Mogo Finance Technology (MOGO) AI Stock Analysis

• Market Cap: $59.87M
• Dividend Yield: N/A
• Average Volume (3M): 54.91K
• Price to Earnings (P/E): 15.0
• Beta (1Y): 2.36
• Revenue Growth: 2.79%
• EPS Growth: N/A
• Country: CA
• Employees: 255
• Sector: Technology
• Sector Strength: 87
• Industry: Software - Infrastructure
• EPS (TTM): 0.23
• Shares Outstanding: 23,949,000
• 10 Day Avg. Volume: 56,640
• 30 Day Avg. Volume: 54,907
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.96
• Enterprise Value/Revenue: 1.67
• Enterprise Value/Gross Profit: 2.34
• Enterprise Value/Ebitda: 5.69
• 1Y Price Target: $3.83
• Price Target Upside: 53.39% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 56 Neutral
• Price Target: C$2.50 ▲(0.00% Upside)

Mogo Finance Technology's overall stock score is driven by significant financial challenges, despite a positive earnings call and reasonable valuation. The company's operational struggles and high leverage are major concerns, but strategic initiatives and growth in key segments provide some optimism.

Positive Factors

Earnings

Mogo's first-quarter revenue exceeded expectations, demonstrating strong operational performance.

Investment Strategy

The company's recent decision to include Bitcoin in its long-term capital preservation and product innovation strategy should help attract new investors looking for exposure to the asset class.

Negative Factors

Operational Risks

There are risks associated with technology, performance of referral partnerships, cybersecurity, credit, liquidity, dilution, and increasing macroeconomic uncertainty.

Revenue Disruption

The exit from the institutional brokerage business may cause temporary disruption in 2025 results and lower overall revenue.

Mogo Finance Technology Business Overview & Revenue Model

Company Description

Mogo Inc. operates as a financial technology company in Canada and internationally. The company provides digital solutions to the consumers to get in control of their financial health. It offers Mogo app to access a digital spending account with Mogo Visa Platinum Prepaid Card; MogoCrypto that enables the buying and selling of bitcoin; MogoProtect, a free ID fraud protection and monthly credit score monitoring; MogoMortgage, a digital mortgage experience; and MogoMoney that provides access to personal loans. The company also offers Mogo Trade, a free stock trading platform with real-time stock quotes and funding; and Mogo Ventures to manage its existing investments in strategic partners and companies. In addition, it operates Carta, a digital payments software platform that enable financial technology companies, banks, and corporations to issue payment products to consumers via multiple channels, including physical, virtual, and tokenized cards, as well as payment switching and routing services. Mogo Inc. was founded in 2003 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Mogo generates revenue through multiple key streams. Primarily, it earns money from interest on personal loans provided to consumers, which are designed to help individuals manage their financial needs. Additionally, MOGO charges fees for its various financial services, including subscriptions for credit monitoring and identity theft protection. The company also benefits from transactions related to its cryptocurrency trading platform, where it earns fees on trades made by users. Furthermore, Mogo has established partnerships with various organizations to enhance its service offerings, which can lead to additional revenue opportunities through strategic alliances and integrations. Overall, MOGO's business model focuses on leveraging technology to provide value-added services that generate recurring revenue and foster customer loyalty.

Mogo Finance Technology Financial Statement Overview

Summary

Mogo Finance Technology shows strong gross profit margins but faces challenges with ongoing net losses and high financial leverage. Positive free cash flow is a good sign, but operational inefficiencies and high debt levels pose risks.

Income Statement

Mogo Finance Technology's income statement shows mixed results. The TTM data reveals a gross profit margin of 73.5%, indicating strong profitability in core operations. However, the net profit margin is negative due to persistent losses, with the TTM net income standing at -$21.9 million. Revenue has been inconsistent, with recent declines, as demonstrated by a TTM revenue of $70.6 million down from $71.1 million in the previous year. EBIT margin improved but remains low at 9.4%, and the EBITDA margin is negative, reflecting operational challenges.

Balance Sheet

The balance sheet analysis points to financial leverage concerns. The debt-to-equity ratio is high at 1.20, indicating significant reliance on debt financing. Return on equity is negative due to ongoing losses. The equity ratio stands at 40.6%, which is reasonable but shows a decline in equity as a proportion of total assets over recent years, suggesting weakening financial stability.

Cash Flow

Cash flow performance is moderate. The TTM free cash flow is positive at $7.77 million, showing an improvement from previous periods. However, the operating cash flow to net income ratio indicates challenges, suggesting that operational cash generation is not strong enough to cover net losses. Free cash flow to net income ratio is positive, showing some improvement in cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	70.05M	71.15M	64.83M	68.95M	57.52M	44.24M
Gross Profit	50.12M	56.62M	46.27M	46.24M	46.04M	35.50M
EBITDA	20.58M	7.13M	-2.20M	-43.53M	-4.46M	2.13M
Net Income	3.92M	-13.68M	-17.89M	-165.68M	-33.21M	-26.98M
Balance Sheet
Total Assets	183.01M	189.65M	207.76M	221.49M	393.87M	104.47M
Cash, Cash Equivalents and Short-Term Investments	38.19M	34.62M	16.13M	29.27M	69.21M	12.12M
Total Debt	83.03M	85.62M	88.90M	87.73M	88.72M	91.39M
Total Liabilities	101.42M	108.43M	114.04M	110.61M	124.09M	99.23M
Stockholders Equity	81.59M	81.22M	93.72M	110.89M	269.78M	5.24M
Cash Flow
Free Cash Flow	5.85M	15.23M	-12.59M	-34.95M	-37.61M	38.99M
Operating Cash Flow	3.56M	15.31M	-9.17M	-27.01M	-29.64M	43.80M
Investing Cash Flow	-721.00K	-2.79M	-3.09M	-9.15M	-39.59M	-4.82M
Financing Cash Flow	-4.71M	-3.52M	-1.02M	-3.08M	125.86M	-37.28M

Mogo Finance Technology Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MOGO, the sentiment is Positive. The current price of 2.5 is above the 20-day moving average (MA) of 2.41, above the 50-day MA of 2.41, and above the 200-day MA of 1.87, indicating a bullish trend. The MACD of 0.05 indicates Negative momentum. The RSI at 53.06 is Neutral, neither overbought nor oversold. The STOCH value of 70.73 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:MOGO.

Mogo Finance Technology Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$35.48B	7.63	-10.11%	1.88%	8.73%	-9.23%
MOGO	56 Neutral	$59.87M	15.03	5.07%	―	2.79%	―
FTRC	―	C$32.95M	―		―	―	―
FOBIF	―	$6.54M	―		―	―	―
NOW	56 Neutral	C$37.04M	12.93	-10.10%	―	-13.50%	96.77%
CLIP	51 Neutral	C$26.35M	―		―	245.98%	9.70%
PLUR	40 Neutral	C$18.85M	―	-1525.80%	―	5.61%	72.77%

Mogo Finance Technology Corporate Events

Mogo Inc. Reports Strong Q2 2025 Results with Strategic Expansion Plans

Mogo Inc. reported a net income of $13.5 million for Q2 2025, with significant growth in its wealth and payments sectors, showing year-over-year revenue increases of 48% and 23%, respectively. The company is expanding its platform to include crypto trading, potentially becoming one of only two companies in Canada to offer both equities and crypto trading on a single platform. Mogo’s strategic initiatives include a Bitcoin treasury strategy and share repurchases, which align with its long-term shareholder value creation strategy. The company’s financial health is bolstered by a strong cash position and strategic investments, including a recent acquisition of a stake in Digital Commodities Capital Corp.

The most recent analyst rating on (TSE:MOGO) stock is a Buy with a C$3.00 price target. To see the full list of analyst forecasts on Mogo Finance Technology stock, see the TSE:MOGO Stock Forecast page.

Mogo Inc. Successfully Concludes Annual General Meeting with Key Resolutions Approved

Mogo Inc. held its annual general meeting of shareholders where all proposed resolutions, including the election of directors, reappointment of auditors, and renewal of the stock option plan, were approved. The meeting saw a significant shareholder turnout with 38.94% of outstanding shares represented. The approval of these resolutions supports Mogo’s strategic initiatives and reinforces its commitment to providing innovative financial solutions, potentially strengthening its market position and stakeholder confidence.

The most recent analyst rating on (TSE:MOGO) stock is a Buy with a C$3.00 price target. To see the full list of analyst forecasts on Mogo Finance Technology stock, see the TSE:MOGO Stock Forecast page.

Mogo Seeks Extension on Warrant Expiry Dates

Mogo Inc. has applied to the Toronto Stock Exchange to extend the expiry date of over 1.1 million common share purchase warrants by one year, from June 13, 2025, to June 13, 2026. This extension, pending approval from the TSX and warrantholders, aims to provide additional time for warrant holders to exercise their rights, potentially impacting the company’s financial strategy and market positioning.

The most recent analyst rating on (TSE:MOGO) stock is a Buy with a C$3.00 price target. To see the full list of analyst forecasts on Mogo Finance Technology stock, see the TSE:MOGO Stock Forecast page.