CHAR Technologies (YES) AI Stock Analysis

• Market Cap: C$29.66M
• Dividend Yield: N/A
• Average Volume (3M): 102.53K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.01
• Revenue Growth: 25.24%
• EPS Growth: 34.24%
• Country: CA
• Employees: N/A
• Sector: Technology
• Sector Strength: 84
• Industry: Waste Management
• EPS (TTM): -0.01
• Shares Outstanding: 128,956,150
• 10 Day Avg. Volume: 114,279
• 30 Day Avg. Volume: 102,535
• PEG Ratio: -0.41
• Price to Book (P/B): 12.45
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -4.34
• 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: 58 Neutral
• Price Target: C$0.00 ▼(-100.00%Downside)

CHAR Technologies' stock score is primarily driven by its positive corporate events and technical analysis. The strategic partnerships and financing efforts bolster its growth potential in renewable energy, while technical indicators suggest bullish momentum. However, significant financial challenges and negative valuation metrics weigh down the overall score.

CHAR Technologies Business Overview & Revenue Model

Company Description

CHAR Technologies Ltd., a cleantech development and services company, engages in the conversion of organic waste into clean energy and biocarbon products. It offers SulfaCHAR, an activated biochar designed and developed to capture noxious hydrogen sulfide; Cleanfyre, a form of bio coal that allows large industrial users to switch from heavy greenhouse gas (GHG) emission fossil coal to GHG-neutral bio coal; and equipment for industrial water treatment. The company also provides environmental compliance and management, site investigation and remediation, engineering, and resource efficiency services. It serves food and beverage, industrial, and renewable gas project customers. CHAR Technologies Ltd. was founded in 2011 and is headquartered in Toronto, Canada.

How the Company Makes Money

CHAR Technologies generates revenue primarily through the sale of its renewable energy products and services. The company monetizes its high-temperature pyrolysis technology by offering solutions that convert organic waste into valuable outputs like renewable natural gas and biocarbon. Key revenue streams include the sale of these renewable gases to industrial clients and energy companies, as well as the sale of biocarbon for use in soil amendment, water filtration, and as a carbon-neutral fuel source. Additionally, CHAR Technologies may engage in strategic partnerships with other companies to expand its market reach and enhance its technology offerings, contributing to its revenue growth.

CHAR Technologies Financial Statement Overview

Summary

CHAR Technologies faces significant financial challenges, with persistent losses, high leverage, and cash flow constraints. While revenue has grown, profitability and cash generation remain critical areas for improvement. The company's ability to manage debt and improve operational efficiency is crucial for its financial health.

Income Statement

The income statement shows a concerning trajectory with declining profitability. The TTM data reveals a net loss and negative margins, including a gross profit margin of 7.92% and a net profit margin of -246.13%. There has been some revenue growth, with a 57.77% increase from 2023 to 2024, but the company struggles with high operational costs, reflected in negative EBIT and EBITDA margins.

Balance Sheet

The balance sheet indicates financial instability with a high debt-to-equity ratio of 2.16 in the latest TTM period, suggesting high leverage. Stockholders' equity has diminished significantly, and the equity ratio is only 13.23%, indicating potential risks in the company's capital structure.

Cash Flow

The cash flow statement highlights challenges in generating cash from operations, with negative free cash flow and a declining operating cash flow to net income ratio, which stood at 0.53 for the TTM. This signals issues in converting revenue into cash, impacting liquidity and financial flexibility.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
3.15M	3.16M	2.00M	1.46M	1.38M	1.76M
	Gross Profit
249.80K	631.58K	640.17K	642.01K	709.26K	909.42K
	EBIT
-7.31M	-8.12M	-9.23M	-7.35M	-3.46M	-1.26M
	EBITDA
-5.30M	-6.08M	-6.52M	-5.10M	-2.42M	-137.21K
	Net Income Common Stockholders
-7.76M	-8.33M	-8.43M	-6.90M	-3.26M	-703.80K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.04M	948.69K	6.09M	460.48K	3.00M	129.13K
	Total Assets
14.94M	15.35M	18.87M	9.95M	10.32M	3.41M
	Total Debt
1.61M	5.04M	3.81M	886.90K	308.57K	301.51K
	Net Debt
566.09K	4.09M	1.71M	426.42K	-2.69M	172.38K
	Total Liabilities
10.50M	14.88M	11.93M	5.25M	4.78M	2.10M
	Stockholders Equity
4.45M	471.69K	6.93M	4.70M	5.54M	1.31M
Cash Flow		Free Cash Flow
-6.83M	-7.44M	-9.45M	-7.82M	-3.75M	-394.31K
	Operating Cash Flow
-4.09M	-3.99M	-4.86M	-5.03M	-2.21M	-368.10K
	Investing Cash Flow
715.93K	548.43K	-8.60M	-2.79M	-1.55M	-26.21K
	Financing Cash Flow
4.48M	2.30M	15.09M	5.28M	6.63M	298.04K

CHAR Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.23
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:YES, the sentiment is Positive. The current price of 0.23 is above the 20-day moving average (MA) of 0.22, above the 50-day MA of 0.20, and above the 200-day MA of 0.20, indicating a bullish trend. The MACD of <0.01 indicates Positive momentum. The RSI at 58.94 is Neutral, neither overbought nor oversold. The STOCH value of 28.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:YES.

CHAR Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BLM	66 Neutral	C$54.06M	2,157.14	0.16%	―	49.38%	-93.75%
Sector *	62 Neutral	$11.80B	10.31	-7.45%	2.91%	7.43%	-7.78%
YES	58 Neutral	C$29.66M	―	-321.92%	―	25.24%	34.24%
ROOF	56 Neutral	C$53.09M	―	-2757.94%	―	191.62%	-57.36%
ECM	41 Neutral	C$43.50M	―	-2752.20%	―	153.17%	43.51%

CHAR Technologies Corporate Events

CHAR Technologies Secures C$2M for Renewable Energy Projects

CHAR Technologies Ltd. has successfully completed a C$2 million private placement with The BMI Group, marking a significant step in their strategic partnership. The funds will be used to advance the Thorold Renewable Energy Facility and the Bioveld North Espanola project, enhancing CHAR Tech’s position in sustainable energy projects and supporting its operational growth.

CHAR Technologies Partners for PFAS Destruction Pilot in Baltimore

CHAR Technologies Ltd. has partnered with Synagro Technologies, Inc. and the Baltimore City Department of Public Works to test a commercial-scale high temperature pyrolysis (HTP) pilot aimed at destroying PFAS chemicals from biosolids. This initiative, demonstrated at the Synagro Back River Facility, represents a significant advancement in addressing environmental challenges, promoting sustainable solutions, and enhancing the company’s industry positioning by showcasing its innovative technology’s potential to convert waste into valuable resources.

CHAR Technologies Partners with BMI Group for Renewable Energy Expansion

CHAR Technologies Ltd. has announced a strategic partnership with The BMI Group, which includes a non-brokered private placement of C$2 million to accelerate renewable energy projects. This collaboration aims to expedite the commercial biocarbon production at CHAR Tech Thorold by Q4 2025, with BMI Group investing further in project-level ownership. The partnership also plans to develop a new renewable energy facility at Bioveld North, enhancing CHAR Tech’s industry positioning and providing growth opportunities.