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Firan Tech (TSE:FTG)
TSX:FTG
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Firan Tech (FTG) AI Stock Analysis

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TSE:FTG

Firan Tech

(TSX:FTG)

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Outperform 72 (OpenAI - 5.2)
Rating:72Outperform
Price Target:
C$27.00
▲(27.66% Upside)
Action:Reiterated
Date:07/10/26
The score is driven primarily by solid financial performance (growth with improved profitability and a strengthening balance sheet) and supportive technicals (strong uptrend with positive momentum). These positives are partially offset by demanding valuation (high P/E) and execution risks highlighted on the earnings call (tariffs/input costs, operational disruptions, working-capital needs, and backlog-to-revenue timing).
Positive Factors
Strong bookings and backlog
A large, growing backlog and exceptionally strong bookings provide multi-quarter revenue visibility and underwriting for planned capacity additions. A 1.64:1 book-to-bill and backlog skewed to convert (~66% in 12 months) supports sustained revenue growth and planning for production investments over the next 2–6 months.
Negative Factors
Tariff and input-cost inflation
Rising tariffs and supply-chain cost inflation are structural headwinds that compress margins unless fully passed to customers. Given limited pass-through success and material near-term impact, sustained cost pressure could erode margin gains and require ongoing pricing, sourcing, or footprint changes.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong bookings and backlog
A large, growing backlog and exceptionally strong bookings provide multi-quarter revenue visibility and underwriting for planned capacity additions. A 1.64:1 book-to-bill and backlog skewed to convert (~66% in 12 months) supports sustained revenue growth and planning for production investments over the next 2–6 months.
Read all positive factors

Firan Tech (FTG) vs. iShares MSCI Canada ETF (EWC)

Firan Tech Business Overview & Revenue Model

Company Description
Firan Technology Group Corporation specializes in the manufacturing and sale of critical electronic components, including printed circuit boards (PCBs), illuminated cockpit display panels, and specialized keyboards. Its diverse market footprint sp...
How the Company Makes Money
FTG makes money primarily by selling high-reliability printed circuit boards and related electronics manufacturing products/services to commercial and government customers, especially in aerospace, defense, and avionics supply chains. Its revenue ...

Firan Tech Earnings Call Summary

Earnings Call Date:Jul 08, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 14, 2026
Earnings Call Sentiment Positive
The call presented a strong positive operational and financial backdrop: record bookings (up 89%), record backlog (+30%), improving margins, positive free cash flow and reduced net debt. Management also highlighted meaningful wins in aerospace and defense (including two large classified programs) and strategic actions to diversify geographically (India facility, moving work outside the U.S.). Notable challenges were repeated — tariff-driven input-cost inflation, site-specific operational disruptions (Toronto, Minnetonka), shipping incidents on the C919 program, regional softness in Europe and timing uncertainty on ramping classified program revenue. Working capital metrics and SG&A rose modestly, and certification/staffing timelines (Hyderabad, customer approvals) present short-term execution risk. Overall, the positives (record financials, bookings, backlog, margin expansion, liquidity) materially outweigh the operational and market headwinds, though execution and cost-pass-through are key near-term risks to monitor.
Positive Updates
Record Quarterly Performance Across Key Metrics
Bookings of $86.7M in Q2 2026, an 89% increase YoY (book-to-bill 1.64:1); quarter-end backlog $193.5M, up 30% YoY; revenue $52.7M, up 8.2% YoY; adjusted EBITDA $10.5M, up 20% YoY; adjusted net earnings $5.1M, up 44% YoY.
Negative Updates
Tariff Exposure and Rising Input Costs
U.S. tariffs are increasing input costs for the Circuits business (materials from outside North America); company estimates tariff-related cost impact is 'in the millions' in 2026 and is working to pass on costs to customers with limited success.
Read all updates
Q2-2026 Updates
Negative
Record Quarterly Performance Across Key Metrics
Bookings of $86.7M in Q2 2026, an 89% increase YoY (book-to-bill 1.64:1); quarter-end backlog $193.5M, up 30% YoY; revenue $52.7M, up 8.2% YoY; adjusted EBITDA $10.5M, up 20% YoY; adjusted net earnings $5.1M, up 44% YoY.
Read all positive updates
Company Guidance
Management guided to continued strong demand and backlog conversion: Q2 bookings were $86.7M (+89% YoY) with a 1.64:1 book‑to‑bill, generating a record backlog of $193.5M (+30% YoY) with ~66% expected to convert to revenue in 12 months; Q2 revenue was $52.7M (+8.2% YoY) (Aerospace $17.1M, +21%; Circuits $34.3M, +1.9%), gross margin $19.2M (36.5%), adjusted EBITDA $10.5M (19.9% of sales, +20% YoY), adjusted net earnings $5.1M (+44%), net earnings $5.0M ($0.20 diluted), free cash flow +$2.7M (vs. -$5.5M prior), net debt $2.9M (~0.09–0.1x TTM EBITDA) and liquidity ~$85M (working capital $61.8M + $23.3M undrawn); near‑term actions include converting classified-defense awards into production, ramping Aero‑Calgary and Edge+ and C919/De Havilland deliveries in H2, adding ~$20M+ Toronto capacity by year‑end, opening Hyderabad (~$2–3M investment, expected contribution in 2027), targeting long‑run CapEx ≈3% of revenue (Q2 CapEx $0.9M), managing tariff and input‑cost pressures (millions in 2026), and tightening working capital (AR days 60, inventory days 112, AP days 57) while acknowledging seasonal Q3 softness (~8% lost production).

Firan Tech Financial Statement Overview

Summary
Strong multi-year revenue growth and structurally improved margins support a solid score, alongside deleveraging and consistently strong returns on equity. The main offsets are uneven cash flow conversion (including prior negative FCF) and some lumpiness in operating cash generation despite recent TTM improvement.
Income Statement
78
Positive
Balance Sheet
76
Positive
Cash Flow
70
Positive
BreakdownTTMNov 2025Nov 2024Nov 2023Nov 2022Nov 2021
Income Statement
Total Revenue200.27M191.00M162.10M135.20M89.62M79.36M
Gross Profit66.31M60.53M44.18M45.83M21.31M17.13M
EBITDA33.41M31.75M25.73M22.26M7.92M8.42M
Net Income14.95M13.08M10.81M11.62M698.00K170.00K
Balance Sheet
Total Assets170.92M172.81M134.98M125.71M83.75M79.45M
Cash, Cash Equivalents and Short-Term Investments10.83M10.25M9.96M6.62M15.67M20.20M
Total Debt27.53M52.96M35.31M35.18M13.59M12.94M
Total Liabilities67.13M75.78M62.14M65.38M34.45M28.41M
Stockholders Equity103.11M96.47M72.15M59.53M48.33M50.10M
Cash Flow
Free Cash Flow17.11M12.88M6.88M4.77M-1.05M4.73M
Operating Cash Flow21.13M17.48M14.13M11.30M11.26M7.63M
Investing Cash Flow-4.13M-10.87M-7.24M-23.77M-12.02M-2.95M
Financing Cash Flow-13.69M-6.54M-4.34M3.57M-1.73M-2.70M

Firan Tech Technical Analysis

Technical Analysis Sentiment
Positive
Last Price21.15
Price Trends
50DMA
22.15
Positive
100DMA
20.82
Positive
200DMA
16.48
Positive
Market Momentum
MACD
0.70
Negative
RSI
52.13
Neutral
STOCH
50.58
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:FTG, the sentiment is Positive. The current price of 21.15 is below the 20-day moving average (MA) of 22.62, below the 50-day MA of 22.15, and above the 200-day MA of 16.48, indicating a bullish trend. The MACD of 0.70 indicates Negative momentum. The RSI at 52.13 is Neutral, neither overbought nor oversold. The STOCH value of 50.58 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:FTG.

Firan Tech Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
C$586.54M38.8314.24%11.32%4.67%
72
Outperform
C$1.93B42.505.48%0.93%10.42%12.81%
67
Neutral
C$33.12B24.37-75.01%7.74%247.98%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
C$6.68B58.047.24%42.91%2.84%
58
Neutral
C$11.68B37.046.12%4.38%-23.21%
51
Neutral
C$246.35M-29.13%25.32%68.42%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:FTG
Firan Tech
23.30
11.80
102.61%
TSE:CAE
CAE
36.31
-4.09
-10.12%
TSE:BBD.A
Bombardier Cl A MV
335.77
174.17
107.78%
TSE:MAL
Magellan Aerospace
33.74
15.61
86.14%
TSE:DPRO
Draganfly
6.75
1.95
40.63%
TSE:MDA
MDA Space Ltd
48.17
8.80
22.35%
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: Jul 10, 2026