Urbana Corporation (URB) AI Stock Analysis

• Market Cap: C$232.09M
• Dividend Yield: 2.25%
• Average Volume (3M): 1.64K
• Price to Earnings (P/E): 2.4
• Beta (1Y): 0.35
• Revenue Growth: 387.51%
• EPS Growth: 46.41%
• Country: CA
• Employees: 2
• Sector: Financial
• Sector Strength: 85
• Industry: Asset Management
• EPS (TTM): 2.46
• Shares Outstanding: 10,000,000
• 10 Day Avg. Volume: 1,847
• 30 Day Avg. Volume: 1,637
• PEG Ratio: 0.05
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.94
• Price to Cash Flow (P/CF): -96.20
• 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

Urbana Corporation's strong financial health, highlighted by robust revenue growth and a solid balance sheet, is a key strength. Its undervaluation and strategic corporate developments add to its potential attractiveness. However, technical analysis suggests short-term caution, and past cash flow volatility presents a risk. Overall, the stock is well-positioned but requires careful monitoring of operational efficiency and market trends.

Urbana Corporation Business Overview & Revenue Model

Company Description

Urbana Corporation (URB) is a diversified investment company focused on the financial services sector. It primarily invests in public and private securities, with a significant interest in stock exchanges, banks, and financial institutions. The company seeks to generate long-term capital appreciation by diversifying its portfolio across various asset classes and geographies.

How the Company Makes Money

Urbana Corporation makes money through capital appreciation and income generated from its investments in securities. The company's revenue model is based on the appreciation of its investment portfolio, which includes both public and private equity holdings. Key revenue streams include dividends from equity investments, interest income from debt securities, and realized gains from the sale of investments. Urbana Corporation's earnings are significantly influenced by market conditions, the performance of its portfolio companies, and strategic investment decisions made by its management team.

Urbana Corporation Financial Statement Overview

Summary

Urbana Corporation shows strong profitability with high margins and no debt, enhancing financial stability. However, revenue growth challenges and negative cash flows present significant concerns that need addressing.

Income Statement

The income statement shows mixed results for Urbana Corporation. The TTM figures reveal a significant drop in revenue compared to the previous year, indicating a revenue growth challenge. Gross profit margin remains robust at 84.6%, demonstrating strong cost control. However, the net profit margin is negatively impacted by substantial EBIT losses, resulting in a net profit margin of 205.5% due to a gain not related to operations. The EBITDA margin remains impressive at 151.3%, showing excellent operational cash generation capability despite EBIT losses.

Balance Sheet

Urbana Corporation exhibits a solid balance sheet with no debt, leading to a favorable debt-to-equity ratio of 0. Return on Equity (ROE) is strong at 15.9%, indicating effective use of equity to generate profits. The equity ratio of 84.0% underscores the company's strong equity base and low reliance on external financing, enhancing financial stability.

Cash Flow

Cash flow analysis reveals some weaknesses, with negative operating cash flow of -$5.76 million, highlighting operational cash challenges. Free cash flow is also negative, worsening from the previous year. The operating cash flow to net income ratio is negative, indicating operational inefficiencies. However, cash and cash equivalents provide a buffer, mitigating some cash flow concerns.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
33.08M	79.21M	23.44M	69.70M	16.00M	58.55M
	Gross Profit
27.99M	70.61M	15.59M	62.71M	10.17M	54.26M
	EBIT
-5.12M	68.78M	21.48M	67.99M	14.34M	56.80M
	EBITDA
50.05M	80.08M	0.00	0.00	14.90M	0.00
	Net Income Common Stockholders
68.00M	69.52M	18.92M	59.99M	13.08M	50.74M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
17.16M	341.42K	268.58K	387.09K	732.46K	875.09K
	Total Assets
216.40M	450.65M	367.13M	348.10M	288.33M	290.71M
	Total Debt
0.00	42.70M	32.00M	23.70M	22.80M	21.90M
	Net Debt
-17.16M	-341.42K	31.73M	23.31M	22.07M	21.02M
	Total Liabilities
8.97M	76.07M	57.52M	46.96M	39.17M	37.18M
	Stockholders Equity
207.43M	374.57M	309.60M	301.14M	249.17M	253.53M
Cash Flow		Free Cash Flow
-3.74M	-6.07M	2.04M	6.78M	16.40M	-33.54M
	Operating Cash Flow
-5.76M	-6.07M	2.04M	6.78M	16.40M	-33.54M
	Investing Cash Flow
-5.70M	-2.52M	10.96M	11.81M	21.17M	-30.65M
	Financing Cash Flow
-367.44K	6.15M	-2.15M	-7.12M	-16.54M	17.25M

Urbana Corporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.79
• 50DMA: Negative
• 100DMA: Negative
• 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:URB, the sentiment is Negative. The current price of 5.79 is below the 20-day moving average (MA) of 5.92, below the 50-day MA of 6.02, and above the 200-day MA of 5.56, indicating a neutral trend. The MACD of -0.09 indicates Positive momentum. The RSI at 37.99 is Neutral, neither overbought nor oversold. The STOCH value of 42.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:URB.

Urbana Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FFH	77 Outperform	$49.79B	8.61	16.48%	1.05%	13.82%	-6.68%
URB	76 Outperform	C$232.09M	2.35	24.06%	2.25%	387.51%	46.41%
IAG	70 Outperform	C$11.82B	12.92	13.26%	2.71%	-17.69%	29.19%
BAM	68 Neutral	C$109.80B	37.97	20.07%	3.22%	27.17%	16.13%
Sector *	63 Neutral	$12.75B	9.36	8.64%	84.32%	13.82%	-3.89%
FSZ	59 Neutral	C$667.03M	26.44	8.22%	13.97%	5.64%	-57.76%
ONEX	56 Neutral	C$6.49B	16.88	3.54%	0.43%	-17.78%	-41.13%

Urbana Corporation Corporate Events

Urbana Corporation Expands Stake in Tetra Trust Company

Urbana Corporation has increased its equity stake in Tetra Trust Company from 19.5% to 55.6%, marking a significant investment in Canada’s leading trust company for digital asset custody. This move underscores Urbana’s confidence in Tetra’s strategy and growth potential, with plans to propose a nominee for an independent board member. The acquisition highlights Urbana’s commitment to supporting Tetra’s product innovation and market expansion, reinforcing its position in the digital asset custody industry.

Spark’s Take on TSE:URB Stock

According to Spark, TipRanks’ AI Analyst, TSE:URB is a Outperform.

Urbana Corporation shows strong financial stability and potential undervaluation, making it an attractive stock. However, operational inefficiencies and past cash flow volatility present risks. Positive corporate events related to gold exploration add potential growth opportunities. Overall, the stock is positioned well, but technical indicators suggest caution.

To see Spark’s full report on TSE:URB stock, click here.

Urbana Corporation Advances Gold Exploration in Quebec

Urbana Corporation has announced progress in its ongoing drill program at the Urban Township Project in Quebec, an emerging major gold mining camp. The company completed five drill holes totaling 1,503 meters, intersecting significant volcanic lithologies and mineralization, including visible gold. The program targets the Bank-Mazeres fault, associated with nearby gold deposits, and is on track for completion by mid-March, potentially enhancing Urbana’s position in the gold mining sector.

Urbana Corporation Launches Strategic Winter Drilling Program

Urbana Corporation has announced a winter drilling program for its Urban Township Project, aiming to explore gold mineralization and extend historical discoveries in the region. The project is strategically positioned near major gold deposits, and recent industry consolidations have heightened the area’s significance. The company is optimistic about potential findings, which could impact its operations and industry standing.