TIMIA Capital (MONT) AI Stock Analysis

• Market Cap: C$2.65M
• Dividend Yield: N/A
• Average Volume (3M): 2.17K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.26
• Revenue Growth: -9.65%
• EPS Growth: -92.19%
• Country: CA
• Employees: 7
• Sector: Technology
• Sector Strength: 94
• Industry: Asset Management
• EPS (TTM): -0.05
• Shares Outstanding: 88,317,280
• 10 Day Avg. Volume: 6,520
• 30 Day Avg. Volume: 2,173
• PEG Ratio: N/A
• 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

• Rating: 39 Underperform
• Price Target: C$0.00 ▼(-100.00% Downside)

Montfort Capital's overall stock score is heavily impacted by its poor financial performance and weak technical indicators. The company's high leverage, negative cash flows, and unprofitability are significant concerns. While recent corporate actions aim to streamline operations, the negative sentiment from regulatory issues further weighs on the stock's outlook.

TIMIA Capital Business Overview & Revenue Model

Company Description

TIMIA Capital (MONT) is a specialty finance company that provides revenue-based financing solutions primarily to technology companies in North America. The company focuses on offering flexible and non-dilutive growth capital to software-as-a-service (SaaS) and technology-driven businesses, allowing them to scale operations without sacrificing equity. By utilizing a unique lending model, TIMIA Capital supports companies with recurring revenue streams and strong growth potential.

How the Company Makes Money

TIMIA Capital makes money through its revenue-based financing model, which involves providing capital to technology companies in exchange for a percentage of their future revenue. This model allows TIMIA to earn returns based on the performance of its portfolio companies, aligning its interests with the growth of these businesses. Additionally, TIMIA may charge fees related to the origination and management of these financing agreements. The company's ability to generate revenue is influenced by its capacity to select high-potential companies and structure agreements that optimize returns while managing risk. TIMIA's partnerships with technology firms and its expertise in the SaaS sector are significant factors contributing to its earnings.

TIMIA Capital Financial Statement Overview

Summary

TIMIA Capital's financial performance is concerning, with declining revenues, negative profitability, and high leverage. The negative cash flows and high debt levels indicate potential financial instability, necessitating strategic measures to improve profitability and cash flow.

Income Statement

The income statement shows a concerning trend with a negative net income in the latest annual report, indicating losses. Revenue has decreased significantly by 52.84% from the previous year, which raises concerns about the company's ability to generate sales. Additionally, the net profit margin is negative, highlighting profitability challenges. However, the company has maintained a strong gross profit margin, suggesting efficient cost management at the revenue level.

Balance Sheet

The balance sheet indicates high leverage with a debt-to-equity ratio significantly above 1, reflecting potential financial risk. The equity ratio is low, indicating that a large portion of the company's assets are financed through debt. Return on equity is negative, which is a concern for investors seeking returns. The company needs to focus on strengthening its equity base and reducing debt.

Cash Flow

Cash flow analysis reveals a negative free cash flow, which is a concern as it indicates cash outflows are exceeding inflows, possibly impacting future operations. The operating cash flow to net income ratio is negative, suggesting operational inefficiencies. The company must improve its cash management to ensure sustainability.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.27M	51.47M	31.27M	8.98M	6.09M
Gross Profit	24.27M	49.39M	29.86M	8.84M	6.03M
EBITDA	14.87M	25.06M	20.63M	5.92M	3.51M
Net Income	-23.69M	-12.36M	591.08K	2.26M	-586.34K
Balance Sheet
Total Assets	413.08M	402.51M	462.47M	125.08M	41.92M
Cash, Cash Equivalents and Short-Term Investments	2.03M	8.28M	7.01M	9.31M	12.87M
Total Debt	211.21M	352.99M	306.97M	73.98M	6.64M
Total Liabilities	401.23M	364.28M	402.60M	111.95M	7.57M
Stockholders Equity	11.85M	35.77M	57.26M	13.13M	7.56M
Cash Flow
Free Cash Flow	-43.69M	-30.20M	-49.33M	7.04M	-4.42M
Operating Cash Flow	-43.69M	-30.20M	-49.33M	7.04M	-4.42M
Investing Cash Flow	3.76M	256.82K	-2.23M	-4.57M	16.71M
Financing Cash Flow	36.82M	31.22M	47.02M	-5.15M	13.18M

TIMIA Capital Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.03
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:MONT, the sentiment is Negative. The current price of 0.03 is below the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and below the 200-day MA of 0.05, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 0.21 is Positive, neither overbought nor oversold. The STOCH value of 27.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:MONT.

TIMIA Capital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	69 Neutral	¥233.77B	14.28	7.64%	2.58%	9.19%	5.32%
PDV	67 Neutral	C$4.80M	2.46	42.23%	9.27%	56.56%	―
IDK	46 Neutral	C$5.75M	―	-24.56%	―	-137.64%	-173.29%
QCA	46 Neutral	C$4.54M	―	-30.37%	―	-100.38%	95.31%
MONT	39 Underperform	C$2.65M	―	-37.49%	―	-9.65%	-92.19%
AAB	35 Underperform	C$5.59M	―	-155.90%	―	-28.06%	51.95%
BLGV	35 Underperform	C$21.59M	―	-9482.10%	―	66.03%	53.03%

TIMIA Capital Corporate Events

Montfort Capital to Sell Pivot Group and Repurchase Shares

Montfort Capital Corp. has announced its agreement to sell its Pivot Group to Pivot Endgame Corp. for a cash purchase price of $2,278,541, subject to customary closing conditions and approvals. Additionally, Montfort will repurchase shares from Dan Flaro, president of the Pivot Group, as part of the transaction. This move is expected to streamline Montfort’s operations and potentially enhance its market positioning by focusing on its core business activities.

Montfort Capital Resumes Trading on TSXV Post Compliance Resolution

Montfort Capital Corp. has announced the reinstatement of trading for its common shares on the TSX Venture Exchange following the resolution of Failure-to-File Cease Trade Orders by the Ontario Securities Commission. The delay in filing financial statements for 2024 and early 2025 led to temporary trading suspension, but the company has now addressed these issues and is committed to maintaining high compliance standards. Additionally, the company has disclosed related party loans and amendments to its credit facilities, which are subject to TSXV acceptance.

Montfort Capital Reports Q1 2025 Financial Results and Announces CFO Transition

Montfort Capital Corp. reported its financial results for Q1 2025, highlighting a 31% decrease in revenue compared to the previous year, primarily due to lower transaction fee income from the Pivot business. Despite a reduction in total expenses by 25% as a result of improved operating efficiency, the company experienced a net loss from continuing operations of $1.1 million and a significant increase in net loss from discontinued operations, attributed to credit loss provisions in the Brightpath mortgage business. The company also announced a CFO transition, with Sam Hall replacing Josh Reusing, signaling a strategic move to guide future growth.

Montfort Capital Faces Cease-Trade Order Due to Filing Delays

Montfort Capital Corp. announced a delay in filing its Q1 2025 financial statements and related documents due to previous delays in completing its 2024 annual filings. This has resulted in a cease-trade order issued by the Ontario Securities Commission, prohibiting trading of the company’s securities in Canada until the filings are completed. The company expects to resolve this issue by the end of June 2025, which would allow for the revocation of the cease-trade order, impacting stakeholders and potentially affecting market confidence.

Montfort Capital Reports Fiscal Year 2024 Results Amid Strategic Restructuring

Montfort Capital Corp. reported its fiscal year 2024 financial results, highlighting a significant restructuring of its business operations. The company saw an increase in total revenue by 36% due to loan book growth and transaction fee income, while expenses decreased by 28% following the sale of its TIMIA and Brightpath business units. Despite a net loss from continuing operations of $5.8 million, this was an improvement from the previous year’s loss, reflecting better cost management and operational focus. The sale of non-core business units has allowed Montfort to align its strategy towards more profitable ventures, with a clearer path to consolidated profitability.

Montfort Capital Faces Cease-Trade Order Due to Filing Delays

Montfort Capital Corp. has announced a delay in filing its audited consolidated financial statements and other required documents for the financial year ended December 31, 2024, primarily due to the sale of its former subsidiary, Brightpath Capital Corporation. This delay has resulted in the Ontario Securities Commission issuing a failure-to-file cease trade order, prohibiting trading of Montfort’s securities in Canada, with certain exceptions. The company is working to complete the filings within May, which could lead to the revocation of the cease-trade order if resolved within 90 days.