CanadaBis Capital (CANB) AI Stock Analysis

• Market Cap: C$3.46M
• Dividend Yield: N/A
• Average Volume (3M): 63.89K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.99
• Revenue Growth: -5.87%
• EPS Growth: -239.53%
• Country: CA
• Employees: N/A
• Sector: Services
• Sector Strength: N/A
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): N/A
• Shares Outstanding: 138,256,380
• 10 Day Avg. Volume: 172,725
• 30 Day Avg. Volume: 63,891
• PEG Ratio: 0.03
• Price to Book (P/B): 0.94
• Price to Sales (P/S): 0.37
• P/FCF Ratio: -1.85
• 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: 40 Underperform
• Price Target: C$0.02 ▼(-5.00% Downside)
• Action: Downgraded Date: 02/25/26
• Date: Action: Downgraded 02/25/26

The score is held down primarily by deteriorating financial performance (declining revenue, net losses, rising leverage, and materially negative operating/free cash flow). Technicals also reflect weak momentum with the stock trading below key moving averages and a negative MACD. Valuation is difficult to support because earnings are negative and there is no dividend yield provided.

Positive Factors

Healthy gross margin

A ~44% gross margin provides a durable cushion for the company's core investment and advisory activities, supporting profitability potential even if top-line growth is muted. Higher gross margins help absorb operating expenses and protect long-term margin sustainability versus peers.

Positive equity and stable assets

Positive shareholders' equity (~$6.5M) and stable assets (~$24.4M) give the company a solvency buffer that supports continued operations and investment activity. This balance-sheet cushion improves resilience to shocks and underpins longer-term strategic flexibility.

Diversified investment model & partnerships

A diversified holding/investment model across cannabis, tech and health plus strategic partnerships provides recurring deal flow, fee income, and cross-sector optionality. This business structure lowers single-asset risk and supports durable revenue channels beyond spot product cycles.

Negative Factors

Negative operating and free cash flow

Sustained negative operating and free cash flow (~-$2.1M and ~-$2.2M TTM) erodes internal funding capacity, forcing reliance on external financing or equity raises. Persistent cash burn reduces ability to support portfolio companies, fund growth, and withstand market stress over the next several quarters.

Declining revenue and profitability

A ~10.8% revenue decline combined with a net loss (~-$1.3M) and slim EBITDA margin (~3.3%) shows weakening core performance. This reversal from prior profitable years signals execution challenges and pressure on operating leverage that could impede sustainable recovery without structural changes.

Rising leverage

Debt-to-equity climbing to ~1.34 from ~0.80 raises solvency and refinancing risk, especially while profitability and cash flow are negative. Higher leverage increases interest and covenant exposure, constraining capital allocation and heightening vulnerability during industry downturns.

CanadaBis Capital Business Overview & Revenue Model

Company Description

CanadaBis Capital Inc. engages in the production and sale of recreational cannabis and cannabis extracts in Canada. It operates through three segments: Cultivation and Wholesale, Retail, and Extraction and Tolling. The Cultivation and Wholesale segment cultivates and distributes cannabis and cannabis products to and through, provincial liquor and cannabis boards. The Retail segment sells cannabis and cannabis related products to end consumers on premise owned and operated by the company. The Extraction and Tolling segment provides cannabinoid extraction services to other licensed producers. CanadaBis Capital Inc. is based in Red Deer, Canada.

How the Company Makes Money

CanadaBis Capital generates revenue through a combination of equity investments, strategic partnerships, and advisory services. The company invests in cannabis-related businesses, acquiring equity stakes that yield returns through dividends and capital appreciation as these companies grow. Additionally, CanadaBis Capital provides advisory services to its portfolio companies, earning fees for strategic guidance and operational support. Significant partnerships with established industry players enhance its market position and provide access to new revenue opportunities, while ongoing market demand for cannabis products contributes to the financial performance of its investments.

CanadaBis Capital Financial Statement Overview

Summary

Financials are the primary concern: revenue is down ~10.8% TTM, profitability has swung to a net loss (~-$1.3M) with low EBITDA margin (~3.3%), leverage has risen (debt-to-equity ~1.34), and cash generation is weak with negative operating cash flow (~-$2.1M) and negative free cash flow (~-$2.2M). Despite a reasonable gross margin (~44%) and positive equity (~$6.5M), the current trend suggests elevated execution and liquidity risk.

Income Statement

TTM (Trailing-Twelve-Months) revenue declined ~10.8% and profitability weakened, with a net loss of about -$1.3M and a low EBITDA margin (~3.3%). The last annual period (2025) also showed a net loss despite positive EBITDA, marking a clear deterioration from 2023–2024 when the company delivered strong profits and much higher operating margins. Gross margin remains reasonable (~44% TTM), but the drop from prior peaks and the swing to losses highlight execution and cost pressure risk.

Balance Sheet

Leverage is moderate-to-elevated with debt-to-equity around ~1.34 in TTM (Trailing-Twelve-Months), higher than 2024 (~0.80) and trending up over the last two reporting periods. Equity remains positive (~$6.5M TTM) and assets are relatively stable (~$24.4M), but negative returns on equity in TTM and 2025 indicate the balance sheet is not currently generating profitable returns. Overall, solvency looks manageable, but rising leverage alongside losses increases financial risk.

Cash Flow

Cash generation is a key weak point: TTM (Trailing-Twelve-Months) operating cash flow is negative (~-$2.1M) and free cash flow is also negative (~-$2.2M), with free cash flow down materially versus the prior period. This represents a sharp reversal from 2023, when the business produced strong positive operating and free cash flow. The recent pattern suggests the company may need external funding or balance-sheet support if negative cash flow persists.

Breakdown	Oct 2025	Oct 2024	Oct 2023	Oct 2022	Oct 2021
Income Statement
Total Revenue	16.90M	17.95M	22.22M	11.67M	6.87M
Gross Profit	6.98M	8.82M	11.78M	5.57M	2.52M
EBITDA	800.05K	2.09M	5.68M	1.57M	-1.81M
Net Income	-835.20K	600.28K	4.44M	608.33K	-2.68M
Balance Sheet
Total Assets	24.54M	24.55M	22.96M	15.48M	13.28M
Cash, Cash Equivalents and Short-Term Investments	831.06K	1.68M	3.23M	144.88K	849.50K
Total Debt	7.75M	6.44M	7.31M	7.82M	8.44M
Total Liabilities	17.83M	16.45M	15.62M	12.84M	11.46M
Stockholders Equity	6.62M	8.00M	7.25M	2.54M	1.73M
Cash Flow
Free Cash Flow	-3.37M	-594.48K	4.57M	-292.54K	-1.96M
Operating Cash Flow	-3.20M	-256.31K	5.55M	-82.77K	-1.81M
Investing Cash Flow	-169.65K	-328.33K	-965.82K	-209.77K	122.77K
Financing Cash Flow	2.52M	-962.02K	-1.50M	-412.09K	2.37M

CanadaBis Capital Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CANB, the sentiment is Negative. The current price of 0.02 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.02, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.28 is Neutral, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CANB.

CanadaBis Capital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
CDVA	42 Neutral	C$4.94M	-1.71	―	―	1.60%	-213.10%
CVGR	41 Neutral	C$2.97M	-3.17	―	―	―	64.22%
CANB	40 Underperform	C$3.46M	-2.69	-11.42%	―	-5.87%	-239.53%
AYUR	40 Underperform	C$973.52K	-0.44	-271.33%	―	15.95%	-1.81%

CanadaBis Capital Corporate Events

CanadaBis Shareholders Approve All Resolutions, Back Governance and Strategic Flexibility

CanadaBis Capital Inc., a vertically integrated Canadian cannabis producer and retailer, operates a portfolio of subsidiaries spanning cultivation, extraction and branded products, positioning the company to pursue organic growth and partnerships in the legal cannabis sector. Its Stigma Grow unit focuses on innovative offerings aimed at challenging entrenched perceptions and unmet demand in Canada’s regulated market.

At its recent annual and special meeting, CanadaBis shareholders approved all resolutions, including the election of four directors, the appointment of BDO Canada LLP as auditor and the ratification of the stock option plan. Investors also granted management discretion to change the company’s name and undertake a share consolidation if strategically beneficial, supporting CanadaBis’ governance stability and future flexibility as it pushes new products and efficiency initiatives to advance its growth trajectory.

The most recent analyst rating on (TSE:CANB) stock is a Hold with a C$0.02 price target. To see the full list of analyst forecasts on CanadaBis Capital stock, see the TSE:CANB Stock Forecast page.

CanadaBis Posts Positive Operating Cash Flow in Q1 2026 Amid BC Market Disruptions

CanadaBis Capital reported fiscal Q1 2026 results showing gross revenue of $5.7 million and net revenue of $3.3 million, with gross margin improving to 27.0% and positive operating cash flow of $0.4 million, despite a net loss and lower sales versus the prior year. Performance was weighed down by temporary labor disruptions at the British Columbia Liquor Distribution Branch, which the company estimates cost about $0.5 million in lost cannabis sales, but management highlighted benefits from recent cost and labour efficiency measures and a shift to higher-margin products, and underscored continued focus on liquidity by opting to pay upcoming convertible debenture interest in shares rather than cash, a move that preserves cash but dilutes equity holders while supporting balance sheet flexibility.

The most recent analyst rating on (TSE:CANB) stock is a Hold with a C$0.02 price target. To see the full list of analyst forecasts on CanadaBis Capital stock, see the TSE:CANB Stock Forecast page.

CanadaBis Capital Proposes Convertible Debenture Price Reduction and Interest Payment in Shares

CanadaBis Capital Inc. has announced its proposal to reduce the conversion price of its outstanding Convertible Debentures from $0.10 to $0.075 per Common Share, subject to approval by the TSX Venture Exchange. Additionally, the company plans to pay the upcoming interest on these debentures through the issuance of common shares, rather than cash, to strengthen liquidity and align shareholder interests. These strategic moves are aimed at enhancing the company’s financial foundation and supporting its growth initiatives in the cannabis industry.

CanadaBis Capital Reports 2025 Financial Results and Strategic Initiatives

CanadaBis Capital Inc. announced its financial results for the fiscal year ending July 31, 2025, reporting gross revenue of $30.53 million and a gross profit of $7.38 million. Despite challenges in fiscal 2025, the company is focused on strategic initiatives to enhance sales growth and product margins, including securing favorable feedstock pricing agreements and expanding its national presence.