Eastwood Bio-Medical Canada (EBM) AI Stock Analysis

• Market Cap: C$50.98M
• Dividend Yield: N/A
• Average Volume (3M): 3.49K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.86
• Revenue Growth: -9.02%
• EPS Growth: 14.29%
• Country: CA
• Employees: N/A
• Sector: Healthcare
• Sector Strength: 45
• Industry: Food Distribution
• EPS (TTM): >-0.01
• Shares Outstanding: 68,885,970
• 10 Day Avg. Volume: 3,055
• 30 Day Avg. Volume: 3,488
• PEG Ratio: 9.00
• Price to Book (P/B): -52.06
• Price to Sales (P/S): 96.16
• P/FCF Ratio: -4.44K
• 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: 44 Neutral
• Price Target: ―

Eastwood Bio-Medical Canada faces significant financial challenges, including declining revenues, high leverage, and negative equity, severely impacting its overall score. While short-term technical indicators show some positive momentum, the long-term outlook remains bearish. The company's negative valuation metrics, such as a negative P/E ratio, further weigh down the score. Strategic financial adjustments are crucial for improvement.

Positive Factors

Product Portfolio

EBM's focus on natural health products and herbal remedies positions it well in the growing health and wellness industry, appealing to consumers seeking alternative health solutions.

Gross Profit Margin

A strong gross profit margin indicates efficient production and pricing strategies, allowing EBM to maintain profitability on core products despite other financial challenges.

Operational Adjustments

Recent operational adjustments have led to a slight improvement in free cash flow, suggesting management's efforts to enhance financial efficiency and cash generation.

Negative Factors

Declining Revenues

Significant revenue decline indicates challenges in maintaining sales growth, which could impact market position and long-term business sustainability.

High Leverage

High leverage and negative equity highlight financial instability, limiting EBM's ability to invest in growth opportunities and increasing financial risk.

Negative Cash Flow

Negative cash flow constrains EBM's operational flexibility and ability to fund new initiatives, posing a risk to long-term financial health.

Eastwood Bio-Medical Canada Business Overview & Revenue Model

Company Description

Eastwood Bio-Medical Canada Inc. markets and distributes natural health products under the Eleotin brand in Canada, the United States, and Asia. It distributes Eleotin that provide natural remedies for metabolic disorders, such as blood glucose disorders, hypertension, and obesity. The company's licensed products include Eleotin A 700 for the treatment for spleen deficiency, lack of appetite, and fatigue; Eleotin AL88 for laxative; Eleotin Cal20 for bone and teeth maintenance; Eleotin V3D for development and maintenance of bones, teeth, and good health; Eleotin G2000 for cardiovascular health; Eleotin H55 for sedative and tension relief; and Eleotin Zn330 for tissue formation and metabolism. Its products also include Eleotin Bentley to promote healthy glucose levels; and Eleotin LBM for hypertension relief. The company was incorporated in 2010 and is based in Richmond, Canada.

How the Company Makes Money

EBM makes money primarily through the sale of its health products, including dietary supplements and herbal remedies. These products are distributed through various channels, including direct sales, partnerships with health retailers, and online marketplaces. The company may also engage in collaborations and partnerships with other health and wellness entities to expand its market reach. Additionally, EBM's revenue streams could include private labeling or contract manufacturing services, where they produce products for other brands using their expertise in natural health products. Key factors contributing to EBM's earnings include consumer demand for natural and alternative health solutions, regulatory compliance, and effective marketing strategies aimed at promoting the benefits of their products.

Eastwood Bio-Medical Canada Financial Statement Overview

Summary

Eastwood Bio-Medical Canada is in a challenging financial position with significant profitability and solvency issues. The company is experiencing declining revenues and high leverage, leading to negative equity. Cash flow remains constrained, with limited operational cash generation. Immediate strategic changes are necessary to improve financial health and sustainability.

Income Statement

The company is facing significant challenges in profitability with negative EBIT and net profit margins. The gross profit margin is relatively strong at 62.4% for TTM, but the net profit margin is severely negative at -61.9%. Revenue has been declining, evidenced by a -44.9% decrease from 2022 to 2023 and a further slight decline in TTM, indicating potential difficulty in maintaining sales growth.

Balance Sheet

The balance sheet shows a highly leveraged position with negative stockholders' equity of -$1.34 million and a total liabilities position of $1.54 million, resulting in a negative equity ratio. The debt-to-equity ratio is not calculable due to negative equity, highlighting financial instability and potential solvency issues.

Cash Flow

Cash flow is under strain with negative operating and free cash flows. The operating cash flow to net income ratio is not favorable, and there's an observable negative trend in free cash flow growth. However, there is a slight improvement in free cash flow from 2024 to TTM, suggesting some small operational adjustments.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	594.57K	702.08K	867.94K	1.30M	981.05K	718.34K
Gross Profit	379.97K	454.39K	440.51K	902.74K	458.37K	213.31K
EBITDA	-331.69K	-342.05K	-410.58K	-32.33K	-495.50K	-744.32K
Net Income	-411.84K	-455.87K	-546.60K	-160.58K	-611.34K	-860.03K
Balance Sheet
Total Assets	216.75K	274.29K	489.14K	584.53K	691.12K	933.38K
Cash, Cash Equivalents and Short-Term Investments	22.03K	0.00	18.45K	39.84K	20.87K	122.66K
Total Debt	71.33K	79.61K	23.08K	62.25K	31.35K	23.21K
Total Liabilities	1.77M	1.57M	1.33M	878.73K	835.44K	474.10K
Stockholders Equity	-1.55M	-1.30M	-840.80K	-294.20K	-144.32K	459.27K
Cash Flow
Free Cash Flow	21.04K	-15.22K	-16.89K	-7.30K	-121.79K	-542.69K
Operating Cash Flow	21.05K	-15.22K	-16.89K	-4.29K	-116.21K	-542.69K
Investing Cash Flow	0.00	0.00	0.00	-3.00K	-5.57K	0.00
Financing Cash Flow	-13.42K	-4.62K	-4.50K	26.27K	20.00K	40.00K

Eastwood Bio-Medical Canada Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.74
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EBM, the sentiment is Neutral. The current price of 0.74 is below the 20-day moving average (MA) of 0.91, below the 50-day MA of 0.79, and above the 200-day MA of 0.51, indicating a neutral trend. The MACD of -0.01 indicates Positive momentum. The RSI at 38.51 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 Neutral sentiment for TSE:EBM.

Eastwood Bio-Medical Canada Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ADK	52 Neutral	C$35.65M	-7.34	―	―	-48.53%	-9.66%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
ATLE	50 Neutral	C$56.36M	-2.79	-19.76%	―	26.91%	81.01%
EBM	44 Neutral	C$50.98M	-123.33	―	―	-9.02%	14.29%
SONA	40 Underperform	C$51.98M	-16.20	-2846.90%	―	―	10.97%
ARCH	26 Underperform	C$81.97M	-33.79	―	―	―	10.49%