Fresh Q3 Results Spark Valuation Debate After Revenue and Profit Climb

Thor Explorations (TSXV:THX) just reported its third-quarter 2025 results, showing a sharp jump in both revenue and net income compared to last year. The company’s gold production and plant recovery rates at Segilola also improved, highlighting operational momentum.

See our latest analysis for Thor Explorations.

Momentum around Thor Explorations has been building, and the market has responded. After news of growing gold production and exploration wins, the company’s share price climbed sharply overall, boasting a 256% year-to-date gain and a remarkable 313.8% total shareholder return for the last year. This represents an impressive run even by mining sector standards.

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Yet with shares having soared and fundamentals looking bright, the big question now is whether Thor’s stock remains undervalued or if the market is already pricing in additional years of rapid growth ahead.

With a fair value set at CA$1.75 and shares last closing at CA$1.11, the prevailing narrative sees Thor Explorations as significantly below what fundamentals might suggest, even after a year of standout returns. This context hints at notable drivers behind the higher valuation. Now, let’s look at one of the most influential arguments shaping this call.

The company’s continued overreliance on the Segilola Gold Mine exposes it to single-asset risk. While current high grades and competitive costs support robust earnings, any future operational, regulatory, or geopolitical disruption in Nigeria could lead to significant volatility in earnings and free cash flow.

Read the complete narrative.

Want to know what really fuels this bullish valuation? The narrative hinges on a bold combination of surging profitability, high-grade resource assumptions, and an aggressive bet on future margin expansion. What unique future forecasts have analysts made that push fair value so far from today’s market price? Scroll down and see what sets this narrative apart.

Result: Fair Value of $1.75 (UNDERVALUED)

Have a read of the narrative in full and understand what’s behind the forecasts.

However, ongoing exploration success or further cost reductions could change current expectations and potentially drive both production growth and higher valuations.

Find out about the key risks to this Thor Explorations narrative.

If you have your own perspective on Thor Explorations or would rather dive into the numbers firsthand, it only takes a few minutes to build your own view. Do it your way

A great starting point for your Thor Explorations research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This 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.

Companies discussed in this article include THX.V.

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