Leef Brands (LEEF) AI Stock Analysis

• Market Cap: C$46.43M
• Dividend Yield: N/A
• Average Volume (3M): 144.57K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.32
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: N/A
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.03
• Shares Outstanding: 257,948,000
• 10 Day Avg. Volume: 233,994
• 30 Day Avg. Volume: 144,567
• PEG Ratio: 0.00
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• 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: 45 Neutral
• Price Target: C$0.21 ▼(-26.79% Downside)

Leef Brands' overall stock score is primarily impacted by its financial performance, which is the most significant factor due to ongoing financial challenges, including negative equity and profitability issues. Technical analysis provides a neutral outlook, while valuation concerns further weigh down the score.

Positive Factors

Product and Category Diversification

Leef's multi-category product mix across CBD consumables, topicals and supplements reduces single-product dependency and targets broad wellness demand. This diversified portfolio supports stable revenue channels and resilience to shifts in consumer preferences over the medium term.

Multi-channel Revenue Model

Combining DTC e-commerce with retail distribution provides durable benefits: higher margin and customer data from online sales plus scale and discovery from retailers. This hybrid model enhances distribution flexibility and supports steady top-line growth across channels.

Gross Margin Cushion

A ~27% gross margin indicates product economics that can cover direct costs and potentially fund marketing and R&D. With disciplined overhead control, this margin provides a structural foundation to move toward operating profitability over several quarters if SG&A efficiencies are realized.

Negative Factors

Negative Equity and Balance Sheet Risk

Negative shareholders' equity signals accumulated losses and erodes financial flexibility, limiting the company’s ability to absorb shocks or secure favorable financing. Over months this heightens solvency risk and could force dilutive financing or restructuring if unaddressed.

Weak Operating Cash Flow and Falling FCF

Sustained negative operating cash flow and a steep TTM FCF decline strain liquidity and increase reliance on external funding. This constrains investment in growth initiatives and makes execution of long-term strategy contingent on improving cash generation or securing new capital.

Deep Operating Losses

Very large negative EBIT and net margins indicate the core business does not cover operating costs. Without structural cost reductions or pricing changes, these losses will continue to erode capital and threaten viability, requiring sustained operational turnaround to restore profitability.

Leef Brands Business Overview & Revenue Model

Company Description

Leef Brands (LEEF) is a consumer-focused company specializing in innovative products within the cannabis industry. The company operates in sectors such as health and wellness, personal care, and lifestyle products, offering a diverse range of core products including CBD-infused consumables, topicals, and wellness supplements. With a commitment to quality and sustainability, Leef Brands aims to enhance the everyday lives of its customers through effective and reliable cannabis-based solutions.

How the Company Makes Money

Leef Brands generates revenue primarily through the sale of its product lines, which include CBD oils, edibles, and topical applications. The company employs a direct-to-consumer sales model through its e-commerce platform, as well as partnerships with retail distributors to reach a broader audience. Key revenue streams include online sales, wholesale agreements with retailers, and potential licensing agreements for product formulations. Additionally, Leef Brands benefits from strategic partnerships with other companies in the cannabis space, enhancing its market presence and expanding its product offerings, which further contribute to its overall earnings.

Leef Brands Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.02M	28.50M	30.61M	27.00M	7.85M	5.94M
Gross Profit	3.91M	8.94M	10.02M	9.55M	2.16M	1.38M
EBITDA	12.46M	-14.26M	-33.41M	-18.89M	―	―
Net Income	10.55M	-24.62M	-34.97M	-28.92M	―	―
Balance Sheet
Total Assets	73.67M	42.98M	44.00M	61.93M	47.12M	50.55M
Cash, Cash Equivalents and Short-Term Investments	4.50M	2.73M	6.41M	3.31M	1.45M	1.52M
Total Debt	8.99M	23.15M	20.38M	10.91M	1.33M	998.82K
Total Liabilities	29.14M	55.41M	43.15M	34.19M	10.13M	2.26M
Stockholders Equity	40.30M	-12.43M	-2.80M	23.94M	36.99M	48.29M
Cash Flow
Free Cash Flow	-3.86M	-7.32M	-7.42M	-6.44M	―	―
Operating Cash Flow	-3.96M	-1.05M	187.82K	-6.32M	―	―
Investing Cash Flow	1.41M	-6.27M	-7.28M	2.23M	―	―
Financing Cash Flow	-1.95M	3.63M	10.38M	49.69K	2.56M	1.05M

Leef Brands Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.28
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:LEEF, the sentiment is Negative. The current price of 0.28 is above the 20-day moving average (MA) of 0.23, above the 50-day MA of 0.24, and above the 200-day MA of 0.24, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 34.74 is Neutral, neither overbought nor oversold. The STOCH value of 5.93 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:LEEF.

Leef Brands Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRBR	56 Neutral	C$173.01M	-9.66	-184.37%	―	40.28%	26.23%
CWEB	52 Neutral	C$84.49M	-2.77	-109.83%	―	-4.23%	37.33%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
PLTH	49 Neutral	C$94.36M	-0.79	-83.55%	―	2.19%	-91.41%
JUSH	47 Neutral	C$163.26M	-1.77	―	―	3.17%	-24.07%
LEEF	45 Neutral	C$46.43M	-0.86	―	―	―	―
AYR.A	40 Neutral	C$18.10M	-0.04	―	―	0.63%	-31.86%

Leef Brands Corporate Events

LEEF Brands Leadership Buys Shares After Record Q3 Performance

LEEF Brands announced that its senior leadership team, including the CEO and CFO, purchased shares on the open market following a strong third-quarter earnings report. The company reported a 24% year-over-year revenue growth, improved gross margins, positive adjusted EBITDA, and positive free cash flow, signaling a significant turning point for the business. These insider purchases reflect confidence in LEEF’s strategic direction and commitment to long-term shareholder value.