FRNT Financial, Inc. (FRNT) AI Stock Analysis

• Market Cap: C$7.66M
• Dividend Yield: N/A
• Average Volume (3M): 29.20K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.58
• Revenue Growth: -51.53%
• EPS Growth: 3.62%
• Country: CA
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): N/A
• Shares Outstanding: 42,545,902
• 10 Day Avg. Volume: 36,850
• 30 Day Avg. Volume: 29,199
• PEG Ratio: -0.16
• Price to Book (P/B): 6.69
• Price to Sales (P/S): 22.63
• P/FCF Ratio: -5.88
• 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: C$0.18 ▼(-20.45% Downside)

The score is held down primarily by weak financial performance: persistent large losses, extremely negative margins, and ongoing free cash flow burn. Technicals are mixed with a modest near-term lift but a still-weak longer-term trend, while valuation is constrained by a negative P/E and no dividend yield provided.

Positive Factors

Institutional-focused product suite

FRNT’s product set targets institutional and professional traders, a durable market segment with higher lifetime value and stickier relationships. Institutional focus supports recurring fee and commission revenue, enables deeper integration with clients, and creates barriers to entry versus retail-only competitors.

Sharp TTM revenue growth

Rapid trailing revenue growth signals product-market fit and scalable transaction/subscription revenue potential. Sustained top-line expansion gives management runway to invest in tech and sales, enabling fixed-cost leverage and improved unit economics if revenue growth persists and cost structure is managed.

Low leverage reduces solvency risk

Very low debt affords financial flexibility to fund growth initiatives without near-term solvency pressure. This balance-sheet conservatism lowers default risk, allows opportunistic financing or strategic investments, and preserves optionality while the company works toward profitability.

Negative Factors

Extremely negative net margins

Margins this deeply negative indicate the business fails to convert revenue into sustainable profits, reflecting structural pricing or cost issues. Persistent negative margins erode equity, complicate long-term planning, and require material operational change or higher-margin revenue to become viable.

Recurring cash burn and negative FCF

Ongoing negative operating and free cash flow increases funding and dilution risk, forcing reliance on external capital to sustain operations. Over a multi-month horizon, weak cash generation constrains R&D, sales investment, and hiring, undermining the company’s ability to scale sustainably.

Negative returns on equity and persistent losses

A materially negative ROE reflects recurring net losses that erode shareholder value and signal the firm isn’t yet delivering investor returns. Long-term capital attraction becomes harder, and growth may depend on dilutive funding unless profitability or cash generation reverses.

FRNT Financial, Inc. Business Overview & Revenue Model

Company Description

FRNT Financial, Inc. (FRNT) is a financial technology company that specializes in providing innovative trading solutions and services primarily focused on the cryptocurrency and digital asset markets. The company operates within the fintech sector, offering a suite of products that includes trading platforms, liquidity solutions, and market access services tailored for institutional clients and professional traders. By leveraging advanced technology and a deep understanding of the digital asset landscape, FRNT aims to enhance trading efficiency and accessibility for its users.

How the Company Makes Money

FRNT generates revenue through several key streams, including transaction fees charged on trades executed via its platform, subscription fees for premium services and tools, and commissions from liquidity provision. Additionally, the company may establish significant partnerships with other financial institutions and trading firms to expand its market reach and enhance its trading offerings. These collaborations often result in shared revenue opportunities and increased liquidity, further bolstering FRNT's earnings potential.

FRNT Financial, Inc. Financial Statement Overview

Summary

Despite sharp TTM revenue growth (+184.6%), the company continues to post very large losses (TTM net margin around -357%) and negative cash generation (TTM operating cash flow and free cash flow about -$2.8M). Low leverage (debt-to-equity ~0.08) helps reduce solvency risk, but persistently negative returns (ROE around -0.80) and ongoing cash burn dominate the financial profile.

Income Statement

TTM (Trailing-Twelve-Months) revenue increased sharply (+184.6%), but profitability remains very weak with deeply negative gross profit and large operating losses. Net losses are persistent across all periods, and margins are substantially negative (TTM net margin around -357%), indicating the business has not yet demonstrated a sustainable earnings model despite top-line volatility/growth.

Balance Sheet

Leverage is low (TTM debt-to-equity ~0.08), which reduces balance-sheet risk and provides some financial flexibility. However, returns remain meaningfully negative (TTM return on equity around -0.80), reflecting ongoing losses that erode shareholder value and offset the benefit of modest debt levels.

Cash Flow

Cash generation is weak, with TTM operating cash flow and free cash flow both materially negative (about -$2.8M), and free cash flow deterioration versus the prior annual period. While free cash flow tracks net income closely (losses translating into cash burn rather than accounting-only losses), the recurring negative cash flow profile increases funding and dilution risk if conditions don’t improve.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	765.12K	751.25K	1.56M	438.50K	292.98K	109.69K
Gross Profit	-98.68K	661.08K	496.06K	-911.09K	-714.27K	-377.35K
EBITDA	-2.65M	-2.84M	-1.90M	-2.68M	-2.65M	-2.05M
Net Income	-2.73M	-2.91M	-2.02M	-2.81M	-2.73M	-2.07M
Balance Sheet
Total Assets	4.44M	2.90M	5.53M	6.38M	8.64M	5.50M
Cash, Cash Equivalents and Short-Term Investments	2.92M	2.38M	4.73M	4.84M	5.11M	5.43M
Total Debt	313.92K	23.10K	95.16K	447.69K	505.46K	254.65K
Total Liabilities	586.82K	357.92K	487.65K	765.58K	768.99K	577.21K
Stockholders Equity	3.85M	2.54M	5.05M	5.62M	7.87M	4.93M
Cash Flow
Free Cash Flow	-2.80M	-2.89M	-2.42M	-2.76M	-3.27M	-786.52K
Operating Cash Flow	-2.77M	-2.89M	-2.42M	-2.75M	-3.24M	-777.36K
Investing Cash Flow	1.08M	1.81M	2.72M	-134.84K	145.70K	-2.01M
Financing Cash Flow	1.81M	-72.07K	804.43K	-74.66K	5.00M	3.64M

FRNT Financial, Inc. Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:FRNT, the sentiment is Negative. The current price of 0.22 is above the 20-day moving average (MA) of 0.20, above the 50-day MA of 0.22, and below the 200-day MA of 0.35, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 40.79 is Neutral, neither overbought nor oversold. The STOCH value of 9.52 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:FRNT.

FRNT Financial, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BIGG	52 Neutral	C$22.76M	-1.63	-63.28%	―	36.80%	9.34%
DMGI	52 Neutral	C$53.58M	-5.02	-10.10%	―	39.64%	-70.96%
DEFI	45 Neutral	C$86.46M	-2.96	-90.12%	―	972.76%	-192.94%
DELX	45 Neutral	C$12.91M	-4.88	―	―	―	51.76%
FRNT	44 Neutral	C$7.66M	-2.41	-66.57%	―	-51.53%	3.62%
BTCW	44 Neutral	C$34.91M	-1.87	―	―	72.86%	-2.13%

FRNT Financial, Inc. Corporate Events

FRNT Financial Elevates Former President Dave Washburn to Vice Chairman Role

FRNT Financial Inc. has appointed former president Dave Washburn as non-executive vice chairman, effective December 31, 2025, shifting him into a strategic role focused on monetizing merchant banking mandates while the existing executive team continues to drive the company’s next phase of growth. The move underscores FRNT’s effort to deepen its institutional digital asset offering and strengthen its leadership bench at a time when the firm is targeting expansion across capital markets and advisory services for institutional clients.

The most recent analyst rating on (TSE:FRNT) stock is a Hold with a C$0.20 price target. To see the full list of analyst forecasts on FRNT Financial, Inc. stock, see the TSE:FRNT Stock Forecast page.

FRNT Financial Announces AGM Voting Results and Stock Option Plan Approval

FRNT Financial Inc. announced the results of its Annual General and Special Meeting, where all proposed matters were approved, including the re-election of its board of directors and the re-appointment of Baker Tilly WM LLP as auditors. Additionally, the company’s 20% fixed stock option plan was approved, increasing the shares reserved for issuance to 8,509,180, which could enhance its financial flexibility and stakeholder engagement.

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