Network Media (NTE) AI Stock Analysis

• Market Cap: C$2.41M
• Dividend Yield: N/A
• Average Volume (3M): 9.48K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.70
• Revenue Growth: 42.67%
• EPS Growth: -133.27%
• Country: CA
• Employees: N/A
• Sector: Communication Services
• Sector Strength: 81
• Industry: Entertainment
• EPS (TTM): -0.06
• Shares Outstanding: 17,824,707
• 10 Day Avg. Volume: 1,010
• 30 Day Avg. Volume: 9,483
• PEG Ratio: -0.05
• Price to Book (P/B): 0.25
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 1.43
• 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: Hold
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: C$0.00 ▼(-100.00%Downside)

Network Media's overall stock score is driven by strong technical indicators and positive corporate events signaling a turnaround. However, valuation concerns due to a negative P/E ratio and the need to improve profitability weigh down the score. The company's financial performance is mixed, with good revenue growth but challenges in maintaining profitability.

Network Media Business Overview & Revenue Model

Company Description

Network Media (NTE) is a dynamic company operating in the digital media and technology sectors, offering a range of services that include content creation, digital marketing solutions, and analytics-driven media strategies. The company specializes in helping brands enhance their online presence through innovative content and cutting-edge technology, catering to a diverse clientele across various industries.

How the Company Makes Money

Network Media generates revenue through a multi-faceted model that includes digital advertising, subscription-based services, and consulting fees. A significant portion of its earnings comes from creating and distributing digital content for brands, which leverages advertising partnerships and sponsorship deals. Additionally, NTE offers subscription-based access to proprietary digital marketing tools and analytics platforms that provide clients with insights and strategies to optimize their online performance. Strategic collaborations with technology partners further bolster its revenue by expanding its service offerings and market reach.

Network Media Financial Statement Overview

Summary

Network Media's financials show mixed performance. Despite strong revenue growth and improving cash flows, profitability remains a concern with recurring net losses, impacting overall financial stability.

Income Statement

Network Media's income statement shows mixed results. The company's gross profit margin for the recent year is approximately 29.9%, indicating decent cost management. However, the net profit margin is negative due to a net loss, reflecting profitability challenges. Revenue growth is volatile, with the latest annual revenue increasing by 57.6% over the previous year after a sharp decline the year before. Yet, negative EBIT and net income margins suggest the company struggles with profitability.

Balance Sheet

The balance sheet indicates moderate financial stability. The debt-to-equity ratio stands at 0.35, showing a manageable level of debt relative to equity. The equity ratio is 49.6%, which suggests a balanced capital structure with significant shareholder equity. However, a declining total asset base over recent years might require attention.

Cash Flow

Cash flow analysis reveals a strong operating cash flow to net income ratio, suggesting efficient cash generation from operations. Free cash flow has shown improvement with a positive growth rate, indicating better capital expenditure management. Yet, the company's ability to sustain this trend remains uncertain given the historical fluctuations.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.60M	11.23M	7.13M	12.43M	3.53M	9.92M
Gross Profit	3.84M	3.36M	1.63M	10.44M	1.71M	9.39M
EBITDA	2.70M	1.62M	3.05M	8.20M	861.27K	7.75M
Net Income	-1.01M	-1.91M	-320.94K	597.38K	-2.50M	1.52M
Balance Sheet
Total Assets	18.40M	18.08M	19.83M	20.56M	18.54M	14.12M
Cash, Cash Equivalents and Short-Term Investments	2.91M	3.02M	2.28M	708.29K	2.79M	685.73K
Total Debt	4.39M	3.18M	3.50M	4.37M	2.44M	1.81M
Total Liabilities	9.12M	9.11M	9.27M	9.98M	9.08M	4.90M
Stockholders Equity	9.28M	8.97M	10.56M	10.58M	9.45M	9.22M
Cash Flow
Free Cash Flow	1.62M	1.10M	4.67M	-3.71M	-297.78K	3.79M
Operating Cash Flow	1.81M	1.73M	4.92M	5.32M	5.89M	9.94M
Investing Cash Flow	-3.61M	-213.02K	-1.36M	-9.03M	-6.19M	-6.15M
Financing Cash Flow	1.28M	-771.24K	-2.00M	1.72M	2.23M	-4.29M

Network Media Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.12
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:NTE, the sentiment is Negative. The current price of 0.12 is below the 20-day moving average (MA) of 0.13, below the 50-day MA of 0.13, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 42.37 is Neutral, neither overbought nor oversold. The STOCH value of 73.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:NTE.

Network Media Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TBRD	73 Outperform	C$71.45M	12.43	9.94%	―	25.69%	―
NTE	62 Neutral	C$2.41M	―	-10.50%	―	42.67%	-133.27%
Sector *	58 Neutral	C$3.40B	8.18	-17.94%	5.76%	-2.58%	-15.59%
BRMI	56 Neutral	C$52.33M	―	-49.83%	―	-58.70%	-711.28%
WILD	53 Neutral	C$431.13M	―	-3581.90%	―	8.40%	-137.80%
CJR.B	44 Neutral	$19.94M	―	175.81%	―	-13.09%	88.95%

Network Media Corporate Events

Network Media Group Announces CFO Resignation

Network Media Group Inc. announced the resignation of Darren Battersby as CFO, who has served since October 2014. The company is actively seeking a replacement. This change in leadership comes as Network Media Group continues to focus on its core operations of producing acclaimed film and television content, maintaining its position in the industry as a provider of high-quality, award-winning programming.

Network Media Group Reports Strong Q1 2025 Financial Turnaround

Network Media Group Inc. reported its financial results for the first quarter of 2025, showing a significant turnaround with a net income of $293,709 compared to a net loss in the previous year, despite a decline in revenues. The company highlights the strategic value of its proprietary content and cost-efficiency, with successful projects like ‘Sly Lives!’ and ‘I Am Luke Perry’ contributing to its growth. The company is poised for future success with a strong production backlog and ongoing projects, positioning itself well within the industry.