Emerge Commerce Ltd (TSE:ECOM)
:ECOM
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Emerge Commerce Ltd
(ECOM)
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Rating:57Neutral
Price Target:
C$0.15
▲(11.54% Upside)
Action:ReiteratedDate:12/18/25
The overall stock score for Emerge Commerce Ltd is driven primarily by its technical analysis, which indicates positive momentum. However, financial performance is a concern due to low profitability and financial instability. The valuation is also relatively high, which could deter value investors.
Positive Factors
DTC portfolio & data-driven model
Emerge's strategy of acquiring and scaling direct-to-consumer brands across health, lifestyle and household verticals, combined with explicit use of technology and data analytics, creates durable competitive advantages in customer acquisition, margin optimization and repeat revenue generation over the medium term.
Negative Factors
Negative shareholder equity
Material negative equity signals accumulated losses or liabilities exceeding assets, constraining access to capital and limiting the balance sheet's shock-absorbing capacity. Over the medium term this raises refinancing and solvency risk and may force recapitalization or restrictive financing terms.
Read all positive and negative factors
Positive Factors
Negative Factors
DTC portfolio & data-driven model
Emerge's strategy of acquiring and scaling direct-to-consumer brands across health, lifestyle and household verticals, combined with explicit use of technology and data analytics, creates durable competitive advantages in customer acquisition, margin optimization and repeat revenue generation over the medium term.
Read all positive factors
Emerge Commerce Ltd (ECOM) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$14.20M
Dividend YieldN/A
Average Volume (3M)166.88K
Price to Earnings (P/E)106.1
Beta (1Y)0.92
Revenue Growth24.43%
EPS GrowthN/A
CountryCA
Employees120
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)0.00
Shares Outstanding149,474,580
10 Day Avg. Volume115,498
30 Day Avg. Volume166,883
Financial Highlights & Ratios
PEG Ratio0.07
Price to Book (P/B)-0.82
Price to Sales (P/S)0.36
P/FCF Ratio57.27
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Emerge Commerce Ltd Business Overview & Revenue Model
Company Description
Emerge Commerce Ltd (ECOM) is a Canadian online commerce company that specializes in the acquisition and growth of direct-to-consumer brands in the e-commerce sector. ECOM operates across various verticals, including health and wellness, lifestyle...
How the Company Makes Money
Emerge Commerce Ltd generates revenue primarily through the sale of products across its owned e-commerce brands. The company's revenue model includes direct sales from its online platforms, subscription services, and potentially affiliate marketin...
Emerge Commerce Ltd Earnings Call Summary
Earnings Call Date:Nov 28, 2024
(Q3-2024)
| % Change Since: |
Next Earnings Date:May 04, 2026
Earnings Call Sentiment Positive
The earnings call highlighted significant positive trends in GMS growth, revenue increase, and improved profitability metrics, complemented by a strong debt reduction strategy. However, the continued negative adjusted EBITDA and net loss from operations indicate areas needing further improvement. Overall, the positive aspects and strategic shifts outweigh the negatives.Positive Updates
Gross Merchandise Sales (GMS) Growth
GMS accelerated to 10% organic growth year-over-year, reaching $7.4 million in Q3 2024 compared to $6.8 million in Q3 2023.
Negative Updates
Adjusted EBITDA Still Negative
Despite improvements, adjusted EBITDA remains negative at $280,000 for Q3 2024.
Read all updates
Q3-2024 Updates
Positive
Negative
Gross Merchandise Sales (GMS) Growth
GMS accelerated to 10% organic growth year-over-year, reaching $7.4 million in Q3 2024 compared to $6.8 million in Q3 2023.
Read all positive updates
Company Guidance
During the Q3 2024 earnings call for EMERGE Commerce, CEO Ghassan Halazon and CFO Kyle Burt-Gerrans provided a comprehensive overview of the company's financial performance and strategic direction. Key highlights included a 10% increase in gross merchandise sales (GMS) year-over-year, reaching $7.4 million, and a 5% rise in revenue to $4.6 million. Excluding the Carnivore Club, revenue grew by 8%. The company reported a gross profit increase of over 6% to $1.8 million, with gross margins improving to 39.3%. Adjusted EBITDA losses were reduced by approximately half compared to the previous year, coming in at negative $280,000. Additionally, EMERGE achieved significant debt reduction, bringing net debt down to $5.5 million after a $10 million debt paydown. The company also implemented cost reductions expected to yield $500,000 in annual savings, which will be fully realized in 2025. These efforts underscore EMERGE's focus on organic growth, operational efficiency, and enhanced profitability as they transition into the new year.Emerge Commerce Ltd Financial Statement Overview
Summary
Income Statement
45
Neutral
Balance Sheet
30
Negative
Cash Flow
55
Neutral
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 26.15M | 20.42M | 23.83M | 58.17M | 34.83M | 9.20M |
| Gross Profit | 9.46M | 8.25M | 11.88M | 23.79M | 15.11M | 7.17M |
| EBITDA | 2.89M | 908.43K | -15.66M | -4.50M | -1.16M | -1.03M |
| Net Income | 917.36K | -1.03M | -21.26M | -17.38M | -6.56M | -4.43M |
Balance Sheet | ||||||
| Total Assets | 11.13M | 7.80M | 22.99M | 59.75M | 80.28M | 43.46M |
| Cash, Cash Equivalents and Short-Term Investments | 4.30M | 3.16M | 2.54M | 5.88M | 7.77M | 12.39M |
| Total Debt | 7.72M | 6.96M | 18.25M | 25.98M | 24.50M | 7.68M |
| Total Liabilities | 18.71M | 16.63M | 32.86M | 49.63M | 53.27M | 25.38M |
| Stockholders Equity | -7.58M | -8.83M | -9.87M | 10.11M | 27.00M | 18.07M |
Cash Flow | ||||||
| Free Cash Flow | 2.97M | 127.02K | 2.02M | 1.02M | -3.47M | -254.43K |
| Operating Cash Flow | 2.97M | 129.33K | 2.03M | 1.06M | -3.43M | -186.11K |
| Investing Cash Flow | 230.63K | 11.73M | 7.10M | -44.60K | -27.34M | -5.61M |
| Financing Cash Flow | -905.33K | -11.42M | -9.55M | -3.09M | 26.18M | 9.54M |
Emerge Commerce Ltd Technical Analysis
Positive
0.13
Price Trends
0.11
Negative
0.11
Negative
0.10
Positive
Market Momentum
>-0.01
Negative
49.83
Neutral
66.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ECOM, the sentiment is Positive. The current price of 0.13 is above the 20-day moving average (MA) of 0.10, above the 50-day MA of 0.11, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 49.83 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ECOM.
Emerge Commerce Ltd Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
67 Neutral | C$71.92B | 15.86 | 17.36% | 1.08% | 2.25% | 4.76% | |
67 Neutral | C$1.84B | 12.20 | 13.08% | 3.11% | 1.99% | 31.36% | |
64 Neutral | C$500.97M | 188.91 | 9.68% | ― | 32.31% | ― | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
57 Neutral | C$14.20M | 106.09 | ― | ― | 24.43% | ― | |
57 Neutral | C$1.41B | 19.75 | 106.59% | 1.72% | 5.09% | 14.05% | |
55 Neutral | C$10.38B | 16.32 | 13.16% | 3.17% | -0.13% | 13.73% |
* Consumer Cyclical Sector Average
TSE:ECOM
Emerge Commerce Ltd
0.10
0.06
137.50%
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Emerge Commerce Ltd Corporate Events
Business Operations and Strategy
Emerge CEO Outlines New Strategic Phase in Shareholder Letter
Positive
Jan 5, 2026
Emerge Commerce Ltd. announced that founder and CEO Ghassan Halazon has issued a shareholder letter titled “Re-EMERGE: Reflections and the Road Ahead,” offering a frank assessment of the company’s evolution as a public entity and...
Business Operations and StrategyFinancial Disclosures
EMERGE Commerce Ltd. Achieves Record B2B Sales in Q4 2025
Positive
Dec 11, 2025
EMERGE Commerce Ltd. announced a record $1 million in B2B sales for Q4 2025, nearly doubling the $500,000 achieved in Q4 2024. This milestone, primarily driven by corporate holiday gifting and wholesale orders, marks the first time the companyR...
Business Operations and StrategyFinancial Disclosures
Emerge Commerce Ltd Reports Robust Q3 2025 Financial Results
Positive
Nov 26, 2025
Emerge Commerce Ltd reported a strong financial performance for Q3 2025, with a 58% increase in revenue and a significant improvement in adjusted EBITDA. The company also saw a substantial rise in its cash position, reflecting its disciplined appr...
Business Operations and StrategyFinancial Disclosures
EMERGE Commerce Ltd. Reports Strong Q3 2025 Financial Results with 58% Revenue Growth
Positive
Nov 26, 2025
EMERGE Commerce Ltd. reported a robust financial performance for Q3 2025, with a 58% year-over-year revenue increase to $7.0 million and a significant improvement in adjusted EBITDA to $261,000. The company also saw a substantial rise in its cash ...
Financial Disclosures
EMERGE Commerce Ltd. to Announce Q3 2025 Financial Results
Neutral
Nov 17, 2025
EMERGE Commerce Ltd. announced it will release its third quarter 2025 financial results on November 26, 2025, before the market opens. The company will also host a conference call on the same day to discuss these results, potentially impacting sta...
Business Operations and StrategyFinancial Disclosures
EMERGE Commerce Ltd. Reports Strong Q3 2025 Financial Growth
Positive
Oct 22, 2025
EMERGE Commerce Ltd. reported strong preliminary financial results for Q3 2025, showcasing a 58% year-over-year increase in revenue to $7.0 million and a significant improvement in Adjusted EBITDA, expected to be between $200K and $250K. The compa...
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.