Avant Brands (AVNT) AI Stock Analysis

• Market Cap: $8.78M
• Dividend Yield: N/A
• Average Volume (3M): 12.51K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.53
• Revenue Growth: 26.36%
• EPS Growth: -8.21%
• Country: CA
• Employees: 180
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.17
• Shares Outstanding: 11,407,935
• 10 Day Avg. Volume: 12,972
• 30 Day Avg. Volume: 12,505
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.16
• Price to Sales (P/S): 0.15
• P/FCF Ratio: 13.47
• Enterprise Value/Market Cap: 2.76
• Enterprise Value/Revenue: 0.66
• Enterprise Value/Gross Profit: 37.31
• Enterprise Value/Ebitda: -1.32
• 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: 53 Neutral
• Price Target: C$0.84 ▲(5.25% Upside)

Avant Brands' overall stock score is primarily influenced by its strong revenue growth and improving cash flow, which are positive signs. However, significant challenges in profitability and valuation, along with potential overbought technical indicators, weigh down the score.

Positive Factors

Revenue Growth

The significant revenue growth indicates strong demand for Avant Brands' products, suggesting effective market penetration and potential for continued expansion.

Cash Flow Improvement

Improving cash flow, particularly in free cash flow, enhances liquidity and supports operational flexibility, enabling strategic investments and debt management.

Stable Balance Sheet

A stable balance sheet with manageable leverage provides financial stability, allowing Avant Brands to navigate industry challenges and invest in growth opportunities.

Negative Factors

Profitability Challenges

Ongoing profitability issues may hinder long-term sustainability and limit the ability to reinvest in business growth and innovation.

Negative Return on Equity

Negative return on equity suggests inefficiencies in generating profits from shareholders' investments, potentially impacting investor confidence and future capital raising.

Low Gross Profit Margin

A low gross profit margin may reflect challenges in cost control or competitive pricing, affecting overall profitability and financial health.

Avant Brands Business Overview & Revenue Model

Company Description

Avant Brands Inc. is a Canadian cannabis company focused on premium cannabis products and brands. The company operates primarily in the cultivation, production, and sale of cannabis and cannabis-derived products, catering to both recreational and medical markets. Avant Brands emphasizes innovation and quality, positioning itself within the competitive landscape of the cannabis industry with a diverse range of offerings, including dried flower, pre-rolls, and infused products.

How the Company Makes Money

Avant Brands generates revenue through the sale of its cannabis products to both consumers and distributors. The company has established strategic partnerships with retailers and wholesalers in the cannabis sector, which allows for broader market access and increased sales volumes. Key revenue streams include direct-to-consumer sales through licensed dispensaries, e-commerce platforms, and wholesale transactions with other cannabis retailers. Additionally, Avant Brands may benefit from branding and product collaborations, which can enhance its market presence and drive revenue growth.

Avant Brands Financial Statement Overview

Summary

Avant Brands is experiencing robust revenue growth, but profitability remains a significant concern. The balance sheet is stable with manageable leverage, yet the company struggles to generate positive returns on equity. Cash flow metrics show improvement, particularly in free cash flow, which is a positive sign for liquidity. Overall, while there are growth opportunities, the company needs to address profitability and return on equity to enhance financial health.

Income Statement

Avant Brands shows a mixed performance in its income statement. The company has experienced significant revenue growth, with a 58.4% increase in the TTM period. However, profitability remains a challenge, as evidenced by negative net profit and EBIT margins. The gross profit margin is also low, indicating potential issues with cost management or pricing strategy.

Balance Sheet

The balance sheet reflects moderate financial stability. The debt-to-equity ratio is reasonable at 0.56, suggesting manageable leverage. However, the return on equity is negative, indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio is not explicitly calculated but appears stable given the total assets and equity figures.

Cash Flow

Cash flow analysis shows improvement, with a notable 90.97% growth in free cash flow in the TTM period. The operating cash flow to net income ratio is low, suggesting limited cash generation relative to net income. However, the free cash flow to net income ratio is strong, indicating efficient cash conversion despite profitability challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.54M	35.80M	26.34M	20.15M	9.50M	7.91M
Gross Profit	650.00K	-1.68M	12.43M	3.91M	1.90M	6.15M
EBITDA	-18.34M	-19.45M	4.53M	-1.89M	-9.65M	-5.27M
Net Income	-21.09M	-22.55M	-5.07M	-7.54M	-11.23M	-10.17M
Balance Sheet
Total Assets	52.34M	59.47M	82.55M	67.03M	50.57M	40.80M
Cash, Cash Equivalents and Short-Term Investments	1.16M	1.74M	794.00K	6.78M	14.49M	625.00K
Total Debt	15.99M	17.01M	18.70M	3.01M	623.00K	7.50M
Total Liabilities	23.57M	26.62M	33.22M	18.79M	2.70M	12.38M
Stockholders Equity	28.77M	32.85M	49.33M	43.92M	47.87M	28.42M
Cash Flow
Free Cash Flow	613.00K	401.00K	1.85M	-4.90M	-6.22M	-1.12M
Operating Cash Flow	685.00K	507.00K	5.41M	-3.46M	-5.62M	-357.00K
Investing Cash Flow	-53.00K	-78.00K	-7.03M	-3.10M	-1.65M	-1.38M
Financing Cash Flow	-838.00K	539.00K	-4.38M	-993.00K	20.96M	393.00K

Avant Brands Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.80
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AVNT, the sentiment is Positive. The current price of 0.8 is above the 20-day moving average (MA) of 0.70, above the 50-day MA of 0.73, and below the 200-day MA of 0.85, indicating a neutral trend. The MACD of 0.03 indicates Negative momentum. The RSI at 62.03 is Neutral, neither overbought nor oversold. The STOCH value of 89.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:AVNT.

Avant Brands Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DHB	56 Neutral	C$9.07M	-7.47	-17.81%	―	13.01%	-2445.45%
AVNT	53 Neutral	$8.78M	―	-53.71%	―	26.36%	-8.21%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
CLC	43 Neutral	C$7.44M	―	-4.55%	―	16.22%	-285.37%
IMCC	42 Neutral	$6.72M	-2.36	-93.87%	―	-0.74%	81.49%

Avant Brands Corporate Events

Avant Brands Reports Strong Q3 2025 Performance

Avant Brands Inc., a prominent player in the cannabis industry, is recognized for its innovative and high-quality cannabis products, catering to both domestic and international markets. The company, headquartered in Kelowna, British Columbia, operates multiple production facilities across Canada and is known for its diverse product portfolio, including renowned brands like blk mkt™ and Tenzo™.

Avant Brands Achieves Eighth Consecutive Quarter of Positive EBITDA in Q3 2025

Avant Brands reported its financial results for Q3 2025, highlighting a continued positive trajectory with its eighth consecutive quarter of positive adjusted EBITDA. The company saw a 13% increase in gross revenue and an 11% rise in net revenue, driven by strong demand for premium cannabis both domestically and internationally. Despite a decline in export wholesale revenue due to a strategic shift by a major customer, domestic wholesale revenue surged by 307%. Avant’s strategic focus on high-margin SKUs and cost management has bolstered its financial performance, with net cash flows from operating activities increasing by 111% year-to-date.

The most recent analyst rating on (TSE:AVNT) stock is a Hold with a C$1.00 price target. To see the full list of analyst forecasts on Avant Brands stock, see the TSE:AVNT Stock Forecast page.

Avant Brands Celebrated as One of Canada’s Top Growing Companies for Third Year

Avant Brands Inc. has been recognized as one of Canada’s Top Growing Companies by The Globe and Mail for the third consecutive year, ranking 138th with a three-year revenue growth of 263%. This achievement underscores the company’s strong brand presence and dedication to creating long-term value for customers and shareholders, as it aims to leverage this momentum to accelerate global expansion and solidify its position as a premium leader in key markets.

The most recent analyst rating on (TSE:AVNT) stock is a Hold with a C$1.00 price target. To see the full list of analyst forecasts on Avant Brands stock, see the TSE:AVNT Stock Forecast page.