Cineverse (CNVS) AI Stock Analysis

• Market Cap: $55.84M
• Dividend Yield: N/A
• Average Volume (3M): 120.00K
• Price to Earnings (P/E): 21.8
• Beta (1Y): 1.27
• Revenue Growth: 77.07%
• EPS Growth: N/A
• Country: US
• Employees: 176
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.21
• Shares Outstanding: 19,124,407
• 10 Day Avg. Volume: 109,693
• 30 Day Avg. Volume: 119,996
• PEG Ratio: -0.13
• Price to Book (P/B): 1.29
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 3.08
• Enterprise Value/Market Cap: 1.54
• Enterprise Value/Revenue: 1.10
• Enterprise Value/Gross Profit: 2.23
• Enterprise Value/Ebitda: 7.14
• 1Y Price Target: $9.00
• Price Target Upside: 208.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 62 Neutral
• Price Target: $3.50 ▲(19.86% Upside)

Cineverse's overall score reflects strong revenue growth and strategic initiatives, offset by challenges in profitability and cash flow. The bearish technical indicators and moderate valuation further temper the outlook, but positive earnings call sentiment suggests potential for future improvement.

Positive Factors

Revenue Growth

Strong revenue growth indicates effective business strategies and market demand, supporting long-term financial stability and expansion.

Strategic Partnerships

Partnerships with Xperi expand Cineverse's distribution channels, enhancing market reach and potential subscriber growth, which is crucial for sustainable revenue.

Streaming Metrics Growth

Growth in streaming metrics reflects increasing user engagement, which can drive subscription growth and advertising revenue, strengthening the business model.

Negative Factors

Cash Flow Challenges

Weak cash flow management can hinder operational flexibility and investment capacity, posing risks to long-term financial health and growth initiatives.

Profitability Challenges

Low profitability margins suggest inefficiencies in cost management, which could impact the company's ability to reinvest in growth and compete effectively.

Increased Net Loss

Ongoing net losses indicate financial strain, potentially limiting future investments and necessitating cost control measures to achieve profitability.

Cineverse Business Overview & Revenue Model

Company Description

Cineverse Corp. operates as a streaming technology and entertainment company. It owns and operates streaming channels, through its proprietary technology platform. The company also delivers curated content through subscription video on demand (SVOD), dedicated ad-supported (AVOD), and ad-supported streaming linear (FAST) channels, as well as social video streaming services and audio podcasts; operates OTT streaming entertainment channels. It entertains consumers worldwide by providing feature film and television programs, enthusiast streaming channels, and technology services. The company was formerly known as Cinedigm Corp. and changed its name to Cineverse Corp. in May 2023. Cineverse Corp. was incorporated in 2000 and is based in New York, New York.

How the Company Makes Money

Cineverse generates revenue primarily through subscription fees from its streaming service, allowing users unlimited access to its library of content for a monthly or annual fee. Additionally, the company earns revenue through advertising on its free-tier content, where viewers can watch films and shows in exchange for viewing ads. Licensing deals with other platforms and networks also contribute to revenue, as Cineverse sells distribution rights for its content. Strategic partnerships with content creators and production studios further enhance its content library, attracting more subscribers and advertisers, ultimately boosting overall earnings.

Cineverse Financial Statement Overview

Summary

Cineverse has shown strong financial recovery with improved profitability, cost management, and cash flow generation. The balance sheet is stable with low leverage, although the asset base has decreased, which may limit future growth.

Income Statement

Cineverse has shown significant improvement in its financial performance over the years. The gross profit margin has increased, reaching 50.4% in the latest period, indicating improved cost management. The net profit margin turned positive to 4.6% after sustained losses, reflecting a return to profitability. Revenue growth was strong at 59% compared to the previous year. EBIT and EBITDA margins improved significantly, suggesting better operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is low at 0.01, indicating minimal reliance on debt financing. Return on equity has improved to 9.3%, showing better returns for shareholders. The equity ratio stands at 53.4%, reflecting a stable capital structure. However, the overall asset base has decreased, which may limit future growth.

Cash Flow

Cineverse demonstrated strong cash flow performance with robust free cash flow growth, turning positive from substantial previous deficits. The operating cash flow to net income ratio is high at 4.83, indicating efficient conversion of earnings into cash. The free cash flow to net income ratio is also favorable, further supporting liquidity and financial flexibility.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	78.18M	78.18M	49.13M	68.03M	56.05M	31.42M
Gross Profit	38.54M	39.41M	30.00M	27.90M	30.59M	8.40M
EBITDA	12.03M	12.03M	-16.42M	-4.46M	6.41M	-52.21M
Net Income	3.60M	3.60M	-21.41M	-9.73M	2.21M	-62.82M
Balance Sheet
Total Assets	72.52M	72.52M	64.38M	88.08M	104.64M	75.45M
Cash, Cash Equivalents and Short-Term Investments	13.94M	13.94M	5.17M	7.15M	13.06M	16.85M
Total Debt	462.00K	462.00K	7.16M	6.21M	749.00K	11.99M
Total Liabilities	34.72M	34.72M	32.23M	49.01M	63.69M	59.56M
Stockholders Equity	38.75M	38.75M	33.27M	40.34M	42.25M	17.24M
Cash Flow
Free Cash Flow	16.24M	16.24M	-11.66M	-10.24M	4.24M	-22.62M
Operating Cash Flow	17.41M	17.41M	-10.59M	-8.97M	4.88M	-20.01M
Investing Cash Flow	-635.00K	-635.00K	-531.00K	-1.27M	-12.30M	-1.71M
Financing Cash Flow	-8.00M	-8.00M	9.14M	4.33M	2.64M	24.27M

Cineverse Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.92
• 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 CNVS, the sentiment is Negative. The current price of 2.92 is below the 20-day moving average (MA) of 3.17, below the 50-day MA of 3.50, and below the 200-day MA of 3.95, indicating a bearish trend. The MACD of -0.16 indicates Negative momentum. The RSI at 32.41 is Neutral, neither overbought nor oversold. The STOCH value of 26.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CNVS.

Cineverse Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CNVS	―	$55.84M	21.79	9.22%	―	77.07%	―
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GAIA	―	$126.80M	―	-5.74%	―	12.22%	19.18%
RDI	―	$48.32M	―	―	―	7.59%	61.22%
AGAE	―	$22.89M	-1.16	-30.92%	―	0.52%	-225.42%
ANGH	―	$19.06M	-0.26	―	―	88.72%	-85.54%
LVO	―	$59.90M	-2.50	―	―	-18.76%	-21.71%

Cineverse Corporate Events

Cineverse CFO Mark Lindsey Signs New Agreement

On September 23, 2025, Cineverse Corp. entered into a new employment agreement with its Chief Financial Officer, Mark Lindsey, effective from September 14, 2025. This agreement, which replaces a previous contract, extends until September 13, 2027, with provisions for automatic renewal. It includes an annual base salary of $350,000, a target bonus of $175,000, and restricted stock units, along with participation in executive benefit plans. The agreement outlines specific terms for termination and compensation in the event of a change in control, highlighting the company’s commitment to retaining key leadership amidst potential organizational changes.

The most recent analyst rating on (CNVS) stock is a Hold with a $4.50 price target. To see the full list of analyst forecasts on Cineverse stock, see the CNVS Stock Forecast page.

Cineverse Corp. Earnings Call Highlights Strategic Growth

Cineverse Corp.’s recent earnings call painted a picture of optimism and strategic growth, despite some financial setbacks. The company showcased strong revenue and streaming growth, alongside an expansion of its theatrical slate. Positive feedback for upcoming releases was highlighted, although challenges in advertising were noted. Overall, the sentiment was one of cautious optimism, with strategic investments expected to yield future benefits.

Cineverse Corp. Reports Strong Revenue Growth

Cineverse Corp., a global streaming technology and entertainment company, is known for its innovative approach in the entertainment industry, offering a diverse range of content through advanced technology. In its latest earnings report, Cineverse Corp. announced a 22% increase in total revenue for the first quarter of fiscal year 2026, reaching $11.1 million. The company also reported a direct operating margin improvement to 57%, despite a slight increase in net loss and adjusted EBITDA due to higher SG&A costs. Key financial highlights include a significant rise in streaming and digital revenues, driven by popular channels like Screambox and Dog Whisperer with Cesar Millan, and a substantial increase in base distribution revenue. Cineverse’s strategic focus on expanding its theatrical slate with upcoming releases such as ‘The Toxic Avenger Unrated’ and ‘Air Bud Returns’ is expected to continue driving growth. Looking ahead, Cineverse remains optimistic about its financial position and anticipates positive returns from its strategic investments in the coming quarters.