concentrate production.

Quarterly output expanded 20% sequentially at unit cash costs of US$711/MTU, driven by 13,050 MTU from Mt Carbine and 15,265 MTU from Barruecopardo.

Sales of 29,468 MTU at an average realised price of US$1,875/MTU generated a maiden quarter of positive operating cash flow, lifting cash reserves to $28m net of expansion capital expenditure.

Production is expected to re-accelerate from the September quarter of 2026 as mining transitions into higher-grade ore zones at both key operations ahead of a plant expansion at Mt Carbine in the second half of FY27.

Forecasting FY27 EBITDA of $704m and free cash flow of $478.7m based on benchmark ammonium paratungstate pricing of US$2,950/MTU, the analyst considers current market valuations to underappreciate the upcoming cash flow inflection.

FORECAST
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 0.50 cents.
Canaccord Genuity forecasts a full year FY27 dividend of 0.00 cents and EPS of 9.40 cents.