CryptoStar Corp (CSTR) AI Stock Analysis

• Market Cap: C$2.12M
• Dividend Yield: N/A
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.04
• Revenue Growth: -90.58%
• EPS Growth: -43.16%
• Country: CA
• Employees: N/A
• Sector: Technology
• Sector Strength: 88
• Industry: Financial - Capital Markets
• EPS (TTM): >-0.01
• Shares Outstanding: 423,597,380
• 10 Day Avg. Volume: 1,141,717
• 30 Day Avg. Volume: 1,072,939
• PEG Ratio: 0.08
• Price to Book (P/B): 2.08
• Price to Sales (P/S): 3.68
• P/FCF Ratio: -3.24
• 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$0.01 ▲(0.00% Upside)

CryptoStar Corp's overall stock score is primarily impacted by its poor financial performance, which is the most significant factor. The company's severe profitability issues, declining revenues, and ongoing cash burn are critical concerns. Technical analysis indicates a bearish trend, further weighing down the score. Valuation metrics are also unfavorable, with a negative P/E ratio and no dividend yield. These factors collectively result in a low overall stock score.

Positive Factors

Strategic Partnerships

Strategic partnerships can lead to joint ventures and revenue sharing, providing a durable competitive advantage and expanding market reach.

Revenue Diversification

Diversified revenue streams reduce reliance on a single income source, enhancing financial stability and resilience against market fluctuations.

Blockchain Innovation

Focus on blockchain innovation positions the company to capitalize on industry growth, offering long-term opportunities in emerging markets.

Negative Factors

Declining Revenue

Significant revenue decline indicates challenges in maintaining market share and competitiveness, impacting long-term growth prospects.

Profitability Issues

Persistent negative margins highlight operational inefficiencies and a lack of profitability, threatening long-term financial health.

Cash Flow Challenges

Ongoing cash burn and poor cash conversion ratios indicate liquidity challenges, limiting the company's ability to invest in growth initiatives.

CryptoStar Corp Business Overview & Revenue Model

Company Description

CryptoStar Corp (CSTR) is a leading technology company specializing in blockchain solutions and cryptocurrency trading services. Operating primarily in the fintech sector, the company focuses on providing a secure and efficient trading platform for cryptocurrencies, as well as developing innovative blockchain applications for various industries. Its core products include a user-friendly cryptocurrency exchange, wallet services, and blockchain consultancy, designed to cater to both individual investors and institutional clients.

How the Company Makes Money

CryptoStar Corp generates revenue through multiple channels. The primary revenue stream comes from transaction fees collected on trades made on its cryptocurrency exchange platform. Additionally, the company earns money from premium subscription services that offer advanced trading tools and analytics for professional traders. CryptoStar also generates income through the sale of blockchain consultancy services, helping businesses implement blockchain technology into their operations. Strategic partnerships with financial institutions and technology firms further enhance its service offerings, creating opportunities for joint ventures and revenue sharing. Furthermore, the company may engage in market-making activities and hold cryptocurrency assets, which can contribute to its earnings through appreciation in value.

CryptoStar Corp Financial Statement Overview

Summary

CryptoStar Corp is facing substantial financial difficulties across all verticals. The income statement shows severe profitability issues with declining revenues and persistent losses. The balance sheet reflects moderate leverage but poor returns on equity, indicating financial instability. Cash flow analysis highlights ongoing cash burn and liquidity challenges. The company needs to address operational inefficiencies and improve its financial health to ensure long-term viability.

Income Statement

CryptoStar Corp's income statement reveals significant challenges. The company has experienced a sharp decline in revenue with a TTM revenue growth rate of -45.28%. Profitability metrics are concerning, with negative gross profit, net profit, EBIT, and EBITDA margins, indicating substantial losses. The persistent negative margins and declining revenue trend highlight severe operational inefficiencies and a lack of profitability.

Balance Sheet

The balance sheet shows moderate leverage with a debt-to-equity ratio of 0.74, which is relatively stable compared to previous years. However, the return on equity is negative, reflecting ongoing losses and poor shareholder returns. The equity ratio is not explicitly provided, but the declining stockholders' equity suggests weakening financial stability. Overall, the balance sheet indicates financial strain, though leverage is not excessively high.

Cash Flow

Cash flow analysis reveals significant challenges, with negative operating and free cash flows. The TTM free cash flow growth rate is positive at 44.80%, but this is from a negative base, indicating ongoing cash burn. The operating cash flow to net income ratio is negative, reflecting poor cash conversion. The free cash flow to net income ratio is 1.0, suggesting that cash flow issues are aligned with net income losses. Overall, cash flow management remains a critical concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	300.31K	2.08M	3.63M	5.42M	4.74M	534.38K
Gross Profit	-1.07M	-399.72K	-3.17M	-2.03M	-173.21K	-3.64M
EBITDA	-3.26M	-2.90M	-567.11K	-11.04M	1.24M	-1.44M
Net Income	-4.57M	-4.59M	-5.61M	-16.67M	-3.46M	-5.20M
Balance Sheet
Total Assets	5.06M	7.55M	12.71M	19.90M	36.71M	10.55M
Cash, Cash Equivalents and Short-Term Investments	1.23M	1.97M	2.18M	3.99M	7.05M	402.41K
Total Debt	1.85M	2.45M	3.50M	4.56M	4.03M	5.81M
Total Liabilities	3.03M	3.87M	5.19M	6.81M	7.24M	7.31M
Stockholders Equity	2.03M	3.68M	7.52M	13.09M	29.46M	3.24M
Cash Flow
Free Cash Flow	-3.99M	-2.36M	-424.64K	-1.89M	-16.40M	-1.53M
Operating Cash Flow	-3.99M	-2.36M	-399.05K	226.95K	-3.39M	-1.10M
Investing Cash Flow	3.95M	2.37M	146.50K	-2.78M	-14.89M	-105.44K
Financing Cash Flow	-1.18M	-687.90K	-1.42M	-273.29K	24.92M	1.49M

CryptoStar Corp Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 50DMA: Negative
• 100DMA: Negative
• 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:CSTR, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.01, below the 50-day MA of 0.01, and below the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 43.40 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CSTR.

CryptoStar Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SIX	54 Neutral	C$15.09M	1.77	42.11%	―	―	33.33%
BIGG	52 Neutral	C$21.00M	-1.51	-63.28%	―	36.80%	9.34%
CSTR	40 Underperform	C$2.12M	-0.74	-108.07%	―	-90.58%	-43.16%
BTC	39 Underperform	C$4.84M	-0.84	-277.20%	―	―	-15.07%
HOLD	38 Underperform	C$11.63M	-5.02	-17.94%	―	-100.00%	-182.08%

CryptoStar Corp Corporate Events

CryptoStar Extends Private Placement to Boost Growth and Innovation

CryptoStar Corp. announced an extension to its private placement offering, aiming to raise up to $2,250,000 through the sale of units and common shares. The proceeds are intended for business operations, digital infrastructure expansion, and exploring opportunities in high-performance computing and AI data centers. This move aligns with CryptoStar’s strategy to leverage blockchain technology and AI-driven infrastructure for sustainable growth, enhancing its operational capabilities and market positioning.

CryptoStar Corp. Launches $2.25M Private Placement for Expansion

CryptoStar Corp. announced a non-brokered private placement offering of up to $2,250,000, involving insider participation. The offering consists of units and common shares priced at $0.015 each, with the proceeds intended for business operations, digital infrastructure expansion, and exploring opportunities in high-performance computing and AI data centers. This move aligns with CryptoStar’s strategy to leverage blockchain technology and AI-driven compute infrastructure, enhancing its growth and innovation potential.