Auxly Cannabis Group (XLY) AI Stock Analysis

• Market Cap: $195.50M
• Dividend Yield: N/A
• Average Volume (3M): 928.53K
• Price to Earnings (P/E): 6.7
• Beta (1Y): 2.70
• Revenue Growth: 27.24%
• EPS Growth: N/A
• Country: CA
• Employees: 388
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): <0.01
• Shares Outstanding: 1,348,261,100
• 10 Day Avg. Volume: 1,008,697
• 30 Day Avg. Volume: 928,531
• 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: 0.98
• Enterprise Value/Revenue: 1.37
• Enterprise Value/Gross Profit: 2.52
• Enterprise Value/Ebitda: 4.87
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: C$0.00 ▼(-100.00% Downside)

Auxly Cannabis Group's stock score is primarily driven by its improving financial performance and strong technical indicators. The company's undervalued P/E ratio further supports a positive outlook. However, ongoing net losses and the absence of a dividend yield are notable risks. The lack of recent earnings call data and corporate events limits additional insights.

Auxly Cannabis Group Business Overview & Revenue Model

Company Description

Auxly Cannabis Group Inc. operates as a consumer-packaged goods company in the cannabis products market in Canada. The company focuses on developing, manufacturing, and distributing cannabis products for wellness and recreational consumers. It offers cannabis products under various forms, including vape catridges, dried flower, concentrates, chocolates, soft chews, oil drops, capsules, topicals, and hard candy under the brands KOLAB PROJECT, Dosecann, BACK FORTY, and Foray. The company was formerly known as Cannabis Wheaton Income Corp. and changed its name to Auxly Cannabis Group Inc. in June 2018. Auxly Cannabis Group Inc. was incorporated in 1987 and is based in Toronto, Canada.

How the Company Makes Money

Auxly generates revenue primarily through the sale of cannabis products to both consumers and licensed retailers. The company has established key revenue streams through its cultivation facilities, which produce a variety of cannabis strains for the market. Additionally, Auxly's partnerships with other cannabis firms allow it to expand its product offerings and distribution networks, enhancing its market presence. Significant collaborations, such as those with established retail chains and other cannabis producers, further contribute to its revenue by enabling wider access to its products. The company also benefits from value-added products, including infused edibles and concentrates, which often carry higher profit margins compared to traditional flower sales.

Auxly Cannabis Group Financial Statement Overview

Summary

Auxly Cannabis Group is showing financial improvement with revenue growth and stronger cash flow. However, ongoing net losses and zero EBIT remain concerns, despite better operational efficiency and leverage management.

Income Statement

Auxly Cannabis Group has shown a positive revenue growth trend, with a recent increase from $101 million in 2023 to $122 million in 2024. However, despite improved gross profit margins, the company is still experiencing net losses, which affects the net profit margin negatively. The EBITDA margin has turned positive, indicating some operational improvements, but the absence of EBIT margin due to zero EBIT is a concern.

Balance Sheet

The company has improved its equity position, with shareholder equity increasing significantly from 2023 to 2024. The debt-to-equity ratio has improved as well, indicating better leverage management. However, the equity ratio shows room for improvement, reflecting moderate financial stability amidst high total liabilities.

Cash Flow

Auxly Cannabis Group has exhibited strong free cash flow growth, with free cash flow growing from $6.61 million in 2023 to $14.02 million in 2024. The operating cash flow to net income ratio is positive, showing that the company is generating cash from operations despite net losses. The improvement in free cash flow to net income ratio reflects better cash flow management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	139.38M	122.33M	101.08M	94.47M	83.83M	50.80M
Gross Profit	75.92M	59.93M	21.28M	17.92M	19.29M	11.14M
EBITDA	39.35M	24.38M	-10.82M	-93.40M	-13.64M	-57.18M
Net Income	28.08M	-16.35M	-44.51M	-130.29M	-45.91M	-87.43M
Balance Sheet
Total Assets	258.49M	261.53M	261.90M	331.82M	450.42M	378.96M
Cash, Cash Equivalents and Short-Term Investments	17.17M	18.50M	15.75M	14.78M	14.89M	21.50M
Total Debt	61.59M	68.47M	159.04M	193.59M	190.10M	124.68M
Total Liabilities	121.08M	145.87M	210.86M	246.13M	242.31M	187.43M
Stockholders Equity	137.41M	115.66M	51.05M	90.41M	212.52M	195.94M
Cash Flow
Free Cash Flow	19.98M	14.02M	6.61M	-11.67M	-50.01M	-53.86M
Operating Cash Flow	21.69M	16.78M	8.21M	-2.48M	-49.63M	-33.13M
Investing Cash Flow	-1.61M	-445.00K	-1.56M	1.18M	17.33M	-14.53M
Financing Cash Flow	-17.31M	-13.59M	-5.68M	1.18M	26.40M	24.74M

Auxly Cannabis Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:XLY, the sentiment is Positive. The current price of 0.16 is above the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.15, and above the 200-day MA of 0.10, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 63.80 is Neutral, neither overbought nor oversold. The STOCH value of 88.89 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:XLY.

Auxly Cannabis Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DB	―	$74.97M	5.00	22.76%	―	-0.53%	―
XLY	―	$195.50M	6.71	22.40%	―	27.24%	―
EPIC	―	C$53.57M	30.74	6.23%	―	34.71%	―
OGI	―	C$304.92M	75.67	1.86%	―	38.86%	―
Sector *	―	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
HLS	―	C$175.14M	―	-20.58%	―	-1.42%	35.15%
LABS	―	$31.56M	-3.59	-19.58%	―	17.74%	37.61%

Auxly Cannabis Group Corporate Events

Auxly Cannabis Group Repays $5 Million Loan, Strengthening Financial Position

Auxly Cannabis Group Inc. announced the full repayment of its $5 million inventory loan to GrassHopper Capital Inc., using cash on hand. This repayment is expected to save the company approximately $900,000 in annualized interest expenses, allowing Auxly to strategically allocate capital towards organic growth investments and strengthening its balance sheet, thereby enhancing its financial stability and operational leverage.

Auxly Cannabis Group to Present at Toronto’s Planet MicroCap Showcase

Auxly Cannabis Group Inc. announced its participation in the Planet MicroCap Showcase in Toronto, where CEO Hugo Alves will present and engage with investors. This event is part of Auxly’s strategy to strengthen its market presence and connect with potential investors, reflecting its commitment to growth and leadership in the cannabis industry.

Auxly Cannabis Group Reports Strong Q2 2025 Growth

Auxly Cannabis Group Inc., a prominent player in the Canadian cannabis market, specializes in consumer packaged goods, offering a range of cannabis products. In its second quarter of 2025, Auxly reported significant financial growth with net revenues reaching $38.8 million, a 33% increase from the previous year. The company also achieved a gross margin of 52% and a net income of $8.3 million, marking a substantial 315% rise year-over-year. Auxly’s strategic initiatives included amending senior debt and converting Imperial Brands’ debt into equity, which strengthened its financial position. The company maintained its status as the third-largest Canadian Licensed Producer with a 6.2% market share, and its brand Back Forty emerged as the top cannabis brand in Canada. Looking ahead, Auxly remains focused on sustainable growth, leveraging its market leadership and operational efficiencies to enhance financial performance and expand its presence in international markets.

Auxly Cannabis Group Reports Strong Q2 2025 Financial Results

Auxly Cannabis Group reported a robust financial performance for the second quarter of 2025, with net revenues increasing by 33% year-over-year to $38.8 million and a significant increase in net income by 315% to $8.3 million. The company also improved its gross margin to 52% and achieved an adjusted EBITDA of $11.6 million, reflecting a 123% increase. The company has strengthened its balance sheet by amending senior debt and converting remaining debt into equity, which reduces interest expenses and supports long-term growth. Auxly’s market leadership is reinforced by its top-selling cannabis brands and products, and the company aims to continue leveraging its scale to deliver sustainable financial performance.

Auxly Cannabis Group to Release Q2 2025 Financial Results

Auxly Cannabis Group Inc. announced it will release its second quarter and six-month financial results for 2025 on August 14, 2025. Notably, the company will not conduct an earnings conference call and does not plan to reinstate such calls until further notice, which may impact investor engagement and transparency.