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OverActive Media Corp (TSE:OAM)
:OAM
Canadian Market
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OverActive Media Corp (OAM) AI Stock Analysis

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TSE:OAM

OverActive Media Corp

(OAM)

Rating:54Neutral
Price Target:
C$0.50
▲(51.52% Upside)
OverActive Media Corp's overall stock score reflects its financial challenges, with negative profit margins and high valuation concerns. However, positive technical indicators and optimistic earnings call sentiment provide some balance. Strategic initiatives and revenue growth are promising, but profitability remains a key risk.

OverActive Media Corp (OAM) vs. iShares MSCI Canada ETF (EWC)

OverActive Media Corp Business Overview & Revenue Model

Company DescriptionOverActive Media Corp (OAM) is a global esports and entertainment organization focused on building a leading, integrated company that delivers engaging experiences across the world of gaming and digital media. The company operates in the esports sector and is involved in the ownership and management of professional esports teams, including franchises in some of the most popular global leagues. OverActive Media is committed to developing unique content and experiences for fans, while also leveraging its expertise to drive fan engagement across various digital platforms.
How the Company Makes MoneyOverActive Media Corp makes money through multiple revenue streams, primarily stemming from its ownership and management of professional esports teams and franchises. These revenue sources include media rights deals, sponsorships, and advertising, which are critical for monetizing the viewership and fan base associated with its teams. The company also earns income from merchandise sales, live event hosting, and ticket sales for esports events. Additionally, OverActive Media benefits from strategic partnerships and collaborations with brands looking to reach the highly engaged esports audience, which further enhances its commercial opportunities and financial performance.

OverActive Media Corp Earnings Call Summary

Earnings Call Date:May 28, 2025
(Q1-2025)
|
% Change Since: 26.92%|
Next Earnings Date:Aug 20, 2025
Earnings Call Sentiment Positive
The earnings call highlighted significant revenue growth, cost reductions, and successful strategic initiatives such as subscription platforms and market expansion. Despite some challenges with gross margin and EBITDA losses, the overall outlook remains optimistic with plans for continued profitability improvements.
Q1-2025 Updates
Positive Updates
Revenue Growth
Revenue grew 37% year over year, reaching $5 million, driven by contributions from KOI and Movistar Riders and successful events in Madrid.
Reduced Operating Costs
Operating costs were reduced by 8% compared to the previous year, mainly due to integration efficiencies and disciplined cost management.
Successful Live Events
The company hosted two sold-out events in Madrid, generating significant fan engagement and profitability at the EBITDA line.
Launch of Fénix Club
The Fénix Club, a subscription-based platform, exceeded sales targets, demonstrating effective direct-to-consumer strategy and high-margin revenue potential.
Commercial Expansion
Renewed partnership with Monster Energy and expanded into new markets like Latin America and China, increasing global reach and sponsorship opportunities.
Improved Comprehensive Loss
Comprehensive loss improved by 55%, from $4.5 million to $2 million, driven by higher revenues and a foreign currency translation gain.
Negative Updates
Gross Margin Decline
Gross margin decreased to 52% from 75% due to the absence of last year's Counter-Strike sales and inclusion of lower-margin revenue streams.
Wider Adjusted EBITDA Loss
Adjusted EBITDA loss widened to $2.3 million compared to $1.8 million last year, due to a shift towards lower-margin revenues and start-up costs.
Company Guidance
During OverActive Media's first quarter 2025 earnings call, several key metrics and strategic initiatives were highlighted. Revenue increased by 37% year over year to $5 million, largely due to contributions from KOI and Movistar Riders, along with successful live events in Madrid. Operating costs were reduced by 8%, totaling $4.9 million. Despite a gross margin decrease to 52% from 75% in Q1 2024, the company maintained a strong cash position of $7.9 million as of March 31, 2025. The company's adjusted EBITDA reflected a loss of $2.3 million, impacted by strategic investments in the new Fénix Club platform and live events. However, a comprehensive loss of $2 million marked a 55% improvement from the previous year, driven by higher revenues and a $1.7 million foreign currency gain. The company anticipates sequential profitability improvement with an emphasis on high-margin digital merchandise and subscription revenues, aiming for positive EBITDA by year-end.

OverActive Media Corp Financial Statement Overview

Summary
OverActive Media Corp faces significant financial challenges with negative profit margins and cash flow issues. The company has a strong equity base and manageable debt levels, but its inability to convert revenue growth into profitability poses risks.
Income Statement
35
Negative
OverActive Media Corp shows a concerning financial trajectory with negative gross profit margins and fluctuating net income. The TTM data indicates a slight improvement in net income, but overall profitability remains a challenge. Revenue growth is evident year-over-year, but it's not translating into profitability, as EBIT margins remain negative.
Balance Sheet
50
Neutral
The company has a strong equity base with a relatively low debt-to-equity ratio, indicating limited reliance on debt financing. However, a continuous decline in total assets and stockholders' equity over recent years could be indicative of financial strain. The equity ratio remains healthy, suggesting some stability in asset financing.
Cash Flow
40
Negative
Cash flow analysis reveals persistent negative free cash flow, indicating challenges in generating cash from operations. Although operating cash flow has improved slightly in the TTM period, the company still struggles to cover its capital expenditures, impacting its financial flexibility.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue27.01M15.70M14.16M14.20M8.38M
Gross Profit-4.23M-3.37M-10.16M14.20M8.38M
EBITDA4.16M-5.79M-36.35M-13.54M17.61M
Net Income-629.00K-12.52M-36.92M-19.40M-6.26M
Balance Sheet
Total Assets72.87M69.48M87.64M135.46M115.29M
Cash, Cash Equivalents and Short-Term Investments6.85M13.93M13.56M29.58M5.58M
Total Debt4.06M22.56M1.88M2.56M4.01M
Total Liabilities21.27M34.10M40.18M53.54M54.01M
Stockholders Equity51.60M35.37M47.46M81.92M61.28M
Cash Flow
Free Cash Flow-8.69M-5.56M-12.88M-12.34M-5.50M
Operating Cash Flow-7.66M-5.38M-11.51M-10.77M-4.46M
Investing Cash Flow3.34M6.89M-1.69M-1.11M-4.31M
Financing Cash Flow-2.27M-1.66M-3.11M35.69M4.22M

OverActive Media Corp Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.33
Price Trends
50DMA
0.28
Positive
100DMA
0.27
Positive
200DMA
0.27
Positive
Market Momentum
MACD
0.01
Negative
RSI
60.55
Neutral
STOCH
97.78
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:OAM, the sentiment is Positive. The current price of 0.33 is above the 20-day moving average (MA) of 0.31, above the 50-day MA of 0.28, and above the 200-day MA of 0.27, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 60.55 is Neutral, neither overbought nor oversold. The STOCH value of 97.78 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:OAM.

OverActive Media Corp Peers Comparison

Overall Rating
UnderperformOutperform
Sector (54)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
C$66.12M11.299.94%25.69%
58
Neutral
$5.48M-337.09%
54
Neutral
C$45.05M57.9115.08%4.51%1.39%-26.37%
54
Neutral
C$42.36M366.670.17%59.77%
49
Neutral
$15.92M-105.94%-61.29%12.95%
49
Neutral
-38.53%-59.51%-545.36%
* Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:OAM
OverActive Media Corp
0.34
0.14
70.00%
TSE:TBRD
Thunderbird Entertainment Group Inc
1.59
-0.56
-26.05%
TSE:EGLX
Enthusiast Gaming Holdings
0.10
-0.07
-39.39%
TSE:BAMI
Boat Rocker Media
8.50
-0.80
-8.60%
TSE:ESE
ESE Entertainment
0.06
-0.02
-20.00%

OverActive Media Corp Corporate Events

Financial Disclosures
OverActive Media to Announce Q2 2025 Financial Results
Neutral
Aug 11, 2025

OverActive Media Corp. announced it will report its second quarter 2025 financial results on August 20, 2025, followed by a conference call on August 21, 2025, hosted by CEO Adam Adamou. This announcement is significant for stakeholders as it provides insights into the company’s financial health and strategic direction in the competitive esports and digital media industry.

Product-Related AnnouncementsBusiness Operations and Strategy
OverActive Media Launches AI-Powered Localization Platform ActiveVoices
Positive
Aug 6, 2025

OverActive Media Corp has launched ActiveVoices, an AI-powered SaaS platform designed to help esports teams, streamers, and content creators connect with global audiences through instant translation and authentic dubbing. This platform, announced at the China Esports Conference 2025, supports over a dozen languages and aims to expand creators’ global reach without additional production costs. ActiveVoices is set to become a strategic growth engine for OverActive, combining high-margin SaaS revenue with its distribution and creator network to build scalable digital infrastructure. This move marks a pivotal step in OverActive’s evolution into a global media and technology platform, leveraging its extensive digital reach and fan community to transform audience scale into sustainable value.

Executive/Board ChangesShareholder Meetings
OverActive Media Reports Strong Shareholder Support at Annual Meeting
Positive
Jun 26, 2025

OverActive Media announced the successful election of its board of directors at the annual and special shareholders’ meeting. The meeting also saw the re-approval of the company’s omnibus equity incentive plan and the appointment of BDO Canada as auditors, reflecting strong shareholder support and potentially enhancing the company’s strategic direction and financial oversight.

Business Operations and Strategy
OverActive Media’s Movistar KOI Wins 2025 League of Legends EMEA Championship
Positive
Jun 10, 2025

OverActive Media’s Movistar KOI team has won the 2025 League of Legends EMEA Championship Spring Split, marking their fourth European title and securing the top seed for the Mid-Season Invitational in Vancouver and the Esports World Cup in Riyadh. This victory not only enhances OverActive Media’s reputation as a leading esports organization but also positions them for increased commercial success and global recognition, with significant audience engagement and strategic partnerships.

Business Operations and StrategyFinancial Disclosures
OverActive Media Reports Strong Q1 2025 Results with Revenue Growth and Cost Reduction
Positive
May 28, 2025

OverActive Media Corp reported strong Q1 2025 results with a 37% increase in revenue and an 8% reduction in operating costs, leading to a 55% improvement in comprehensive loss. The company’s strategic focus on expanding its global audience and enhancing its high-margin digital strategy positions it well to achieve its 2025 profitability targets, despite a seasonally weak first quarter. The integration of KOI and Riders acquisitions contributed significantly to revenue growth, while disciplined cost management and a foreign-currency gain further improved financial performance.

Financial Disclosures
OverActive Media to Announce Q1 2025 Financial Results
Neutral
May 20, 2025

OverActive Media Corp. has announced that it will report its first quarter 2025 financial results on May 28, 2025, followed by a conference call on May 29, 2025. The call will be hosted by CEO Adam Adamou and CFO Rikesh Shah, providing stakeholders with a corporate update and a question-and-answer session, reflecting the company’s commitment to transparency and engagement with its investors.

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.Date of analysis: Aug 07, 2025