Avicanna (AVCN) AI Stock Analysis

• Market Cap: $28.86M
• Dividend Yield: N/A
• Average Volume (3M): 55.79K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.28
• Revenue Growth: 2.41%
• EPS Growth: 74.61%
• Country: CA
• Employees: 87
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.01
• Shares Outstanding: 117,807,260
• 10 Day Avg. Volume: 77,161
• 30 Day Avg. Volume: 55,794
• PEG Ratio: 0.13
• Price to Book (P/B): 13.19
• Price to Sales (P/S): 1.20
• P/FCF Ratio: -10.34
• Enterprise Value/Market Cap: 1.33
• Enterprise Value/Revenue: 1.51
• Enterprise Value/Gross Profit: 2.79
• Enterprise Value/Ebitda: -101.51
• 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: 41 Neutral
• Price Target: C$0.21 ▼(-8.70% Downside)

Avicanna's overall stock score is primarily impacted by its financial performance, which shows revenue growth but significant profitability and cash flow challenges. The technical analysis indicates a bearish trend, and the valuation is poor due to a negative P/E ratio and lack of dividend yield. These factors collectively suggest a cautious outlook for the stock.

Positive Factors

Revenue Growth

The company's revenue growth indicates expanding market presence and product acceptance, which is crucial for long-term sustainability and competitiveness.

Low Leverage

Low leverage provides financial flexibility and reduces risk, allowing the company to invest in growth opportunities without significant debt burden.

Gross Profit Margin

A strong gross profit margin reflects efficient cost management, which can help improve profitability as the company scales and expands its operations.

Negative Factors

Profitability Challenges

Persistent profitability challenges can hinder long-term growth and shareholder value, requiring strategic changes to improve financial performance.

Negative Cash Flows

Negative cash flows indicate potential liquidity issues, limiting the company's ability to invest in growth and meet financial obligations.

Negative Return on Equity

A negative return on equity suggests the company is not effectively generating returns for shareholders, which can impact investor confidence and capital raising.

Avicanna Business Overview & Revenue Model

Company Description

Avicanna Inc. is a biopharmaceutical company focused on the development, manufacturing, and commercialization of plant-derived cannabinoid-based products for the medical and wellness sectors. Operating primarily in the cannabis industry, Avicanna is involved in various sectors including research and development, product formulation, and distribution. Its core offerings include a range of cannabinoid-based therapeutics, topical products, and consumer health products, all designed to meet the needs of healthcare professionals and patients seeking alternative treatment options.

How the Company Makes Money

Avicanna generates revenue through multiple key streams, including the sale of its proprietary cannabinoid formulations and products to healthcare providers and retailers. The company's revenue model is bolstered by its partnerships with other organizations in the cannabis and pharmaceutical sectors, which facilitate product development and expansion into new markets. Additionally, Avicanna may benefit from licensing agreements for its technologies and formulations, providing a supplemental income source. The company also engages in research collaborations that can lead to financial support and shared revenue from product sales, further enhancing its revenue potential.

Avicanna Financial Statement Overview

Summary

Avicanna is experiencing revenue growth, but profitability remains a significant issue with negative margins across key metrics. The balance sheet shows low leverage, yet the negative return on equity and past negative equity are concerning. Cash flow challenges persist, with negative operating and free cash flows. The company needs to address profitability and cash flow issues to improve its financial health.

Income Statement

Avicanna's revenue has shown growth, with a 13.5% increase in the TTM period. However, the company is struggling with profitability, as evidenced by negative net profit and EBIT margins. The gross profit margin is relatively healthy at 53.3% for TTM, indicating efficient cost management. Despite revenue growth, the persistent negative margins highlight ongoing challenges in achieving profitability.

Balance Sheet

The balance sheet shows a low debt-to-equity ratio of 0.047, indicating low leverage, which is a positive sign. However, the company has a negative return on equity, reflecting losses and inefficiencies in generating returns for shareholders. The equity ratio is not provided, but the overall financial health is concerning due to negative equity in previous periods.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows, with a significant decline in free cash flow growth by 62.6% in the TTM period. The free cash flow to net income ratio is positive, suggesting that cash flow is better than net income, but the overall negative cash flow indicates liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	25.37M	25.46M	16.79M	4.05M	3.27M	1.57M
Gross Profit	13.75M	12.90M	6.66M	1.11M	2.83M	-570.00K
EBITDA	-378.34K	-2.43M	-7.36M	-12.18M	-15.13M	-33.70M
Net Income	-1.28M	-3.62M	-8.74M	-14.73M	-16.77M	-32.86M
Balance Sheet
Total Assets	20.47M	20.12M	21.97M	17.62M	22.30M	30.16M
Cash, Cash Equivalents and Short-Term Investments	207.64K	448.03K	477.20K	1.19M	31.00K	2.52M
Total Debt	37.09K	109.23K	1.80M	3.21M	1.66M	1.94M
Total Liabilities	9.62M	10.38M	14.00M	14.16M	15.39M	16.25M
Stockholders Equity	2.55M	2.31M	-112.50K	-383.56K	1.15M	6.02M
Cash Flow
Free Cash Flow	-1.19M	-2.95M	-1.96M	-7.50M	-12.45M	-15.43M
Operating Cash Flow	-608.67K	-2.55M	-1.40M	-7.44M	-11.66M	-13.97M
Investing Cash Flow	-580.01K	-402.57K	-3.05M	810.24K	760.83K	-2.71M
Financing Cash Flow	1.25M	3.41M	3.55M	9.90M	10.06M	17.39M

Avicanna Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.23
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AVCN, the sentiment is Negative. The current price of 0.23 is below the 20-day moving average (MA) of 0.24, below the 50-day MA of 0.26, and below the 200-day MA of 0.27, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 44.59 is Neutral, neither overbought nor oversold. The STOCH value of 55.56 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:AVCN.

Avicanna Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DB	63 Neutral	$77.85M	5.19	21.77%	―	15.11%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
VEXT	51 Neutral	$59.44M	―	-21.73%	―	43.56%	-349.41%
ROMJ	48 Neutral	$33.25M	183.33	7.78%	―	28.55%	―
GWAY	44 Neutral	C$19.83M	―	-7.43%	―	19.66%	84.34%
LABS	41 Neutral	$27.35M	―	-19.10%	―	18.06%	34.58%
AVCN	41 Neutral	$28.86M	-18.28	-77.67%	―	2.41%	74.61%

Avicanna Corporate Events

Avicanna Reports Q3 2025 Growth and Strategic Advances

Avicanna Inc. reported its Q3 2025 financial results, highlighting continued revenue growth in Canada and internationally, driven by medical affairs initiatives and commercial advancements. Despite facing short-term margin pressures, the company remains optimistic about achieving sustainable profitability. Key developments include a significant increase in Canadian sales, the issuance of a U.S. patent for a topical cannabinoid composition, and the first export of organic certified cannabis flower to Switzerland. Additionally, Avicanna launched the re+PLAY CBD wellness brand in the U.S., showcasing its proprietary formulations.

The most recent analyst rating on (TSE:AVCN) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Avicanna stock, see the TSE:AVCN Stock Forecast page.

Avicanna Appoints New Interim CFO Amid Strategic Leadership Changes

Avicanna Inc. announced a change in its financial leadership with Nick Hilborn appointed as the Interim Chief Financial Officer, succeeding Phillip Cardella who transitions to a consultant role. This leadership change is part of Avicanna’s ongoing strategic initiatives to strengthen its operational framework and enhance its market positioning in the biopharmaceutical industry, particularly in the cannabinoid-based product segment.

The most recent analyst rating on (TSE:AVCN) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Avicanna stock, see the TSE:AVCN Stock Forecast page.

Avicanna Expands Global Reach with First CBD Flower Export to Switzerland

Avicanna’s subsidiary, Santa Marta Golden Hemp SAS, has successfully completed its first export of organic certified CBD dominant cannabis flower to Switzerland, marking a significant milestone for the company. This achievement reflects Avicanna’s strategic improvements in 2024 to enhance its product portfolio and infrastructure, allowing it to meet the growing demand for medical cannabis in Europe and Australia. The export to Switzerland represents the 20th international market for Aureus-branded products and the 23rd for all Avicanna products, underscoring the company’s capability in navigating complex regulatory environments and expanding its global footprint.

The most recent analyst rating on (TSE:AVCN) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Avicanna stock, see the TSE:AVCN Stock Forecast page.

Avicanna LATAM SAS and Harrington Wellness Launch re+PLAY CBD Brand in the U.S.

Avicanna LATAM SAS has partnered with Harrington Wellness to launch the re+PLAY CBD wellness brand in the United States. This collaboration brings CBD-based topicals, developed with input from scientists, athletes, and doctors, to the U.S. market, aiming to cater to the needs of the athletic and sports community. The initial product offerings include a CBD localized cream and a transdermal gel, both utilizing Avicanna’s patented technology and organic hemp-derived cannabinoids. This launch signifies a strategic expansion for Avicanna into the U.S. market, potentially enhancing its industry positioning and offering new opportunities for stakeholders.

The most recent analyst rating on (TSE:AVCN) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Avicanna stock, see the TSE:AVCN Stock Forecast page.

Avicanna Inc. Reports Q2 2025 Financial Results

Avicanna Inc. is a biopharmaceutical company specializing in the development, manufacturing, and commercialization of plant-derived cannabinoid-based products, operating primarily in the medical and pharmaceutical sectors.