Acceleware (AXE) AI Stock Analysis

• Market Cap: C$9.48M
• Dividend Yield: N/A
• Average Volume (3M): 21.85K
• Price to Earnings (P/E): 5.4
• Beta (1Y): -1.00
• Revenue Growth: 988.75%
• EPS Growth: N/A
• Country: CA
• Employees: 15
• Sector: Technology
• Sector Strength: 50
• Industry: Software - Application
• EPS (TTM): 0.01
• Shares Outstanding: 118,438,545
• 10 Day Avg. Volume: 41,775
• 30 Day Avg. Volume: 21,849
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 3.35
• Price to Cash Flow (P/CF): 10.30
• P/FCF Ratio: 6.70
• 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

Acceleware faces significant financial challenges, including high leverage and negative equity, impacting its long-term financial health. Technical indicators suggest a bearish trend, while the stock may appear undervalued based on its P/E ratio. The lack of earnings call data and corporate events leaves uncertainty in assessing future prospects.

Acceleware Business Overview & Revenue Model

Company Description

Acceleware Ltd. (AXE) is a Canadian-based company operating in the energy sector, primarily focused on developing innovative products and technologies for the oil and gas industry. The company specializes in two main areas: radio frequency (RF) heating technology for enhanced heavy oil and bitumen recovery, and seismic imaging software solutions for geophysical exploration. Acceleware aims to provide environmentally friendly and cost-effective solutions to optimize energy production and exploration processes.

How the Company Makes Money

Acceleware generates revenue through the commercialization and licensing of its proprietary technologies. The key revenue streams include sales and licensing of its RF heating technology, which is designed to improve heavy oil recovery, and its seismic imaging software, which is used by geophysical companies for subsurface exploration. Additionally, the company engages in collaborative partnerships with energy producers and research institutions, which can also contribute to its earnings through joint development agreements and technology trials. Acceleware's focus on environmentally sustainable solutions positions it to capture value in markets that prioritize reducing environmental impact and improving operational efficiencies.

Acceleware Financial Statement Overview

Summary

Acceleware is experiencing revenue growth, but profitability and financial stability remain significant challenges. The company faces high leverage and negative equity, which could impact its ability to sustain operations long-term. Cash flow improvements are a positive sign, but the company needs to address its debt levels and profitability to improve its financial standing.

Income Statement

Acceleware's revenue has shown volatility, with TTM revenue significantly higher than previous years, indicating potential growth. However, the company's profitability margins are concerning, with a history of negative EBIT and net income margins, reflecting ongoing challenges in achieving sustainable profitability.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio due to negative stockholders' equity, indicating financial instability and reliance on debt financing. The negative equity ratio suggests more liabilities than assets, which poses a significant risk to the company's financial health.

Cash Flow

Cash flow analysis shows improvement in operating cash flow in the TTM period. However, the historical negative free cash flow raises concerns about the company's ability to generate sufficient cash to fund operations and growth without external financing.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
3.36M	279.01K	328.29K	752.77K	899.28K	1.45M
	Gross Profit
3.34M	279.01K	309.55K	711.24K	899.28K	1.45M
	EBIT
333.87K	-1.97M	-5.21M	-4.05M	-2.12M	-1.51M
	EBITDA
2.47M	-1.41M	-4.73M	-4.02M	-1.96M	-1.35M
	Net Income Common Stockholders
1.77M	-2.05M	-5.14M	-4.08M	-2.10M	-1.56M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.23M	951.57K	1.15M	1.95M	1.94M	4.38M
	Total Assets
6.17M	1.51M	2.53M	5.35M	3.86M	6.51M
	Total Debt
189.01K	2.40M	1.35M	344.42K	173.93K	155.34K
	Net Debt
-3.04M	1.45M	201.93K	-1.60M	-1.77M	-4.23M
	Total Liabilities
4.01M	9.49M	9.69M	9.48M	4.52M	5.37M
	Stockholders Equity
2.15M	-7.98M	-7.16M	-4.12M	-667.35K	1.15M
Cash Flow		Free Cash Flow
766.44K	-743.26K	-4.58M	-337.86K	-2.37M	1.23M
	Operating Cash Flow
766.44K	-743.26K	-4.58M	-305.03K	-2.37M	1.29M
	Investing Cash Flow
0.00	0.00	0.00	-32.84K	0.00	-34.70K
	Financing Cash Flow
-558.04K	548.36K	3.78M	343.36K	-65.47K	-103.41K

Acceleware Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:AXE, the sentiment is Negative. The current price of 0.09 is below the 20-day moving average (MA) of 0.09, below the 50-day MA of 0.09, and below the 200-day MA of 0.11, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.33 is Neutral, neither overbought nor oversold. The STOCH value of 26.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:AXE.

Acceleware Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PHX	77 Outperform	C$417.30M	7.85	25.28%	8.72%	0.51%	-40.79%
TOT	74 Outperform	C$361.10M	6.10	11.04%	3.77%	2.65%	52.69%
PD	66 Neutral	$884.46M	8.29	6.90%	―	-1.83%	-62.53%
HWO	66 Neutral	$13.44M	0.43	7.77%	21.97%	-28.63%	―
Sector *	58 Neutral	$21.06B	10.51	-17.38%	2.43%	4.55%	-24.07%
AXE	49 Neutral	C$9.48M	5.37	-27.82%	―	988.75%	―
WRG	48 Neutral	C$76.49M	―	-2.44%	―	-4.44%	0.75%

Acceleware Corporate Events

Acceleware Secures Funding for Clean Oil Technology

Acceleware has secured $1.31 million in non-dilutive funding from the Clean Resource Innovation Network to advance its RF XL pilot project, aimed at decarbonizing heavy oil production. This funding supports the next phase of the project, which seeks to lower costs and emissions, while enhancing economic benefits for the Canadian oil industry.

Acceleware Ltd. Reports Strong Q3 Growth

Acceleware Ltd. reported significant financial growth in its third quarter of 2024, with notable revenue increases attributed to advancements in its RF heating and high-performance computing units. The company has secured substantial non-dilutive funding for the next phase of its RF XL Pilot, aiming to enhance oil production efficiency.