Accord Financial (ACD) AI Stock Analysis

• Market Cap: C$25.68M
• Dividend Yield: N/A
• Average Volume (3M): 1.39K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.14
• Revenue Growth: -19.88%
• EPS Growth: 26.76%
• Country: CA
• Employees: 82
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): -0.28
• Shares Outstanding: 8,558,913
• 10 Day Avg. Volume: 610
• 30 Day Avg. Volume: 1,394
• PEG Ratio: 0.13
• Price to Book (P/B): 0.41
• Price to Sales (P/S): 0.40
• P/FCF Ratio: 0.55
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 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: 46 Neutral
• Price Target: C$2.50 ▲(13.64% Upside)

Accord Financial's overall stock score is primarily impacted by its weak financial performance and bearish technical indicators. The company's high leverage and negative profitability metrics are significant concerns. The technical analysis suggests a bearish trend, with potential for a short-term rebound due to oversold conditions. Valuation metrics are unattractive, with a negative P/E ratio and no dividend yield.

Positive Factors

Cash Flow Improvement

The improvement in operating cash flow indicates better cash management and operational efficiency, which can support future growth and stability.

High Gross Profit Margin

A high gross profit margin suggests effective cost management and pricing power, which can contribute to long-term profitability.

Diverse Revenue Streams

Diverse revenue streams from interest and fees provide stability and reduce reliance on any single income source, enhancing resilience.

Negative Factors

High Leverage

High leverage can increase financial risk, especially in economic downturns, potentially impacting the company's ability to invest and grow.

Negative Revenue Growth

Declining revenue growth indicates challenges in market expansion and customer acquisition, which can hinder long-term business prospects.

Negative Profitability

Sustained negative profitability suggests operational inefficiencies and challenges in cost control, affecting financial health and investor confidence.

Accord Financial Business Overview & Revenue Model

Company Description

Accord Financial (ACD) is a financial services company that specializes in providing flexible and innovative financing solutions to businesses across various sectors, including commercial finance, asset-based lending, and factoring services. The company focuses on delivering tailored financial products that meet the unique needs of small to medium-sized enterprises (SMEs), helping them manage cash flow, optimize working capital, and support growth initiatives.

How the Company Makes Money

Accord Financial generates revenue primarily through interest income from its lending activities, including asset-based loans and factoring services. The company charges interest on the amounts it lends to clients, which forms a significant portion of its revenue. Additionally, Accord Financial earns fees for its services, such as origination fees, management fees, and processing fees associated with its financing solutions. By maintaining a diverse portfolio of financial products and focusing on SMEs, Accord benefits from a steady demand for its services. Strategic partnerships with other financial institutions and service providers also enhance its market reach and can contribute to increased earnings.

Accord Financial Financial Statement Overview

Summary

Accord Financial is facing challenges in revenue and profit generation as indicated by its income statement metrics. The balance sheet highlights a leveraged position with a high Debt-to-Equity ratio, posing potential financial stability risks. While there are improvements in operating cash flow, the overall financial performance shows a need for strategic adjustments to enhance revenue growth and profitability.

Income Statement

Accord Financial's income statement shows declining revenue and profitability over the recent years. The Gross Profit Margin remains high as expected for the financial sector, but the Net Profit Margin has been negative for the past two years, indicating challenges in profitability. The revenue growth also shows a negative trajectory, with a significant drop from 2023 to 2024, suggesting struggles in revenue generation.

Balance Sheet

The company's balance sheet reflects a high Debt-to-Equity ratio, indicating a leveraged position which could pose risks in times of financial stress. The Return on Equity is negative due to recent losses, further emphasizing challenges in profitability. However, the Equity Ratio has remained relatively stable, indicating some level of asset backing for the equity.

Cash Flow

The cash flow statement exhibits some positive aspects, such as a significant improvement in Operating Cash Flow in 2024, which turned positive after being negative in the previous year. However, Free Cash Flow has experienced volatility, and the Free Cash Flow to Net Income ratio indicates a need for better alignment between cash flow generation and profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	74.14M	83.06M	79.70M	67.49M	63.48M	48.50M
Gross Profit	25.20M	30.87M	19.93M	35.11M	48.21M	24.50M
EBITDA	-4.58M	-2.43M	-26.49M	3.48M	15.79M	-3.04M
Net Income	-4.84M	-3.14M	-14.63M	1.43M	11.89M	416.63K
Balance Sheet
Total Assets	429.14M	413.88M	513.48M	491.76M	520.11M	384.91M
Cash, Cash Equivalents and Short-Term Investments	7.55M	16.67M	5.91M	11.63M	13.84M	5.55M
Total Debt	333.49M	313.52M	414.05M	368.06M	397.94M	274.47M
Total Liabilities	345.06M	327.20M	424.82M	385.15M	416.15M	291.15M
Stockholders Equity	78.62M	80.83M	83.90M	100.97M	99.97M	89.85M
Cash Flow
Free Cash Flow	-24.62M	60.17M	-51.35M	31.33M	-101.73M	23.33M
Operating Cash Flow	-24.28M	60.56M	-51.12M	31.51M	-101.65M	23.37M
Investing Cash Flow	60.31M	60.25M	-236.00K	-175.00K	-83.25K	-43.47K
Financing Cash Flow	-44.66M	-108.17M	43.19M	-37.27M	120.37M	-21.91M

Accord Financial Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ACD, the sentiment is Negative. The current price of 2.2 is below the 20-day moving average (MA) of 2.55, below the 50-day MA of 3.03, and below the 200-day MA of 3.37, indicating a bearish trend. The MACD of -0.28 indicates Positive momentum. The RSI at 38.30 is Neutral, neither overbought nor oversold. The STOCH value of 14.06 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ACD.

Accord Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
WCM.A	55 Neutral	C$32.24M	-25.91	-4.02%	―	-57.07%	-248.66%
ACD	46 Neutral	C$25.68M	-5.30	-8.15%	―	-19.88%	26.76%

Accord Financial Corporate Events

Accord Financial Reports Third Quarter Loss Amid Debt Challenges

Accord Financial reported a net loss of $2.4 million for the third quarter of 2025, attributed to challenges on the debt side of its balance sheet despite modest portfolio growth. The company is actively pursuing strategic initiatives to streamline operations and refinance debt, with a focus on reducing overhead and managing debt obligations, as it aims to strengthen its financial position by the end of 2025 and into early 2026.

The most recent analyst rating on (TSE:ACD) stock is a Hold with a C$3.00 price target. To see the full list of analyst forecasts on Accord Financial stock, see the TSE:ACD Stock Forecast page.