Urbana Corporation (URB) AI Stock Analysis

• Market Cap: C$299.57M
• Dividend Yield: 1.79%
• Average Volume (3M): 2.58K
• Price to Earnings (P/E): 3.8
• Beta (1Y): 0.31
• Revenue Growth: -61.99%
• EPS Growth: -20.09%
• Country: CA
• Employees: 2
• Sector: Financial
• Sector Strength: 72
• Industry: Asset Management
• EPS (TTM): 0.44
• Shares Outstanding: 10,000,000
• 10 Day Avg. Volume: 3,322
• 30 Day Avg. Volume: 2,581
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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

• Rating: 71 Outperform
• Price Target: ―

Urbana Corporation showcases 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 strategic investments and gold exploration add potential growth opportunities. The technical indicators suggest caution with current market momentum.

Urbana Corporation Business Overview & Revenue Model

Company Description

Urbana Corporation is an investment fund launched and managed by Caldwell Investment Management Ltd. For its equity investment the fund primarily invests in public equity markets of United States and Canada. The fund primarily focuses on U.S. financial companies and Canadian resource companies for equity investments. The fund also focuses on private equity investments. It was formerly known as Macho River Gold Mines Limited. Urbana Corporation is domiciled in Canada.

How the Company Makes Money

Urbana Corporation generates revenue primarily through capital gains and dividends from its diverse portfolio of investments. The company invests in both publicly traded securities and private equity opportunities, focusing on financial institutions and exchanges. Urbana's earnings are significantly influenced by the performance of its investment portfolio, which is managed actively to maximize returns. Additionally, Urbana benefits from any appreciation in the value of its investments and may realize gains through the sale of assets. Partnerships with other financial institutions and strategic positioning in the financial services sector also contribute to its income, providing a stable revenue stream from dividends and interest.

Urbana Corporation Financial Statement Overview

Summary

Urbana Corporation demonstrates strong revenue growth and profitability, supported by an excellent balance sheet with no debt and high equity. However, the company faces operational inefficiencies affecting EBIT margins and potential risks due to past cash flow volatility.

Income Statement

Urbana Corporation shows a strong revenue growth with a significant increase from $79.2 million in 2023 to $116.8 million in 2024. The gross profit margin remains excellent at 100%, but there is a substantial drop in EBIT, resulting in a negative EBIT margin, which indicates potential operational inefficiencies. The net profit margin is strong due to the high net income, suggesting good profitability despite the EBIT challenges.

Balance Sheet

The balance sheet is robust with no total debt and a high equity ratio of 91.2% in 2024, indicating financial stability and low leverage. The return on equity is also impressive at 21.6%, showing effective use of shareholders' funds to generate profit. The increase in total assets and equity over the years further highlights a solid financial position.

Cash Flow

Significant improvement in cash flow is noted, with free cash flow turning positive in 2024. The operating cash flow to net income ratio indicates a healthy conversion of income to cash. However, the cash flow statements show historical volatility, with previous years experiencing negative free cash flows, presenting a risk to consistent liquidity management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	67.97M	71.80M	79.21M	23.44M	69.70M	16.00M
Gross Profit	65.06M	116.81M	70.61M	15.59M	62.71M	10.17M
EBITDA	90.20M	117.26M	80.08M	0.00	0.00	14.90M
Net Income	79.69M	101.79M	69.52M	18.92M	59.99M	13.08M
Balance Sheet
Total Assets	537.88M	516.76M	450.65M	367.13M	348.10M	288.33M
Cash, Cash Equivalents and Short-Term Investments	411.16K	18.64M	341.42K	268.58K	387.09K	732.46K
Total Debt	14.90M	0.00	42.70M	32.00M	23.70M	22.80M
Total Liabilities	60.27M	45.37M	76.07M	57.52M	46.96M	39.17M
Stockholders Equity	477.61M	471.39M	374.57M	309.60M	301.14M	249.17M
Cash Flow
Free Cash Flow	31.05M	65.97M	-6.07M	2.04M	6.78M	16.40M
Operating Cash Flow	31.05M	65.97M	-6.07M	2.04M	6.78M	16.40M
Investing Cash Flow	0.00	64.95M	-2.52M	10.96M	11.81M	21.17M
Financing Cash Flow	-32.18M	-47.67M	6.15M	-2.15M	-7.12M	-16.54M

Urbana Corporation Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 7.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• 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 Positive. The current price of 7.25 is above the 20-day moving average (MA) of 7.02, above the 50-day MA of 6.75, and above the 200-day MA of 6.10, indicating a bullish trend. The MACD of 0.14 indicates Negative momentum. The RSI at 64.30 is Neutral, neither overbought nor oversold. The STOCH value of 79.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:URB.

Urbana Corporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
URB	71 Outperform	C$299.57M	3.79	18.09%	1.79%	-61.99%	-20.09%
Sector *	68 Neutral	$17.56B	11.61	10.34%	3.76%	9.69%	0.41%
GMPXF	―	$206.09M	―	-2.17%	―	―	―
OLY	75 Outperform	C$316.94M	13.71	56.12%	6.86%	-0.31%	-5.26%
STCK	61 Neutral	C$172.03M	4.04	26.91%	―	350.79%	3577.03%
AIM	58 Neutral	C$290.50M	―	0.07%	―	12.18%	93.30%
QRC	55 Neutral	C$356.24M	4.36	-10.45%	2.93%	6.43%	-129.11%

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.