Diagnos (ADK) AI Stock Analysis

• Market Cap: C$31.91M
• Dividend Yield: N/A
• Average Volume (3M): 342.67K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.56
• Revenue Growth: -48.53%
• EPS Growth: -9.66%
• Country: CA
• Employees: 16
• Sector: General
• Sector Strength: N/A
• Industry: Medical - Healthcare Information Services
• EPS (TTM): -0.01
• Shares Outstanding: 120,412,550
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: C$0.26 ▼(-28.33% Downside)
• Action: Reiterated Date: 03/02/26
• Date: Action: Reiterated 03/02/26

The score is primarily held down by weak financial performance—declining TTM revenue, deeply negative profitability, and persistent cash burn that increases funding risk. Technical indicators are broadly neutral but with negative MACD and price below key mid-term averages, offering limited support. Valuation is also constrained by a negative P/E and no dividend yield data.

Positive Factors

Industry Exposure

Operating in medical healthcare information services provides durable structural demand as providers and payors continue digitizing workflows and clinical data. That secular exposure supports a multi-month runway for product relevance and potential recurring revenue opportunities.

Improved Equity Position

Recent repair to positive equity reduces immediate insolvency risk and improves creditor and partner perceptions. A positive equity base creates a modest cushion for operations and lowers short-term restructuring risk, aiding execution over the next several months.

Cash-Nature of Losses

Losses translating into cash outflows (FCF ≈ net loss) imply fewer large non‑cash adjustments and greater forecasting clarity. That alignment makes cash burn easier to model and manage, supporting disciplined financing or restructuring efforts that impact near-term durability.

Negative Factors

Persistent Cash Burn

Sustained negative operating and free cash flow materially raises funding risk and potential dilution from future raises. Without a clear path to cash‑flow break‑even, the company faces structural financing pressure that can impair strategic execution and growth over the coming months.

Declining Revenue & Losses

Falling top line alongside deeply negative margins signals weak monetization and operational scalability. Continued revenue decline and poor profitability reduce resilience to shocks, limit reinvestment capacity, and heighten the likelihood of strategic pivots or cost cuts.

Leverage and Balance Sheet Instability

Debt sizable relative to equity and erratic leverage ratios indicate balance sheet fragility. If losses persist, servicing and refinancing risk will rise, constraining flexibility for investments or partnerships and increasing the probability of dilutive capital raises.

Diagnos Business Overview & Revenue Model

Company Description

DIAGNOS Inc. provides software-based services primarily in Canada, the United States, Colombia, Spain, Mexico, Saudi Arabia, and Costa Rica. The company offers healthcare services through Computer Assisted Retina Analysis, a web-based software tool that assists healthcare professionals for the detection of diabetic retinopathy; and allows eye care specialist to visualize both normal retinal landmarks and pathological changes. It also provides various consulting services in the fields of data analysis and artificial intelligence. The company was founded in 1998 and is headquartered in Brossard, Canada.

How the Company Makes Money

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Diagnos Financial Statement Overview

Summary

Financial performance is weak: TTM revenue declined (-13.7%), profitability is deeply negative across gross profit/EBIT/EBITDA/net income, and operating/free cash flow remain consistently negative (TTM OCF ~-3.78M; FCF ~-3.79M). While equity has turned positive in recent periods, leverage remains high versus equity and equity levels have been volatile, keeping financing risk elevated.

Income Statement

TTM (Trailing-Twelve-Months) results show continued operating pressure: revenue fell (-13.7%) and profitability is deeply negative (gross profit, EBIT, EBITDA, and net income all negative, with very weak margins). While losses have been persistent across the annual periods provided, the TTM profile indicates deterioration versus the most recent annual report, keeping overall earnings quality and scalability concerns elevated.

Balance Sheet

The balance sheet is mixed. On the positive side, the latest two periods show positive equity (TTM equity ~1.50M; latest annual ~0.23M), suggesting some repair from earlier negative equity levels. However, leverage remains a key risk: debt is sizable relative to equity (TTM debt ~2.00M), and the debt-to-equity figures are erratic/negative across periods (likely impacted by equity swings), which signals balance sheet instability and limited cushion if losses persist.

Cash Flow

Cash generation is weak: operating cash flow and free cash flow are consistently negative across all periods, including TTM (operating cash flow about -3.78M; free cash flow about -3.79M). While free cash flow tracks closely with net loss (free cash flow to net income ~1.0), the core issue is ongoing cash burn with no evidence of turning cash-flow positive, increasing funding and dilution/refinancing risk.

Breakdown	TTM	Jun 2024	Jun 2023	Jun 2022	Mar 2021	Mar 2020
Income Statement
Total Revenue	68.16K	103.80K	170.16K	438.83K	267.07K	331.52K
Gross Profit	-1.43M	-943.56K	35.80K	-418.30K	-347.53K	-473.45K
EBITDA	-4.10M	-3.56M	-2.45M	-2.10M	-2.45M	-1.93M
Net Income	-4.71M	-4.29M	-3.12M	-2.61M	-2.05M	-3.38M
Balance Sheet
Total Assets	3.90M	3.64M	663.79K	1.54M	1.95M	2.43M
Cash, Cash Equivalents and Short-Term Investments	3.40M	3.24M	219.01K	920.91K	1.36M	1.87M
Total Debt	2.00M	3.07M	3.19M	1.19M	471.68K	337.55K
Total Liabilities	2.41M	3.40M	3.72M	1.66M	818.19K	614.78K
Stockholders Equity	1.50M	233.11K	-3.05M	-113.51K	1.13M	1.82M
Cash Flow
Free Cash Flow	-3.79M	-3.65M	-2.16M	-2.07M	-1.40M	-2.66M
Operating Cash Flow	-3.78M	-3.64M	-2.15M	-2.04M	-1.36M	-2.64M
Investing Cash Flow	-260.32K	-3.11M	-14.02K	503.52K	262.93K	-759.98K
Financing Cash Flow	4.37M	6.62M	2.08M	1.60M	882.82K	3.83M

Diagnos Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.36
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ADK, the sentiment is Negative. The current price of 0.36 is above the 20-day moving average (MA) of 0.29, above the 50-day MA of 0.30, and above the 200-day MA of 0.28, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 28.10 is Positive, neither overbought nor oversold. The STOCH value of 15.07 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ADK.

Diagnos Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
CHS	53 Neutral	C$9.33M	-11.57	―	―	16.04%	-455.38%
AIDR	48 Neutral	C$50.98M	-2.31	-207.53%	―	―	7.04%
ADK	45 Neutral	C$31.91M	-9.48	3086.87%	―	-48.53%	-9.66%
UDOC	45 Neutral	C$10.36M	-5.12	6239.15%	―	―	48.94%
NARA	42 Neutral	C$6.25M	-4.68	―	―	―	81.01%
DMED	33 Underperform	C$11.43M	-21.40	527.45%	―	―	-67.11%

Diagnos Corporate Events

Diagnos to Showcase AI Eye-Health Platform at Toronto Growth Investor Conference

Diagnos Inc., a Canadian AI-driven medical imaging specialist focused on early detection of eye-related and other critical health issues, leverages its FLAIRE platform and CARA retinal analysis tool to deliver cost-effective, real-time screening for high patient volumes worldwide. The company is increasingly visible within a global optometry market that counts more than 300,000 locations and has recently validated its technology through collaboration with a leading industry player.

Diagnos will present its artificial intelligence solution for the medical sector at the Centurion One Capital 9th Annual Toronto Growth Conference on March 5, 2026, positioning itself before a concentrated group of Canadian growth investors. Management frames the appearance as part of a broader growth phase that includes renewed government-related initiatives and heightened market exposure, underscoring its ambition to scale AI-powered eye health diagnostics globally.

The most recent analyst rating on (TSE:ADK) stock is a Hold with a C$0.28 price target. To see the full list of analyst forecasts on Diagnos stock, see the TSE:ADK Stock Forecast page.

Diagnos Wins $1M-Plus Federal Backing for Next-Generation Retinal AI Research

Diagnos Inc. and Montreal-based engineering school École de technologie supérieure have secured more than C$1 million in federal funding, led by a five-year NSERC Alliance grant and additional Mitacs support, to accelerate development of next-generation AI algorithms for retinal image analysis. The multi-year project, which includes the creation of an industrial research chair at ÉTS and co-funding of C$500,000 from Diagnos, will support eight highly qualified researchers and aims to boost the accuracy and clinical relevance of AI-based retinal disease detection, reinforcing Canada’s research ecosystem and strengthening Diagnos’s positioning as a leader in medical AI for eye health as it moves innovations closer to real-world clinical deployment.

The most recent analyst rating on (TSE:ADK) stock is a Hold with a C$0.29 price target. To see the full list of analyst forecasts on Diagnos stock, see the TSE:ADK Stock Forecast page.

Diagnos Hires Investor Brand Network to Boost Market Visibility

Diagnos Inc. has engaged Investor Brand Network (IBN) to provide corporate communication and market awareness services in a one-year agreement starting January 10, 2026, with monthly cash compensation of US$6,400. The mandate is intended to refine and strengthen Diagnos’s market visibility and investor outreach with a view to maximizing shareholder value, and the arrangement, which is at arm’s length and involves no current equity interest by IBN, remains subject to acceptance by the TSX Venture Exchange.

The most recent analyst rating on (TSE:ADK) stock is a Sell with a C$0.29 price target. To see the full list of analyst forecasts on Diagnos stock, see the TSE:ADK Stock Forecast page.

Diagnos Advances Global Regulatory Push for AI Eye-Health Platform CARA

Diagnos Inc. has outlined significant progress in its regulatory strategy for CARA, its AI platform for early detection of eye-related health issues, across three key jurisdictions. The company has formally submitted CARA for marketing approval to the Saudi Food and Drug Authority, is in active alignment with Health Canada’s medical device requirements ahead of a planned application this quarter, and has clarified the pathway to 510(k) clearance with the U.S. Food and Drug Administration. Management views securing these authorizations as a priority milestone expected to act as a catalyst for commercial expansion and to strengthen the company’s competitive positioning and value proposition for stakeholders in the growing medical AI market.

The most recent analyst rating on (TSE:ADK) stock is a Hold with a C$0.36 price target. To see the full list of analyst forecasts on Diagnos stock, see the TSE:ADK Stock Forecast page.