Haivision Systems (HAI) AI Stock Analysis

• Market Cap: C$217.54M
• Dividend Yield: N/A
• Average Volume (3M): 16.91K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.43
• Revenue Growth: -5.56%
• EPS Growth: -124.69%
• Country: CA
• Employees: 379
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.01
• Shares Outstanding: 27,192,580
• 10 Day Avg. Volume: 17,895
• 30 Day Avg. Volume: 16,911
• PEG Ratio: -12.88
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 1.05
• P/FCF Ratio: 20.66
• 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$12.00
• Price Target Upside: 50.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 0.23
• Revenue Forecast (FY): C$152.46M

• Rating: 62 Neutral
• Price Target: C$8.50 ▲(6.25% Upside)
• Action: Reiterated Date: 03/14/26
• Date: Action: Reiterated 03/14/26

The score is driven primarily by solid financial stability and cash generation (low leverage and positive/free cash flow), supported by a generally positive earnings-call outlook and reiterated growth/EBITDA guidance. Offsetting these are very weak valuation (extremely high P/E) and only mixed technicals, with the stock below key short-term averages and subdued momentum indicators.

Positive Factors

Conservative Balance Sheet

Low leverage and a meaningful equity cushion provide durable financial flexibility. With debt-to-equity near 0.10 and declining debt trends, the company can fund growth, absorb shocks, and access its credit facility without immediate refinancing pressure, supporting multi-quarter operational plans.

Consistent Cash Generation

Positive operating and free cash flow with double-digit free cash flow growth indicate the business converts revenue to cash reliably. This strengthens reinvestment capacity for R&D, inventory to meet demand, and optional shareholder actions without relying on dilutive financing.

Product Momentum & Recurring Revenue

Successful new-product ramps and rising recurring revenue mix (support/cloud maintenance) drive structural revenue resilience. Volume demand for Falkon X2 and new Kraken X1 expand addressable markets, increase aftermarket/service revenue, and improve long-term revenue visibility.

Negative Factors

Thin & Volatile Profitability

Very low trailing net margins and historically volatile profitability limit internal capital for growth and make earnings sensitive to mix, timing, or one-off costs. Sustained margin improvement is required to fund strategic investments and validate long-term margin targets.

Scale Needed to Hit Margin Targets

Target margins depend on hitting significantly higher revenue scale. This structural reliance on revenue expansion creates execution risk: if top-line growth slows or mix shifts, operating leverage won't materialize and multi-year margin goals could slip, affecting sustained profitability.

Rising OpEx & Litigation Charge

Increased recurring operating costs (sales comp, R&D) plus nonrecurring litigation hits compress margins and raise the breakeven threshold. Persistent higher OpEx without commensurate revenue growth risks structural margin pressure and delays the firm reaching self-sustaining profitability.

Haivision Systems Business Overview & Revenue Model

Company Description

Haivision Systems Inc. provides infrastructure solutions worldwide. It offers Makito Series, a range of products designs to encode and decode 4K/UHD HEVC and H.264 video formats, and low latency end-to-end streaming over IP suitable for live and interactive video applications; KB Series, a software encoder and transcoder that delivers high-quality video streaming for resolutions up to 4K/UHD; Kraken, a software-based high-low latency tactical live video encoder and transcoder for video streams to traverse different networks and feed enterprise distribution networks; Haivision Media Platform, a software platform provides low latency and live video distribution; Haivision/CineMassive CineNet, a software platform for situational awareness and real-time decision making in mission-critical command and control environments; Haivision Element Management System, a cloud software-based solution which enables the streamlined management and monitoring of geographically distributed edge devices within a single web-based graphical user interface; Haivision SRT Gateway, a hybrid software-based solution for secure routing of live video streams across different types of IP networks; Haivision Hub, a cloud-based service for live and low latency media routing across the Microsoft Azure network; Haivision Connect, a cloud software as a service platform for delivering live and on-demand content to video portals and web sites; Haivision Connect DVR, a cloud-based service that connects multi-site ministries; and SRT Streaming Protocol that optimizes streaming performance across unpredictable networks. It also provides playing back and displaying solutions; and online streaming services. It serves broadcast, enterprise, government, house of worship, medical, and military and defense industries. The company was formerly known as Hajtek Vision Inc. and changed its name to Haivision Systems Inc. in June 2004. The company was incorporated in 2004 and is headquartered in Montreal, Canada.

How the Company Makes Money

Haivision makes money primarily by selling and licensing video streaming and networking solutions to organizations that need to move, manage, and securely distribute high-quality video. Key revenue streams include: (1) Product revenue from the sale of hardware and bundled solutions used for video encoding/decoding and IP video transport in live contribution and secure streaming workflows; (2) Software and subscription revenue from licensing video management, streaming, and collaboration platforms, which may be sold as term subscriptions and/or SaaS depending on the product and customer deployment requirements; and (3) Services and support revenue from maintenance/support contracts, professional services (e.g., deployment assistance, integration, and training), and ongoing customer support associated with its installed base. Earnings are influenced by demand from media/broadcast customers (live events, contribution, remote production) and from enterprise and public-sector customers with secure, mission-critical video needs, as well as by renewals/expansion of software subscriptions and support contracts tied to deployed systems. Specific, material partnership details contributing to earnings: null.

Haivision Systems Financial Statement Overview

Summary

Supported by conservative leverage (debt-to-equity ~0.10) and solid positive cash generation (TTM operating cash flow ~$9.2M; free cash flow ~$7.8M with ~11.9% growth). The main constraint is weak and volatile profitability: EBIT near breakeven and TTM net margin ~0.1% after stronger FY2024 margins.

Income Statement

TTM (Trailing-Twelve-Months) revenue grew ~5.1% with a strong gross margin (~71%), showing solid product economics. However, profitability is thin: EBIT is near breakeven and net margin is ~0.1%, a sharp step-down from FY2024 (net margin ~3.6% and higher EBITDA margin). Results also show volatility over the cycle (losses in FY2021–FY2023, rebound in FY2024, then margins compressing again), which caps the score despite decent top-line resilience.

Balance Sheet

Leverage looks conservative with low debt relative to equity (debt-to-equity ~0.10 in TTM (Trailing-Twelve-Months)) and debt has trended down meaningfully from FY2022 levels. Equity remains sizable versus assets, supporting balance-sheet flexibility. The main weakness is low returns on equity in TTM (Trailing-Twelve-Months) (~0.1%), reflecting the current near-breakeven earnings profile rather than balance-sheet strain.

Cash Flow

Cash generation is a clear strength: TTM (Trailing-Twelve-Months) operating cash flow (~$9.2M) and free cash flow (~$7.8M) are positive, with free cash flow growth of ~11.9%. The business has also demonstrated the ability to produce strong cash flow in FY2023–FY2024 after a negative year in FY2022. A watch item is that cash flow is not consistently well-aligned with profitability signals (given very low net income in TTM (Trailing-Twelve-Months)), suggesting working-capital or timing effects may be contributing to cash performance.

Breakdown	TTM	Oct 2025	Oct 2024	Oct 2023	Oct 2022	Oct 2021
Income Statement
Total Revenue	144.70M	137.64M	129.54M	139.86M	125.70M	92.59M
Gross Profit	100.53M	91.97M	94.69M	98.58M	86.33M	69.33M
EBITDA	9.77M	7.89M	15.30M	11.07M	3.06M	-2.67M
Net Income	1.01M	114.64K	4.70M	-1.27M	-6.19M	-8.78M
Balance Sheet
Total Assets	138.74M	145.04M	141.32M	144.09M	148.60M	122.48M
Cash, Cash Equivalents and Short-Term Investments	16.99M	17.20M	16.47M	8.29M	5.77M	26.84M
Total Debt	12.00M	9.98M	10.27M	16.18M	24.97M	8.59M
Total Liabilities	44.37M	47.46M	44.52M	49.94M	58.35M	33.56M
Stockholders Equity	94.37M	97.58M	96.80M	94.15M	90.25M	88.92M
Cash Flow
Free Cash Flow	7.79M	6.96M	17.49M	14.20M	-6.12M	1.44M
Operating Cash Flow	9.20M	8.71M	19.49M	15.25M	-5.08M	2.22M
Investing Cash Flow	-1.41M	-1.75M	-2.20M	-3.07M	-25.76M	-20.32M
Financing Cash Flow	-7.08M	-6.69M	-9.18M	-9.88M	8.58M	30.23M

Haivision Systems Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.00
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HAI, the sentiment is Negative. The current price of 8 is below the 20-day moving average (MA) of 9.64, below the 50-day MA of 8.22, and above the 200-day MA of 5.76, indicating a neutral trend. The MACD of 0.31 indicates Positive momentum. The RSI at 37.26 is Neutral, neither overbought nor oversold. The STOCH value of 46.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:HAI.

Haivision Systems Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BB	65 Neutral	C$2.70B	43.05	3.01%	―	-9.05%	―
HAI	62 Neutral	C$217.54M	-322.84	0.12%	―	-5.56%	-124.69%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
STC	59 Neutral	C$204.28M	-28.58	-2.82%	―	-4.34%	31.52%
NBVA	47 Neutral	C$11.58M	-29.38	-21.69%	―	-69.94%	-281.40%
MTLO	45 Neutral	C$2.92M	-0.41	―	―	-13.42%	-126.00%
PLUR	45 Neutral	C$11.42M	-3.84	286.87%	―	17.18%	79.56%

Haivision Systems Corporate Events

Haivision Delivers Record Q4 Revenue on Private 5G and Defense Demand Despite Full-Year Profit Squeeze

Haivision reported record fourth-quarter 2025 revenue of $40.2 million, up 33.3% year over year, with gross margins steady at 73.0% and operating profit rising to $3.9 million from $0.2 million, driven by strong demand in defense, ISR, control-room, and private 5G networking markets and the successful launch of new products like the KX1 edge processor and Falkon X2 transmitter. For the full fiscal year 2025, revenue grew 6.3% to $137.6 million, but higher spending on sales, marketing, and R&D to support long-term growth led to an operating loss of $1.2 million and lower adjusted EBITDA of $12.8 million; nevertheless, the company’s back-to-back quarters of double-digit revenue and EBITDA margins, multiple industry awards, and participation in high-profile 5G and defense collaborations signal strengthening competitive positioning and expanding opportunities despite short-term margin pressure.

The most recent analyst rating on (TSE:HAI) stock is a Buy with a C$5.50 price target. To see the full list of analyst forecasts on Haivision Systems stock, see the TSE:HAI Stock Forecast page.