XTM (PAID) AI Stock Analysis

• Market Cap: C$4.19M
• Dividend Yield: N/A
• Average Volume (3M): 158.14K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.57
• Revenue Growth: 22.81%
• EPS Growth: 11.13%
• Country: CA
• Employees: N/A
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): -0.02
• Shares Outstanding: 279,227,750
• 10 Day Avg. Volume: 196,619
• 30 Day Avg. Volume: 158,139
• PEG Ratio: -0.02
• Price to Book (P/B): -0.55
• Price to Sales (P/S): 1.77
• P/FCF Ratio: -1.57
• 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: 40 Underperform
• Price Target: C$0.01 ▼(-30.00% Downside)

The overall stock score is heavily influenced by the company's poor financial performance, characterized by negative margins and high leverage. Technical analysis also indicates weak momentum, and the valuation is unattractive due to a negative P/E ratio and lack of dividend yield.

Positive Factors

Revenue Growth

The company has demonstrated a strong revenue growth rate of over 22%, indicating robust demand for its digital payment solutions and potential for market expansion.

Business Model

XTM's diversified revenue streams from transaction fees, partnerships, and subscription services provide a stable foundation for long-term growth in the financial services sector.

Industry Position

Focusing on the gig economy and digital payments positions XTM well within a growing industry, offering significant opportunities for future expansion and innovation.

Negative Factors

Negative Margins

Persistent negative margins indicate ongoing profitability challenges, which could hinder the company's ability to reinvest in growth and maintain competitive positioning.

High Debt Levels

High debt levels and negative equity suggest financial instability, potentially limiting XTM's ability to finance new projects or weather economic downturns.

Cash Flow Issues

Ongoing cash flow challenges highlight inefficiencies in operations, which may impact XTM's capacity to sustain its business model and invest in future growth.

XTM Business Overview & Revenue Model

Company Description

XTM Inc. is a technology company focused on providing innovative solutions for businesses in the financial services sector. The company specializes in digital payment solutions, including prepaid cards and mobile wallets, catering primarily to the gig economy, retail, and hospitality industries. XTM's core products enable businesses to streamline their payment processes, enhance employee payroll systems, and offer flexible spending options to customers.

How the Company Makes Money

XTM generates revenue through several key streams. Primarily, the company earns money by charging transaction fees for the use of its prepaid card services and mobile payment solutions. Additionally, XTM may earn revenue from partnerships with businesses that integrate its payment solutions into their operations, as well as from subscription fees for premium services. The company also benefits from interest on funds held in its prepaid accounts and may explore additional revenue opportunities through value-added services and targeted marketing solutions to its customer base.

XTM Financial Statement Overview

Summary

Despite strong revenue growth, the company struggles with profitability and financial stability. Persistent operating losses and a heavy reliance on external financing highlight potential risks. The company needs to focus on improving operational efficiency and reducing dependency on debt to enhance its financial health.

Income Statement

The company has shown significant revenue growth over the years, with an annual increase from 2019 to 2024. However, it continues to operate at a loss, with negative EBIT and net income margins. These negative margins indicate challenges in achieving profitability despite revenue growth.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, exacerbated by negative stockholders' equity, indicating potential financial instability. The equity ratio is negative due to liabilities exceeding assets, suggesting financial distress and potential risk for creditors.

Cash Flow

The company has a negative free cash flow and operating cash flow, indicating challenges in generating cash from operations. The financing cash flow is positive, suggesting reliance on external financing to sustain operations. This reliance on external funding poses risks if capital becomes scarce.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.08M	9.09M	6.78M	4.73M	2.26M	853.17K
Gross Profit	-5.31M	-148.73K	219.29K	930.41K	755.16K	82.51K
EBITDA	-17.26M	-19.77M	-14.81M	-7.04M	-5.07M	-3.20M
Net Income	-20.65M	-22.94M	-16.08M	-7.27M	-5.45M	-3.60M
Balance Sheet
Total Assets	55.88M	77.18M	63.55M	56.79M	37.00M	8.35M
Cash, Cash Equivalents and Short-Term Investments	52.90M	64.13K	94.10K	2.69M	8.38M	285.85K
Total Debt	11.19M	16.67M	2.89M	146.87K	236.94K	646.59K
Total Liabilities	95.91M	106.26M	70.88M	54.60M	27.36M	7.50M
Stockholders Equity	-40.03M	-29.08M	-7.33M	2.19M	9.64M	843.24K
Cash Flow
Free Cash Flow	-4.82M	-10.27M	-10.09M	-5.94M	-4.45M	-2.66M
Operating Cash Flow	-4.82M	-9.57M	-1.47M	-5.86M	-4.38M	-2.48M
Investing Cash Flow	3.43M	-693.76K	-10.62M	-83.22K	-71.77K	-181.98K
Financing Cash Flow	-2.80M	10.32M	9.20M	271.63K	12.55M	2.94M

XTM Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:PAID, the sentiment is Negative. The current price of 0.02 is below the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 44.67 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:PAID.

XTM Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
PBIT	45 Neutral	C$8.11M	-2.39	-540.25%	―	-33.97%	59.10%
VIS	41 Neutral	C$5.17M	-4.35	-3428.85%	―	-15.33%	47.13%
NERD	41 Neutral	C$4.47M	-11.36	―	―	13.01%	20.00%
FARM	40 Underperform	C$8.31M	-0.12	―	―	-18.97%	-55.19%
PAID	40 Underperform	C$4.19M	-0.17	―	―	22.81%	11.13%
DCSI	37 Underperform	C$5.97M	-1.12	―	―	33.92%	-402.25%

XTM Corporate Events

XTM Inc. Reports Revenue Growth and Strategic Shift in Q3 2025

XTM Inc. reported a 19% increase in year-to-date revenue and a 25% reduction in net operating loss for Q3 2025. The company has transitioned to a capital-light, profit-sharing model through a Management Services Agreement with Everyday People Financial Corp., which will manage XTM’s Canadian card and digital wallet programs. This strategic shift is expected to reduce costs and enhance operational efficiency. Additionally, XTM is focusing on expanding its U.S. market presence by pursuing contracts for Earned Wage Access and Early Tip Disbursement services, driven by favorable tax legislation.

XTM Inc. Reports Q3 2025 Financial Results and Strategic Transition

XTM Inc. has reported a 19% increase in year-to-date revenue and a 25% reduction in net operating loss for Q3 2025. The company has completed the sale of its processor assets, retaining essential EWA technology and client contracts, and is transitioning to a capital-light, profit-sharing business model through a Management Services Agreement with Everyday People Financial Corp. This strategic shift is expected to significantly reduce operating costs and enhance XTM’s focus on the U.S. market, where it is pursuing multiple contracts for its EWA and Early Tip Disbursement services.

XTM Inc. Partners with AGORACOM for U.S. Subsidiary Tokenization

XTM Inc. has signed a binding Letter of Intent with Dubai-based AGORACOM RWA DBX to facilitate the tokenization of Preferred Shares of its U.S. subsidiary, XTM USA. This initiative aims to unlock non-dilutive capital by leveraging digital asset markets and real-world asset tokenization infrastructure. The tokenization will focus on Preferred Shares in a private subsidiary, not affecting XTM’s common equity or public listing. This move is part of XTM’s strategy to explore innovative funding solutions that align with its long-term growth objectives, potentially opening new capital channels while maintaining operational control. The agreement marks XTM as one of the first publicly listed small-cap companies in North America to pursue such a strategy, signaling a shift in traditional financing models for the small-cap market.

Everyday People Financial and XTM Inc. Forge Strategic Partnership to Enhance Canadian Payments Operations

Everyday People Financial Corp. and XTM Inc. have entered into a strategic Management Services Agreement to integrate their Canadian payments operations. This collaboration allows EPF to manage XTM’s network branded card and digital wallet programs, leveraging EPF’s regulatory and operational framework. The partnership is expected to enhance compliance, scalability, and profitability for both companies, with XTM benefiting from cost efficiencies and a focus on cross-border expansion. The agreement is structured to be capital-light and profit-sharing, promising significant revenue growth and improved financial performance.

XTM Inc. Strengthens Financial Position with Strategic Asset Sale

XTM Inc. has successfully closed a strategic asset sale to Pateno Payments Inc., a move that strengthens its balance sheet and accelerates its growth path. The transaction, valued at USD $3,000,000, allows XTM to reduce monthly operating costs and achieve cash neutrality by continuing to leverage the QRails processing platform. This divestiture marks a significant step towards profitability and sustainable growth, with benefits including reduced cash burn, margin expansion, and enhanced operational efficiency. XTM retains full ownership of its AnyDay™ platform and key customer relationships, while the core QRails engineering team transitions to Pateno, supporting ongoing innovation for both companies.