Versus Systems (VS) AI Stock Analysis

• Market Cap: $5.81M
• Dividend Yield: N/A
• Average Volume (3M): 14.47K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.58
• Revenue Growth: 2281.70%
• EPS Growth: 90.92%
• Country: US
• Employees: 5
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.11
• Shares Outstanding: 4,901,677
• 10 Day Avg. Volume: 14,802
• 30 Day Avg. Volume: 14,471
• PEG Ratio: 0.01
• Price to Book (P/B): 0.35
• Price to Sales (P/S): 70.18
• P/FCF Ratio: -1.16
• Enterprise Value/Market Cap: 0.57
• Enterprise Value/Revenue: 1.12
• Enterprise Value/Gross Profit: 1.24
• Enterprise Value/Ebitda: -1.28
• 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: 44 Neutral
• Price Target: $1.00 ▼(-24.24% Downside)

The score is held down primarily by weak financial performance (declining revenue, ongoing losses, and continued cash burn) and bearish technicals (price below key moving averages with negative MACD). Offsetting factors include a debt-free balance sheet and positive partnership-driven expansion initiatives that could support future revenue, though execution risk remains.

Positive Factors

Improved Operating Cash Flow

Enhanced operating cash flow indicates better cash management, which is crucial for funding operations and potential growth initiatives.

Partnerships and Revenue Model

Partnerships enhance market reach and platform adoption, driving sustainable revenue through licensing and revenue-sharing agreements.

Debt-Free Balance Sheet

A debt-free balance sheet provides financial flexibility and reduces financial risk, allowing the company to focus on growth and operational improvements.

Negative Factors

Cash Flow Challenges

Negative free cash flow indicates reliance on external financing, which can strain financial resources and limit strategic options.

Declining Revenue

Declining revenue trends can erode market position and investor confidence, necessitating strategic changes to reverse the trend.

Negative Profitability

Persistent negative profitability undermines financial health and limits reinvestment capabilities, posing a risk to long-term viability.

Versus Systems Business Overview & Revenue Model

Company Description

Versus Systems Inc. develops and operates a business-to-business software platform in the United States and Canada. The company operates eXtreme Engagement Online, a platform that allows live event producers, professional sports franchises, video game publishers and developers, live event producers, and professional sports franchises, as well as other interactive media content creators, to offer in-game prizing and rewards based on the completion of in-content challenges alongside other user engagement tools. It primarily sells its access to platform and service offerings through its direct sales organization. Versus Systems Inc. is headquartered in Vancouver, Canada.

How the Company Makes Money

Versus Systems generates revenue through licensing its engagement and rewards platform to businesses and content creators. The company partners with brands, media companies, and content creators who integrate Versus' technology into their products and services to drive user engagement. Versus Systems earns money through a combination of setup fees, licensing fees, and revenue-sharing agreements based on user interactions and engagement metrics. Significant partnerships with media companies and brands contribute to its earnings by expanding its reach and the adoption of its platform across different sectors and events.

Versus Systems Financial Statement Overview

Summary

Revenue is shrinking (TTM down 17.5%) with negative operating and net margins, and both operating cash flow and free cash flow are meaningfully negative (ongoing cash burn). The main stabilizer is a conservative balance sheet with zero debt, which lowers near-term solvency risk despite negative returns.

Income Statement

TTM (Trailing-Twelve-Months) revenue is down (-17.5%), continuing a multi-year pattern of declining sales. Profitability is still weak with a negative operating margin and negative net margin, indicating the core business is not yet generating earnings. A key positive is a very high TTM gross margin, suggesting improved unit economics; however, operating costs remain too high relative to revenue, keeping results loss-making.

Balance Sheet

The balance sheet is conservatively financed with zero total debt in the most recent periods and a debt-to-equity ratio at 0.0, which reduces financial risk. Equity remains sizable, but returns are negative (TTM return on equity is below zero), reflecting ongoing losses and value erosion. Total assets have also trended lower versus prior years, which may limit flexibility if losses persist.

Cash Flow

Cash generation remains a major weakness: TTM (Trailing-Twelve-Months) operating cash flow and free cash flow are both meaningfully negative, indicating ongoing cash burn. Free cash flow growth is sharply negative, pointing to worsening cash outflows versus the prior period. While cash flow direction can be volatile year-to-year, the sustained negative trend suggests continued reliance on funding sources if profitability does not improve.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.98M	―	359.43K	1.49M	979.63K	1.77M
Gross Profit	2.69M	24.46K	222.82K	660.79K	979.63K	1.44M
EBITDA	-2.60M	-6.53M	-5.38M	-14.41M	-19.56M	-5.66M
Net Income	-358.04K	-5.81M	-12.63M	-30.20M	-22.75M	-8.79M
Balance Sheet
Total Assets	4.28M	5.08M	4.88M	10.91M	18.54M	5.49M
Cash, Cash Equivalents and Short-Term Investments	1.96M	4.41M	4.69M	1.60M	1.68M	2.28M
Total Debt	0.00	0.00	0.00	3.70M	3.15M	5.17M
Total Liabilities	3.46K	37.79K	321.48K	4.50M	4.54M	6.63M
Stockholders Equity	15.49M	16.43M	11.94M	15.08M	22.62M	4.06M
Cash Flow
Free Cash Flow	-2.22M	-4.97M	-5.60M	-11.69M	-15.32M	-3.80M
Operating Cash Flow	-2.22M	-4.97M	-5.58M	-9.15M	-12.89M	-3.80M
Investing Cash Flow	-304.56K	0.00	-14.51K	-2.54M	-2.51M	-910.61K
Financing Cash Flow	3.28M	3.28M	9.05M	11.19M	14.80M	6.85M

Versus Systems Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VS, the sentiment is Negative. The current price of 1.32 is above the 20-day moving average (MA) of 1.26, above the 50-day MA of 1.30, and below the 200-day MA of 1.91, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 33.95 is Neutral, neither overbought nor oversold. The STOCH value of 7.04 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VS.

Versus Systems 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%
VS	44 Neutral	$5.81M	-2.59	-16.34%	―	2281.70%	90.92%
SGN	44 Neutral	$2.53M	-0.04	―	―	-36.45%	82.61%
NVNI	43 Neutral	$15.35M	-0.40	―	―	―	―
IDAI	41 Neutral	$14.95M	-0.06	-205.65%	―	72.57%	-261.66%
OLB	40 Underperform	$7.25M	-0.14	-149.68%	―	-39.80%	77.33%

Versus Systems Corporate Events

Versus Systems Partners with Drinkfinger on Global Engagement Platform

On December 23, 2025, Versus Systems announced that it had signed a definitive agreement with Drinkfinger Enterprises to integrate Versus’ QR-enabled engagement platform with Drinkfinger’s physical beverage accessories, creating a physical-to-digital engagement system for beverage brands across Brazil, the US, the UK and other markets. The collaboration is designed to power large-scale, in-venue campaigns that let consumers access instant games, rewards, quizzes and social-sharing features directly from beverage products, while giving brands real-time performance data and first-party audience insights. Initial programs have already begun in Brazil, the US and UK, with commercial revenue projected to start in the first quarter of 2026 under an equal revenue-sharing model in key markets, positioning Versus to tap high-margin recurring software, sponsorship and data revenues and deepen its presence in the fast-growing, beverage-led live events sector, particularly in Brazil’s rapidly expanding entertainment economy.

Versus Systems Partners with LiftMedia for Iberian Expansion

On December 11, 2025, Versus Systems announced a definitive agreement with LiftMedia LDA to integrate its interactive engagement technology across LiftMedia’s Digital Out-of-Home network in the Iberian Peninsula. This initiative will launch a new consumer-facing mobile app connecting LiftMedia’s DOOH network with digital content, games, and services, with a pilot in Spain and Portugal in Q1 2026, followed by a broader rollout in Q2 2026. The partnership aims to transform LiftMedia’s network into a dynamic engagement ecosystem, offering Versus-powered games and interactive content, and is expected to generate shared revenue streams through various digital engagement channels.

The most recent analyst rating on (VS) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Versus Systems stock, see the VS Stock Forecast page.

Versus Systems Partners with LiftMedia for DOOH Expansion

On December 3, 2025, Versus Systems announced a collaboration with LiftMedia LDA to implement its interactive engagement tools in Digital Out-of-Home (DOOH) environments across Spain and Portugal. This initiative aims to enhance audience engagement and advertising growth by leveraging Versus’ QR code technology in elevator-based media properties, reaching millions daily. The partnership marks a strategic expansion into the Iberian Peninsula’s growing DOOH market and positions Versus as a key innovator in interactive entertainment and gamified advertising.

The most recent analyst rating on (VS) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Versus Systems stock, see the VS Stock Forecast page.

Versus Systems Partners with Drinkfinger for Fan Engagement

On November 18, 2025, Versus Systems announced a strategic collaboration with Drinkfinger Enterprises to enhance global fan experiences in sports and entertainment. This partnership aims to integrate Versus’s interactive technology with Drinkfinger’s products, transforming them into digital gateways for games, rewards, and social engagement, thereby elevating fan interaction and setting a new standard for interactive fan engagement.

The most recent analyst rating on (VS) stock is a Hold with a $2.00 price target. To see the full list of analyst forecasts on Versus Systems stock, see the VS Stock Forecast page.