WildBrain (WILD) AI Stock Analysis

• Market Cap: C$245.70M
• Dividend Yield: N/A
• Average Volume (3M): 118.77K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.15
• Revenue Growth: 16.65%
• EPS Growth: 1.41%
• Country: CA
• Employees: 548
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.09
• Shares Outstanding: 213,653,800
• 10 Day Avg. Volume: 63,254
• 30 Day Avg. Volume: 118,773
• PEG Ratio: 0.27
• Price to Book (P/B): -4.88
• Price to Sales (P/S): 0.83
• P/FCF Ratio: 4.37
• 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: C$2.00
• Price Target Upside: 73.91% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): -0.32
• Revenue Forecast (FY): C$286.52M

• Rating: 43 Neutral
• Price Target: C$1.00 ▼(-13.04% Downside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is weighed down primarily by weak financial performance driven by declining revenue, ongoing net losses, and a stressed capital structure (negative equity and high debt), partially offset by positive free cash flow. Technicals further pressure the score with the stock trading below major moving averages and negative MACD. Valuation provides limited support due to a negative P/E and no dividend yield data.

Positive Factors

Strong cash generation

Consistent positive operating cash flow and sizable free cash flow provide durable liquidity despite accounting losses. That cash can fund content production, service working capital, support debt servicing or selective investment without immediate reliance on equity markets.

High gross margins

A roughly 46% gross margin reflects favorable economics on content licensing and distribution. Durable gross margins give WildBrain room to cover SG&A and production costs and improve leverage as revenues recover, supporting sustainable profitability over time.

Diversified IP monetization

A multi-channel IP model—production fees, distribution/licensing, consumer products, digital advertising and partnerships—creates complementary revenue streams. Structural diversification reduces single-window dependence and stabilizes cash flows across content cycles.

Negative Factors

Stressed capital structure

Negative equity combined with sizable debt materially reduces financial flexibility. This raises refinancing and covenant risk, can force asset sales or dilutive capital raises, and constrains the firm's ability to invest steadily in new content or strategic initiatives.

Ongoing losses, thin operating margins

Persistent net losses and a low EBITDA margin indicate limited current earnings power and weak operating leverage. Until margins sustainably improve, the company may struggle to self-fund growth and remains sensitive to rising content or distribution costs.

Revenue decline and FCF volatility

A near-10% TTM revenue decline plus a meaningful drop in free cash flow highlights volatility in top-line monetization and cash conversion. Reduced predictability of cash inflows limits capacity for deleveraging or consistent content investment over the medium term.

WildBrain Business Overview & Revenue Model

Company Description

WildBrain Ltd. develops, produces, and distributes films and television programs worldwide. The company operates through two segments, Content Business and Canadian Television Broadcasting. It focuses on children and family content, including animated series; and provides production services, as well as operates children's channels on YouTube. The company also licenses initial broadcasting rights of new proprietary series or pre-sells shows that are in development to individual broadcasters, streaming services, and other media platforms; and re-licenses rights of existing series in the library or packages of programs of its own proprietary titles, as well as third-party produced titles. In addition, it holds broadcast licenses for Family Channel, Family Jr., Télémagino, and Family CHRGD television channels; and operates as entertainment, sport, and brand licensing agency for the company's own and third party brands. Further, the company licenses its brands, such as Peanuts, Strawberry Shortcake, Chip and Potato, Teletubbies, Yo Gabba Gabba!, Caillou, Johnny Test, In the Night Garden, Twirlywoos, Mattel on Bob the Builder, Fireman Sam, Little People, and Polly Pocket, as well as music publishing and retransmission rights, and live tours. It offers its films and television programs for streaming services; and conventional and specialty terrestrial and cable/satellite television broadcasters, as well as for other media platforms and digital providers. The company was formerly known as DHX Media Ltd. and changed its name to WildBrain Ltd. in December 2019. WildBrain Ltd. was incorporated in 2004 and is headquartered in Halifax, Canada.

How the Company Makes Money

WildBrain primarily makes money by monetizing children’s and family IP across several complementary revenue streams. (1) Content production revenue: it earns fees and related income from producing television series and other content, including service work and productions tied to owned or third-party brands. (2) Distribution and licensing revenue: it sells or licenses rights to its library and new programming to broadcasters, cable networks, and streaming platforms across territories and windows (e.g., initial license, renewals, and secondary-window deals). These agreements can include minimum guarantees and performance-based components depending on contract structure; specific contract terms vary by deal. (3) Consumer products, licensing, and brand royalties: it generates royalties by licensing characters and brands for merchandise (toys, apparel, publishing, games, etc.) and by participating in broader brand-extension programs; revenue depends on retail sales and licensee relationships. (4) Digital/AVOD and platform monetization: through its presence on major video platforms and its own channel/network operations, it earns advertising revenue and/or platform fees tied to viewership and inventory. (5) Partnerships and financing: the company can benefit from co-productions, distribution partnerships, and other financing arrangements that help fund content creation and expand global reach; details of specific arrangements are deal-dependent.

WildBrain Financial Statement Overview

Summary

Income statement is weak (revenue down ~9.8% TTM, net losses with ~-18.8% net margin, low ~4% EBITDA margin). Cash flow is a relative strength (positive operating cash flow and free cash flow), but declining free cash flow (~-29% vs prior period) and a stressed balance sheet (negative equity and sizable debt) materially increase risk and cap the score.

Income Statement

TTM (Trailing-Twelve-Months) revenue declined ~9.8%, signaling a weaker top-line trajectory versus the prior annual period. Profitability is mixed: gross margin remains solid (~46%), but the company is still reporting net losses (TTM net margin ~-18.8%) and relatively low EBITDA margin (~4%), indicating limited earnings power after operating costs. The trend is improving versus deeper losses in prior years, but consistent profitability has not yet been re-established.

Balance Sheet

The balance sheet is the key weak spot: stockholders’ equity is negative in the latest periods (TTM and FY2025), which materially reduces financial flexibility and increases refinancing risk. Total debt remains high (~$610M TTM) relative to the asset base, and the negative equity position makes leverage metrics unfavorable and harder to interpret in a conventional way. While total assets are sizable (~$1.0B TTM), the capital structure is stressed until equity is rebuilt or debt is reduced.

Cash Flow

Cash generation is a relative strength: TTM operating cash flow (~$91M) and free cash flow (~$88M) are positive and substantial despite net losses, providing near-term liquidity support. However, free cash flow fell meaningfully versus the prior annual period (TTM free cash flow growth ~-29%), pointing to some volatility in cash conversion. Overall, cash flow quality is better than earnings, but the recent decline is a watch item.

Breakdown	TTM	Jun 2025	Jun 2024	Jun 2023	Jun 2022	Jun 2020
Income Statement
Total Revenue	491.75M	523.36M	461.82M	532.87M	507.22M	452.53M
Gross Profit	229.81M	215.51M	221.11M	241.53M	221.56M	194.89M
EBITDA	80.39M	42.64M	-11.47M	78.08M	107.04M	94.50M
Net Income	-27.84M	-89.81M	-105.97M	-45.55M	5.64M	-7.08M
Balance Sheet
Total Assets	1.01B	937.34M	1.05B	1.21B	1.22B	1.13B
Cash, Cash Equivalents and Short-Term Investments	69.21M	68.87M	49.72M	80.35M	59.90M	78.43M
Total Debt	610.34M	574.06M	607.59M	619.92M	633.70M	591.63M
Total Liabilities	860.39M	772.30M	806.71M	888.66M	903.77M	824.99M
Stockholders Equity	-119.35M	-88.67M	-10.74M	76.04M	79.43M	68.59M
Cash Flow
Free Cash Flow	88.11M	98.94M	70.98M	85.78M	22.56M	99.43M
Operating Cash Flow	91.43M	100.36M	73.60M	94.19M	33.10M	105.68M
Investing Cash Flow	-3.53M	2.41M	-6.14M	-8.40M	-10.84M	-15.16M
Financing Cash Flow	-82.45M	-83.75M	-98.13M	-73.27M	-46.13M	-79.24M

WildBrain Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.15
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:WILD, the sentiment is Negative. The current price of 1.15 is below the 20-day moving average (MA) of 1.29, below the 50-day MA of 1.34, and below the 200-day MA of 1.67, indicating a bearish trend. The MACD of -0.05 indicates Positive momentum. The RSI at 36.09 is Neutral, neither overbought nor oversold. The STOCH value of 10.56 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:WILD.

WildBrain Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
CGX	47 Neutral	C$607.35M	453.21	―	―	18.50%	31.15%
BAMI	46 Neutral	C$590.80M	-0.08	-72.77%	―	-59.51%	-545.36%
WILD	43 Neutral	C$245.70M	-224.02	―	―	16.65%	1.41%
CJR.B	41 Neutral	C$5.98M	-0.16	―	―	-11.27%	57.50%

WildBrain Corporate Events

WildBrain Sells Peanuts Stake to Sony and Wipes Out Term Debt

WildBrain has completed the sale of its 41% stake in Peanuts Holdings to Sony for CA$630 million in cash, a move that significantly reshapes its balance sheet and strategic focus. The transaction leaves Sony with 80% ownership of the Peanuts brand alongside the Schulz family’s 20% stake, while Peanuts Worldwide will continue to manage the IP and business operations.

Following the deal, WildBrain has fully repaid its Senior Secured Credit Facility, eliminating corporate term debt and retaining more than $40 million in cash, which enhances its financial flexibility. The company plans to deploy this strengthened position to accelerate growth in its wholly owned franchises, expand its global licensing arm and digital advertising network, and invest in technology and automation to improve efficiency and operating leverage.

The most recent analyst rating on (TSE:WILD) stock is a Sell with a C$1.50 price target. To see the full list of analyst forecasts on WildBrain stock, see the TSE:WILD Stock Forecast page.

WildBrain boosts licensing growth as Peanuts sale drives major balance-sheet reset

WildBrain reported solid second-quarter performance for the period ended December 31, 2025, with revenue from continuing operations rising 11% to $72.4 million and adjusted EBITDA up 30% to $14.9 million, while the net loss narrowed sharply to $20.1 million. Discontinued operations, primarily reflecting the Peanuts business, generated $131.8 million in revenue, an 83% increase driven by a major Apple TV library renewal deal, alongside a 54% gain in adjusted EBITDA to $22.6 million.

The company highlighted strong growth in its Global Licensing division, where revenue climbed 24% year over year on the strength of brands like Strawberry Shortcake and Teletubbies, and it noted fresh momentum in original content with Netflix’s Finding Her Edge renewed for a second season and Yo Gabba GabbaLand! launching Season 2 on Apple TV. Management framed the planned sale of WildBrain’s 41% stake in Peanuts and the wind-down of its Canadian television broadcasting unit as key steps in a broader transformation to eliminate debt, simplify the business model and redirect capital toward scalable, high-margin opportunities, even as formal fiscal 2026 guidance remains on pause during this transition.

The most recent analyst rating on (TSE:WILD) stock is a Hold with a C$2.00 price target. To see the full list of analyst forecasts on WildBrain stock, see the TSE:WILD Stock Forecast page.