Route1 Inc (TSE:ROI)
:ROI
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Route1 Inc
(ROI)
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Select Model
Rating:49Neutral
Price Target:
C$0.06
▲(0.00% Upside)
Action:UpgradedDate:01/04/26
The score is held back primarily by weak financial performance—declining revenue, ongoing losses, and especially a strained balance sheet with negative equity—partly offset by improving and positive recent free cash flow. Technicals are mildly constructive with neutral-to-positive momentum, while valuation support is limited due to negative earnings and no dividend data.
Positive Factors
Positive free cash flow
Consistent positive free cash flow, even if modest, indicates the business can fund operations and some investment from internal cash. Over 2–6 months this reduces immediate financing needs, supports contract delivery, and provides runway to stabilize revenue or shore up the balance sheet without new equity issuance.
Negative Factors
Negative equity / strained balance sheet
Negative shareholders' equity is a structural weakness that limits borrowing capacity and increases creditor scrutiny. It reduces financial flexibility to fund growth or absorb shocks, making the company more reliant on external financing or dilutive capital raises over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Positive free cash flow
Consistent positive free cash flow, even if modest, indicates the business can fund operations and some investment from internal cash. Over 2–6 months this reduces immediate financing needs, supports contract delivery, and provides runway to stabilize revenue or shore up the balance sheet without new equity issuance.
Read all positive factors
Route1 Inc (ROI) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$2.58M
Dividend YieldN/A
Average Volume (3M)14.77K
Price to Earnings (P/E)3.6
Beta (1Y)2.22
Revenue Growth-17.46%
EPS Growth69.11%
CountryCA
Employees30
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)<0.01
Shares Outstanding46,873,820
10 Day Avg. Volume6,500
30 Day Avg. Volume14,768
Financial Highlights & Ratios
PEG Ratio0.12
Price to Book (P/B)-5.54
Price to Sales (P/S)0.14
P/FCF Ratio2.39
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Route1 Inc Business Overview & Revenue Model
Company Description
Route1 Inc (ROI) is a technology company focused on providing secure access solutions and data protection services primarily for government and enterprise clients. The company operates in the cybersecurity sector, offering products that include se...
How the Company Makes Money
Route1 generates revenue through the sale of its proprietary software solutions and services, which are designed to protect data and provide secure access to networks. The company often engages in long-term contracts with governmental agencies and...
Route1 Inc Earnings Call Summary
Earnings Call Date:Apr 24, 2024
(Q4-2023)
| % Change Since: |
Next Earnings Date:Apr 23, 2026
Earnings Call Sentiment Neutral
Route1 has made significant progress in stabilizing its business model and growing its non-MobiKEY revenue streams. The company is optimistic about future EBITDA growth and financial stability. However, challenges remain, particularly with the decline in MobiKEY revenue and the impact of decreased VAR business. The sentiment is cautiously optimistic as Route1 continues to navigate its pivot to services.Positive Updates
Pivot to Services and Stabilization
Route1 has successfully pivoted from a pure play software cybersecurity company to an outcome-based services company, focusing on video capture-based technologies. The company reports stabilization in the fourth quarter of 2023, with a promising outlook for 2024.
Negative Updates
Decline in MobiKEY Revenue
There was a loss of approximately $225,000 in quarterly subscriber revenue from MobiKEY, attributed to competition from Microsoft integrating similar services in their suite.
Read all updates
Q4-2023 Updates
Positive
Negative
Pivot to Services and Stabilization
Route1 has successfully pivoted from a pure play software cybersecurity company to an outcome-based services company, focusing on video capture-based technologies. The company reports stabilization in the fourth quarter of 2023, with a promising outlook for 2024.
Read all positive updates
Company Guidance
During the Q4 2023 earnings call for Route1, CEO Tony Busseri discussed the company's strategic pivot from a pure play software cybersecurity firm to a comprehensive services provider, emphasizing their focus on delivering video capture-based technologies. He highlighted several key metrics, noting a decrease in revenue by approximately $4.5 million due to a reduction in value-added reseller business and MobiKEY subscriptions, which affected gross margins by around $700,000. Despite this, the company saw stability and growth in other areas, achieving non-MobiKEY gross profit above $150,000 per quarter in two of the last four quarters. Additionally, Route1's recurring license plate recognition technology support agreements exceeded $1 million on an annualized basis by Q1 2024. Busseri also underscored the importance of fixed cost control to enhance EBITDA and expressed optimism about achieving over $1 million in trailing four-quarter EBITDA by the end of the first half of 2024, while maintaining a stable debt position and improving working capital.Route1 Inc Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
22
Negative
Cash Flow
46
Neutral
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 12.81M | 15.15M | 17.58M | 22.05M | 27.27M | 29.71M |
| Gross Profit | 4.62M | 5.25M | 5.87M | 7.58M | 10.82M | 11.07M |
| EBITDA | 885.64K | 354.35K | 542.08K | 1.02M | 1.80M | -224.72K |
| Net Income | -323.91K | -1.06M | -1.28M | -1.72M | 222.21K | -1.71M |
Balance Sheet | ||||||
| Total Assets | 8.22M | 9.38M | 9.54M | 12.36M | 15.10M | 14.18M |
| Cash, Cash Equivalents and Short-Term Investments | 79.45K | 86.61K | 38.35K | 78.50K | 62.57K | 1.14M |
| Total Debt | 3.76M | 4.08M | 4.62M | 4.99M | 4.72M | 4.09M |
| Total Liabilities | 8.59M | 9.76M | 8.96M | 10.59M | 12.37M | 12.04M |
| Stockholders Equity | -367.18K | -383.82K | 584.35K | 1.77M | 2.73M | 2.14M |
Cash Flow | ||||||
| Free Cash Flow | 326.05K | 887.52K | 218.88K | 580.32K | 353.39K | -226.36K |
| Operating Cash Flow | 326.05K | 887.52K | 686.82K | 602.27K | 1.05M | 256.27K |
| Investing Cash Flow | -164.98K | -27.82K | -467.94K | 530.00 | -2.20M | -458.06K |
| Financing Cash Flow | -1.21K | -773.91K | -347.76K | -457.59K | 5.50K | 1.32M |
Route1 Inc Technical Analysis
Negative
0.06
Price Trends
0.07
Negative
0.07
Negative
0.07
Negative
Market Momentum
>-0.01
Positive
36.56
Neutral
50.00
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ROI, the sentiment is Negative. The current price of 0.06 is below the 20-day moving average (MA) of 0.07, below the 50-day MA of 0.07, and below the 200-day MA of 0.07, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 36.56 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ROI.
Route1 Inc Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
49 Neutral | C$2.58M | 3.57 | ― | ― | -17.46% | 69.11% | |
47 Neutral | C$3.09M | -3.22 | ― | ― | 155678.40% | -1772.63% | |
44 Neutral | C$5.61M | -5.01 | ― | ― | ― | ― | |
44 Neutral | C$2.81M | -1.02 | ― | ― | -21.48% | 4.59% | |
| ― | C$8.85M | -0.56 | 1281.62% | ― | ― | ― | |
40 Underperform | C$1.98M | 10.87 | ― | ― | -20.73% | 62.11% |
* Technology Sector Average
TSE:ROI
Route1 Inc
0.06
0.02
57.14%
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Route1 Inc Corporate Events
Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Route1 Posts Q3 Profit, Grows ALPR Recurring Revenue and Moves to Strengthen Balance Sheet
Positive
Jan 19, 2026
Route1 Inc. reported third-quarter 2025 results marked by the launch of its Route1 ABI platform and continued growth in its automated license plate recognition (ALPR) support business, with ALPR support contract revenue surpassing USD $300,000 for...
Business Operations and Strategy
Route1 Targets Recurring Revenue Growth and Applied Intelligence in 2026 Strategy
Positive
Jan 8, 2026
Route1 reported that 2025 was devoted to strengthening its parking technology and services platform, expanding deployments and lifecycle support for ALPR systems, and enhancing its ABI software to deliver more robust analytics and parking survey c...
Business Operations and StrategyProduct-Related Announcements
Route1 Files Provisional AI Patent to Power Next-Gen Parking Operations Co-Pilot
Positive
Dec 18, 2025
Route1 Inc. has filed a provisional U.S. patent application for a hierarchical, distributed signal-processing architecture designed to enable low‑latency machine learning and scalable, coordinated artificial intelligence, reinforcing its int...
Business Operations and StrategyPrivate Placements and Financing
Route1 Inc. Completes Private Placement to Fund AI-Driven Parking Solutions
Positive
Dec 16, 2025
Route1 Inc. has completed the second and final tranche of its non-brokered private placement, raising a total of approximately C$328,250. The proceeds will fund the development of Route1’s Actionable Business Intelligence software, including...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Route1 Inc. Secures Shareholder Approval for Key Proposals at Annual Meeting
Neutral
Dec 4, 2025
Route1 Inc. announced the approval of all shareholder proposals at its annual general and special meeting, including the re-election of directors, the appointment of auditors, re-approval of its long-term incentive plan, and a forthcoming name cha...
Executive/Board ChangesPrivate Placements and Financing
Route1 Inc. Seeks Extension for Private Placement and Announces New Interim CFO
Neutral
Nov 27, 2025
Route1 Inc. has applied for a 30-day extension for price protection related to its non-brokered private placement of units, aiming to complete further subscriptions for the final tranche of the offering. The proceeds from this offering will be use...
Business Operations and StrategyPrivate Placements and Financing
Route1 Inc. Completes First Tranche of Private Placement to Fund AI Development
Positive
Nov 19, 2025
Route1 Inc. has successfully closed the first tranche of its non-brokered private placement, raising approximately C$234,250. The proceeds will be used to develop Route1’s Actionable Business Intelligence software application, including an A...
Business Operations and StrategyPrivate Placements and Financing
Route1 Inc. Launches Private Placement to Fund AI Development
Positive
Nov 4, 2025
Route1 Inc. has announced a non-brokered private placement to raise approximately C$500,000, which will be used to develop its Actionable Business Intelligence software application. This initiative is part of their broader strategy to enhance thei...
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.