Core AI Holdings (CHAI) AI Stock Analysis

• Market Cap: $73.12M
• Dividend Yield: N/A
• Average Volume (3M): 457.43K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.18
• Revenue Growth: -19.03%
• EPS Growth: 99.55%
• Country: US
• Employees: 23
• Sector: Communication Services
• Sector Strength: 97
• Industry: Internet Content & Information
• EPS (TTM): -1.74
• Shares Outstanding: 19,922,380
• 10 Day Avg. Volume: 457,735
• 30 Day Avg. Volume: 457,429
• PEG Ratio: <0.01
• Price to Book (P/B): 0.26
• Price to Sales (P/S): 0.09
• P/FCF Ratio: -0.07
• Enterprise Value/Market Cap: 0.17
• Enterprise Value/Revenue: 1.31
• Enterprise Value/Gross Profit: -17.99
• Enterprise Value/Ebitda: -0.74
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 41 Neutral
• Price Target: $2.50 ▲(4.17% Upside)

Core AI Holdings is currently struggling with severe financial challenges, including declining revenues and negative profitability, which are the most significant factors impacting the stock score. The technical analysis also indicates a bearish trend, further contributing to the low score. Valuation metrics are poor, with a negative P/E ratio and no dividend yield.

Positive Factors

Strategic Expansion

The formation of Core Digital marks a strategic expansion into the digital marketing sector, leveraging AI to capture new revenue streams and enhance market presence, particularly in high-growth regions like Asia.

Merger with Core Gaming

The merger with Core Gaming strengthens Core AI's market position in the gaming industry, potentially improving operational dynamics and competitiveness through expanded capabilities and market reach.

Product Innovation

VoicePix 2.0's advanced AI features enhance Core AI's leadership in AI-driven media production, offering growth opportunities by improving production efficiency and reducing costs in the digital content industry.

Negative Factors

Declining Revenue

The significant decline in revenue indicates operational challenges and market pressures, necessitating strategic restructuring to stabilize and improve financial performance.

Negative Profitability

Persistent negative profitability highlights substantial operational inefficiencies, requiring strategic changes to improve margins and ensure long-term financial health.

Cash Flow Challenges

Ongoing cash flow challenges with negative cash generation threaten liquidity and sustainability, necessitating effective cash management strategies to avoid financial distress.

Core AI Holdings Business Overview & Revenue Model

Company Description

Core AI Holdings (CHAI) is a leading technology company specializing in artificial intelligence solutions across various sectors, including healthcare, finance, and logistics. The company develops and integrates advanced AI systems that enhance operational efficiency, improve decision-making processes, and drive innovation for its clients. CHAI's core products include AI-driven analytics platforms, machine learning algorithms, and automation tools designed to optimize business performance and deliver actionable insights.

How the Company Makes Money

Core AI Holdings generates revenue through a diversified model that includes subscription fees for its AI software platforms, consulting services for custom AI solutions, and licensing agreements with enterprises that utilize CHAI's technology in their operations. Key revenue streams also come from strategic partnerships with industry leaders that enable joint ventures and collaborative projects, expanding CHAI's market reach. Additionally, CHAI benefits from ongoing maintenance and support contracts, ensuring a steady income flow from existing clients as they continue to enhance their AI capabilities.

Core AI Holdings Financial Statement Overview

Summary

Core AI Holdings is facing significant financial difficulties, with declining revenues, negative profitability, and cash flow challenges. Despite a low debt level, the negative return on equity and persistent losses necessitate strategic changes to improve operational efficiency and stabilize cash flows.

Income Statement

Core AI Holdings has experienced a significant decline in revenue with a negative growth rate of -18.31% TTM. The company is facing severe profitability challenges, as indicated by negative margins across the board, including a net profit margin of -144.29% and an EBIT margin of -114.13%. These figures suggest substantial operational inefficiencies and a need for strategic restructuring to improve financial performance.

Balance Sheet

The balance sheet shows a relatively low debt-to-equity ratio of 0.06 TTM, indicating limited leverage, which is a positive aspect. However, the return on equity is deeply negative at -186.68%, reflecting significant losses relative to shareholder investments. The equity ratio stands at a moderate level, suggesting some stability in asset financing, but overall financial health is compromised by ongoing losses.

Cash Flow

Cash flow analysis reveals a challenging situation with negative operating cash flow and free cash flow, indicating cash burn. The free cash flow to net income ratio is slightly above 1, suggesting that cash outflows are closely aligned with net losses. The company needs to address its cash flow issues to ensure sustainability and avoid liquidity constraints.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	9.71M	11.63M	8.23M	6.48M	7.55M	5.99M
Gross Profit	-705.13K	462.57K	902.97K	247.73K	859.85K	300.00K
EBITDA	-17.05M	-20.05M	-10.34M	-13.98M	-20.63M	-10.52M
Net Income	-21.89M	-25.27M	-12.93M	-15.30M	-23.63M	-13.59M
Balance Sheet
Total Assets	20.21M	14.89M	15.51M	16.14M	12.05M	31.09M
Cash, Cash Equivalents and Short-Term Investments	3.51M	181.73K	898.77K	1.91M	1.62M	16.46M
Total Debt	2.15M	4.40M	2.20M	939.00K	4.39M	7.05M
Total Liabilities	4.77M	10.97M	5.81M	6.90M	9.56M	9.81M
Stockholders Equity	15.44M	3.92M	9.71M	9.24M	2.49M	21.28M
Cash Flow
Free Cash Flow	-14.89M	-15.10M	-8.35M	-13.87M	-12.79M	-10.01M
Operating Cash Flow	-14.87M	-15.08M	-8.34M	-13.85M	-12.57M	-9.99M
Investing Cash Flow	-3.64M	-3.36M	-2.27M	-3.56M	-3.12M	-1.53M
Financing Cash Flow	21.87M	17.72M	9.60M	17.57M	1.01M	25.35M

Core AI Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.40
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CHAI, the sentiment is Negative. The current price of 2.4 is below the 20-day moving average (MA) of 2.87, below the 50-day MA of 5.30, and below the 200-day MA of 9.66, indicating a bearish trend. The MACD of -0.80 indicates Negative momentum. The RSI at 35.55 is Neutral, neither overbought nor oversold. The STOCH value of 57.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CHAI.

Core AI Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
CCG	52 Neutral	$74.88M	―	―	―	105.31%	95.66%
IZEA	51 Neutral	$84.77M	―	-6.62%	―	7.12%	78.68%
SEAT	43 Neutral	$110.62M	―	-51.54%	―	-16.83%	-485.31%
CHAI	41 Neutral	$73.12M	-0.20	-172.80%	―	-19.03%	99.55%
ILLR	39 Underperform	$69.30M	―	―	―	―	―
BZFD	37 Underperform	$34.92M	―	―	―	―	―

Core AI Holdings Corporate Events

Core AI Holdings Finalizes Merger with Core Gaming

On October 3, 2025, Core AI Holdings, Inc. completed a merger with Core Gaming, Inc., which now operates as a wholly-owned subsidiary. This strategic move, finalized under an amended merger agreement, positions Core AI Holdings to strengthen its foothold in the AI gaming sector, potentially impacting its operational dynamics and market competitiveness. The merger’s financial implications are detailed in the unaudited financial statements for the nine months ending September 30, 2025, highlighting the company’s efforts to integrate and optimize its expanded operations.

Core AI Holdings Completes Strategic Merger with Core Gaming

Core AI Holdings, Inc. announced its third-quarter financial results for 2025, highlighting a significant merger completed on October 3, 2025, with Core Gaming, Inc. This strategic move positions Core AI Holdings as a stronger entity in the AI sector, potentially impacting its financial performance and market reach. The financial results reflect the operations of Siyata Mobile, Inc. prior to the merger, indicating a transitional phase for the company as it integrates Core Gaming’s operations.

Core AI Holdings Completes Merger with Core Gaming

On October 3, 2025, Core AI Holdings, Inc. completed a merger with Core Gaming, Inc., making Core a wholly-owned subsidiary. This strategic move is expected to enhance Core AI Holdings’ position in the gaming industry. The merger follows Core’s acquisition of Newbyera Technology Limited in 2024, indicating a broader market strategy. The unaudited financial statements for the first half of 2025 reveal a loss, highlighting the financial challenges faced during the integration process. This merger is significant for stakeholders as it could influence the company’s future financial performance and market strategy.

Core AI Holdings Reports Strong Growth and Strategic Expansion Plans

On October 23, 2025, Core AI Holdings, Inc. reported robust user growth and engagement across its mobile gaming portfolio for the first half of 2025, with over 820 million cumulative downloads and an average of 18.4 million monthly active users. The company aims to achieve $300 million in annual revenue within 36 months, leveraging AI-driven insights and strategic partnerships to enhance creativity and accelerate user acquisition. Core AI’s global revenue distribution reflects strong monetization across international markets, with the United States as the largest contributor. The company plans to expand through joint ventures, mergers, and acquisitions, focusing on next-generation cloud computing, AI technologies, and blockchain applications to open new revenue channels.

Core AI Holdings Expands into AI-Driven Media Production with LikeMusic.AI

On October 15, 2025, Core AI Holdings announced its expansion into media production with the launch of LikeMusic.AI, an AI-driven music generation platform. This platform allows users to create high-quality music for various applications, enhancing creative efficiency and content quality. By integrating advanced text-to-music models and optimizing production processes, Core AI aims to position itself at the forefront of AI-driven media production. The platform has already improved Core Gaming’s production efficiency by 40%, reducing reliance on traditional music sourcing and lowering costs, thus strengthening the company’s market position.

Core AI Unveils VoicePix 2.0 with Advanced AI Audio Features

On October 9, 2025, Core AI Holdings, Inc. announced a significant upgrade to its flagship AI-powered music and voice generation platform, VoicePix. The update, VoicePix 2.0, introduces advanced features such as AI Voice Cloning & Synthesis, Text-to-Music & Lyric Generation, and Custom Voice Avatars, enhancing the platform’s ability to deliver human-like expression and production efficiency. This advancement positions Core AI as a leader in applied artificial intelligence, offering substantial opportunities for growth and value creation in the music and voice production industry. The new capabilities are already being utilized in the digital content industry, significantly reducing dubbing time and costs while maintaining high-quality expressive output.