Top Strike Resources (VENI) AI Stock Analysis

• Market Cap: C$1.39M
• Dividend Yield: N/A
• Average Volume (3M): 24.13K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.70
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: CA
• Employees: 4
• Sector: Healthcare
• Sector Strength: 51
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): N/A
• Shares Outstanding: 222,644,960
• 10 Day Avg. Volume: 0
• 30 Day Avg. Volume: 24,133
• 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: 40 Underperform
• Price Target: ―

Top Strike Resources is facing considerable financial difficulties, including declining revenues and negative cash flows, which significantly impact its overall stock score. The technical analysis shows some short-term upward momentum, but also signals overbought conditions, warranting caution. The negative P/E ratio suggests valuation concerns, with no dividend yield adding to the uncertainty. The overall stock score reflects these challenges, indicating potential risks for investors.

Positive Factors

Market Expansion

Expanding into new markets like New Jersey can increase revenue streams and strengthen the company's competitive position in the cannabis industry.

Operational Efficiency

Improving operational efficiency through cost reductions can lead to better profit margins and financial stability over the long term.

Strategic Partnerships

Strategic partnerships enhance market reach and provide access to new opportunities, potentially driving long-term growth in the cannabis sector.

Negative Factors

Profitability Challenges

Negative margins indicate operational inefficiencies and challenges in achieving profitability, which can affect long-term financial health and investor confidence.

Negative Cash Flow

Negative cash flow suggests liquidity issues, potentially hindering the company's ability to fund operations and invest in growth without external financing.

Declining Revenue

A sharp decline in revenue indicates challenges in maintaining sales growth, which can impact long-term profitability and market position.

Top Strike Resources Business Overview & Revenue Model

Company Description

Vencanna Ventures Inc. engages in the provision of capital for early-stage global cannabis initiatives. The company was founded on October 4, 1989 and is headquartered in Calgary, Canada.

How the Company Makes Money

Top Strike Resources makes money through its strategic investments and partnerships within the cannabis industry. By identifying and investing in promising cannabis ventures, the company aims to generate revenue through the appreciation of its investments and potential dividends from profitable partnerships. Its business model revolves around deploying capital in high-growth segments of the cannabis market, including cultivation, production, and retail, where they can gain significant returns. Key factors contributing to its earnings include the performance of its investment portfolio and market dynamics within the cannabis sector.

Top Strike Resources Financial Statement Overview

Summary

Top Strike Resources faces significant financial challenges characterized by declining revenues, negative profitability, and cash flow struggles. While the balance sheet reflects some stability, with a moderate debt-to-equity ratio, the company's ability to generate positive cash flow and return to profitability remains uncertain. Strategic initiatives may be needed to enhance operational efficiency and improve financial performance.

Income Statement

Top Strike Resources shows inconsistent revenue performance with a TTM (Trailing-Twelve-Months) revenue of $3.38 million, significantly lower than the previous annual revenue of $10.03 million. This indicates a sharp decline in sales. The gross profit margin for TTM is approximately 23.4%, but the company suffers from negative EBIT and EBITDA margins, highlighting operational inefficiencies. The net profit margin is also negative due to the net loss, reflecting struggles in achieving profitability.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, but its equity has decreased over time. With total assets of $6.63 million and stockholders' equity of $4.55 million in TTM, the equity ratio stands at about 68.6%, indicating a reasonable level of financial stability. However, the declining equity and increase in net debt raise concerns about future financial flexibility.

Cash Flow

Operating cash flow is negative, and the company experiences negative free cash flow growth, indicating challenges in generating cash from operations. The free cash flow to net income ratio is negative due to consistent losses. These factors suggest liquidity concerns and potential difficulties in funding operations without external financing.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.01M	4.01M	10.03M	99.47K	248.47K	369.64K
Gross Profit	386.94K	386.94K	―	98.53K	247.22K	368.58K
EBITDA	-3.03M	-3.03M	―	-631.08K	-495.71K	-1.24M
Net Income	-3.86M	-3.86M	―	-826.96K	-794.51K	-1.46M
Balance Sheet
Total Assets	5.61M	5.61M	11.56M	9.27M	9.75M	10.01M
Cash, Cash Equivalents and Short-Term Investments	598.22K	598.22K	2.55M	5.18M	6.64M	723.94K
Total Debt	2.07M	2.07M	2.71M	2.28M	138.15K	1.58M
Total Liabilities	3.57M	3.57M	5.07M	2.81M	2.47M	2.09M
Stockholders Equity	3.71M	3.71M	7.49M	6.45M	7.28M	7.92M
Cash Flow
Free Cash Flow	-1.33M	-1.33M	-938.34K	―	5.92M	-3.05M
Operating Cash Flow	-926.70K	-926.70K	-765.73K	-1.56M	5.92M	-3.05M
Investing Cash Flow	-440.87K	-440.87K	-383.10K	―	―	0.00
Financing Cash Flow	-560.51K	-560.51K	-126.26K	―	-4.18K	26.92K

Top Strike Resources Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.01
• 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:VENI, the sentiment is Negative. The current price of 0.01 is below the 20-day moving average (MA) of 0.01, below the 50-day MA of 0.01, and below the 200-day MA of 0.01, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.28 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:VENI.

Top Strike Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	51 Neutral	$8.02B	-0.39	-43.38%	2.20%	22.34%	-2.13%
VENI	40 Underperform	C$1.39M	―	-21.61%	―	―	―
WIB	―	C$1.96M	―		―	―	―
THCBF	―	$2.37M	―		―	―	―
BHHKF	―	$1.91M	―		―	―	―
XBRA	49 Neutral	C$375.91K	―	-542.08%	―	-100.00%	43.66%
AION	31 Underperform	C$2.42M	―		―	563.34%	-68.82%

Top Strike Resources Corporate Events

Vencanna Ventures Reports Financial Results and Strategic Updates Post-Cannavative Acquisition

Vencanna Ventures reported its interim financial results for the three months ending January 31, 2025, highlighting a strategic shift following its acquisition of The Cannavative Group. The company has been focusing on operational efficiencies and cost reductions, including moving to a smaller facility in Nevada to better align with its product focus on pre-rolls. In New Jersey, Vencanna is advancing its presence with new cultivation and retail sites. Despite a decrease in revenue, the company achieved a higher gross profit due to reduced costs, although it reported a comprehensive loss primarily due to expenses related to the Cannavative acquisition and facility relocation.