Decibel Cannabis Company (DB) AI Stock Analysis

• Market Cap: $77.85M
• Dividend Yield: N/A
• Average Volume (3M): 258.21K
• Price to Earnings (P/E): 5.2
• Beta (1Y): 0.45
• Revenue Growth: -0.53%
• EPS Growth: N/A
• Country: CA
• Employees: 171
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): 0.00
• Shares Outstanding: 576,700,000
• 10 Day Avg. Volume: 297,792
• 30 Day Avg. Volume: 258,209
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.46
• Price to Sales (P/S): 0.32
• P/FCF Ratio: 9.28
• Enterprise Value/Market Cap: 1.04
• Enterprise Value/Revenue: 0.81
• Enterprise Value/Gross Profit: 2.04
• Enterprise Value/Ebitda: 3.83
• 1Y Price Target: $0.25
• Price Target Upside: 94.14% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: C$0.00 ▼(-100.00% Downside)

The stock's overall score is driven by strong technical analysis and valuation metrics. The financial performance shows solid growth potential despite some profitability challenges. The lack of earnings call and corporate events data does not impact the score significantly.

Positive Factors

Negative Factors

Decibel Cannabis Company Business Overview & Revenue Model

Company Description

Decibel Cannabis Company (DB) is a leading Canadian cannabis producer focused on cultivating high-quality cannabis products for both the recreational and medicinal markets. Operating in multiple sectors, including cultivation, processing, and retail, Decibel offers a diverse range of products, including dried flower, pre-rolls, oils, and edibles. The company is dedicated to innovation and sustainability, leveraging advanced cultivation techniques and a commitment to quality to deliver exceptional products to consumers.

How the Company Makes Money

Decibel Cannabis Company generates revenue primarily through the sale of cannabis products in both the recreational and medicinal markets. The company’s key revenue streams include wholesale distribution of its products to retailers, direct-to-consumer sales through its own retail locations, and online sales via e-commerce platforms. Additionally, Decibel has established partnerships with various distributors and retailers, enhancing its market reach and product availability. The company also benefits from economies of scale as it expands its cultivation and production capacities, allowing it to reduce costs and improve profit margins.

Decibel Cannabis Company Financial Statement Overview

Summary

Decibel Cannabis Company demonstrates solid revenue growth and improved return on equity, indicating effective management and growth potential. However, declining profit margins and low operating cash flow conversion pose challenges. The balance sheet remains stable with a manageable debt level, supporting future growth opportunities.

Income Statement

The company shows a strong revenue growth rate of 8.28% in the TTM period, indicating a positive trajectory. Gross profit margin is healthy at 39.04%, though slightly lower than the previous year. Net profit margin decreased to 8.05% from 10.23%, reflecting some pressure on profitability. EBIT and EBITDA margins have also declined, suggesting increased operational costs or pricing pressures.

Balance Sheet

The debt-to-equity ratio is stable at 0.75, indicating a balanced leverage position. Return on equity improved to 15.46%, showing effective use of equity to generate profits. The equity ratio is not provided, but the overall balance sheet reflects moderate financial stability with manageable debt levels.

Cash Flow

Free cash flow growth is impressive at 93.45%, indicating strong cash generation capabilities. However, the operating cash flow to net income ratio is low at 0.08, suggesting potential challenges in converting income into cash. The free cash flow to net income ratio is robust at 0.75, highlighting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	100.50M	92.54M	106.22M	79.33M	52.45M	29.93M
Gross Profit	39.67M	37.58M	38.77M	26.43M	28.17M	11.78M
EBITDA	21.14M	21.53M	3.25M	2.26M	9.45M	-3.82M
Net Income	8.99M	9.46M	-1.77M	-4.46M	1.74M	-9.21M
Balance Sheet
Total Assets	149.43M	151.86M	142.99M	140.88M	125.93M	88.73M
Cash, Cash Equivalents and Short-Term Investments	5.35M	7.00M	3.48M	2.97M	1.92M	3.82M
Total Debt	45.92M	48.32M	48.52M	48.39M	49.90M	43.19M
Total Liabilities	84.65M	87.14M	96.79M	93.67M	75.19M	55.30M
Stockholders Equity	64.78M	64.72M	46.20M	47.21M	50.73M	33.43M
Cash Flow
Free Cash Flow	2.69M	3.21M	4.92M	4.44M	-20.39M	-8.54M
Operating Cash Flow	4.09M	3.98M	7.08M	8.26M	-17.15M	-4.24M
Investing Cash Flow	800.00K	1.19M	-2.13M	-3.76M	-3.23M	-6.17M
Financing Cash Flow	-1.95M	-1.65M	-4.43M	-3.45M	18.47M	2.58M

Decibel Cannabis Company Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.13
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:DB, the sentiment is Neutral. The current price of 0.13 is below the 20-day moving average (MA) of 0.13, below the 50-day MA of 0.13, and above the 200-day MA of 0.09, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 47.03 is Neutral, neither overbought nor oversold. The STOCH value of 48.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:DB.

Decibel Cannabis Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DB	73 Outperform	$77.85M	5.19	22.76%	―	-0.53%	―
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
LABS	46 Neutral	$29.45M	-3.35	-19.58%	―	17.74%	37.61%
INNO	46 Neutral	C$76.48M	―	-34.90%	―	21.46%	65.70%
AVCN	45 Neutral	$28.86M	-18.28	-109.32%	―	2.00%	80.83%
IAN	43 Neutral	C$67.38M	16.67	―	―	-4.39%	―
AYR.A	40 Underperform	C$18.10M	―	―	―	0.63%	-31.86%

Decibel Cannabis Company Corporate Events

Decibel Cannabis to Release Q3 2025 Financial Results on November 19

Decibel Cannabis Company Inc. announced it will release its third quarter 2025 financial results on November 19, 2025, with a live conference call scheduled for the same day. This announcement highlights Decibel’s continued focus on transparency and engagement with stakeholders, reinforcing its position as a market leader in premium cannabis products.

The most recent analyst rating on (TSE:DB) stock is a Buy with a C$0.25 price target. To see the full list of analyst forecasts on Decibel Cannabis Company stock, see the TSE:DB Stock Forecast page.

Decibel Cannabis Reports Strong Q2 Growth and Profitability

Decibel Cannabis Company Inc. is a consumer-focused cannabis company known for its premium products, operating in the cannabis industry with a focus on innovation and quality. The company has a strong presence in Canada and is expanding its reach into global markets.

Decibel Cannabis Reports Strong Q2 2025 Growth and Profitability

Decibel Cannabis Company reported strong financial results for the second quarter of 2025, with a 35% year-over-year increase in net revenue, reaching $29.8 million. This growth was driven by the integration of AgMedica, which significantly boosted international sales, and successful marketing initiatives in Canada. The company’s gross margin improved to 47%, and adjusted EBITDA increased by 60% to $6.3 million, indicating robust operational performance. The company anticipates continued growth in the second half of 2025, with strong international demand and additional contracts expected.

The most recent analyst rating on (TSE:DB) stock is a Buy with a C$0.25 price target. To see the full list of analyst forecasts on Decibel Cannabis Company stock, see the TSE:DB Stock Forecast page.