Tantalus Systems Holding (GRID) AI Stock Analysis

• Market Cap: C$136.26M
• Dividend Yield: N/A
• Average Volume (3M): 64.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.41
• Revenue Growth: 17.51%
• EPS Growth: -2.94%
• Country: CA
• Employees: 134
• Sector: Industrials
• Sector Strength: 87
• Industry: Electrical Equipment & Parts
• EPS (TTM): -0.01
• Shares Outstanding: 51,034,000
• 10 Day Avg. Volume: 64,609
• 30 Day Avg. Volume: 64,171
• PEG Ratio: 0.22
• Price to Book (P/B): 9.26
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -9.27
• Enterprise Value/Market Cap: 0.30
• Enterprise Value/Revenue: 0.24
• Enterprise Value/Gross Profit: 1.71
• Enterprise Value/Ebitda: -25.47
• 1Y Price Target: C$3.50
• Price Target Upside: 31.09% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 62 Neutral
• Price Target: C$3.00 ▲(12.36%Upside)

Tantalus Systems Holding's stock is moderately rated, driven by strong technical indicators and promising corporate events, despite financial performance challenges and valuation concerns. Continued revenue growth and strategic partnerships are key strengths, while profitability and leverage remain critical areas to watch.

Tantalus Systems Holding Business Overview & Revenue Model

Company Description

Tantalus Systems Holding Inc. operates as a smart grid technology company in North America and the Caribbean Basin. The company offers TRUEdge Communication Modules, a Linux-based platform that is integrated into networked devices, including meters, sensors, controllers, and switches deployed across the utility's distribution grid for real-time two-way secure communication of operational information; Tantalus Utility Network (TUNet) Infrastructure Devices for collecting near real-time data and controlling endpoints to enhance the stability, efficiency, and reliability of their distribution grids; and TRUSense Fiber Gateway, a fiber-to-the-home solution. It also provides TCC that accumulates and processes the data that has been pushed from the TUNet communications network in near real-time; and TUNet Insight, a digital user interface delivering a visualization tool that allows utilities to monitor and control the TUNet system for a suite of utility software applications, including advanced metering infrastructure, load management system and distributed energy resource integration solution; grid optimization and distribution automation solution; C.IQ, a software platform that enables the interoperability of a range of devices; TRULight Intelligence, a lighting control solution. In addition, the company offers professional services, including program and project planning, radio frequency propagation design, network systems design, system optimization, deployment support, third party software and systems integration, project management, field maintenance, storm restoration, consulting services, and training; project management services comprising turnkey installation of meters and network infrastructure using third-party partner installers; managed services, such as monitoring the performance of the TCC and network communications, providing alerts, and planning disaster response; and technical support services. Tantalus Systems Holding Inc. is based in Burnaby, Canada.

How the Company Makes Money

Tantalus Systems generates revenue primarily through the sale of its smart grid solutions to utility companies. The company's key revenue streams include the sales of hardware components such as smart meters and communication devices, software licenses for its data analytics and management platforms, and recurring revenue from maintenance, support, and professional services. Tantalus Systems also engages in strategic partnerships with technology providers and utility companies to enhance its product offerings and expand its market reach. These collaborations contribute to its earnings by broadening its customer base and increasing the adoption of its solutions.

Tantalus Systems Holding Financial Statement Overview

Summary

Tantalus Systems Holding shows revenue growth and strong cash generation but faces challenges with profitability and high leverage. The company needs to improve operational efficiency and manage debt to enhance financial health.

Income Statement

Tantalus Systems Holding shows a consistent revenue growth with a growth rate of 5.15% from 2023 to 2024. However, the company has struggled to maintain profitability, with a negative net profit margin of -5.93% for 2024. The gross profit margin is relatively strong at 54.22% for 2024, but persistent negative EBIT and EBITDA margins indicate challenges in operational efficiency.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio due to low equity levels, with a debt-to-equity ratio of 1.85 in 2024. The equity ratio is only 16.71%, indicating a reliance on debt financing. Despite this, the company has a positive cash position, as evidenced by a net debt of -398,588, indicating more cash than debt.

Cash Flow

The cash flow statement reveals a significant improvement in free cash flow, with a positive turnaround from -1.1 million in 2023 to 2.2 million in 2024, reflecting strong cash generation capabilities. The operating cash flow to net income ratio is high at -1.00, suggesting strong cash flow relative to net income despite profitability issues.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
44.31M	42.15M	39.60M	32.17M	33.05M
	Gross Profit
24.02M	21.86M	18.90M	14.35M	16.12M
	EBIT
-1.26M	-2.29M	-5.69M	-6.24M	316.52K
	EBITDA
722.72K	1.52M	-3.91M	-4.90M	1.26M
	Net Income Common Stockholders
-2.63M	-1.69M	-5.20M	-7.02M	1.48M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
13.22M	5.15M	5.85M	14.20M	4.65M
	Total Assets
41.55M	34.80M	37.36M	31.03M	23.53M
	Total Debt
12.82M	14.37M	13.84M	12.11M	8.66M
	Net Debt
-398.59K	9.21M	7.99M	-2.10M	4.01M
	Total Liabilities
34.61M	32.48M	33.78M	24.24M	25.84M
	Stockholders Equity
6.94M	2.32M	3.58M	6.79M	-2.31M
Cash Flow		Free Cash Flow
2.23M	-1.11M	-3.58M	-4.54M	410.12K
	Operating Cash Flow
2.64M	-839.72K	-3.40M	-4.01M	910.72K
	Investing Cash Flow
-409.30K	-269.36K	-5.86M	-188.14K	-854.01K
	Financing Cash Flow
5.86M	403.69K	1.07M	13.75M	-773.59K

Tantalus Systems Holding Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.67
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• 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 2.67 is above the 20-day moving average (MA) of 2.37, above the 50-day MA of 2.21, and above the 200-day MA of 1.87, indicating a bullish trend. The MACD of 0.09 indicates Negative momentum. The RSI at 73.55 is Negative, neither overbought nor oversold. The STOCH value of 75.39 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
Sector *	66 Neutral	$4.47B	12.22	5.40%	3.65%	4.14%	-12.00%
GRID	62 Neutral	C$136.26M	―	-45.20%	―	17.51%	-2.94%
ELVA		$136.97M	―	-0.21%	―	―	―
LPS	47 Neutral	C$14.19M	―	-200.00%	―	177.07%	29.71%
NHHH	35 Underperform	C$22.03M	―	-70.10%	―	―	-0.95%
HMDPF		$997.68M	15.45	31.84%	0.92%	―	―
EXROF		$30.34M	―	-3009.52%	―	―	―

Tantalus Systems Holding Corporate Events

Riverside Public Utilities Partners with Tantalus for Major Grid Modernization

Riverside Public Utilities (RPU) has partnered with Tantalus Systems to advance its grid modernization efforts, marking the largest migration in Tantalus’ history from an ERT overlay to an advanced metering infrastructure (AMI). This strategic move allows RPU to enhance the reliability and resiliency of its distribution grid while extending the life of its existing infrastructure. The collaboration exemplifies how utilities can transition from legacy systems to advanced solutions at their own pace, aligning upgrades with their priorities and timelines, and serves as a model for other utilities planning grid modernization initiatives.

The most recent analyst rating on (TSE:GRID) stock is a Buy with a C$3.25 price target. To see the full list of analyst forecasts on Tantalus Systems Holding stock, see the TSE:GRID Stock Forecast page.

Tantalus Systems Reports Strong Shareholder Support at Annual Meeting

Tantalus Systems announced the results of its annual general and special meeting, where eight directors were elected with overwhelming support. Additionally, Ernst & Young LLP was appointed as the company’s auditors for the upcoming year, and the amended omnibus long-term incentive plan was approved by shareholders. These decisions reflect strong shareholder confidence and strategic alignment in the company’s ongoing efforts to enhance its operational and financial frameworks.

The most recent analyst rating on (TSE:GRID) stock is a Buy with a C$3.25 price target. To see the full list of analyst forecasts on Tantalus Systems Holding stock, see the TSE:GRID Stock Forecast page.

Tantalus Systems Sees Revenue Growth and Expands Market Presence in Q1 2025

Tantalus Systems reported a 27% increase in revenue for Q1 2025, reaching $11.9 million, driven by growth in connected devices and utility software applications. The company improved its gross profit margin to 55% and reduced its net loss to $651,000. Positive cash flow from operations and increased liquidity were also noted. Key developments included significant sales order conversions, expansion of the user community, and leadership team appointments. The company also qualified for the OTCQX Best Market. However, potential challenges include new U.S. tariffs on imports from the Philippines, which could impact the company’s financial condition.

Tantalus Systems Highlights Urgent Need for Grid Modernization in Latest Survey

Tantalus Systems has released its third annual Utility of the Future Survey, highlighting that grid modernization remains a priority for 74% of utilities surveyed, yet only a small fraction feel prepared to tackle associated challenges such as grid data management and cybersecurity. The survey underscores the increasing demand for support from trusted vendors like Tantalus, as utilities face rising concerns about extreme weather, economic volatility, and meeting customer expectations for grid reliability and resilience.

Tantalus Systems to Announce Q1 2025 Financial Results

Tantalus Systems announced it will release its first-quarter 2025 financial results on May 7, 2025, and will host a conference call and webcast on May 8, 2025, to discuss the results. This announcement is part of Tantalus’s ongoing efforts to keep stakeholders informed about its financial performance and strategic direction, potentially impacting its market positioning and investor relations.

Tantalus Systems Partners with RMLD for Grid Modernization

Tantalus Systems has partnered with Reading Municipal Light Department (RMLD) to modernize its distribution grid in Massachusetts. This collaboration will utilize Tantalus’ Grid Modernization Platform to enhance grid reliability, efficiency, and sustainability, supporting RMLD’s mission to provide reliable, low-cost, and non-carbon energy. The deployment of Tantalus’ technology will improve data interoperability, operational efficiency, and support the integration of distributed energy resources and electric vehicles, ultimately benefiting RMLD’s operations and customer satisfaction.

Tantalus Systems Achieves Record Revenue and Growth in 2024

Tantalus Systems reported record revenue and positive adjusted EBITDA for 2024, with a 21% increase in Q4 revenue and a 5.1% growth for the year. The company achieved significant milestones, including a 46% growth in sales orders and the addition of 31 new utility customers. Tantalus is well-positioned for continued growth in 2025, driven by its TRUSense Gateway and efforts to support utilities in grid modernization.