Diagnos (ADK) AI Stock Analysis

• Market Cap: C$32.09M
• Dividend Yield: N/A
• Average Volume (3M): 342.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.38
• Revenue Growth: -48.53%
• EPS Growth: -9.66%
• Country: CA
• Employees: 16
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -0.01
• Shares Outstanding: 101,862,976
• 10 Day Avg. Volume: 531,548
• 30 Day Avg. Volume: 342,665
• PEG Ratio: -0.45
• Price to Book (P/B): -6.56
• Price to Sales (P/S): 117.69
• P/FCF Ratio: -9.28
• 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: 52 Neutral
• Price Target: C$0.33 ▲(4.06% Upside)

Diagnos faces significant financial challenges, which heavily impact its overall score. However, positive technical indicators and proactive corporate events provide some optimism. The valuation remains a concern due to ongoing losses and lack of dividends. Overall, while there are strategic efforts to improve, the financial distress is a major risk.

Positive Factors

AI-Powered Diagnostic Tools

Diagnos's focus on AI-powered diagnostic tools positions it well in the growing field of healthcare technology, offering potential for long-term growth as demand for advanced diagnostic solutions increases.

Business Model

The subscription-based business model provides a recurring revenue stream, enhancing financial stability and allowing for continuous product development and customer engagement.

Market Reach

By serving a global market, Diagnos can capitalize on diverse healthcare needs, potentially increasing market share and revenue opportunities across different regions.

Negative Factors

Financial Distress

The company's financial distress, marked by ongoing losses and high leverage, poses significant risks to its long-term viability and ability to invest in growth opportunities.

Cash Flow Challenges

Negative cash flows indicate difficulties in generating cash from operations, which could limit the company's ability to fund new projects and maintain financial health without external support.

Revenue Decline

Declining revenue trends highlight potential issues in market demand or competitive positioning, which could impact the company's ability to sustain growth and profitability.

Diagnos Business Overview & Revenue Model

Company Description

Diagnos Inc. (ADK) is a technology company specializing in advanced artificial intelligence solutions for the healthcare industry. The company focuses primarily on the development of AI-powered diagnostic tools that assist healthcare providers in identifying diseases early and accurately. Their flagship product, CARA, leverages deep learning algorithms to analyze medical images and provide actionable insights, enhancing patient outcomes. Diagnos operates in various sectors, including medical imaging, telemedicine, and healthcare data analytics, catering to hospitals, clinics, and healthcare professionals worldwide.

How the Company Makes Money

Diagnos generates revenue primarily through the licensing of its AI diagnostic software and services to healthcare institutions. Their business model includes subscription fees for ongoing access to the CARA platform, which provides continuous updates and support. Additionally, Diagnos may earn revenue through partnerships with healthcare providers and pharmaceutical companies, collaborating on research and development initiatives that integrate their technology. The company may also explore revenue through consulting services, offering training and expertise to clients on how to effectively utilize their AI tools in clinical settings. By expanding its network of partnerships and enhancing its product offerings, Diagnos aims to increase its market share and revenue streams.

Diagnos Financial Statement Overview

Summary

Diagnos exhibits significant financial distress across all major financial statements. The income statement shows ongoing losses, the balance sheet reveals high leverage and negative equity in some years, and cash flows highlight operational cash challenges. The company faces substantial risks that threaten its financial health, necessitating urgent strategic adjustments.

Income Statement

Diagnos has faced significant challenges in its income statement, with consistent negative gross profit margins over the years, indicating that the cost of goods sold exceeds revenue. The net profit margins are deeply negative, reflecting ongoing losses. Revenue has shown volatility, with recent declines from previous periods, further exacerbating financial instability. The EBIT and EBITDA margins are also negative, suggesting operational inefficiencies.

Balance Sheet

The balance sheet reveals financial stress with high leverage as indicated by the debt-to-equity ratio. Stockholders' equity is negative in some years, pointing to a difficult financial position. The equity ratio is low, indicating a reliance on debt financing. These factors imply potential risks in financial stability and solvency.

Cash Flow

Cash flow analysis shows persistent negative operating cash flows, indicating challenges in generating cash from operations. Free cash flow remains negative, exacerbating liquidity concerns. Financing cash flows are positive, suggesting reliance on external financing to sustain operations. Overall, cash flow management appears strained with little improvement over time.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	79.00K	103.80K	170.16K	438.83K	267.07K	331.52K
Gross Profit	-1.30M	-943.56K	35.80K	-418.30K	-347.53K	-473.45K
EBITDA	-4.09M	-3.56M	-2.45M	-2.10M	-2.45M	-1.93M
Net Income	-4.76M	-4.29M	-3.12M	-2.61M	-2.05M	-3.38M
Balance Sheet
Total Assets	1.17M	3.64M	663.79K	1.54M	1.95M	2.43M
Cash, Cash Equivalents and Short-Term Investments	737.25K	3.24M	219.01K	920.91K	1.36M	1.87M
Total Debt	2.39M	3.07M	3.19M	1.19M	471.68K	337.55K
Total Liabilities	2.71M	3.40M	3.72M	1.66M	818.19K	614.78K
Stockholders Equity	-1.54M	233.11K	-3.05M	-113.51K	1.13M	1.82M
Cash Flow
Free Cash Flow	-4.08M	-3.65M	-2.16M	-2.07M	-1.40M	-2.66M
Operating Cash Flow	-4.06M	-3.64M	-2.15M	-2.04M	-1.36M	-2.64M
Investing Cash Flow	1.82M	-3.11M	-14.02K	503.52K	262.93K	-759.98K
Financing Cash Flow	2.24M	6.62M	2.08M	1.60M	882.82K	3.83M

Diagnos Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.32
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ADK, the sentiment is Positive. The current price of 0.32 is above the 20-day moving average (MA) of 0.32, below the 50-day MA of 0.33, and above the 200-day MA of 0.27, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 49.57 is Neutral, neither overbought nor oversold. The STOCH value of 13.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ADK.

Diagnos Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADK	52 Neutral	C$32.09M	-6.60	―	―	-48.53%	-9.66%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CHS	44 Neutral	C$8.62M	-2.27	―	―	16.04%	-455.38%
UDOC	34 Underperform	C$15.54M	-3.21	―	―	―	48.94%
AIDR	34 Underperform	C$60.33M	-4.13	-207.53%	―	―	7.04%
DMED	33 Underperform	C$6.55M	-4.72	―	―	―	-67.11%
NARA	29 Underperform	C$10.39M	-1.94	―	―	―	81.01%

Diagnos Corporate Events

Diagnos Inc. Upsizes Private Placement to $3.65M Amid Strong Demand

Diagnos Inc. has announced an increase in its brokered private placement to $3.65 million, led by Centurion One Capital, due to strong investor demand. The proceeds will be used for regulatory affairs, product development, business development, and general corporate purposes, with the offering expected to close on or around December 3, 2025. This move reflects the company’s strategic efforts to bolster its financial resources and enhance its market position, potentially impacting stakeholders positively by expanding its operational capabilities.

Diagnos Inc. Extends Stock Warrant Exercise Period

Diagnos Inc. has announced its intention to extend the exercise period of 3,502,931 stock warrants from December 5, 2025, to August 5, 2026, pending approval from the TSX Venture Exchange. This extension maintains the exercise price at $0.40 per common share, potentially providing stakeholders with more time to capitalize on their investments, thereby reinforcing Diagnos’s commitment to its financial strategy and market presence.

Diagnos Inc. Launches $2 Million Private Placement to Support Growth

Diagnos Inc. has announced a brokered private placement led by Centurion One Capital to raise approximately $2 million through the sale of units, each comprising one common share and one warrant. The proceeds will be used for regulatory affairs, product development, business development, and general corporate purposes, with the offering expected to close by December 3, 2025, pending necessary approvals. The initiative highlights Diagnos’s strategic efforts to bolster its financial resources for operational and developmental enhancements, potentially strengthening its market position and offering opportunities for related parties to participate in the investment.

DIAGNOS Appoints Philippe Couillard as Chairman Amid Expansion Efforts

DIAGNOS has appointed Dr. Philippe Couillard as the Chairman of its Board of Directors, a move expected to strengthen its governance and leadership. This appointment comes as DIAGNOS advances regulatory approvals for its AI-enabled software product, CARA, in major markets including Canada, the United States, and Saudi Arabia, positioning the company for significant growth.

DIAGNOS Strengthens Advisory Board with New Appointment

DIAGNOS Inc. has announced the addition of Dr. Pierre-Luc Charlebois to its Advisory Board. Dr. Charlebois, an orthopedic surgeon with expertise in health economics, will join other notable members to provide strategic counsel to DIAGNOS. This move is expected to bolster the company’s growth and strengthen its position in the healthcare industry by leveraging Dr. Charlebois’s knowledge of the Canadian healthcare system and his business acumen.

Diagnos Inc. Extends Stock Warrant Exercise Period

Diagnos Inc. has announced its intention to extend the exercise period of 1,125,000 stock warrants, initially set to expire on November 9, 2025, to a new date of August 5, 2026, pending approval from the TSX Venture Exchange. This extension aims to provide warrant holders with additional time to exercise their options, potentially impacting the company’s financial strategy and market positioning.

DIAGNOS to Showcase Growth Potential at Bahamas Summit

DIAGNOS has announced its participation in the Centurion One Capital 3rd Annual Bahamas Summit, where CEO André Larente will present and engage with investors. The event provides a platform for DIAGNOS to showcase its growth potential, supported by recent regulatory advancements, to a global audience of growth investors.

DIAGNOS Achieves MDSAP Audit Success, Paving Way for Global Expansion

DIAGNOS Inc. has successfully completed its annual surveillance audit under the Medical Device Single Audit Program (MDSAP), confirming full compliance with quality and regulatory standards. This achievement strengthens DIAGNOS’ position in regulatory submissions and supports its mission to aid healthcare professionals in early detection of critical health issues. The renewed certification reflects the company’s commitment to scaling its SaaS-based AI platform globally, aligning with its expanding strategy and accelerating approvals with Health Canada, the FDA, and the SFDA.

DIAGNOS Inc. Announces Shareholder Meeting Results and Stock Option Grants

DIAGNOS Inc. announced the results of its annual shareholders’ meeting, where André Larente, Robert Dunn, Michael Braeuel, and Philippe Couillard were elected as directors. Grant Thornton LLP was appointed as the auditor for the fiscal year ending March 31, 2026. Additionally, the company granted 1,100,000 stock options to two directors, replacing expiring options, with an exercise price of $0.26 per share, subject to regulatory compliance. These developments indicate DIAGNOS’s ongoing commitment to strengthening its leadership and financial oversight, potentially impacting its strategic direction and stakeholder confidence.