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Ecolomondo Corporation (TSE:ECM)
:ECM
Canadian Market

Ecolomondo Corporation (ECM) AI Stock Analysis

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TSE:ECM

Ecolomondo Corporation

(ECM)

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Neutral 41 (OpenAI - 5.2)
Rating:41Neutral
Price Target:
C$0.16
▼(-12.22% Downside)
Ecolomondo Corporation's overall stock score is primarily impacted by its financial performance, which is the most significant factor. The company's financial health is weak, with high debt levels and negative profitability metrics. Technical analysis further supports a bearish outlook, with the stock trading below key moving averages. Valuation metrics are also unfavorable, reflecting the company's ongoing financial difficulties. Without earnings call insights or notable corporate events, the score is heavily weighted by these existing challenges.
Positive Factors
Revenue Growth
TTM revenue growth of ~29% shows the business is expanding sales and gaining commercial traction for its recycled outputs. Durable demand for carbon black, oil and steel from industrial users and municipal contracts supports sustained top-line growth as operations scale.
Operating Cash Generation
Positive operating cash flow and a 0.41 conversion ratio indicate the core recycling operations can generate cash from reported earnings. This operational cash generation provides a foundation to fund working capital and incremental investment, improving durability versus pure accrual profits.
Business Model & Structural Tailwinds
A diversified revenue mix from carbon black, oil and steel aligns with circular economy trends and regulatory pushes for sustainability. Structural demand for recycled feedstocks and municipal waste management contracts supports durable market opportunities and strategic partnerships over several years.
Negative Factors
Leverage and Solvency Risk
An extremely high debt-to-equity ratio and negative shareholders' equity signal heavy reliance on debt and potential solvency weaknesses. This capital structure raises refinancing, interest burden and covenant risks, constraining long-term investment flexibility and operational resilience.
Profitability Deficit
Deeply negative EBIT and net margins reflect structural cost inefficiencies or underutilized capacity relative to revenue. Unless margins improve through scale, feedstock optimization or cost controls, persistent losses undermine the firm's ability to generate sustainable returns and reinvest in growth.
Negative Free Cash Flow
Negative free cash flow and steep FCF contraction indicate the company struggles to cover capex from operating cash, forcing reliance on external financing. Over time this exacerbates leverage, limits self-funded expansion and raises execution risk for planned commercial rollouts.

Ecolomondo Corporation (ECM) vs. iShares MSCI Canada ETF (EWC)

Ecolomondo Corporation Business Overview & Revenue Model

Company DescriptionEcolomondo Corporation operates as a clean tech company in Canada. The company focuses on commercialization and implementation of thermal decomposition process using a pyrolysis platform that converts hydrocarbon waste into marketable commodity end-products, including carbon black substitute, oil, gas, and steel. It serves municipal waste facilities, landfill operators, licensees, entrepreneurs, waste processors, and recyclers. The company is headquartered in Saint-Laurent, Canada.
How the Company Makes MoneyEcolomondo generates revenue through multiple streams associated with its recycling operations. The primary revenue source comes from the sale of the end products derived from the recycling process, including carbon black, which is used in various industrial applications, oil, which can be refined into fuels, and steel, which can be sold to metal manufacturers. Additionally, the company may benefit from contracts with municipalities and industries for waste tire collection and processing services. Strategic partnerships with other firms in the environmental sector can also enhance its market reach and operational efficiency, further contributing to its earnings. The growing emphasis on sustainable practices and the increasing demand for recycled materials in various industries provide a favorable market environment that supports Ecolomondo's revenue generation efforts.

Ecolomondo Corporation Financial Statement Overview

Summary
Ecolomondo Corporation shows strong revenue growth but struggles with profitability and financial stability. High leverage and negative profit margins are significant concerns, while cash flow generation shows some positive trends.
Income Statement
Ecolomondo Corporation's income statement shows a significant improvement in revenue growth, with a TTM revenue growth rate of 18.58%. However, the company is struggling with profitability, as evidenced by negative net profit and EBIT margins. The gross profit margin is strong at 68.77%, but the high operating losses indicate challenges in managing operational costs effectively.
Balance Sheet
The balance sheet reveals a high debt-to-equity ratio of 29.34, indicating significant leverage, which poses a financial risk. The return on equity is negative, reflecting ongoing losses. The equity ratio is low, suggesting limited equity financing. These factors highlight financial instability and potential liquidity concerns.
Cash Flow
Cash flow analysis shows a positive operating cash flow, but free cash flow remains negative, albeit with some growth. The operating cash flow to net income ratio is positive, indicating some ability to generate cash from operations despite net losses. However, the negative free cash flow to net income ratio suggests challenges in covering net losses with free cash flow.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.07M612.28K196.73K54.23K19.62K46.62K
Gross Profit938.58K74.16K196.73K54.23K19.62K-655.00K
EBITDA-532.68K-2.48M-3.57M-405.00K-28.15K-1.15M
Net Income-2.34M-4.01M-4.72M-1.04M-650.00K-1.83M
Balance Sheet
Total Assets53.20M49.68M45.19M43.96M41.59M31.02M
Cash, Cash Equivalents and Short-Term Investments53.66K119.33K88.27K105.27K4.40M3.96M
Total Debt46.23M43.05M36.97M33.89M31.90M22.45M
Total Liabilities53.40M49.78M45.71M41.35M38.94M30.35M
Stockholders Equity-204.92K-100.72K-523.92K2.61M2.65M667.82K
Cash Flow
Free Cash Flow-1.25M-1.51M-2.86M-5.16M-12.81M-18.66M
Operating Cash Flow3.46M2.85M-1.05M-45.11K-1.48M-1.92M
Investing Cash Flow-4.71M-4.36M-1.81M-5.12M-11.18M-16.74M
Financing Cash Flow280.35K1.54M2.85M864.53K13.26M17.13M

Ecolomondo Corporation Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.18
Price Trends
50DMA
0.18
Negative
100DMA
0.19
Negative
200DMA
0.19
Negative
Market Momentum
MACD
>-0.01
Negative
RSI
48.75
Neutral
STOCH
83.33
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ECM, the sentiment is Negative. The current price of 0.18 is below the 20-day moving average (MA) of 0.18, below the 50-day MA of 0.18, and below the 200-day MA of 0.19, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 48.75 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ECM.

Ecolomondo Corporation Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
86
Outperform
C$46.25M14.7169.72%3.74%45.73%30.99%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
54
Neutral
C$82.81M-120.97-3.01%63.49%-133.70%
48
Neutral
C$42.56M-4.10-419.23%-27.40%23.40%
44
Neutral
C$14.78M-0.28-352.14%-72.78%
41
Neutral
C$45.36M-16.82-1787.47%135.68%68.99%
41
Neutral
C$34.17M-2.2312.06%-52.13%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:ECM
Ecolomondo Corporation
0.18
0.04
33.33%
TSE:BLM
BluMetric Environmental
1.50
0.50
50.00%
TSE:CMC
Cielo Waste Solutions
0.09
-0.01
-10.00%
TSE:VCI
Vitreous Glass
7.29
2.53
53.15%
TSE:YES
CHAR Technologies
0.30
0.12
73.53%
TSE:ROOF
Northstar Clean Technologies
0.22
-0.16
-42.67%

Ecolomondo Corporation Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Ecolomondo Secures Additional $2.7 Million Financing to Accelerate Hawkesbury Tire-Recycling Ramp-Up
Positive
Jan 12, 2026

Ecolomondo Corporation has reached an agreement in principle with Export Development Canada for an additional $2.7 million in financing to support capital investments and working capital at its Hawkesbury TDP tire-recycling facility. The funding, combined with a temporary holiday on principal and interest for existing loans during the 2026 ramp-up period, is expected to strengthen the facility’s liquidity, support increased hiring, training and production, and help the plant move toward full operational ramp-up, reinforcing Ecolomondo’s positioning as a growing player in sustainable scrap tire recycling and the broader circular economy.

The most recent analyst rating on (TSE:ECM) stock is a Sell with a C$0.16 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and Strategy
Ecolomondo Secures Tire Feedstock for Major Texas Recycling Expansion
Positive
Dec 22, 2025

Ecolomondo Corporation has secured sufficient feedstock supply for its planned six‑reactor TDP facility in Shamrock, Texas, which is expected to be three times larger than its Hawkesbury plant and one of the largest scrap tire pyrolysis operations in North America. Backed by letters of intent with tire retailers and municipalities for end-of-life tires and the prospect of tipping-fee revenues, the Shamrock project is set to leverage Ecolomondo’s modular technology to reduce capital costs, shorten lead times and lower execution risk, reinforcing the company’s growth ambitions in sustainable tire recycling and expanding its capacity to generate revenue from recovered products and significant CO2 emissions reductions.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.17 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresProduct-Related Announcements
Ecolomondo Boosts Production at Hawkesbury Facility Amid Growing Demand
Positive
Dec 15, 2025

Ecolomondo Corporation has announced a significant increase in production at its Hawkesbury facility, with notable rises in the output of recovered carbon black (rCB) and tire-derived oil (TDO) during October and November 2025. This increase in production has led to substantial sales growth, with rCB sales reaching $184,291 and TDO sales totaling $180,221 for the period. Despite these gains, the company is still operating at a loss due to the facility’s ramp-up phase. The company is also planning upgrades to its tire shredding department to further boost efficiency and output. These developments are expected to enhance Ecolomondo’s market position and fulfill growing demand from major customers, signaling a positive trajectory for the company’s future operations.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.17 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and StrategyPrivate Placements and Financing
Ecolomondo Corporation Issues Stock Options and Highlights Promising Future
Positive
Dec 12, 2025

Ecolomondo Corporation has issued stock options to employees, board members, and consultants, allowing them to purchase 1,930,000 common shares at an exercise price of $0.20 per share over ten years. This move recognizes their contributions to the company’s success and the Hawkesbury plant’s achievements. Additionally, a recent webinar highlighted Ecolomondo’s promising future, with strategic initiatives such as a joint venture with Aresol Renewables and growing demand for recovered carbon black, positioning the company for long-term growth and value creation.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.17 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Ecolomondo Boosts Production and Secures EU Expansion
Positive
Nov 28, 2025

Ecolomondo Corporation reported significant progress in the third quarter of 2025, with increased production and sales at its Hawkesbury TDP facility, marking a 2690% rise in recovered carbon black sales compared to the previous year. The company also secured a joint venture with ARESOL to build four TDP facilities in the EU, enhancing its market position in sustainable recycling technology.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Ecolomondo Reaches Key Milestone in TDP Facility Ramp-Up
Positive
Nov 25, 2025

Ecolomondo Corporation has achieved a significant milestone by performing four TDP batches in one day at its Hawkesbury facility, marking progress in its ramp-up schedule. This achievement highlights the facility’s capability to process 15,000 lbs of crumb rubber per batch, utilizing new automation technology to produce high-quality end-products. Despite operating at a loss due to the ongoing ramp-up phase, the company is on a positive trajectory with plans for full operational ramp-up by July 2026, driven by strategic initiatives and growing demand for its products.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and Strategy
Ecolomondo Boosts Production at Hawkesbury Facility Amid Strategic Growth
Neutral
Nov 19, 2025

Ecolomondo Corporation has announced a steady increase in production at its Hawkesbury TDP facility, marking significant progress in its ramp-up phase. The facility achieved new production highs in October 2025, processing more batches and increasing the output of recovered carbon black and oil. Despite these advancements, the company continues to operate at a loss due to the ongoing ramp-up phase. A recent webinar highlighted Ecolomondo’s strategic initiatives, including a joint venture with Aresol Renewables and a growing demand for its products, indicating a promising future trajectory for the company.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and Strategy
Ecolomondo Expands into Europe with Aresol Joint Venture
Positive
Oct 20, 2025

Ecolomondo Corporation has entered into a joint venture with Aresol Renovables to establish its European subsidiary, Ecolomondo EU, which will oversee the development of four tire pyrolysis plants in the European Union. This strategic alliance aims to deploy Ecolomondo’s TDP technology, recognized for its efficiency and environmental benefits, to improve tire waste management in Europe amid increasing environmental restrictions. The first plant will be located in Valencia, Spain, with the locations of the other three to be determined based on various strategic factors.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Business Operations and StrategyExecutive/Board Changes
Ecolomondo Appoints New CTO to Drive Technological Growth
Positive
Oct 14, 2025

Ecolomondo Corporation has appointed Mario Mantaci as Chief Technology Officer to oversee technology development and optimization, particularly focusing on the ramp-up of its Hawkesbury TDP facility. Mantaci’s extensive experience in engineering and leadership roles across various industries is expected to drive Ecolomondo’s technological and operational growth, enhancing its industry positioning and stakeholder value.

The most recent analyst rating on (TSE:ECM) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Ecolomondo Corporation stock, see the TSE:ECM Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 11, 2025