IM Cannabis Corp (IMCC) AI Stock Analysis

• Market Cap: $7.61M
• Dividend Yield: N/A
• Average Volume (3M): 72.27K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.31
• Revenue Growth: -0.74%
• EPS Growth: 81.49%
• Country: US
• Employees: 95
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.54
• Shares Outstanding: 5,246,812
• 10 Day Avg. Volume: 74,089
• 30 Day Avg. Volume: 72,265
• PEG Ratio: -0.55
• Price to Book (P/B): 1.50
• Price to Sales (P/S): 0.15
• P/FCF Ratio: -6.38
• Enterprise Value/Market Cap: 3.86
• Enterprise Value/Revenue: 0.56
• Enterprise Value/Gross Profit: 2.39
• Enterprise Value/Ebitda: -13.53
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 40 Underperform
• Price Target: $1.50 ▲(4.17% Upside)

The score is driven primarily by weak financial performance—ongoing losses, high leverage relative to equity, and continued cash burn. Technical signals also lean bearish with price below major moving averages and negative MACD, while valuation is difficult to support given a negative P/E and no dividend.

Positive Factors

International medical cannabis footprint

A diversified presence in regulated medical markets (Israel and Germany) provides multiple revenue sources and reduces single-market dependence. Long-term, this supports patient base growth, regulatory experience, and strategic optionality for market-entry or asset reallocation.

Vertically integrated operations

Control across cultivation, processing, and retail improves supply reliability, quality control and allows capture of upstream and downstream margins. Structurally, vertical integration supports margin recovery opportunities and better cost management versus asset-light competitors.

Leadership and governance upgrades

Recent appointments of an experienced CFO and a board member with technology and international business experience strengthen governance and execution capabilities. Over months this can improve financial controls, capital allocation, and strategic execution for expansion initiatives.

Negative Factors

High leverage and reduced equity base

A debt-to-equity ratio above 3x and a reduced equity cushion materially constrain financial flexibility. Persistently high leverage increases refinancing and solvency risk, limits ability to invest in growth or absorb shocks, and raises long-term cost of capital.

Negative operating and free cash flow

Consistent negative operating and free cash flow imply structural cash burn and reliance on external financing. Over a multi-month horizon this restricts reinvestment, forces dilution or debt raises, and weakens the company's ability to sustainably fund expansion or withstand adverse cycles.

Thin gross margins and wavering revenue momentum

Thin mid-to-high teen gross margins limit the profit leverage from revenue growth, while recent slip in TTM revenue signals inconsistent demand or execution. Structurally, this combination hampers ability to reach sustainable profitability and to cover fixed costs as scale is pursued.

IM Cannabis Corp Business Overview & Revenue Model

Company Description

IM Cannabis Corp. engages in breeding, growing, and supply of medical cannabis products in Israel, Germany, and Canada. It offers cannabis flowers and strain specific cannabis extracts under the IMC brand; and dried flower, pre-rolls, and pressed hash offerings under the WAGNERS and Highland Grow brands. The company serves medical patients and adult-use recreational consumers. IM Cannabis Corp. is headquartered in Tel Aviv-Yafo, Israel.

How the Company Makes Money

IM Cannabis Corp generates revenue primarily through the sale of medical cannabis products to patients and healthcare providers. The company's revenue model is built on the cultivation and processing of cannabis, which is then marketed and sold through its proprietary retail outlets and online platforms. Key revenue streams include direct sales of cannabis products, as well as wholesale distribution to licensed dispensaries. Additionally, IMCC has engaged in strategic partnerships and collaborations that enhance its market reach and product offerings, contributing to its overall earnings. The company's focus on quality and compliance with regulatory standards further strengthens its position in the competitive cannabis market.

IM Cannabis Corp Financial Statement Overview

Summary

IM Cannabis Corp faces significant financial challenges with ongoing losses, rising leverage, and negative cash flows. The company needs to address its cost structure and improve revenue generation to stabilize its financial position. Current trends reflect potential risks in sustaining operations without strategic changes or external financing.

Income Statement

The company has been struggling with profitability, demonstrated by consistent negative net income and declining gross profit margins. The net profit margin is significantly negative, indicating challenges in controlling costs and generating sustainable profits. Revenue growth is inconsistent, with recent declines, suggesting potential issues in market competitiveness or demand.

Balance Sheet

The debt-to-equity ratio has increased, reflecting a higher reliance on debt financing, which could limit financial flexibility. The return on equity is negative due to losses, which is concerning for long-term shareholder value. The equity ratio has decreased, indicating a lower proportion of equity financing, which might increase financial risk.

Cash Flow

The company has been experiencing negative operating and free cash flows, although there is some improvement in the operating cash flow to net income ratio. However, free cash flow remains negative, suggesting insufficient internal cash generation to cover capital needs, which could pressure liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	52.38M	54.03M	48.80M	54.34M	34.05M	15.89M
Gross Profit	12.28M	8.45M	9.85M	9.16M	6.33M	10.47M
EBITDA	-2.17M	-6.14M	-2.79M	-16.76M	6.24M	-7.04M
Net Income	-4.70M	-10.59M	-9.50M	-188.89M	-17.76M	-28.70M
Balance Sheet
Total Assets	44.33M	39.19M	48.81M	60.68M	287.39M	38.12M
Cash, Cash Equivalents and Short-Term Investments	1.18M	863.00K	1.81M	2.45M	13.90M	8.88M
Total Debt	17.56M	18.01M	13.78M	11.53M	29.27M	990.00K
Total Liabilities	40.03M	36.04M	35.11M	36.88M	82.44M	25.51M
Stockholders Equity	3.96M	5.24M	14.47M	22.65M	201.24M	11.10M
Cash Flow
Free Cash Flow	-3.75M	-1.23M	-8.66M	-14.20M	-38.97M	-10.63M
Operating Cash Flow	-3.71M	-1.08M	-8.07M	-12.64M	-34.37M	-7.92M
Investing Cash Flow	-1.08M	-470.00K	-1.18M	-1.41M	-9.01M	-4.08M
Financing Cash Flow	7.12M	3.83M	9.42M	4.76M	48.73M	6.74M

IM Cannabis Corp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.44
• 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 IMCC, the sentiment is Negative. The current price of 1.44 is above the 20-day moving average (MA) of 1.40, below the 50-day MA of 1.50, and below the 200-day MA of 2.03, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 44.76 is Neutral, neither overbought nor oversold. The STOCH value of 65.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IMCC.

IM Cannabis Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
FLGC	50 Neutral	$21.59M	-0.36	-37.38%	―	-22.60%	53.82%
TLRY	49 Neutral	$914.58M	-0.34	-83.42%	―	2.31%	-726.28%
SNDL	48 Neutral	$406.85M	-6.20	-7.82%	―	1.76%	18.31%
YCBD	47 Neutral	$7.91M	-0.20	-44.42%	―	-1.50%	80.17%
IXHL	47 Neutral	$108.47M	-0.29	-114.52%	―	-86.05%	24.17%
IMCC	40 Underperform	$7.61M	-1.72	-93.87%	―	-0.74%	81.49%

IM Cannabis Corp Corporate Events

IM Cannabis Appoints Tech and Security Executive Alon Dayan to Board of Directors

On January 5, 2026, IM Cannabis Corp. reported that it had appointed Alon Dayan to its board of directors, effective December 31, 2025, adding a seasoned technology and homeland security executive to its leadership. Dayan, currently CEO of KeepZone AI Inc. and founder-CEO of L1-Systems Ltd., brings more than 15 years of experience in systems integration, secure communications, international business development, and prior leadership roles in cybersecurity, defense electronics, and cryptocurrency technologies, potentially strengthening IM Cannabis’s strategic capabilities and international expansion efforts in its core medical cannabis markets of Israel and Germany.

The most recent analyst rating on (IMCC) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on IM Cannabis Corp stock, see the IMCC Stock Forecast page.

IM Cannabis Corp. Appoints New CFO Asi Levi

On December 11, 2025, IM Cannabis Corp. announced the appointment of Asi Levi as the new Chief Financial Officer, effective immediately, succeeding Uri Birenberg who resigned for personal reasons. Mr. Levi brings over 15 years of experience in finance and controlling roles, having worked with various companies in similar capacities. This leadership change is expected to support IM Cannabis Corp.’s strategic goals in its key markets of Israel and Germany, potentially enhancing its financial management and operational efficiency.

The most recent analyst rating on (IMCC) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on IM Cannabis Corp stock, see the IMCC Stock Forecast page.

IM Cannabis Corp. Cancels December 2025 Special Meeting

IM Cannabis Corp. announced the cancellation of a Special Meeting of Security Holders that was initially scheduled for December 29, 2025. The cancellation notice, dated November 14, 2025, affects various record dates related to the meeting, including the notice of meeting, voting, and beneficial ownership determination, all of which were set for November 12, 2025. This cancellation may impact stakeholders’ expectations and the company’s planned corporate actions.

The most recent analyst rating on (IMCC) stock is a Sell with a $1.00 price target. To see the full list of analyst forecasts on IM Cannabis Corp stock, see the IMCC Stock Forecast page.

IM Cannabis Corp. to Announce Q3 2025 Financial Results

On November 6, 2025, IM Cannabis Corp. announced it will report its third quarter 2025 financial results on November 13, 2025. The company, which operates in Israel and Germany, aims to provide insights into its operational and financial performance for the quarter ended September 30, 2025. This announcement is significant as it reflects the company’s ongoing commitment to transparency and its strategic focus on growth in high-value markets, potentially impacting its market positioning and stakeholder interests.

The most recent analyst rating on (IMCC) stock is a Sell with a $1.50 price target. To see the full list of analyst forecasts on IM Cannabis Corp stock, see the IMCC Stock Forecast page.

IM Cannabis Corp. Announces CFO Departure Amid Transition Plans

On October 29, 2025, IM Cannabis Corp. announced that its Chief Financial Officer, Uri Birenberg, will be stepping down for personal reasons. He will continue in his role until January 5, 2026, or an earlier date determined by the company, assisting in a structured transition process. This change is not due to any disagreement with the company, and Birenberg expressed confidence in IM Cannabis’s future. The company is actively searching for a new CFO, which may impact its operations and stakeholder confidence during the transition.

The most recent analyst rating on (IMCC) stock is a Sell with a $1.50 price target. To see the full list of analyst forecasts on IM Cannabis Corp stock, see the IMCC Stock Forecast page.

IM Cannabis Corp. Announces Special Meeting for December 2025

IM Cannabis Corp. has announced a Special Meeting of Security Holders scheduled for December 29, 2025, in Toronto, Ontario. The meeting’s record date for notice and voting is set for November 12, 2025. This meeting is significant for stakeholders as it may influence the company’s strategic decisions and future direction, impacting its market positioning and operational strategies.

The most recent analyst rating on (IMCC) stock is a Sell with a $1.50 price target. To see the full list of analyst forecasts on IM Cannabis Corp stock, see the IMCC Stock Forecast page.