POSaBIT Systems (PBIT) AI Stock Analysis

• Market Cap: $14.47M
• Dividend Yield: N/A
• Average Volume (3M): 10.01K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.45
• Revenue Growth: -58.79%
• EPS Growth: 61.30%
• Country: CA
• Employees: 54
• Sector: Technology
• Sector Strength: 81
• Industry: Information Technology Services
• EPS (TTM): N/A
• Shares Outstanding: 160,813,430
• 10 Day Avg. Volume: 6,491
• 30 Day Avg. Volume: 10,010
• PEG Ratio: -0.08
• Price to Book (P/B): 12.27
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -19.23
• Enterprise Value/Market Cap: 6.78
• Enterprise Value/Revenue: 1.03
• Enterprise Value/Gross Profit: 14.10
• Enterprise Value/Ebitda: -3.21
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 46 Neutral
• Price Target: C$0.00 ▼(-100.00%Downside)

The overall stock score is heavily impacted by the poor financial performance, which poses significant risks. While the technical analysis provides some positive short-term signals, the negative valuation metrics further weigh down the score.

POSaBIT Systems Business Overview & Revenue Model

Company Description

POSaBIT Systems Corporation, a financial technology company, provides block chain-enabled payment processing and point-of-sale systems for cash-only businesses with a focus on the cannabis industry in the United States. The company is headquartered in Kirkland, Washington.

How the Company Makes Money

POSaBIT Systems generates revenue through a combination of transaction fees and service fees associated with its point-of-sale systems and payment processing solutions. The company charges dispensaries a fee for each transaction processed through its platform, which is typically a percentage of the transaction value. Additionally, POSaBIT may earn revenue from licensing its software solutions and providing ongoing customer support and maintenance services. Strategic partnerships with cannabis retailers and financial institutions also play a crucial role in expanding its market reach and driving sales.

POSaBIT Systems Financial Statement Overview

Summary

POSaBIT Systems is facing significant financial challenges, including issues with profitability, revenue stability, high leverage, and negative cash flows. These factors indicate a strained financial position with substantial risks.

Income Statement

The company has faced significant challenges in maintaining profitability, with persistent negative net income and EBIT margins over recent years. The gross profit margin has fluctuated, reflecting some operational inefficiencies. Revenue has been volatile, with a significant decline in the most recent year, indicating potential market or operational challenges.

Balance Sheet

The balance sheet shows a concerning high level of leverage with total liabilities significantly exceeding equity, resulting in a negative equity in some years. The debt-to-equity ratio is extremely high, indicating potential financial risk. However, the company has managed to maintain a modest level of cash and cash equivalents.

Cash Flow

The cash flow statements indicate ongoing struggles with negative operating and free cash flows, suggesting difficulties in generating cash from operations. The free cash flow to net income ratio is consistently negative, reflecting challenges in covering investments and financing activities with internally generated funds.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
15.27M	43.58M	49.77M	21.30M	7.82M
	Gross Profit
7.00M	9.22M	22.57M	5.76M	1.74M
	EBIT
-5.46M	-10.80M	8.11M	-2.21M	-977.97K
	EBITDA
-4.69M	-10.15M	5.95M	-10.06M	-593.81K
	Net Income Common Stockholders
-5.72M	-13.76M	8.06M	-10.74M	-1.43M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
999.08K	1.52M	3.08M	4.42M	977.65K
	Total Assets
8.60M	13.16M	18.00M	7.90M	3.69M
	Total Debt
4.53M	4.58M	313.41K	134.51K	364.26K
	Net Debt
3.53M	3.06M	-2.76M	-4.28M	-613.39K
	Total Liabilities
8.14M	7.85M	9.77M	16.61M	6.74M
	Stockholders Equity
458.94K	5.31M	8.22M	-8.71M	-3.06M
Cash Flow		Free Cash Flow
-515.26K	-8.34M	-5.25M	-2.44M	-362.36K
	Operating Cash Flow
-515.26K	-7.43M	-4.92M	-2.19M	-186.43K
	Investing Cash Flow
120.00K	-1.95M	-330.67K	-241.01K	-175.93K
	Financing Cash Flow
-127.82K	7.83M	3.90M	5.88M	935.57K

POSaBIT Systems Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.09
• 50DMA: Positive
• 100DMA: Positive
• 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:PBIT, the sentiment is Positive. The current price of 0.09 is above the 20-day moving average (MA) of 0.08, above the 50-day MA of 0.07, and below the 200-day MA of 0.09, indicating a neutral trend. The MACD of <0.01 indicates Negative momentum. The RSI at 59.36 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 Positive sentiment for TSE:PBIT.

POSaBIT Systems Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$11.90B	10.02	-7.47%	3.70%	7.31%	-8.19%
KNR	58 Neutral	C$104.58M	13.71	124.21%	―	-52.43%	941.71%
PVT	55 Neutral	C$30.59M	―	-18.24%	―	-10.76%	-19.28%
PBIT	46 Neutral	$14.47M	―	-299.37%	―	-58.79%	61.30%
PAID	38 Underperform	C$10.38M	―	99.64%	―	34.05%	-58.84%
DCSX		$5.26M	―		―	―	―
BNXA	41 Neutral	C$34.13M	―	73.33%	―	29.35%	42.96%