TRX Stock Forecast & Price Target

TRX Gold Corp has experienced notable improvements in its financial health, with strong cash flow contributing to enhanced working capital. The recent surge in gold prices, rising 37.4% to $3,328 per ounce, has significantly outpaced the company's revised commodity price forecasts, reflecting robust demand dynamics in the market. Additionally, TRX's successful mine sequencing and stripping strategies have resulted in increased production levels, positioning the company favorably as it moves into fiscal year 4Q25.

TRX Gold Corp reported a revenue increase to $12.5 million, yet the company still incurred a net loss of $0.2 million, indicating ongoing challenges in achieving profitability. This represents an improvement in revenue compared to the prior fiscal year's third quarter, where revenue was $10.1 million, but the net loss also increased from $1.7 million. The persistent net losses, despite rising revenues, raise concerns about the company's ability to effectively manage costs and transition towards profitability, contributing to a negative outlook on its stock.