1CM Inc (EPIC) AI Stock Analysis

• Market Cap: $25.31M
• Dividend Yield: N/A
• Average Volume (3M): 591.00
• Price to Earnings (P/E): 15.0
• Beta (1Y): 0.11
• Revenue Growth: 46.04%
• EPS Growth: N/A
• Country: CA
• Employees: N/A
• Sector: Healthcare
• Sector Strength: 47
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): <0.01
• Shares Outstanding: 117,736,940
• 10 Day Avg. Volume: 1,000
• 30 Day Avg. Volume: 591
• PEG Ratio: >-0.01
• Price to Book (P/B): 23.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.32
• 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

• Rating: 65 Neutral
• Price Target: C$0.00 ▼(-100.00%Downside)

1CM Inc's overall score is driven by strong financial performance and positive corporate events related to strategic acquisitions. However, technical analysis indicates bearish trends, and the lack of a dividend yield limits valuation appeal.

1CM Inc Business Overview & Revenue Model

Company Description

1CM Inc. operates as a multidimensional cannabis company. It focuses on retail customers and technology to democratize cannabis markets. The company was formerly known as Leviathan Natural Products Inc. and changed its name to 1CM Inc. in September 2022. 1CM Inc. is based in Markham, Canada.

How the Company Makes Money

1CM Inc generates revenue primarily through a subscription-based model, where clients pay recurring fees to access its cloud-based platforms and software solutions. This model provides a steady stream of income as businesses continue to use and depend on 1CM Inc's services for their operations. In addition to subscriptions, the company also earns money through licensing fees for its software products, offering premium features and customizations to its clients. Furthermore, 1CM Inc engages in strategic partnerships with other technology firms to enhance its product offerings and expand its market reach, contributing to its revenue growth. Consultancy services and technical support are additional revenue streams, offering tailored solutions and continuous support to ensure client satisfaction and retention.

1CM Inc Financial Statement Overview

Summary

1CM Inc is showing positive financial momentum with strong revenue and cash flow growth, signaling improved operational efficiency and market presence. The company's balance sheet is stable with low leverage, yet maintaining adequate liquidity remains crucial. Continued focus on cost management and enhancing operating margins will be key to sustaining profitability.

Income Statement

1CM Inc has demonstrated significant revenue growth with a TTM increase of 17.0% compared to the previous annual period, indicating strong market demand. The gross profit margin is robust at 17.0%, showing effective cost management. The net profit margin improved to 2.5%, reflecting enhanced profitability. However, the EBIT margin decreased to 1.6%, indicating potential cost pressures affecting operating efficiency. The EBITDA margin of 6.0% remains stable, suggesting consistent cash generation.

Balance Sheet

The balance sheet shows a strong equity position with an equity ratio of 71.2%, indicating financial stability. The debt-to-equity ratio is manageable at 0.27, reflecting low leverage and reduced financial risk. Return on equity improved to 5.8%, showcasing enhanced shareholder returns. However, the total debt remains significant relative to cash reserves, which may pose liquidity challenges in adverse conditions.

Cash Flow

1CM Inc has shown impressive growth in free cash flow, increasing to $2.93 million in the TTM period, a substantial improvement over the previous year. The operating cash flow to net income ratio is strong at 2.45, indicating efficient cash conversion. The free cash flow to net income ratio is 1.74, highlighting positive cash generation relative to earnings. However, fluctuations in capital expenditures could impact future cash flow stability.

Breakdown	TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement
Total Revenue	66.97M	57.22M	35.34M	842.49K	341.81K	72.73K
Gross Profit	11.38M	11.18M	7.61M	-428.00K	-148.00K	-1.35M
EBITDA	4.05M	2.86M	1.31M	-3.36M	-3.57M	-2.10M
Net Income	1.68M	615.91K	-914.00K	-4.73M	-4.56M	-2.82M
Balance Sheet
Total Assets	40.35M	39.87M	34.02M	28.23M	9.32M	9.88M
Cash, Cash Equivalents and Short-Term Investments	5.06M	4.97M	3.08M	2.24M	162.46K	49.84K
Total Debt	7.64M	7.85M	6.39M	11.13M	12.26M	10.13M
Total Liabilities	11.61M	12.14M	9.42M	12.85M	13.78M	11.49M
Stockholders Equity	28.74M	27.73M	24.60M	15.38M	-3.85M	-1.36M
Cash Flow
Free Cash Flow	2.93M	762.99K	-4.37M	-2.75M	-2.01M	-5.61M
Operating Cash Flow	4.12M	2.47M	-1.75M	-2.53M	-1.99M	-1.91M
Investing Cash Flow	-1.19M	-1.71M	1.33M	1.75M	-150.80K	-3.70M
Financing Cash Flow	-994.86K	1.13M	1.26M	2.85M	2.30M	4.78M

1CM Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EPIC, the sentiment is Negative. The current price of 0.22 is above the 20-day moving average (MA) of 0.21, below the 50-day MA of 0.24, and below the 200-day MA of 0.27, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 32.45 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 Negative sentiment for TSE:EPIC.

1CM Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPIC	65 Neutral	$25.31M	15.03	6.18%	―	46.04%	―
Sector *	60 Neutral	HK$15.27B	5.80	-7.43%	4.22%	11.60%	-21.06%
QNTM		$57.80M	―	-235.05%	―	―	―
ROMJF		$21.45M	―	-2.68%	―	―	―
VEXTF		$30.08M	―	-24.12%	―	―	―
VYYRF		$39.52M	―	-159.04%	―	―	―
AVCNF		$22.24M	―	-203.40%	―	―	―

1CM Inc Corporate Events

1CM Inc. Gains Court Approval for SNDL Arrangement

1CM Inc. has received court approval for its arrangement with SNDL Inc., which involves SNDL acquiring 32 cannabis retail stores in Ontario, Alberta, and Saskatchewan. The completion of this arrangement is expected in the third quarter of 2025, pending regulatory approvals, and is anticipated to impact 1CM’s operations positively by enabling further growth in the cannabis retail sector.

1CM Inc. Shareholders Approve Key Resolutions and Acquisition Plan

1CM Inc. announced the results of its annual shareholder meeting, where all proposed resolutions were approved, including the election of directors, re-appointment of auditors, and re-approval of the stock option plan. A significant development is the approved plan of arrangement for SNDL Inc. to acquire 32 cannabis retail stores, which will facilitate a return of capital to shareholders. This arrangement is subject to court and regulatory approvals, with completion expected in the third quarter of 2025. The return of capital is anticipated to be approximately half of the gross proceeds from the arrangement, contingent on its successful closing.

1CM Inc. Proceeds with Shareholder Meeting for SNDL Arrangement

1CM Inc. has announced the mailing of its management information circular for the upcoming annual and special meeting of shareholders, where they will vote on a proposed plan of arrangement with SNDL Inc. This arrangement involves SNDL acquiring 32 cannabis retail stores from 1CM for $32.2 million, pending shareholder and court approvals. The interim court order has been received, allowing the meeting to proceed, with the arrangement expected to close in the third quarter of 2025. This strategic move is anticipated to impact 1CM’s operations by focusing on future growth and expansion in the cannabis and liquor retail sectors.

SNDL Expands Canadian Retail Presence with Acquisition of 1CM Stores

SNDL Inc. has entered into an agreement to acquire 32 cannabis retail stores from 1CM Inc. for $32.2 million, expanding its retail network in Ontario, Alberta, and Saskatchewan. This acquisition will increase SNDL’s total owned and franchised cannabis retail store count to 219, reinforcing its leadership in the Canadian market. The transaction is expected to close by the end of the third quarter of 2025, pending necessary approvals. 1CM’s board has unanimously approved the agreement, viewing it as beneficial for shareholders, and plans to return a substantial portion of the sale proceeds to shareholders while using the remainder for new developments and corporate purposes.