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Avante Logixx (TSE:XX)
:XX
Canadian Market
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Avante Logixx (XX) AI Stock Analysis

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TSE:XX

Avante Logixx

(XX)

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Neutral 48 (OpenAI - 4o)
Rating:48Neutral
Price Target:
C$1.00
▲(16.28% Upside)
The overall stock score is primarily influenced by financial performance concerns, with ongoing profitability and cash flow challenges. Technical analysis provides some positive momentum, but valuation remains a significant downside due to negative earnings and lack of dividends. The absence of earnings call and corporate events data limits additional insights.

Avante Logixx (XX) vs. iShares MSCI Canada ETF (EWC)

Avante Logixx Business Overview & Revenue Model

Company DescriptionAvante Logixx Inc., through its subsidiaries, provides security services to residential clients in Canada. The company offers protective services, which includes guarding, patrol and rapid response, intelligent perimeter protection, secure transport, and international security travel advisory and transport; and electronic security services comprise home security services including system design, access control, and video and systems installation and service. It also provides monitoring and manages services comprising alarm and video monitoring, analytics, verification, and electronic building management. The company was formerly known as Avante Security Corp. and changed its name to Avante Logixx Inc. in October 2010. Avante Logixx Inc. is based in Toronto, Canada.
How the Company Makes MoneyAvante Logixx generates revenue through multiple key streams, including service fees from transportation and logistics services, subscription fees for its software solutions, and consulting services for supply chain optimization. The company often enters into strategic partnerships with other technology firms to integrate cutting-edge solutions into its offerings, further enhancing its value proposition. Additionally, long-term contracts with clients in diverse sectors such as retail, manufacturing, and e-commerce provide a stable revenue base, while tailored solutions allow for premium pricing on specialized services.

Avante Logixx Earnings Call Summary

Earnings Call Date:Aug 26, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 26, 2025
Earnings Call Sentiment Positive
The earnings call presented a positive outlook with significant revenue growth, improved profitability, and strategic advancements in technology and services. The company is well-positioned financially and operationally, though it faces integration challenges with recent acquisitions and a temporary decline in cash balance.
Q2-2025 Updates
Positive Updates
Significant Revenue Growth
Quarterly revenues increased by 52% year-over-year, reaching $8.1 million during Q2 2025 compared to $5.3 million in Q2 2024.
Gross Profit and Margin Improvement
Gross profit increased by 64% to $3.5 million in Q2 2025 from $2.1 million in Q2 2024, with gross margin improving to 43% from 39.7%.
Positive Adjusted EBITDA
Adjusted EBITDA grew by 49% in Q2 fiscal 2025, with a consistent gain from continuing operations of $338,000 compared to $277,000 in Q2 2024.
Bank Debt-Free Status
Avante is now bank debt-free, with $12 million available in undrawn credit facilities, positioning it in a strong financial state.
Expansion of Proprietary Technologies
Deployment of proprietary Halo technology in over 160 locations, with plans for further enhancements and integration of new tech-enabled products.
High Client Retention
Maintained a minimum of 98% client retention and renewal, demonstrating strong client satisfaction and trust.
Negative Updates
Decline in Cash Balance
The company's cash balance declined due to onetime costs and large prepayments, alongside a settlement with a former executive impacting cash.
Integration Challenges with NSSG
The integration of NSSG faced challenges primarily due to time constraints, with full integration expected after new back-end implementation.
Company Guidance
During the earnings call for Avante's second quarter of fiscal 2025, Emmanuel Mounouchos and Raj Kapoor provided detailed guidance on the company's financial and strategic outlook. Avante achieved a 52% year-over-year increase in quarterly revenue, reaching $8.1 million, with a gross profit increase of 64% to $3.5 million, and a gross margin of 43%. The company's adjusted EBITDA grew by 49%, and recurring monthly revenue surged by 29%, driven by the successful NSSG acquisition. Avante's financial health was highlighted by being bank debt-free and having $12 million in undrawn credit facilities. The company's strategic focus is on expanding its high net worth residential services, leveraging NSSG for comprehensive offerings, and scaling its proprietary technologies like Halo and Avante Verified. Avante's future growth trajectory is supported by a strong cash position, strategic reinvestments, and a commitment to innovation.

Avante Logixx Financial Statement Overview

Summary
Avante Logixx is experiencing revenue growth, but profitability and cash flow remain areas of concern. The company maintains a low leverage position, which is a positive aspect, but it struggles with negative returns on equity and insufficient cash generation. Overall, the financial health of the company suggests a need for strategic improvements to enhance profitability and cash flow stability.
Income Statement
45
Neutral
Avante Logixx has shown some revenue growth, with a 6.59% increase in the latest year. However, profitability remains a concern with negative net profit margins and EBIT margins, indicating ongoing operational challenges. The gross profit margin is relatively healthy at 39.27%, suggesting some efficiency in cost management, but the negative net income highlights the need for improved profitability.
Balance Sheet
50
Neutral
The company has a low debt-to-equity ratio of 0.11, indicating a conservative leverage position, which is a positive aspect. However, the return on equity is negative, reflecting challenges in generating returns for shareholders. The equity ratio is moderate, suggesting a balanced capital structure, but the negative ROE points to inefficiencies in utilizing equity capital.
Cash Flow
40
Negative
Cash flow from operations has improved but remains low relative to net income, with a ratio of 0.045. Free cash flow is negative, although it has shown significant growth from the previous year. The negative free cash flow to net income ratio indicates that the company is not generating sufficient cash to cover its net losses, highlighting liquidity concerns.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue33.76M33.76M24.95M19.96M18.16M91.72M
Gross Profit13.26M13.26M2.68M8.12M7.85M20.83M
EBITDA279.04K279.04K-1.06M-1.62M-3.90M-2.80M
Net Income-2.04M-2.03M-3.03M32.31K-4.39M-2.90M
Balance Sheet
Total Assets23.05M23.05M25.17M25.58M42.94M44.11M
Cash, Cash Equivalents and Short-Term Investments4.72M4.72M6.03M10.11M354.08K1.62M
Total Debt1.36M1.36M1.47M2.13M9.71M13.92M
Total Liabilities10.29M10.29M11.66M8.80M26.89M32.47M
Stockholders Equity12.56M12.56M13.53M16.78M16.05M11.63M
Cash Flow
Free Cash Flow-558.89K-538.58K-1.00M-4.71M1.70M2.96M
Operating Cash Flow280.50K336.03K-763.71K-3.76M1.82M3.97M
Investing Cash Flow-673.09K-673.09K-1.92M23.02M-801.21K213.02K
Financing Cash Flow-859.34K-914.88K-1.39M-9.50M-177.65K-3.90M

Avante Logixx Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.86
Price Trends
50DMA
0.83
Positive
100DMA
0.87
Negative
200DMA
1.00
Negative
Market Momentum
MACD
<0.01
Positive
RSI
53.12
Neutral
STOCH
42.06
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:XX, the sentiment is Positive. The current price of 0.86 is above the 20-day moving average (MA) of 0.86, above the 50-day MA of 0.83, and below the 200-day MA of 1.00, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 53.12 is Neutral, neither overbought nor oversold. The STOCH value of 42.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:XX.

Avante Logixx Peers Comparison

Overall Rating
UnderperformOutperform
Sector (55)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
C$510.96M271.913.12%72.90%493.33%
61
Neutral
C$197.33M-80.5110.97%-3.41%-151.98%
59
Neutral
C$49.78M-249.540.92%4.41%-3.04%-134.82%
48
Neutral
C$23.05M-14.50%26.01%41.58%
46
Neutral
C$19.44M-0.331157.00%113.56%31.13%
55
Neutral
$13.29B17.4210.03%0.93%7.13%-12.93%
* Services Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:XX
Avante Logixx
0.86
0.03
3.61%
TSE:ZDC
Zedcor Energy Inc
4.84
2.56
112.28%
TSE:GSI
Gatekeeper Systems
1.90
1.31
222.03%
TSE:SECU
SSC Security Services
2.72
0.31
12.63%
TSE:SCAN
Liberty Defense Holdings
0.27
-0.63
-70.00%
TSE:VTX
Vertex Resource Group Ltd.
0.25
0.00
0.00%

Avante Logixx Corporate Events

Business Operations and StrategyFinancial Disclosures
Avante Corp. Reports Strong First Quarter Growth and Positive Outlook
Positive
Aug 26, 2025

Avante Corp. reported an 11% year-over-year revenue growth and a 25% increase in Recurring Monthly Revenue for the first fiscal quarter ending June 30, 2025. The company’s strong performance was driven by a 126% increase in NSSG revenue and robust demand for its tech-enabled security solutions. Avante achieved positive net income and maintained a strong balance sheet with no bank debt, positioning itself for sustainable growth and long-term shareholder value.

The most recent analyst rating on (TSE:XX) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Avante Logixx stock, see the TSE:XX Stock Forecast page.

Financial Disclosures
Avante Corp to Host Investor Webinar on Fiscal First Quarter Results
Neutral
Aug 20, 2025

Avante Corp Inc. announced an upcoming investor webinar scheduled for August 27, 2025, where the company will provide a corporate update and discuss its fiscal first-quarter results. The webinar will be hosted by CEO Emmanuel Mounouchos and CFO Raj Kapoor, reflecting Avante’s commitment to transparency and engagement with its stakeholders.

The most recent analyst rating on (TSE:XX) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Avante Logixx stock, see the TSE:XX Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Avante Corp. Reports Strong Fiscal 2025 Results with Significant Revenue Growth
Positive
Jul 29, 2025

Avante Corp. reported a strong financial performance for fiscal 2025, with a 35% increase in revenue and a 20% rise in Adjusted EBITDA, driven by growth in their Protective Services and Avante Black divisions. The company remains optimistic about fiscal 2026, focusing on innovation and expanding their recurring revenue base, supported by a robust balance sheet and strategic investments in their tech-enabled platforms.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Sep 28, 2025