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Aimia Inc. (TSE:AIM)
:AIM

Aimia Inc. (AIM) AI Stock Analysis

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Aimia Inc.

(TSX:AIM)

Rating:58Neutral
Price Target:
Aimia Inc. shows resilience with strong strategic initiatives and a robust equity position. However, significant challenges remain in profitability and liquidity. The technical indicators suggest moderate positive momentum, and recent corporate events are promising. Yet, the negative P/E ratio and lack of dividends weigh down the valuation.
Positive Factors
Company Outlook
Positive drill results continue to be yielded, suggesting promising outcomes for the company's future prospects.
Earnings
Stock up approximately 14% on big EPS beat and record backlog.
Valuation
Valuation remains attractive.
Negative Factors
External Risks
There is an uncertainty over tariffs that could impact base metals, affecting sentiment negatively.
Market Sentiment
A selloff in Retail REIT reflects weakened investor sentiment, which could affect perceptions of the market.
Performance Concerns
Slowing year-over-year EPS growth is a concern and affects the sentiment negatively.

Aimia Inc. (AIM) vs. iShares MSCI Canada ETF (EWC)

Aimia Inc. Business Overview & Revenue Model

Company DescriptionAimia Inc. focuses on long-term investments in public and private companies. It operates through two segments, Holdings and Investment Management. The company, through its subsidiary, Mittleman Investment Management, LLC, provides discretionary portfolio management services to institutional investors and high-net-worth individuals. The company, through its long-term investments, owns and operates Club Premier, a coalition loyalty program, as well as invests in B2B technology company, and outdoor advertising firm. It also operates a B2B cross-border automotive trading platform, as well as an investment advisory business. The company was formerly known as Groupe Aeroplan Inc. and changed its name to Aimia Inc. in October 2011. Aimia Inc. was incorporated in 2008 and is headquartered in Toronto, Canada.
How the Company Makes MoneyAimia Inc. generates revenue through its investment portfolio, which includes stakes in publicly traded companies and private enterprises. The company earns money from dividends, interest, and capital gains on its investments. Additionally, Aimia may engage in strategic partnerships or joint ventures that contribute to its income. The performance of its investment portfolio and market conditions significantly influence the company's earnings.

Aimia Inc. Earnings Call Summary

Earnings Call Date:May 13, 2025
(Q1-2025)
|
% Change Since: 2.97%|
Next Earnings Date:Aug 08, 2025
Earnings Call Sentiment Positive
The earnings call highlights several positive developments, including growth in adjusted EBITDA, revenue, and significant gains from a substantial issuer bid. However, challenges remain, specifically with Bozzetto's Textile Solutions and the discounted share price. Overall, the positive developments slightly outweigh the negative aspects.
Q1-2025 Updates
Positive Updates
Increase in Adjusted EBITDA and Reduction in Holdco Costs
Aimia Inc. increased adjusted EBITDA and lowered Holdco costs to below $3 million. Adjusted EBITDA rose to $19.7 million, up from $6.7 million.
Significant Issuer Bid Gain
Aimia generated a gain of almost $54 million from the completion of a substantial issuer bid, which boosted earnings per share to $0.55.
Revenue Growth
Consolidated revenue grew by 6% to $129.8 million, or 2% on a constant currency basis.
Cortland International Performance
Cortland grew revenue by almost 20% to $40.7 million and adjusted EBITDA grew by 35% to $5.4 million, with the margin improving to 13.3%.
Cost Savings Initiatives
Aimia optimized the size of its Board, generating savings of $1.3 million, and plans to continue reducing office rent, audit fees, and software licenses.
Negative Updates
Underperformance in Bozzetto's Textile Solutions
Bozzetto's revenue was down 2% on a constant currency basis due to lower volume sold by the Textile Solutions sector.
Challenge to Address Share Discount
Aimia acknowledged much work is needed to address the discount at which shares are trading relative to net asset value.
Cash Holdings Decrease
Cash decreased slightly from $95.4 million at the end of 2024 to $94.7 million at the end of Q1 2025.
Company Guidance
During the Aimia Inc. First Quarter 2025 Results Conference Call, the company reiterated its guidance for the year, forecasting adjusted EBITDA in the range of $88 million to $95 million for its core holdings, which include Bozzetto and Cortland, and keeping Holdco costs below $11 million. Consolidated revenue increased by 6% to $129.8 million, with a gross profit rise of almost 4% to $35.6 million. Adjusted EBITDA surged to $19.7 million from $6.7 million, and net earnings reached $400,000, up from a loss of $4.5 million. The company completed a substantial issuer bid, resulting in a gain of nearly $54 million, and is actively working on reducing Holdco costs, having achieved savings of $1.3 million through board optimization. The company emphasized its strategy to unlock shareholder value by focusing on reducing costs, closing the share price discount, and effectively utilizing tax loss carryforwards.

Aimia Inc. Financial Statement Overview

Summary
Aimia Inc. demonstrates financial resilience with a strong equity position and no debt, but faces profitability and liquidity challenges. Revenue growth is volatile, and the company needs to address negative profit margins and improve cash flows for a better financial outlook.
Income Statement
40
Negative
Aimia Inc. shows inconsistent revenue growth with a recent increase from $207.7M to $495.5M, indicating volatility. The gross profit margin remains positive, but EBIT and net profit margins are negative, reflecting ongoing operational challenges and losses.
Balance Sheet
70
Positive
The balance sheet is relatively strong with no total debt, resulting in a favorable debt-to-equity ratio. However, stockholders' equity has declined. The equity ratio is robust, suggesting reliance on equity financing rather than debt.
Cash Flow
55
Neutral
Cash flow from operations has improved, but free cash flow remains negative. The cash flow situation suggests Aimia Inc. is still facing liquidity challenges, although there is some recovery in operating cash flows.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
495.50M207.70M479.40M13.40M14.30M
Gross Profit
132.00M-17.60M467.40M-3.00M3.00M
EBIT
-43.90M-107.10M445.30M-11.40M800.00K
EBITDA
0.00-126.40M462.00M-11.70M0.00
Net Income Common Stockholders
-56.40M-188.00M440.10M-17.10M-15.10M
Balance SheetCash, Cash Equivalents and Short-Term Investments
95.50M137.30M505.30M34.80M146.10M
Total Assets
900.40M963.60M804.00M431.00M444.20M
Total Debt
0.00177.90M0.000.000.00
Net Debt
-95.40M-109.10M-505.30M-34.80M-146.10M
Total Liabilities
371.80M380.50M27.10M27.00M3.50M
Stockholders Equity
499.70M568.60M776.90M404.00M431.30M
Cash FlowFree Cash Flow
-11.20M-23.50M-17.70M21.40M-32.00M
Operating Cash Flow
2.10M-12.00M-17.70M21.40M-32.00M
Investing Cash Flow
38.10M-460.10M526.00M-118.90M108.80M
Financing Cash Flow
-57.80M85.10M-49.10M-12.60M-28.20M

Aimia Inc. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price2.77
Price Trends
50DMA
2.59
Positive
100DMA
2.52
Positive
200DMA
2.56
Positive
Market Momentum
MACD
0.05
Positive
RSI
62.78
Neutral
STOCH
33.33
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AIM, the sentiment is Positive. The current price of 2.77 is above the 20-day moving average (MA) of 2.72, above the 50-day MA of 2.59, and above the 200-day MA of 2.56, indicating a bullish trend. The MACD of 0.05 indicates Positive momentum. The RSI at 62.78 is Neutral, neither overbought nor oversold. The STOCH value of 33.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:AIM.

Aimia Inc. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (64)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
C$771.55M7.808.68%4.02%20.65%-2.36%
TSCVG
77
Outperform
C$1.03B8.1610.69%0.14%120.44%
TSGCG
71
Outperform
C$1.05B14.615.62%3.47%35.78%-24.67%
TSSEC
69
Neutral
C$789.82M2.95-7.43%-8.45%211.31%
64
Neutral
$12.79B9.727.54%16971.00%12.07%-7.53%
TSFSZ
62
Neutral
C$599.57M15.2413.09%13.73%3.59%-43.99%
TSAIM
58
Neutral
C$261.12M0.37%67.83%68.03%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:AIM
Aimia Inc.
2.77
-0.23
-7.67%
TSE:AGF.B
AGF Management B NV
12.13
4.21
53.16%
TSE:CVG
Clairvest
72.50
3.32
4.80%
TSE:FSZ
Fiera Capital A
5.54
-0.67
-10.79%
TSE:GCG
Guardian Capital
43.00
0.40
0.94%
TSE:SEC
Senvest Capital
325.00
9.00
2.85%

Aimia Inc. Corporate Events

Stock BuybackBusiness Operations and Strategy
Aimia Inc. Advances Share Buyback Strategy
Positive
May 2, 2025

Aimia Inc. announced the repurchase of 494,300 common shares in April 2025 under its normal course issuer bid program, representing 0.52% of its common shares. This move is part of Aimia’s strategy to unlock shareholder value, as the company believes that the market price of its shares may not reflect their inherent value. The repurchase is seen as a desirable use of funds while maintaining financial flexibility for future strategic directions.

Spark’s Take on TSE:AIM Stock

According to Spark, TipRanks’ AI Analyst, TSE:AIM is a Neutral.

Aimia Inc. exhibits resilience with strong strategic initiatives and a robust equity position, but faces significant challenges in profitability and liquidity. The recent corporate events and earnings call highlight potential for future improvements, yet the negative P/E ratio and lack of dividends weigh down the valuation.

To see Spark’s full report on TSE:AIM stock, click here.

Financial Disclosures
Aimia Inc. to Announce Q1 2025 Financial Results
Neutral
May 1, 2025

Aimia Inc. announced it will release its first quarter 2025 financial results on May 13, 2025. The results will be followed by a live presentation via webcast and teleconference call. This announcement is part of Aimia’s ongoing efforts to keep stakeholders informed and potentially enhance its market positioning by demonstrating financial transparency and performance.

Spark’s Take on TSE:AIM Stock

According to Spark, TipRanks’ AI Analyst, TSE:AIM is a Neutral.

Aimia Inc. exhibits resilience with strong strategic initiatives and a robust equity position, but faces significant challenges in profitability and liquidity. The recent corporate events and earnings call highlight potential for future improvements, yet the negative P/E ratio and lack of dividends weigh down the valuation.

To see Spark’s full report on TSE:AIM stock, click here.

Executive/Board ChangesShareholder Meetings
Aimia Inc. Announces Board Resignation and AGM Details
Neutral
Apr 16, 2025

Aimia Inc. announced the resignation of Shahir Guindi from its Board of Directors for personal reasons. The company also confirmed that its current directors will stand for re-election at the upcoming Annual General Meeting on May 21, 2025. This update may impact the company’s governance and strategic direction as it focuses on its core businesses and shareholder value enhancement.

Spark’s Take on TSE:AIM Stock

According to Spark, TipRanks’ AI Analyst, TSE:AIM is a Neutral.

Aimia Inc.’s overall score reflects its strong equity position and strategic initiatives aimed at enhancing shareholder value. However, ongoing profitability and liquidity challenges, coupled with a negative P/E ratio, weigh down the score. The mixed technical signals and positive corporate events provide some optimism for future performance improvements.

To see Spark’s full report on TSE:AIM stock, click here.

Executive/Board ChangesShareholder Meetings
Aimia Inc. Announces Board Resignation Ahead of AGM
Neutral
Apr 15, 2025

Aimia Inc. announced the resignation of Jordan Teramo from its Board of Directors due to other professional commitments. This change comes ahead of the company’s Annual General Meeting scheduled for May 21, 2025, in Toronto. The resignation may impact the company’s board dynamics and strategic decision-making processes.

Spark’s Take on TSE:AIM Stock

According to Spark, TipRanks’ AI Analyst, TSE:AIM is a Neutral.

Aimia Inc.’s overall score reflects its strong equity position and strategic initiatives aimed at enhancing shareholder value. However, ongoing profitability and liquidity challenges, coupled with a negative P/E ratio, weigh down the score. The mixed technical signals and positive corporate events provide some optimism for future performance improvements.

To see Spark’s full report on TSE:AIM stock, click here.

Executive/Board ChangesBusiness Operations and Strategy
Aimia Inc. Announces Termination of Investor Rights Agreement Following Share Purchase
Neutral
Apr 14, 2025

Aimia Inc. announced that Milkwood Capital has purchased 5.9 million common shares from Eagle 1250 Investment Group Inc, leading to the termination of an Investor Rights Agreement with Eagle. This transaction, representing 6.2% of Aimia’s issued shares, results in Eagle losing its rights to nominate directors to Aimia’s Board, potentially impacting the company’s governance structure.

Spark’s Take on TSE:AIM Stock

According to Spark, TipRanks’ AI Analyst, TSE:AIM is a Neutral.

Aimia Inc.’s overall score reflects its strong equity position and strategic initiatives aimed at enhancing shareholder value. However, ongoing profitability and liquidity challenges, coupled with a negative P/E ratio, weigh down the score. The mixed technical signals and positive corporate events provide some optimism for future performance improvements.

To see Spark’s full report on TSE:AIM stock, click here.

Stock BuybackBusiness Operations and StrategyFinancial Disclosures
Aimia Inc. Reports Strong Q4 2024 Results and Strategic Milestones
Positive
Mar 28, 2025

Aimia Inc. reported strong financial results for the fourth quarter and full year 2024, achieving its guidance for the fiscal year. The company saw a significant increase in revenue and adjusted EBITDA, driven by improved performance from its core holdings, Bozzetto and Cortland, and strategic acquisitions like StarChem. Despite a net loss due to non-cash expenses, Aimia completed several initiatives to enhance shareholder value, including a cooperation agreement with its largest shareholder, Mithaq, and a Substantial Issuer Bid. These efforts are expected to sustain momentum into 2025, with projected growth in adjusted EBITDA.

Executive/Board ChangesBusiness Operations and Strategy
Aimia Inc. Announces Leadership Transition to Enhance Shareholder Value
Positive
Mar 27, 2025

Aimia Inc. announced a leadership transition with Rhys Summerton succeeding Tom Finke as Executive Chairman, reflecting the company’s ongoing commitment to governance and shareholder value enhancement. Under Finke’s leadership, Aimia focused on improving financial results, monetizing assets, and optimizing costs, achieving significant financial milestones. Summerton aims to continue this momentum by applying disciplined capital allocation and engaging with shareholders to drive long-term returns.

DividendsBusiness Operations and Strategy
Aimia Inc. Declares Quarterly Preferred Share Dividends
Positive
Mar 17, 2025

Aimia Inc. announced the declaration of quarterly dividends on its preferred shares, with specific rates set for Series 1, Series 3, and Series 4 shares. This move reflects Aimia’s commitment to providing returns to its shareholders and maintaining its financial strategies, which include leveraging its investments and optimizing shareholder value.

Financial Disclosures
Aimia Inc. to Announce Q4 and Full-Year 2024 Financial Results
Neutral
Mar 11, 2025

Aimia Inc. announced it will release its fourth quarter and full-year 2024 financial results on March 28, 2025. The results will be shared at 7:00 am ET, followed by a live webcast and teleconference at 8:30 am ET. This announcement is crucial for stakeholders as it provides insights into the company’s financial health and strategic direction, impacting its market positioning and shareholder value.

DividendsBusiness Operations and StrategyFinancial Disclosures
Aimia Inc. Announces New Dividend Rate and Strategic Financial Gains
Positive
Mar 3, 2025

Aimia Inc. announced a new dividend rate of 6.281% for its Series 1 Preferred Shares for the period from March 31, 2025, to March 31, 2030, following its decision not to redeem these shares. The company recently completed a substantial issuer bid, resulting in significant annual cash savings and a recorded gain of $53.7 million under IFRS. This strategic move is expected to positively impact Aimia’s financial position and enhance shareholder value.

DividendsBusiness Operations and Strategy
Aimia Inc. Announces Series 1 Preferred Shares Dividend Rate Reset
Neutral
Feb 26, 2025

Aimia Inc. announced it will not redeem its outstanding Series 1 Preferred Shares on March 31, 2025. Due to a recent Substantial Issuer Bid, there are only 606,658 Series 1 Shares remaining, preventing their conversion into Series 2 Shares. Consequently, the dividend rate for Series 1 Shares will be reset for a five-year period based on the Government of Canada bond yield plus 3.75%. This decision impacts shareholders by maintaining the current structure of preferred shares and resetting dividend rates, which reflects Aimia’s strategic financial management.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.