Zonetail (ZONE) AI Stock Analysis

• Market Cap: C$4.21M
• Dividend Yield: N/A
• Average Volume (3M): 33.83K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.71
• Revenue Growth: -20.69%
• EPS Growth: -43.75%
• Country: CA
• Employees: N/A
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.00
• Shares Outstanding: 280,520,660
• 10 Day Avg. Volume: 16,650
• 30 Day Avg. Volume: 33,827
• PEG Ratio: 0.53
• Price to Book (P/B): -1.80
• Price to Sales (P/S): 69.23
• P/FCF Ratio: -4.68
• 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: 43 Neutral
• Price Target: C$0.01 ▼(-30.00% Downside)

The score is weighed down primarily by very weak financial performance (shrinking revenue, negative gross profit, ongoing losses, cash burn, and negative equity). Technicals also remain unfavorable with a clear downtrend, partially offset by oversold signals. Corporate events provide a modest positive offset via financing and product/partnership momentum, while valuation offers limited support due to a negative P/E and no dividend yield.

Zonetail Business Overview & Revenue Model

Company Description

Zonetail Inc. provides a mobile platform to hotels and condominiums Its mobile platforms connect the guests of a hotel and the residents of high-rise buildings to the amenities and services of their building through their mobile devices. The company is based in Toronto, Canada.

How the Company Makes Money

Zonetail makes money primarily through partnerships and service agreements with hotels, residential buildings, and local businesses. The company's revenue model includes subscription fees paid by property managers who use Zonetail's mobile platform to connect with their guests and residents. Additionally, Zonetail generates income from advertising by local businesses that wish to reach users of the app. These businesses pay for the opportunity to promote their services and offers directly through the app, providing targeted marketing opportunities to a captive audience. Significant partnerships with hospitality chains and property management companies contribute to Zonetail's earnings by expanding its user base and increasing app adoption.

Zonetail Financial Statement Overview

Summary

Zonetail is facing substantial financial challenges with negative revenue growth, persistent losses, negative equity, and cash flow deficits. These issues highlight significant risks to the company’s financial health and future stability.

Income Statement

The company has exhibited declining revenue with a negative growth trend over the periods observed. Gross profit margin is positive in TTM but net profit margin remains negative, indicating persistent losses. Both EBIT and EBITDA margins are negative, highlighting ongoing operational challenges.

Balance Sheet

The balance sheet shows a concerning financial position with significantly negative stockholders' equity, indicating liabilities exceed assets. The debt-to-equity ratio is not meaningful due to negative equity, and ROE is negative, highlighting the lack of returns to shareholders.

Cash Flow

The company has negative free cash flow and operating cash flow, suggesting a strain on liquidity. Although there is some financing cash flow, it primarily covers operational deficits rather than growth opportunities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	29.24K	36.88K	39.26K	38.05K	40.89K	39.95K
Gross Profit	-180.54K	-533.30K	-762.29K	-875.76K	-680.06K	-500.51K
EBITDA	-461.42K	-785.53K	-606.28K	-1.76M	-1.83M	-1.06M
Net Income	-613.14K	-891.50K	-805.65K	-2.06M	-1.93M	-1.22M
Balance Sheet
Total Assets	69.81K	23.85K	156.57K	296.67K	1.25M	243.65K
Cash, Cash Equivalents and Short-Term Investments	4.30K	716.00	3.34K	176.88K	1.09M	149.49K
Total Debt	548.67K	566.04K	345.15K	567.53K	548.33K	741.06K
Total Liabilities	1.51M	1.45M	1.06M	1.15M	796.76K	1.13M
Stockholders Equity	-1.44M	-1.42M	-906.07K	-850.37K	454.50K	-886.29K
Cash Flow
Free Cash Flow	-465.98K	-546.04K	-1.01M	-1.53M	-1.98M	-1.04M
Operating Cash Flow	-465.98K	-546.04K	-1.01M	-1.53M	-1.98M	-1.04M
Investing Cash Flow	0.00	0.00	0.00	0.00	0.00	0.00
Financing Cash Flow	418.51K	543.41K	838.09K	618.98K	2.92M	1.18M

Zonetail Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ZONE, the sentiment is Negative. The current price of 0.02 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and above the 200-day MA of 0.02, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 12.35 is Positive, neither overbought nor oversold. The STOCH value of 0.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ZONE.

Zonetail Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SHOP	77 Outperform	C$284.60B	117.09	15.74%	―	33.71%	28.57%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
LSPD	53 Neutral	C$2.20B	-2.52	-37.01%	―	17.23%	-435.45%
MBO	46 Neutral	C$3.39M	-0.96	―	―	155678.40%	-1772.63%
ZONE	43 Neutral	C$4.21M	-6.52	―	―	-20.69%	-43.75%
MYID	42 Neutral	C$6.53M	-11.63	-733.14%	―	14.65%	-304.76%
VSBY	41 Neutral	C$4.43M	-0.39	―	―	―	―

Zonetail Corporate Events

Zonetail Raises $437,500 in Final Tranche of Private Share Placement

Zonetail Inc. has closed the third and final tranche of its non-brokered private placement, raising an additional $40,000 and bringing total proceeds to $437,500, below the initially targeted $1,000,000. The company plans to allocate the new capital toward completing its rent reporting portal, advancing technology development projects, funding sales and marketing initiatives, covering salaries and supporting general working capital, with the financing expected to bolster its product roadmap and commercial efforts in the high-rise residential technology market, though all issued securities will be subject to a standard four-month-plus-one-day hold period.

The most recent analyst rating on (TSE:ZONE) stock is a Hold with a C$0.01 price target. To see the full list of analyst forecasts on Zonetail stock, see the TSE:ZONE Stock Forecast page.

Zonetail Closes Second Tranche of Private Placement, Extends Offering

Zonetail Inc. announced the closing of the second tranche of its non-brokered private placement, raising a total of $397,500 out of the targeted $1,000,000. The proceeds will be used to develop the company’s rent reporting portal, technology enhancements, and sales efforts, with a portion allocated to salaries and administration. The extension of the offering to December 24, 2025, indicates Zonetail’s ongoing efforts to secure additional funding to support its strategic initiatives.

Zonetail Closes First Tranche of Private Placement, Extends Offering

Zonetail Inc. announced the closing of the first tranche of a non-brokered private placement, raising $236,500 out of a potential $1,000,000. The proceeds will fund the completion of the company’s rent reporting portal, development projects, sales efforts, and general working capital. The offering has been extended by 30 days to November 22, 2025, with allocations for accredited investors under specific exemptions. This move is expected to bolster Zonetail’s operational capabilities and strengthen its position in the mobile platform market for high-rise residential management.

Zonetail and FUTR Launch AI-Powered Rent-Reporting Program in Canada

Zonetail Inc. and The FUTR Corporation have partnered to launch Canada’s first AI-powered rent-reporting program, allowing renters to build credit and earn rewards by paying rent. This initiative, aligned with Canada’s 2024 Federal Budget goals, aims to improve financial inclusion by reporting verified rent payments to credit bureaus and rewarding participants with FUTR Tokens. The program, launching in Q4 2025, will initially cover 12,000 rental units with plans to expand to over 70,000 units by early 2026, marking the first of many AI Agent-powered financial tools to transform everyday payments into verified credit history.