Stack Capital Group (STCK) AI Stock Analysis

• Market Cap: C$213.77M
• Dividend Yield: N/A
• Average Volume (3M): 14.02K
• Price to Earnings (P/E): 4.5
• Beta (1Y): 0.83
• Revenue Growth: 550.81%
• EPS Growth: N/A
• Country: CA
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 0.19
• Shares Outstanding: 13,236,416
• 10 Day Avg. Volume: 21,685
• 30 Day Avg. Volume: 14,015
• PEG Ratio: -0.01
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 89.13
• P/FCF Ratio: -3.94
• 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: C$17.38
• Price Target Upside: 7.62% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: C$17.50 ▲(8.36% Upside)

The score is driven primarily by solid financial positioning (debt-free balance sheet and a 2024 profit rebound), but is held back by persistent negative operating/free cash flow and weak core revenue economics. Support comes from constructive technical trend signals, attractive low P/E valuation, and positive corporate actions (buyback and capital raise).

Positive Factors

Strong Balance Sheet

A robust balance sheet with no debt and high equity indicates financial stability and low leverage risk, providing a solid foundation for future investments and growth.

Strategic Investments

Strategic investments in high-growth companies enhance Stack Capital's portfolio, offering potential for significant returns and strengthening its market position in innovative sectors.

Market Presence Enhancement

The TSX listing of warrants enhances market presence and provides additional liquidity options, potentially attracting more investors and improving capital access.

Negative Factors

Negative Cash Flow

Negative operating cash flow suggests difficulties in generating cash from core operations, which could constrain financial flexibility and impact long-term sustainability.

Operational Efficiency Challenges

Negative gross profit margins and unstable revenue growth highlight issues in cost control and revenue generation, posing risks to consistent profitability and operational efficiency.

Cash Management Concerns

Negative free cash flow indicates potential cash constraints, necessitating improved cash management to ensure sufficient liquidity for operations and investments.

Stack Capital Group Business Overview & Revenue Model

Company Description

Stack Capital Group Inc. operates as an investment holding company. It invests in equity, debt, and/or other securities of growth-to-late-stage private businesses. The company was incorporated in 2021 and is headquartered in Toronto, Canada.

How the Company Makes Money

Stack Capital Group, Inc. generates revenue primarily through the appreciation of its investment portfolio. The company invests in private companies with the potential for significant growth and seeks to realize returns through eventual exits, such as initial public offerings (IPOs) or acquisitions. Additionally, Stack Capital may earn income from dividends or interest from its investments, as well as management fees from managing investment vehicles or partnerships. The company's earnings are influenced by its ability to identify high-growth opportunities, execute successful investments, and market conditions that affect the valuation and liquidity of its portfolio holdings.

Stack Capital Group Financial Statement Overview

Summary

Stack Capital Group, Inc. shows a mixed financial position. The balance sheet is robust with strong equity and no debt, but the income and cash flow statements reveal operational challenges with negative gross profits and cash flow issues. The company needs to focus on enhancing revenue stability and cash flow generation to strengthen its financial health.

Income Statement

The income statement shows a significant improvement in net income, moving from a loss in previous years to a substantial profit in the most recent year. However, the company exhibits negative gross profit margins and fluctuating revenue growth, indicating instability in generating consistent revenue and controlling costs.

Balance Sheet

The balance sheet is strong with no debt and high equity, leading to a favorable equity ratio. This demonstrates financial stability and low leverage risk. The company's assets have grown, reflecting positive capital management. However, the negative gross profit remains a concern for operational efficiency.

Cash Flow

Operating cash flow is negative, indicating challenges in generating cash from core operations despite the positive net income. Free cash flow is also negative, suggesting potential cash constraints. This reflects a need for improved cash management and operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	787.33K	1.16M	1.37M	826.49K	222.93K
Gross Profit	-5.99M	-1.03M	-336.49K	-999.83K	1.52M
EBITDA	34.38M	8.16M	-2.58M	-4.42M	67.07K
Net Income	34.31M	15.99M	-4.22M	-848.71K	-577.27K
Balance Sheet
Total Assets	157.16M	132.24M	97.10M	102.43M	102.99M
Cash, Cash Equivalents and Short-Term Investments	5.33M	11.26M	25.07M	29.89M	76.34M
Total Debt	0.00	0.00	0.00	0.00	0.00
Total Liabilities	4.82M	1.72M	351.30K	370.81K	622.50K
Stockholders Equity	152.35M	130.52M	96.75M	102.06M	102.36M
Cash Flow
Free Cash Flow	-20.90M	-26.32M	-4.97M	-44.51M	-26.64M
Operating Cash Flow	-20.90M	-26.32M	-4.97M	-44.51M	-26.64M
Investing Cash Flow	0.00	0.00	0.00	0.00	-55.46K
Financing Cash Flow	14.57M	15.08M	-1.31M	-477.57K	102.94M

Stack Capital Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:STCK, the sentiment is Positive. The current price of 16.15 is above the 20-day moving average (MA) of 15.65, above the 50-day MA of 13.97, and above the 200-day MA of 12.80, indicating a bullish trend. The MACD of 0.66 indicates Positive momentum. The RSI at 63.83 is Neutral, neither overbought nor oversold. The STOCH value of 62.14 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:STCK.

Stack Capital Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SEC	74 Outperform	C$965.10M	5.59	9.11%	―	22.33%	-25.06%
STCK	71 Outperform	C$213.77M	4.54	26.60%	―	550.81%	―
GCG	69 Neutral	C$1.65B	8.75	13.82%	2.29%	58.88%	82.03%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
QRC	67 Neutral	C$648.34M	3.81	36.24%	2.20%	-1.35%	496.34%
CVG	57 Neutral	C$1.02B	304.80	0.32%	0.14%	-44.78%	-95.84%
WED	49 Neutral	C$857.25M	-10.54	-6.98%	―	333.02%	-196.36%

Stack Capital Group Corporate Events

Stack Capital Announces Share Buyback Program to Enhance Value

Stack Capital Group Inc. has announced a normal course issuer bid (NCIB) approved by the Toronto Stock Exchange, allowing the company to repurchase up to 1,095,780 common shares, which is 10% of its public float, over the next 12 months. This move is driven by the company’s belief that its shares are undervalued, and it aims to enhance shareholder value by purchasing shares at market prices for cancellation. The company has also implemented an automatic share purchase plan to facilitate these purchases even during blackout periods, ensuring flexibility and adherence to regulatory requirements.

The most recent analyst rating on (TSE:STCK) stock is a Buy with a C$15.75 price target. To see the full list of analyst forecasts on Stack Capital Group stock, see the TSE:STCK Stock Forecast page.

Stack Capital Reports Q3-2025 Results, Highlights Strategic Investments

Stack Capital Group Inc. reported its Q3-2025 financial results, highlighting a stable book value per share and a strengthened capital position through a $35 million private placement. The company made significant investments in technology firms like OpenAI and Databricks, reflecting its focus on AI and quantum computing. Portfolio companies such as SpaceX and Canva saw notable valuation increases, indicating strong performance in aerospace and design sectors. These developments underscore Stack Capital’s strategic positioning in high-growth industries, potentially enhancing its market influence and stakeholder value.

The most recent analyst rating on (TSE:STCK) stock is a Buy with a C$15.00 price target. To see the full list of analyst forecasts on Stack Capital Group stock, see the TSE:STCK Stock Forecast page.