American Aires (WIFI) AI Stock Analysis

• Market Cap: C$4.18M
• Dividend Yield: N/A
• Average Volume (3M): 69.82K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.90
• Revenue Growth: 190.53%
• EPS Growth: -9.41%
• Country: CA
• Employees: 3
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.02
• Shares Outstanding: 104,607,000
• 10 Day Avg. Volume: 94,001
• 30 Day Avg. Volume: 69,820
• PEG Ratio: 0.05
• Price to Book (P/B): 154.79
• Price to Sales (P/S): 1.16
• P/FCF Ratio: -2.33
• 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
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: C$0.05 ▼(-38.75% Downside)

The score is held down primarily by weak financial quality (persistent losses, ongoing cash burn, and negative equity). Technicals provide only modest support (short-term strength but still below longer-term trends), while valuation is constrained by negative earnings and no dividend yield data.

Positive Factors

High Gross Margin

A robust TTM gross margin (~65%) indicates durable product economics and likely pricing power for EMF-protection devices. High gross margins provide a buffer against input-cost inflation and give room to fund marketing and R&D, supporting long-term margin expansion as sales scale.

Revenue Momentum

TTM revenue growth of ~11.36% and a multi-year step-up suggest improving product-market fit and sustained demand for the company’s offerings. Consistent top-line growth supports leveraging fixed costs and creates a path to improved operating leverage over the medium term if trends continue.

Direct-to-Consumer Model

A direct-to-consumer branded sales model gives control over pricing, margins, and customer data. This channel can scale online with lower distribution friction, enabling repeatable unit economics and targeted marketing to build durable customer lifetime value over time.

Negative Factors

Structural Unprofitability

Persistently negative operating and net margins (roughly -33% and -35% TTM) indicate the company is not converting sales into sustainable profits. Structural losses imply the need for meaningful cost discipline, pricing changes, or scale gains; without improvement, long-term viability is at risk.

Cash Burn

Material negative operating and free cash flow (~-$2.8M TTM) and a sharp FCF decline (~-57.7%) show ongoing cash consumption. Weak cash generation increases dependence on external funding, elevates dilution risk, and constrains the company’s ability to invest in growth or weather downcycles.

Fragile Balance Sheet

Negative shareholders' equity (~-$5.6M) with modest absolute debt (~$1.75M) signals a fragile capital structure. Negative equity can impair access to credit, force higher-cost or dilutive financing, and magnify insolvency risk if losses persist, limiting strategic flexibility over the medium term.

American Aires Business Overview & Revenue Model

Company Description

American Aires (WIFI) is a technology company operating in the telecommunications sector. The company focuses on providing innovative solutions for wireless connectivity, catering to both individual consumers and businesses. American Aires is known for delivering high-quality Wi-Fi services and products, aimed at enhancing internet accessibility and improving wireless communication experiences.

How the Company Makes Money

American Aires makes money primarily through the sale of its Wi-Fi products and services. The company's revenue streams include subscription fees from consumers and businesses for access to their wireless services. Additionally, American Aires partners with various technology and telecommunications companies to expand its reach and enhance its service offerings, contributing to its earnings. These partnerships often involve revenue-sharing agreements that further boost the company's income.

American Aires Financial Statement Overview

Summary

Despite improved revenue momentum (TTM revenue up 11.36%) and strong gross margin (~65%), the company remains deeply unprofitable (TTM operating/net margins about -33%/-35%), continues to burn cash (TTM operating/FCF around -$2.8M), and has negative shareholders’ equity (~-$5.6M), indicating elevated financial and funding risk.

Income Statement

Revenue momentum is improving, with TTM (Trailing-Twelve-Months) revenue up 11.36% and a clear multi-year step-up versus 2023 and earlier. Gross profitability is a bright spot (TTM gross margin ~65%), suggesting decent product economics. However, the company remains structurally unprofitable: TTM operating and net margins are deeply negative (roughly -33% and -35%), and losses have persisted across all periods shown—indicating scale and cost discipline still aren’t sufficient to translate growth into earnings.

Balance Sheet

Balance sheet risk is elevated due to negative shareholders’ equity in TTM (Trailing-Twelve-Months) (approximately -$5.6M), which limits financial flexibility and can constrain access to capital on favorable terms. Debt is not large in absolute dollars (about $1.75M TTM), but leverage signals are distorted by the negative equity position and prior periods show meaningful leverage pressure (e.g., 2024 debt-to-equity was very high). Overall, the capital structure looks fragile despite modest absolute debt.

Cash Flow

Cash generation is the weakest area. TTM (Trailing-Twelve-Months) operating cash flow and free cash flow are both materially negative (around -$2.8M), and free cash flow declined sharply versus the prior period (TTM free cash flow growth ~-57.7%). While cash burn improved versus 2024 (which had significantly larger negative operating/free cash flow), the business is still consuming cash, increasing dependence on external funding to sustain operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.37M	18.04M	5.50M	5.82M	2.55M	2.31M
Gross Profit	17.83M	11.27M	2.29M	3.54M	985.41K	701.70K
EBITDA	-8.98M	-8.02M	-3.99M	-2.92M	-5.86M	-7.41M
Net Income	-9.49M	-8.41M	-4.75M	-3.91M	-6.09M	-7.60M
Balance Sheet
Total Assets	3.30M	6.03M	349.46K	1.52M	2.27M	2.12M
Cash, Cash Equivalents and Short-Term Investments	228.73K	1.52M	29.37K	196.10K	275.70K	501.88K
Total Debt	1.75M	755.26K	347.29K	1.78M	763.04K	40.00K
Total Liabilities	8.87M	5.90M	2.44M	3.92M	1.42M	735.87K
Stockholders Equity	-5.56M	134.97K	-2.10M	-2.40M	848.35K	1.39M
Cash Flow
Free Cash Flow	-2.77M	-8.97M	-820.54K	29.90K	-3.04M	-3.99M
Operating Cash Flow	-2.77M	-8.96M	-820.54K	50.34K	-3.03M	-3.99M
Investing Cash Flow	-5.70K	-8.20K	0.00	-19.32K	-12.74K	14.00K
Financing Cash Flow	775.97K	10.20M	653.80K	-110.62K	2.82M	1.28M

American Aires Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.08
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:WIFI, the sentiment is Positive. The current price of 0.08 is above the 20-day moving average (MA) of 0.04, above the 50-day MA of 0.04, and below the 200-day MA of 0.11, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 59.44 is Neutral, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:WIFI.

American Aires Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZTE	76 Outperform	C$11.08M	11.03	18.01%	―	-17.91%	-54.21%
CLS	72 Outperform	$44.02B	39.05	40.49%	―	25.34%	109.17%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
HEAT	48 Neutral	C$16.55M	-2.24	―	―	―	40.24%
WIFI	45 Neutral	C$4.18M	-0.55	―	―	190.53%	-9.41%
EDY	43 Neutral	C$11.55M	-4.13	―	―	26.56%	94.17%
YNV	37 Underperform	C$19.67M	-2.57	-155.37%	―	-21.98%	-32.07%

American Aires Corporate Events

American Aires Partners with Gary Brecka’s Ultimate Human to Boost EMF Wellness Reach

American Aires has entered a one-year collaboration agreement with The Ultimate Human, the wellness brand founded by human biologist and longevity expert Gary Brecka, to introduce Brecka’s global, wellness-focused audience to Aires’ EMF protection solutions and expand awareness of its brand. The partnership leverages The Ultimate Human’s ability to translate complex scientific concepts for mass audiences and complements Aires’ broader strategy of aligning with high-profile partners, including major sports associations and athletes, to build credibility, educate consumers about modern electromagnetic environments, and position its technology as an accessible component of everyday wellness, potentially strengthening its market presence in the wellness and tech-safety space.

The most recent analyst rating on (TSE:WIFI) stock is a Sell with a C$0.03 price target. To see the full list of analyst forecasts on American Aires stock, see the TSE:WIFI Stock Forecast page.

American Aires Inc. Achieves Record Q3 Revenue Amidst Strategic Marketing Investments

American Aires Inc. reported a record Q3 2025 revenue of $7.4 million, marking a 61% year-over-year sales growth, driven by increased spending on social media and affiliate relationships. Despite the revenue growth, the company faced an adjusted EBITDA loss of $1.46 million, attributed to higher advertising and marketing expenses. The company aims to preserve cash and stabilize operations amidst liquidity challenges that could impact future sales and operations. The increase in gross profit and margin was achieved through strategic cost reductions, while marketing partnerships with major sports organizations have bolstered sales momentum.