ImagineAR (IP) AI Stock Analysis

• Market Cap: C$4.46M
• Dividend Yield: N/A
• Average Volume (3M): 263.98K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.66
• Revenue Growth: -67.21%
• EPS Growth: N/A
• Country: CA
• Employees: N/A
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): N/A
• Shares Outstanding: 297,620,540
• 10 Day Avg. Volume: 136,997
• 30 Day Avg. Volume: 263,979
• PEG Ratio: -0.14
• Price to Book (P/B): -3.52
• Price to Sales (P/S): 373.06
• P/FCF Ratio: -7.71
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: C$0.01 ▼(-30.00% Downside)
• Action: Reiterated Date: 02/25/26
• Date: Action: Reiterated 02/25/26

The score is driven primarily by very weak financial performance (minimal and declining revenue, heavy losses, negative free cash flow, and negative equity). Technicals are mixed with only modest near-term improvement and a negative MACD. Valuation is constrained by ongoing losses (negative P/E) and no dividend support.

Positive Factors

Platform-based AR business model

Operating a platform for creating and delivering AR experiences gives a scalable, product-led model with multi-industry use cases (marketing, events, retail, location-based). That structural model supports recurring services and partner ecosystems if adoption and monetization improve.

Modest absolute debt level

Total debt being modest reduces interest and covenant pressure relative to larger leveraged peers. With limited contractual debt burden the company has lower near-term fixed financing costs, which can preserve runway while seeking strategic funding or operational improvements.

Cash burn roughly tracks reported losses

Free cash flow tracking net losses signals transparency and predictable cash conversion dynamics. Predictable burn aids longer-term planning, financing cadence and cost management, making funding needs easier to size and potentially reducing surprise liquidity shocks.

Negative Factors

Minimal and declining revenue

Revenue of only $15K TTM and a 33% decline indicate lack of scale and weak customer traction. Such tiny, shrinking top line cannot support fixed costs or fund product investment, making a sustainable path to profitability and durable growth highly uncertain.

Negative stockholders' equity

Negative shareholders' equity reflects accumulated losses and weak balance-sheet capacity. This materially heightens refinancing, covenant and counterparty risk, constrains strategic options, and increases likelihood of dilutive capital raises or restructuring to restore solvency.

Persistent negative operating and free cash flow

Sustained OCF near -$0.89M TTM and ongoing negative FCF require recurring external funding. Chronic cash deficits limit ability to invest in product, sales and partnerships, raise dilution risk, and undermine long-term competitiveness absent a credible path to positive cash generation.

ImagineAR Business Overview & Revenue Model

Company Description

ImagineAR Inc. provides an augmented reality (AR) platform that enables businesses, sports teams, and organizations to create and implement their own AR campaigns with no programming or technology experience. Its products include ImagineAR Augmented Reality Platform that allows the choice of engagement by marker, location, and Web-based activation; ImagineAR.com, an AR-as-a-service platform for desktops; ImagineAR mobile app; ImagineAR SDK/API; ImagineAR White-Label Mobile App; ImagineAR Cloud, a centralized content management system, where AR is securely stored and managed; and WebAR services. The company serves the retail, sports/live events, advertising/promotions, e-sports, and fundraising industries. The company was formerly known as Imagination Park Technologies Inc. and changed its name to ImagineAR Inc. in April 2020. ImagineAR Inc. was incorporated in 2011 and is headquartered in Vancouver, Canada.

How the Company Makes Money

ImagineAR generates revenue through a SaaS (Software as a Service) model, offering subscription-based access to its AR platform. Clients pay for the usage of the platform, which can include features like AR content creation, deployment, and analytics. Additionally, the company may earn revenue from strategic partnerships with sports teams, retail brands, and entertainment companies that use its technology to enhance fan and customer engagement. Licensing fees for proprietary technology and custom AR solutions for large-scale clients can also contribute to its income.

ImagineAR Financial Statement Overview

Summary

Very weak fundamentals: TTM revenue is extremely small ($15K) and down 33%, profitability is deeply negative across gross profit/EBITDA/net income, operating and free cash flow are negative (TTM OCF about -$0.89M), and stockholders’ equity is negative, which materially raises funding and financial flexibility risk.

Income Statement

TTM (Trailing-Twelve-Months) revenue is very small ($15K) and down 33% versus the prior period, continuing a multi-year pattern of volatile revenue swings. Profitability is deeply negative: gross profit, EBIT, EBITDA, and net income are all materially loss-making, with margins far below zero, indicating the current cost structure is not supported by the revenue base. While losses have narrowed versus earlier years (e.g., 2021–2022), the business remains far from breakeven and revenue contraction increases near-term pressure.

Balance Sheet

The balance sheet shows a key red flag: stockholders’ equity is negative in the most recent periods (TTM and FY2025), which weakens financial flexibility and can signal ongoing accumulated losses. Total debt is modest in absolute dollars (about $361K TTM), but negative equity makes leverage ratios less meaningful and elevates refinancing and funding risk. Total assets remain small ($541K TTM), suggesting limited balance-sheet capacity to absorb continued operating losses.

Cash Flow

Cash generation remains weak, with negative operating cash flow and negative free cash flow across all shown periods (TTM operating cash flow about -$0.89M). Free cash flow deterioration in TTM (down ~18%) adds to liquidity pressure. A positive note is that cash burn is broadly in line with reported net losses (free cash flow roughly tracking net income), but the company still relies on external funding to sustain operations if trends do not improve.

Breakdown	Nov 2025	Nov 2024	Nov 2023	Nov 2022	Nov 2021
Income Statement
Total Revenue	22.50K	45.31K	192.66K	61.35K	353.77K
Gross Profit	-1.58M	-1.12M	-497.00K	-73.69K	-3.19M
EBITDA	-2.77M	-2.15M	-1.77M	-4.04M	-6.08M
Net Income	-2.84M	-2.16M	-1.79M	-4.07M	-6.11M
Balance Sheet
Total Assets	428.58K	153.46K	209.43K	643.13K	4.33M
Cash, Cash Equivalents and Short-Term Investments	119.05K	101.90K	110.75K	481.24K	4.21M
Total Debt	346.16K	0.00	40.00K	62.27K	47.90K
Total Liabilities	2.81M	1.65M	1.07M	602.24K	479.76K
Stockholders Equity	-2.38M	-1.50M	-858.89K	40.89K	3.85M
Cash Flow
Free Cash Flow	-1.09M	-868.33K	-791.48K	-3.73M	-3.36M
Operating Cash Flow	-1.09M	-868.33K	-791.48K	-3.71M	-3.36M
Investing Cash Flow	0.00	0.00	-4.88K	-36.88K	-11.21K
Financing Cash Flow	1.11M	859.48K	425.88K	20.00K	2.92M

ImagineAR Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 0.02
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:IP, the sentiment is Neutral. The current price of 0.02 is above the 20-day moving average (MA) of 0.01, above the 50-day MA of 0.01, and below the 200-day MA of 0.02, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 57.21 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:IP.

ImagineAR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HAI	67 Neutral	C$269.21M	1,414.29	-1.32%	―	-5.56%	-124.69%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
CTRL	46 Neutral	C$46.24M	-4.44	―	―	-24.81%	-131.85%
IP	42 Neutral	C$4.46M	-1.23	―	―	-67.21%	―

ImagineAR Corporate Events

ImagineAR Terminates Niagara Immersive Center Project Agreements

ImagineAR announced the termination of agreements for the Niagara Immersive Center project due to economic and market conditions that have made the project unviable. The termination was initiated by the project’s owner, citing economic uncertainty, increased financing risk, and tariff-related cost pressures as key factors. Although the agreements have been terminated, ImagineAR has no outstanding obligations, and there remains a possibility of future engagement if economic conditions improve.