Sparta Capital (SAY) AI Stock Analysis

• Market Cap: $3.74M
• Dividend Yield: N/A
• Average Volume (3M): 0.00
• Price to Earnings (P/E): ―
• Beta (1Y): 1.86
• Revenue Growth: -24.37%
• EPS Growth: -114.29%
• Country: CA
• Employees: N/A
• Sector: Utilities
• Sector Strength: 88
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): >-0.01
• Shares Outstanding: 249,255,420
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 0
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• 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

Sparta Capital faces significant financial challenges, including high leverage and negative profitability, which are exacerbated by recent regulatory issues like the Cease Trade Order. While there are strategic changes and potential technology advances, the lack of strong financial performance and valuation metrics weigh heavily on the overall score.

Sparta Capital Business Overview & Revenue Model

Company Description

Sparta Capital Ltd. provides specialized energy capturing, converting, optimizing, and related services to the commercial sector. It offers viable options for helping manufacturers reduce waste, save resources, save money, and lower their carbon footprint; upcycles end-of-life electronic components; and sequesters C02 emissions through waste diversion and converts biomass waste into consumables. The company also distributes specialized photoluminescent exit signs and egress pathway marking to reduce the consumption of carbon based electricity; and measures and monitors energy use in commercial buildings and manufacturing facilities, as well as offers turnkey solutions and ongoing support. In addition, it delivers energy management and power quality solutions and services, including harmonic mitigation and power factor correction in industrial and commercial areas. Further, the company offers TruckSuite that provides fleet owners/operators with comprehensive maintenance, including roadside emergency assistance; emergency repair with competitive pricing, and complete warranty coverage; TripVision, an integrated vehicle health and safety management system; TreeFrog Transportation Optimization System; and Sparta Health, a streamlined process for accessing personal protective equipment. Sparta Capital Ltd. was incorporated in 1988 and is headquartered in Toronto, Canada.

How the Company Makes Money

Sparta Capital generates revenue through the sale and licensing of its proprietary environmental technologies and solutions. The company offers a range of products aimed at optimizing energy usage, reducing emissions, and managing waste more effectively. Revenue streams include consulting services, project implementation, and maintenance contracts. Furthermore, Sparta Capital often engages in strategic partnerships with other technology providers and industry leaders to enhance its product offerings and expand its market reach. Significant partnerships and collaborations also contribute to its revenue by facilitating access to new markets and customer bases.

Sparta Capital Financial Statement Overview

Summary

Sparta Capital's financial health is challenged by declining revenues, negative profitability margins, and high leverage. While there are signs of cash flow improvement, the company's financial stability requires significant attention due to its negative equity and operational inefficiencies.

Income Statement

Sparta Capital shows inconsistent revenue trends with a decline in the latest TTM compared to the previous year. The gross profit margin remains moderate, but the company struggles with negative EBIT and net profit margins, indicating ongoing operational challenges and inefficiencies.

Balance Sheet

The balance sheet reveals high leverage with a negative equity position, which is concerning. The debt-to-equity ratio is not calculable due to negative equity, and the equity ratio is also negative, indicating potential solvency and financial stability issues.

Cash Flow

Cash flow analysis shows fluctuations, with a recent improvement in free cash flow from negative to positive. However, the operating cash flow to net income ratio is unstable, and the company has faced challenges in generating consistent cash flows historically.

Breakdown
Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
7.83M	9.43M	5.97M	5.19M	5.28M
	Gross Profit
2.02M	5.34M	3.30M	3.86M	3.37M
	EBIT
-544.11K	-116.69K	-1.46M	-540.32K	-631.71K
	EBITDA
182.25K	638.78K	-919.07K	-21.52K	-152.56K
	Net Income Common Stockholders
-889.80K	-412.89K	-970.12K	-609.44K	-848.42K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
828.18K	930.83K	541.09K	844.78K	612.50K
	Total Assets
2.21M	1.84M	2.03M	3.06M	3.03M
	Total Debt
2.76M	2.34M	3.09M	2.82M	2.89M
	Net Debt
1.93M	1.41M	2.54M	1.98M	2.28M
	Total Liabilities
3.90M	3.11M	3.78M	3.48M	3.53M
	Stockholders Equity
-1.31M	-824.03K	-973.07K	-182.03K	-320.73K
Cash Flow		Free Cash Flow
734.50K	487.48K	-515.22K	195.59K	8.59K
	Operating Cash Flow
734.50K	487.48K	-515.22K	210.37K	8.59K
	Investing Cash Flow
0.00	0.00	11.00K	-14.78K	0.00
	Financing Cash Flow
-837.15K	-97.73K	200.53K	36.69K	167.87K

Sparta Capital Technical Analysis

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

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:SAY, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and above the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.02 is Neutral, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:SAY.

Sparta Capital Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INE	67 Neutral	C$2.75B	267.06	1.44%	2.66%	2.60%	―
Sector *	63 Neutral	$8.46B	11.05	5.34%	4.35%	3.09%	-12.05%
BLX	61 Neutral	C$3.13B	86.95	2.23%	2.17%	-16.54%	-53.85%
GRN	58 Neutral	C$14.12M	―	-5.60%	―	-10.37%	95.22%
SAY	43 Neutral	$3.74M	―		―	-24.37%	-114.29%

Sparta Capital Corporate Events

Sparta Capital Ltd. Files Financial Statements and Expands Carbon Credit Program

Sparta Capital Ltd. has announced the filing of its annual and interim financial statements, along with a corporate update highlighting significant advancements in its operations. The company completed phase one testing of its NeoSort Nanotechnology System and expanded its carbon credit program by securing contracts with major Bitcoin miners in North America. Additionally, Sparta formed a strategic partnership to advance its Autonomous Medicine Project and appointed a new CEO, Shawn Leon. Despite a cease trade order from the Alberta Securities Commission due to filing delays, Sparta plans to apply for a revocation of this order. The company aims to further expand its carbon credit program and release data from ongoing nanotechnology testing.

Sparta Group Nears Completion of Delayed Financial Filings Amid Operational Progress

Sparta Group has announced progress towards filing its delayed annual financial statements, which were initially due on January 29, 2025. The delay, attributed to an overload of work for both Sparta and its auditors, has resulted in a Failure to File Cease Trade Order by the Alberta Securities Commission, restricting all trading in the company’s securities. Despite this, Sparta’s Environment division has successfully completed the first phase of testing its NeoSort nanotechnology system and is advancing to the second phase with partners in Sweden. Additionally, the e-waste recycling facility in Toronto is expanding its customer base, driven by the benefits of the company’s carbon credit program.

Sparta Capital Appoints New CEO Amid Strategic Overhaul

Sparta Capital has appointed Shawn Leon as the new CEO, with former CEO Peter Quattrociocchi remaining as Chairman of the Board. This leadership change is part of a broader strategy to renew the company’s market position and strategic objectives. The company is also enhancing its financial strength by selling a portion of its holdings in ERS International and is working on resuming trading on the Toronto Stock Exchange. Additionally, Sparta is advancing its technology initiatives, including the NeoSort nanotechnology, which promises to revolutionize the recycling industry by promoting full circularity.

Sparta Capital Faces Cease Trade Order Due to Filing Delays

Sparta Capital has announced a Cease Trade Order issued by the Alberta Securities Commission due to the company’s failure to file its annual financial statements by the deadline. This order restricts all trading in Sparta’s securities until the required filings are completed, which the company aims to achieve before the second quarter of 2025. The delay is attributed to an overload of work for both Sparta and its auditors. Sparta is working diligently with its audit team to finalize the filings and intends to comply with the Alternative Information Guidelines in the meantime.