Tantalus Systems Holding (GRID) AI Stock Analysis

• Market Cap: C$250.03M
• Dividend Yield: N/A
• Average Volume (3M): 90.75K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.78
• Revenue Growth: 26.28%
• EPS Growth: 27.86%
• Country: CA
• Employees: 134
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 0.01
• Shares Outstanding: 51,447,407
• 10 Day Avg. Volume: 69,485
• 30 Day Avg. Volume: 90,753
• PEG Ratio: -0.50
• Price to Book (P/B): 8.93
• Price to Sales (P/S): 1.40
• P/FCF Ratio: 27.82
• 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: C$6.50
• Price Target Upside: 35.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: C$5.00 ▲(4.60% Upside)

Tantalus Systems Holding's overall stock score is driven by strong earnings call performance and positive technical indicators, which are offset by weak financial performance and valuation concerns. The company's revenue growth and improved profitability are promising, but high leverage and a negative P/E ratio pose significant risks.

Positive Factors

Revenue Growth

Strong revenue growth indicates expanding market presence and effective sales strategies, supporting long-term business sustainability.

Recurring Revenue

Growth in recurring revenue enhances financial stability and predictability, providing a steady income stream that supports future investments.

Profitability Improvement

Improved profitability reflects effective cost management and operational efficiency, enhancing the company's financial health and shareholder value.

Negative Factors

High Leverage

High leverage can limit financial flexibility and increase risk, potentially impacting the company's ability to invest in growth opportunities.

Declining Cash Flow

Declining cash flow growth may constrain the company's ability to fund operations and investments, affecting long-term financial stability.

Tariff Challenges

Tariff-related costs could impact profit margins and competitiveness, potentially affecting future deployments and strategic investments.

Tantalus Systems Holding Business Overview & Revenue Model

Company Description

Tantalus Systems Holding Inc. (GRID) is a technology company specializing in smart grid solutions for utilities. The company operates in the energy sector, providing advanced communication and data management systems to enhance the efficiency and reliability of electric utility operations. Tantalus offers a range of core products and services, including real-time monitoring and control systems for electricity distribution, as well as data analytics tools that support utility decision-making and improve customer engagement.

How the Company Makes Money

Tantalus Systems generates revenue primarily through the sale of its smart grid technology solutions, which include hardware, software, and related services. The company's revenue model is based on a combination of direct sales to utility companies, long-term service agreements, and subscription-based offerings for its data analytics platform. Key revenue streams include initial equipment sales, installation fees, maintenance contracts, and ongoing subscription fees for software services. Additionally, Tantalus may benefit from significant partnerships with various utility providers and technology firms, allowing for the expansion of its market reach and the development of integrated solutions that enhance its offerings.

Tantalus Systems Holding Financial Statement Overview

Summary

Tantalus Systems Holding shows positive revenue growth but struggles with profitability, as indicated by a negative net profit margin and high leverage. The balance sheet reveals financial instability due to high debt levels, while cash flow indicates moderate stability but highlights the need for improved cash generation.

Income Statement

Tantalus Systems Holding shows a positive revenue growth rate of 5.3% TTM, indicating a steady increase in sales. However, the company struggles with profitability, as evidenced by a negative net profit margin of -1.42% TTM and a low EBIT margin of 0.78% TTM. The gross profit margin is relatively healthy at 58.33% TTM, suggesting efficient cost management at the production level. Despite these strengths, the consistent negative net income over the years highlights ongoing challenges in achieving overall profitability.

Balance Sheet

The company's balance sheet reveals a high debt-to-equity ratio of 1.30 TTM, indicating significant leverage and potential financial risk. The return on equity is negative at -25.24% TTM, reflecting challenges in generating returns for shareholders. While the equity ratio is not explicitly calculated, the high leverage suggests limited equity financing. Overall, the balance sheet indicates financial instability and potential risks due to high debt levels.

Cash Flow

Tantalus Systems Holding's cash flow statement shows a decline in free cash flow growth by -13.49% TTM, which is concerning. However, the operating cash flow to net income ratio of 0.12 TTM and a free cash flow to net income ratio of 0.97 TTM suggest that the company is generating cash relative to its net income, albeit at a low level. The cash flow position indicates moderate stability but highlights the need for improved cash generation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	51.78M	44.31M	42.15M	39.60M	32.17M	33.05M
Gross Profit	30.20M	24.02M	21.86M	18.90M	14.35M	16.12M
EBITDA	2.08M	722.72K	1.52M	-3.23M	-4.90M	1.26M
Net Income	-880.54K	-2.63M	-1.69M	-5.20M	-7.02M	1.48M
Balance Sheet
Total Assets	50.15M	41.55M	34.80M	37.36M	31.03M	23.53M
Cash, Cash Equivalents and Short-Term Investments	13.66M	13.22M	5.15M	5.85M	14.20M	4.65M
Total Debt	8.85M	12.82M	14.37M	13.84M	12.11M	9.39M
Total Liabilities	40.69M	34.61M	32.48M	33.78M	24.24M	25.84M
Stockholders Equity	6.80M	6.94M	2.32M	3.58M	6.79M	-2.31M
Cash Flow
Free Cash Flow	3.63M	2.23M	-1.11M	-3.58M	-4.54M	410.12K
Operating Cash Flow	4.51M	2.64M	-839.72K	-3.40M	-4.01M	910.72K
Investing Cash Flow	-974.32K	-409.30K	-269.36K	-5.86M	-188.14K	-854.01K
Financing Cash Flow	-3.78M	5.86M	403.69K	1.07M	13.75M	-773.59K

Tantalus Systems Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 4.78
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GRID, the sentiment is Positive. The current price of 4.78 is above the 20-day moving average (MA) of 4.57, above the 50-day MA of 4.22, and above the 200-day MA of 3.08, indicating a bullish trend. The MACD of 0.19 indicates Negative momentum. The RSI at 57.97 is Neutral, neither overbought nor oversold. The STOCH value of 51.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:GRID.

Tantalus Systems Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ELVA	72 Outperform	C$488.44M	95.41	16.94%	―	46.80%	―
HPS.A	67 Neutral	$1.92B	23.67	25.65%	0.69%	11.19%	19.13%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GRID	57 Neutral	C$250.03M	-194.31	-13.77%	―	26.28%	27.86%
LPS	47 Neutral	C$15.60M	-4.09	-341.84%	―	27.76%	-0.37%
EXRO	40 Neutral	―	―	-405.71%	―	163.76%	-113.54%
NHHH	35 Underperform	C$35.79M	-2.90	-67.64%	―	―	-8.37%

Tantalus Systems Holding Corporate Events

Tantalus Systems Achieves Record Q3 2025 Revenue and Expands Utility Partnerships

Tantalus Systems reported a strong third quarter in 2025, achieving a 22.5% year-over-year revenue growth to $14.2 million, driven by increased sales of connected devices and software services. The company also improved its net income and adjusted EBITDA, despite a negative cash flow from operating activities. Tantalus continues to expand its user community and has made significant progress with its TRUSense Gateway, securing initial orders from 52 utilities. The company’s strategic focus on data-centric grid modernization is gaining traction, as evidenced by a major agreement with EPB in Chattanooga, Tennessee.

Tantalus Systems to Announce Q3 2025 Financial Results

Tantalus Systems announced it will release its third-quarter financial results for 2025 on November 12, followed by a conference call and webcast on November 13. This announcement highlights the company’s ongoing commitment to transparency and engagement with stakeholders, potentially impacting its market positioning by reinforcing investor confidence and interest.