WeCommerce Holdings Ltd. Class A (TINY) AI Stock Analysis

• Market Cap: C$206.26M
• Dividend Yield: N/A
• Average Volume (3M): 32.34K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.62
• Revenue Growth: 58.43%
• EPS Growth: 28.02%
• Country: CA
• Employees: 560
• Sector: Technology
• Sector Strength: 43
• Industry: Asset Management
• EPS (TTM): -0.17
• Shares Outstanding: 187,511,630
• 10 Day Avg. Volume: 59,669
• 30 Day Avg. Volume: 32,339
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.09
• Price to Cash Flow (P/CF): 89.10
• P/FCF Ratio: 16.70
• 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

The overall score reflects a balance of strong revenue growth and a solid balance sheet against profitability challenges and fluctuating cash flows. Technical indicators are neutral to bearish, and valuation is unattractive due to negative earnings. However, recent corporate events provide a positive outlook for future stability and growth.

WeCommerce Holdings Ltd. Class A Business Overview & Revenue Model

Company Description

WeCommerce Holdings Ltd. Class A (TINY) is a technology holding company that focuses on investing in and acquiring businesses within the Shopify e-commerce ecosystem. The company operates through its subsidiaries to provide a variety of services and products, including themes, apps, and agencies that support online merchants in building and optimizing their e-commerce platforms. WeCommerce aims to empower entrepreneurs by enhancing their digital commerce experiences and operations.

How the Company Makes Money

WeCommerce Holdings Ltd. generates revenue primarily through its portfolio companies, which offer digital products and services tailored for the Shopify platform. These subsidiaries develop and sell customizable Shopify themes, which enable merchants to design aesthetically pleasing and functional online stores. Additionally, the company earns revenue from apps that provide extended functionalities such as marketing, customer service, and logistics solutions. Furthermore, WeCommerce benefits from its agency services, where it offers strategic consultation and customized development projects for e-commerce merchants. The company's earnings are significantly influenced by its ability to maintain strong partnerships within the Shopify ecosystem and adapt to the evolving needs of digital commerce.

WeCommerce Holdings Ltd. Class A Financial Statement Overview

Summary

WeCommerce Holdings Ltd. Class A demonstrates strong revenue growth and a solid balance sheet structure, with a manageable level of debt. However, persistent profitability issues and fluctuating cash flows present challenges. The company needs to focus on improving operational efficiencies and reducing costs to enhance profitability while maintaining its cash flow improvements.

Income Statement

The company's revenue has grown significantly over the years, with a 8.5% increase from the previous year. However, profitability remains a concern as indicated by negative net income and EBIT margins in the latest TTM period. The gross profit margin is moderate at 25.7%, but the net profit margin is negative due to higher operating expenses.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio of 0.58, which indicates a balanced leverage position. The equity ratio is satisfactory at 53.1%, suggesting a good proportion of assets are financed by equity. However, there is a decrease in stockholders' equity compared to the previous year, which might signal potential risk if the trend continues.

Cash Flow

The company has shown improvement in its free cash flow, increasing by 90.8% from the prior period. The operating cash flow to net income ratio is positive, reflecting operational efficiency, although the net income itself is negative in the latest TTM. Increasing free cash flow is a positive sign, but overall cash flow management needs to be monitored due to fluctuating investing and financing cash flows.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Jun 2020
Income Statement		Total Revenue
197.81M	185.50M	153.66M	38.58M	21.28M	0.00
	Gross Profit
50.89M	13.85M	47.11M	4.99M	765.98K	0.00
	EBIT
-18.02M	-16.07M	23.52M	-444.00K	-1.22M	-145.26K
	EBITDA
13.76M	46.57M	20.73M	12.59M	17.91K	-145.26K
	Net Income Common Stockholders
-30.93M	13.94M	3.36M	-842.92K	-4.42M	-145.26K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
27.37M	27.19M	31.20M	27.37M	61.19M	503.86K
	Total Assets
199.52M	392.64M	168.74M	199.52M	84.79M	507.72K
	Total Debt
60.20M	131.71M	70.95M	60.20M	10.68M	0.00
	Net Debt
32.84M	104.78M	39.75M	32.84M	-50.51M	-503.86K
	Total Liabilities
90.81M	190.08M	129.87M	90.81M	18.82M	―
	Stockholders Equity
108.72M	193.88M	28.53M	108.72M	65.97M	499.77K
Cash Flow		Free Cash Flow
5.19M	2.72M	15.59M	5.15M	4.82M	-94.72K
	Operating Cash Flow
5.83M	3.39M	19.89M	5.36M	4.87M	-94.72K
	Investing Cash Flow
-13.47M	-18.51M	-28.53M	-119.45M	-9.29M	0.00
	Financing Cash Flow
3.61M	11.48M	12.70M	80.71M	62.74M	458.57K

WeCommerce Holdings Ltd. Class A Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TINY, the sentiment is Negative. The current price of 1.1 is below the 20-day moving average (MA) of 1.26, below the 50-day MA of 1.32, and below the 200-day MA of 1.64, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 36.81 is Neutral, neither overbought nor oversold. The STOCH value of 37.91 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:TINY.

WeCommerce Holdings Ltd. Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHOP	72 Outperform	$150.04B	50.69	19.58%	―	27.85%	1400.97%
DCBO	70 Outperform	C$1.24B	32.34	49.29%	―	21.78%	868.71%
LSPD	59 Neutral	C$1.77B	―	-5.18%	―	23.95%	39.68%
Sector *	57 Neutral	$20.94B	10.43	-13.41%	2.52%	4.53%	-23.34%
TINY	54 Neutral	C$206.26M	―	-15.48%	―	58.43%	28.02%
REAL	51 Neutral	C$421.85M	51.13	5.27%	―	12.27%	―
EGLX	48 Neutral	$10.35M	―	-95.51%	―	-44.89%	42.48%

WeCommerce Holdings Ltd. Class A Corporate Events

Tiny Ltd. Announces Strategic Developments and Financial Moves

Tiny Ltd. announced several corporate updates, including the appointment of Alex Conconi to its Board of Directors, which is expected to bring valuable entrepreneurial and investment insights. The company highlighted operational achievements like Metalab’s advancements in AI technology and Dribbble’s new services and projects. Financially, Tiny has sold two companies under its Beam segment, using proceeds to repay debt, reinforcing its commitment to financial stability and growth in core businesses.

Tiny Ltd. Reports Strong Q3 2024 Results

Tiny Ltd. has reported a strong Q3 2024 with a notable increase in adjusted EBITDA to $7.3 million and a strategic reduction in debt by $4.9 million. The company is focusing on cost rationalization, aiming to cut annualized operating expenses by over $4 million while exploring new investment opportunities. Additionally, Tiny’s portfolio companies, including Creative Market and Archetype Themes, are experiencing growth and innovation.