MediPharm Labs (TSE:LABS)
TSX:LABS
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MediPharm Labs
(TSX:LABS)
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Rating:45Neutral
Price Target:
C$0.07
▼(-8.75% Downside)
Action:ReiteratedDate:12/11/25
The overall stock score is primarily influenced by financial performance challenges, including negative profitability and cash flow issues. Technical analysis indicates a bearish trend, and valuation metrics reflect ongoing losses, resulting in a lower score.
Positive Factors
Very low leverage
A near-zero debt-to-equity ratio gives MediPharm durable financial flexibility. Minimal leverage reduces solvency risk through industry cycles, preserves borrowing capacity for capex or M&A, and lowers fixed financial obligations while management works to restore operating profitability.
Negative Factors
Negative operating cash flow
Persistent negative operating cash flow is a structural weakness: the business is not generating cash from core operations, which undermines self-funding of growth, increases reliance on external capital, and raises execution risk if market or funding conditions tighten.
Read all positive and negative factors
Positive Factors
Negative Factors
Very low leverage
A near-zero debt-to-equity ratio gives MediPharm durable financial flexibility. Minimal leverage reduces solvency risk through industry cycles, preserves borrowing capacity for capex or M&A, and lowers fixed financial obligations while management works to restore operating profitability.
Read all positive factors
MediPharm Labs (LABS) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$27.35M
Dividend YieldN/A
Average Volume (3M)466.64K
Price to Earnings (P/E)―
Beta (1Y)1.05
Revenue Growth18.06%
EPS Growth34.58%
CountryCA
Employees161
SectorHealthcare
Sector Strength45
IndustryDrug Manufacturers - Specialty & Generic
Share Statistics
EPS (TTM)N/A
Shares Outstanding420,755,000
10 Day Avg. Volume458,518
30 Day Avg. Volume466,636
Financial Highlights & Ratios
PEG Ratio0.08
Price to Book (P/B)0.57
Price to Sales (P/S)0.58
P/FCF Ratio-4.88
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)C$50.39M
MediPharm Labs Business Overview & Revenue Model
Company Description
MediPharm Labs Corp., a pharmaceutical company, produces and sells pharmaceutical-quality cannabis oil and concentrates, and advanced derivative products in Canada, Australia, Germany, and internationally. It formulates, processes, packages, and d...
How the Company Makes Money
MediPharm Labs generates revenue through multiple channels, primarily by selling cannabis oil products to licensed producers and retailers in the cannabis market. The company’s revenue model is built around the production of high-quality cannabis ...
MediPharm Labs Earnings Call Summary
Earnings Call Date:May 14, 2025
(Q1-2025)
| % Change Since: |
Next Earnings Date:May 18, 2026
Earnings Call Sentiment Neutral
The earnings call reflects positive trends in financial performance, especially with record gross profit and strong international growth. However, it is overshadowed by challenges in the Canadian market and significant concerns over activist shareholder issues. This creates a mixed outlook, with strong operational performance but potential strategic risks.Positive Updates
Record Gross Profit and Margin
Gross profit in Q1 2025 reached CAD4.2 million or 38.7% of sales, marking the highest gross margin achieved in many years, up from a negative margin when the CEO joined in 2022.
Negative Updates
Challenges in Canadian Market
Canadian adult-use and wellness revenue of CAD1.3 million declined year-over-year and sequentially, due to a focus on profitability over volume.
Read all updates
Q1-2025 Updates
Positive
Negative
Record Gross Profit and Margin
Gross profit in Q1 2025 reached CAD4.2 million or 38.7% of sales, marking the highest gross margin achieved in many years, up from a negative margin when the CEO joined in 2022.
Read all positive updates
Company Guidance
During the MediPharm Labs Conference Call discussing Q1 2025 results, CEO David Pidduck highlighted several key financial metrics that demonstrate the company's strategic progress. The gross profit in Q1 2025 was CAD 4.2 million, constituting a 38.7% gross margin, the highest achieved in many years. The company also reported a positive adjusted EBITDA of CAD 141,000, marking a significant improvement from a CAD 949,000 loss in the prior year. Revenue increased by 10.6% year-over-year to CAD 10.8 million, with international medical cannabis revenue surging by 87% to CAD 5.9 million, now representing 55% of total revenue. Moreover, general and administrative expenses were reduced by 29% compared to the previous year, and the company maintained a strong cash balance of CAD 8.4 million with virtually no debt, positioning MediPharm for further growth and M&A opportunities.MediPharm Labs Financial Statement Overview
Summary
Income Statement
45
Neutral
Balance Sheet
50
Neutral
Cash Flow
40
Negative
| Breakdown | TTM | Mar 2025 | Dec 2023 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 46.10M | 41.96M | 33.06M | 22.12M | 21.71M | 36.01M |
| Gross Profit | 13.47M | 12.80M | 5.86M | -1.91M | -15.25M | -43.98M |
| EBITDA | -6.13M | -7.52M | -10.48M | -27.09M | -38.55M | -53.40M |
| Net Income | -8.03M | -10.69M | -13.08M | -29.98M | -54.80M | -67.11M |
Balance Sheet | ||||||
| Total Assets | 46.60M | 53.73M | 63.94M | 65.50M | 92.36M | 118.23M |
| Cash, Cash Equivalents and Short-Term Investments | 10.58M | 11.69M | 17.98M | 24.14M | 34.11M | 19.91M |
| Total Debt | 423.00K | 388.00K | 2.29M | 632.00K | 216.00K | 18.46M |
| Total Liabilities | 8.74M | 10.55M | 10.93M | 9.49M | 9.21M | 39.82M |
| Stockholders Equity | 37.86M | 43.18M | 53.01M | 56.01M | 83.15M | 78.41M |
Cash Flow | ||||||
| Free Cash Flow | -7.15M | -5.01M | -12.81M | -16.93M | -14.00M | -45.28M |
| Operating Cash Flow | -7.01M | -4.86M | -12.34M | -16.07M | -13.21M | -37.77M |
| Investing Cash Flow | 4.58M | 413.00K | 6.87M | 5.16M | 35.00K | -7.45M |
| Financing Cash Flow | -79.00K | -1.85M | -368.00K | 796.00K | 27.80M | 26.42M |
MediPharm Labs Technical Analysis
Negative
0.08
Price Trends
0.07
Negative
0.07
Negative
0.07
Negative
Market Momentum
>-0.01
Positive
46.41
Neutral
66.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LABS, the sentiment is Negative. The current price of 0.08 is above the 20-day moving average (MA) of 0.07, above the 50-day MA of 0.07, and above the 200-day MA of 0.07, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.41 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:LABS.
MediPharm Labs Peers Comparison
UnderperformOutperform
Sector (51)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
65 Neutral | C$32.92M | 29.79 | 7.78% | ― | 28.55% | ― | |
61 Neutral | C$9.29M | 8.94 | 11.57% | ― | -1.14% | ― | |
51 Neutral | $7.86B | -0.30 | -43.30% | 2.27% | 22.53% | -2.21% | |
46 Neutral | C$18.85M | -5.08 | -68.32% | ― | 2.41% | 74.61% | |
46 Neutral | C$29.65M | -6.72 | -71.80% | ― | -3.94% | -17.62% | |
45 Neutral | C$27.35M | -3.68 | -19.10% | ― | 18.06% | 34.58% | |
45 Neutral | C$10.00M | 5.19 | ― | ― | 15.64% | 58.47% |
* Healthcare Sector Average
TSE:LABS
MediPharm Labs
0.07
-0.04
-35.00%
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TSE:OILS
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TSE:AVCN
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TSE:INNO
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MediPharm Labs Corporate Events
Business Operations and StrategyExecutive/Board Changes
MediPharm Labs Names CFO Greg Hunter Interim CEO as Pidduck Steps Down
Neutral
Jan 19, 2026
MediPharm Labs announced a leadership transition, with Chief Executive Officer David Pidduck stepping down effective January 23, 2026, while remaining on the board, and Chief Financial Officer Greg Hunter taking on the role of interim CEO while re...
Business Operations and StrategyProduct-Related Announcements
MediPharm Labs Enters Costa Rica’s Medical Cannabis Market via Remidose Supply Deal
Positive
Jan 13, 2026
MediPharm Labs has signed a definitive supply agreement with Remidose Aerosols’ Costa Rican affiliate, Remidose LATAM, to export a portfolio of GMP-certified medicinal cannabis products—including oils, tinctures, metered dose inhalers ...
Business Operations and Strategy
MediPharm Labs Poised to Gain as U.S. Moves Cannabis to Schedule III
Positive
Dec 19, 2025
MediPharm Labs is positioning itself to capitalize on the U.S. decision to reclassify cannabis from Schedule I to Schedule III, a move that recognizes its medical use and removes major barriers to clinical research. With FDA site registration, a D...
Business Operations and StrategyExecutive/Board Changes
MediPharm Labs Announces Board Changes: Michael Bumby Returns
Positive
Dec 11, 2025
MediPharm Labs announced changes to its Board of Directors, with Shelley Potts stepping down and Michael Bumby rejoining the board. Bumby’s extensive experience in finance and governance, particularly in the cannabis and pharmaceutical secto...
Business Operations and Strategy
MediPharm Labs Enters French Medicinal Cannabis Market with First Shipment
Positive
Dec 4, 2025
MediPharm Labs has completed its first shipment to France, marking a significant milestone in its expansion into the European medicinal cannabis market. This achievement highlights the company’s capability to meet stringent European standard...
Legal Proceedings
MediPharm Labs Secures Legal Victory with Dismissal of Defamation Action
Positive
Nov 14, 2025
MediPharm Labs announced the complete dismissal of a defamation action initiated by Apollo, Nobul, and Regan McGee under Ontario’s anti-SLAPP law. The Superior Court of Justice in Ontario dismissed the $50 million claim against MediPharmR...
Business Operations and StrategyFinancial Disclosures
MediPharm Labs Achieves Double-Digit Revenue Growth in Q3 2025
Positive
Nov 13, 2025
MediPharm Labs reported a successful Q3 2025 with a 17% increase in revenue compared to Q3 2024, driven by significant gains in international medical cannabis sales, which now account for 56% of total revenue. The company also achieved a notable 1...
Financial Disclosures
MediPharm Labs to Announce Q3 2025 Financial Results
Neutral
Nov 11, 2025
MediPharm Labs announced it will release its third quarter 2025 financial results on November 13, 2025, before markets open. The company will also host a conference call and webcast to discuss these results. This announcement is significant as it ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.