USBC (USBC) AI Stock Analysis

• Market Cap: $149.05M
• Dividend Yield: N/A
• Average Volume (3M): 608.13K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.59
• Revenue Growth: N/A
• EPS Growth: 55.04%
• Country: US
• Employees: 11
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): N/A
• Shares Outstanding: 388,143,680
• 10 Day Avg. Volume: 280,969
• 30 Day Avg. Volume: 608,129
• PEG Ratio: 0.04
• Price to Book (P/B): 0.87
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -11.12
• Enterprise Value/Market Cap: -0.04
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 37.18
• Enterprise Value/Ebitda: 0.31
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -10.8
• Revenue Forecast (FY): $6.00M

• Rating: 41 Neutral
• Price Target: $0.33 ▼(-31.60% Downside)
• Action: Reiterated Date: 02/06/26
• Date: Action: Reiterated 02/06/26

The score is driven down primarily by very weak financial performance (ongoing losses, negative cash flow, and sharply higher leverage) and a bearish technical setup (price below key moving averages with negative momentum). Valuation is also constrained by loss-making earnings and no dividend, while the recent Bitcoin treasury management agreement is a modest positive but not enough to offset the core risks.

Positive Factors

Tokenized deposit pilot

A structured, phased pilot for tokenized deposits represents a durable product development path. If successfully certified by partners and regulators, it can create a new, recurring deposit-like funding source and diversify revenue beyond current operations, supporting long-term business viability.

Bitcoin treasury agreement clarity

Clearer, modernized treasury-management terms provide a durable governance framework for digital-asset reserves. Improved oversight can reduce operational and balance-sheet volatility from crypto holdings and allow more disciplined liquidity allocation of corporate reserves over time.

Prior positive gross profit periods

Historical periods of positive gross profit indicate underlying unit economics can be constructive under certain conditions. That suggests product-level margin potential exists and could be realized again with scale, pricing, or cost control, offering a pathway to durable margin recovery.

Negative Factors

Persistent net losses

Continuing and growing net losses erode equity and limit reinvestment capacity. Over months this reduces strategic options, forces reliance on external capital, and elevates execution risk for new initiatives like tokenized deposits unless a sustainable profitability path is established.

Severe leverage and solvency risk

A dramatic jump in debt relative to assets and equity creates lasting refinancing and solvency risk. High leverage increases interest obligations and limits flexibility, making the company vulnerable to funding shocks and constraining strategic investments and partner confidence over the medium term.

Negative cash generation & accelerating burn

Consistent negative operating and free cash flows indicate the business cannot self-fund operations. Accelerating cash burn increases the probability of dilution or restrictive financing, limiting runway for product rollouts and making long-term execution contingent on securing stable funding.

USBC Business Overview & Revenue Model

Company Description

USBC, Inc., together with its subsidiaries, operates in digital financial technologies business in United States. The company develops transformative financial services, including digital assets, banking solutions, and non-invasive health monitoring research. It is also involved in identifying and measuring material or analyte using electromagnetic energy to detect, record, identify, and measure the signature of materials or analytes. The company was formerly known as Know Labs, Inc. and changed its name to USBC, Inc. in August 2025. USBC, Inc. was incorporated in 1998 and is based in Reno, Nevada.

How the Company Makes Money

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USBC Financial Statement Overview

Summary

Financial performance is very weak: persistent and worsening net losses, consistently negative operating and free cash flow, and a sharp 2025 leverage increase (debt far exceeding assets and ~3.5x equity), indicating elevated solvency and funding risk.

Income Statement

Profitability is very weak and deteriorated: the company posted large losses every year shown, with net income falling from -$15.3M (2023) to -$16.6M (2024) and -$22.1M (2025). Revenue visibility is also poor—most years show $0 reported revenue (with only 2022 at ~$4.36M and 2020 at ~$0.12M), making margin quality and operating leverage difficult to support. A modest positive is that gross profit was positive in 2022 and 2023, but it has since turned negative again, reinforcing ongoing cost pressure and limited scale.

Balance Sheet

Leverage and capital structure risk are high. Total debt jumped dramatically to ~$342.8M in 2025 from ~$5.1M in 2024, while equity is comparatively small at ~$97.1M, leaving debt at ~3.5x equity. The balance sheet has also been unstable historically (including negative equity in 2020 and 2024), which typically signals accumulated losses and limited financial flexibility. Total assets in 2025 (~$125.1M) are well below total debt, highlighting refinancing and solvency risk if cash burn continues.

Cash Flow

Cash generation is consistently negative, with operating cash flow below zero in every year provided (about -$7.6M in 2025 vs. -$12.8M in 2024). Free cash flow is also negative each year and worsened sharply in 2025 (growth of roughly -192%), indicating an accelerating cash burn. While free cash flow tracks net losses closely (free cash flow is roughly in line with net income in magnitude), the key weakness is the absence of a path to self-funding operations.

Breakdown	Sep 2025	Sep 2024	Sep 2023	Sep 2022	Sep 2021
Income Statement
Total Revenue	0.00	0.00	0.00	4.36M	0.00
Gross Profit	-150.59K	-270.17K	-313.02K	4.04M	-200.81K
EBITDA	-17.90M	-14.95M	-13.71M	-12.25M	-10.25M
Net Income	-22.12M	-16.58M	-15.29M	-20.07M	-25.36M
Balance Sheet
Total Assets	125.08M	3.66M	8.27M	13.76M	12.89M
Cash, Cash Equivalents and Short-Term Investments	8.82M	3.11M	8.02M	12.59M	12.26M
Total Debt	342.79K	5.08M	2.92M	2.56M	9.91M
Total Liabilities	27.96M	5.82M	4.52M	3.90M	11.65M
Stockholders Equity	97.12M	-2.16M	3.74M	9.86M	1.24M
Cash Flow
Free Cash Flow	-7.60M	-12.90M	-10.43M	-7.78M	-7.15M
Operating Cash Flow	-7.60M	-12.83M	-10.35M	-6.92M	-6.85M
Investing Cash Flow	0.00	-66.35K	-80.80K	-855.47K	-299.52K
Financing Cash Flow	13.31M	7.98M	5.86M	8.11M	15.11M

USBC Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.48
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For USBC, the sentiment is Negative. The current price of 0.480979 is above the 20-day moving average (MA) of 0.39, below the 50-day MA of 0.49, and below the 200-day MA of 1.21, indicating a bearish trend. The MACD of -0.03 indicates Negative momentum. The RSI at 42.82 is Neutral, neither overbought nor oversold. The STOCH value of 20.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for USBC.

USBC Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
KULR	59 Neutral	$126.97M	-6.13	-20.63%	―	71.92%	31.84%
LPTH	53 Neutral	$634.79M	-13.49	-70.17%	―	36.85%	-77.93%
SATL	48 Neutral	$417.17M	21.91	117.59%	―	―	―
MVIS	45 Neutral	$179.90M	-1.68	-137.37%	―	-67.66%	13.39%
SLNH	45 Neutral	$77.64M	-0.66	941.35%	―	-27.81%	26.81%
USBC	41 Neutral	$149.05M	-3.82	-46.59%	―	―	55.04%

USBC Corporate Events

USBC Begins Pilot Phase for Tokenized Deposit Launch

USBC, Inc. has begun Phase 1 of a multi-stage delivery strategy to launch its USBC tokenized deposit product, starting with an extended pilot involving a limited group of internal employees in a non-production environment. The results from this internal testing will guide decisions on the timing of subsequent phases and determine when, and under what conditions, the tokenized deposit offering will be extended to retail customers.

The pilot is not a public or consumer offering and is intended solely to validate technical readiness before any broader rollout, underscoring the company’s cautious approach to operational, regulatory, and partner approval requirements. By structuring the launch around phased testing and explicitly tying the retail launch timeline to regulatory, board, and bank partner approvals, USBC signals to investors and stakeholders that market entry for its tokenized deposits will be contingent on both technical performance and compliance milestones.

The most recent analyst rating on (USBC) stock is a Hold with a $0.36 price target. To see the full list of analyst forecasts on USBC stock, see the USBC Stock Forecast page.

USBC Updates Bitcoin Treasury Management Agreement with Hyrcanian

On December 12, 2025, USBC, Inc. amended and restated its Digital Asset Management Agreement with Hyrcanian Asset Management, LLC, which manages the company’s Bitcoin treasury strategy on a discretionary basis. The updated agreement clarifies and modernizes the terms governing how Hyrcanian oversees USBC’s Bitcoin holdings, signaling a continued and more clearly defined commitment to digital-asset-based treasury management that may affect how the company allocates and manages its corporate reserves.

USBC Announces Departure of Chief Operating Officer

On December 15, 2025, USBC, Inc. announced that its Chief Operating Officer, Mr. Kirk Chapman, departed from his role effective immediately, following a mutual agreement. Mr. Chapman played a key role in establishing the company’s early foundations, and the departure was noted to be amicable with no disagreements regarding the company’s operations, policies, or practices. USBC acknowledged Mr. Chapman’s contributions and extended well wishes for his future endeavors.