Tantalus Systems Holding (GRID) AI Stock Analysis

• Market Cap: C$161.58M
• Dividend Yield: N/A
• Average Volume (3M): 125.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.28
• Revenue Growth: 17.51%
• EPS Growth: -2.94%
• Country: CA
• Employees: 134
• Sector: Industrials
• Sector Strength: 95
• Industry: Electrical Equipment & Parts
• EPS (TTM): -0.01
• Shares Outstanding: 51,134,254
• 10 Day Avg. Volume: 65,444
• 30 Day Avg. Volume: 125,398
• PEG Ratio: -1.86
• Price to Book (P/B): 19.15
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.22
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 0.71
• Enterprise Value/Gross Profit: 4.81
• Enterprise Value/Ebitda: 438.82
• 1Y Price Target: C$3.73
• Price Target Upside: 18.04% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 61 Neutral
• Price Target: C$3.50 ▲(10.76%Upside)

The overall stock score of 61 reflects strong corporate events and positive technical indicators, offset by weak valuation due to negative earnings and a challenging financial performance with high debt levels. The stock benefits from strategic partnerships and grid modernization efforts, but profitability issues remain a concern.

Positive Factors

Commercial Adoption

The commercial adoption of the Company’s next-gen TRUSense Gateway is now underway, which is core to the thesis of future growth.

Growth Opportunities

The global grid modernization market is projected to surge significantly, indicating a substantial growth opportunity for companies involved in this sector.

Partnership and Contracts

EPB in Chattanooga has expanded its relationship with GRID to deploy TRUSense (ethernet) across its service territory, commencing this summer and for an initial order of 20k units over the next five years.

Negative Factors

Infrastructure Challenges

The global power grid is showing signs of critical vulnerability, with infrastructure struggling under climate change and increasing demand.

Investment Needs

The insidious threat of an outdated grid often goes unnoticed until disaster strikes, pointing to the urgent need for infrastructure investment.

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 Holding Inc. generates revenue primarily through the sale of its smart grid solutions to utility companies. The key revenue streams include one-time sales of hardware products like smart meters and recurring revenues from software subscriptions and maintenance contracts. The company often enters long-term agreements with utilities, providing ongoing services and upgrades. Additionally, Tantalus may engage in strategic partnerships with other technology providers to expand its offerings and reach. These partnerships can contribute to revenue through co-development projects or joint sales initiatives.

Tantalus Systems Holding Financial Statement Overview

Summary

Tantalus Systems Holding shows promising revenue growth and improved cash flow, but struggles with profitability and high leverage. Although improvements in cash management are noted, ongoing losses and high debt levels pose significant risks.

Income Statement

Tantalus Systems Holding has shown a positive trend in revenue growth, with Total Revenue increasing in recent periods, notably achieving a 5.66% increase in the TTM (Trailing-Twelve-Months) compared to the previous year. However, the company struggles with profitability, as indicated by negative EBIT and Net Income, leading to negative Net Profit Margins. Gross Profit Margin remains healthy at 54.51% TTM, but the inability to translate it into net profits is concerning.

Balance Sheet

The company has a moderate Debt-to-Equity ratio that has slightly improved, though it remains a concern due to relatively high debt levels compared to equity. The Equity Ratio is low, at 14.60% TTM, indicating higher leverage and potential financial risk. Return on Equity is negative, reflecting persistent net losses, which is a significant weakness.

Cash Flow

Operating Cash Flow has improved significantly, turning positive TTM, suggesting better cash management. The Free Cash Flow to Net Income ratio is strong, indicating effective conversion of operating cash flow into free cash flow despite negative net income. However, fluctuations in Free Cash Flow and reliance on financing activities to support operations are potential risks.

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
EBITDA	722.72K	1.52M	-3.91M	-4.90M	1.26M
Net Income	-2.63M	-1.69M	-5.20M	-7.02M	1.48M
Balance Sheet
Total Assets	41.55M	34.80M	37.36M	31.03M	23.53M
Cash, Cash Equivalents and Short-Term Investments	13.22M	5.15M	5.85M	14.20M	4.65M
Total Debt	12.82M	14.37M	13.84M	12.11M	8.66M
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: Neutral
• Last Price: 3.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GRID, the sentiment is Neutral. The current price of 3.16 is below the 20-day moving average (MA) of 3.29, above the 50-day MA of 2.80, and above the 200-day MA of 2.10, indicating a neutral trend. The MACD of 0.14 indicates Positive momentum. The RSI at 51.00 is Neutral, neither overbought nor oversold. The STOCH value of 15.47 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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 *	65 Neutral	$11.18B	15.79	5.49%	1.92%	3.14%	-24.90%
GRID	61 Neutral	C$161.58M	―	-45.20%	―	17.51%	-2.94%
ELVA	―	$180.31M	―	-0.21%	―	―	―
LPS	47 Neutral	C$15.60M	―	-200.00%	―	177.07%	29.71%
NHHH	35 Underperform	C$35.79M	―	-70.10%	―	―	-0.95%
HMDPF	―	$1.00B	17.83	26.34%	0.01%	―	―
EXROF	―	$29.24M	―	-3009.52%	―	―	―

Tantalus Systems Holding Corporate Events

Tantalus Systems to Announce Q2 2025 Financial Results

Tantalus Systems announced it will release its financial results for the second quarter of 2025 on August 6, 2025, followed by a conference call and webcast on August 7, 2025. This announcement is significant as it provides stakeholders with insights into the company’s financial health and its strategic positioning within the utility technology sector.

The most recent analyst rating on (TSE:GRID) stock is a Buy with a C$3.75 price target. To see the full list of analyst forecasts on Tantalus Systems Holding stock, see the TSE:GRID Stock Forecast page.

Tantalus Expands Partnership with EPB for Grid Modernization

Tantalus Systems has announced an expansion of its partnership with EPB in Chattanooga, Tennessee, to deploy 20,000 TRUSense Ethernet Gateways over the next five years. This deployment will enhance EPB’s automated distribution grid and broadband services, integrating with their existing fiber-to-the-home network to provide advanced power quality insights and support for broadband services. The project highlights the scalability and effectiveness of Tantalus’ TRUSense Gateway in addressing the evolving needs of utilities, demonstrating Tantalus’ commitment to customer-driven product development and grid modernization.

The most recent analyst rating on (TSE:GRID) stock is a Buy with a C$3.75 price target. To see the full list of analyst forecasts on Tantalus Systems Holding stock, see the TSE:GRID Stock Forecast page.

Tantalus Systems’ AI-Powered Analytics to Modernize Indiana’s Utility Grids

Tantalus Systems announced that the Indiana Municipal Power Agency (IMPA) will deploy its AI-powered TRUGrid analytics across 19 member utilities. This initiative, funded by the Grid Resilience Grant Program, marks Tantalus’ first large-scale AI analytics rollout across multiple utilities, enhancing grid reliability and operational efficiency. The deployment underscores the industry’s shift towards data-driven grid modernization, allowing utilities to make informed decisions and improve infrastructure management.

The most recent analyst rating on (TSE:GRID) stock is a Buy with a C$3.75 price target. To see the full list of analyst forecasts on Tantalus Systems Holding stock, see the TSE:GRID Stock Forecast page.

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.