SNDL (SNDL) AI Stock Analysis

• Market Cap: $476.19M
• Dividend Yield: N/A
• Average Volume (3M): 3.58M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.48
• Revenue Growth: 1.76%
• EPS Growth: 18.31%
• Country: US
• Employees: 2,604
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.04
• Shares Outstanding: 257,400,000
• 10 Day Avg. Volume: 2,086,387
• 30 Day Avg. Volume: 3,581,835
• PEG Ratio: 0.16
• Price to Book (P/B): 0.60
• Price to Sales (P/S): 0.74
• P/FCF Ratio: 15.49
• Enterprise Value/Market Cap: 1.29
• Enterprise Value/Revenue: 0.65
• Enterprise Value/Gross Profit: 2.40
• Enterprise Value/Ebitda: -15.36
• 1Y Price Target: $5.00
• Price Target Upside: 111.86% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: $2.00 ▼(-15.25% Downside)

SNDL's overall stock score reflects a company with mixed financial performance and technical weakness. While there are positive aspects such as cash flow improvements and growth in the Cannabis segment, significant challenges remain in profitability and valuation. The earnings call provided some positive insights, but noncash adjustments and market headwinds in Liquor Retail are concerns.

SNDL Business Overview & Revenue Model

Company Description

SNDL Inc. is a Canadian cannabis company that operates in the cultivation, production, and distribution of marijuana products. Founded in 2006 and headquartered in Alberta, SNDL focuses on providing high-quality cannabis products to both the recreational and medicinal markets. The company also engages in retail operations, with a network of cannabis dispensaries, and is involved in various sectors of the cannabis industry, including branded products and innovative cannabis solutions.

How the Company Makes Money

SNDL generates revenue primarily through the sale of cannabis products, which includes dried flower, oils, edibles, and other cannabis-derived goods. The company's revenue model is multifaceted, comprising direct sales from its retail stores and online platforms, wholesale distribution to other retailers, and partnerships with other cannabis brands for product development and co-branding initiatives. Additionally, SNDL has made strategic acquisitions and partnerships that enhance its market reach and product offerings, contributing to its overall earnings. The growth of the legal cannabis market in Canada and potential expansion into international markets also play a significant role in driving revenue for the company.

SNDL Financial Statement Overview

Summary

SNDL's financial performance is mixed. While there is positive revenue growth and improved cash flow generation, profitability remains a significant challenge with negative net profit margins. The balance sheet is stable with low leverage, but operational efficiency needs enhancement.

Income Statement

SNDL's income statement shows a mixed performance. The company has achieved a positive revenue growth rate of 1.79% in the TTM, indicating some growth momentum. However, profitability remains a challenge with negative net profit and EBIT margins, reflecting ongoing operational inefficiencies. The gross profit margin has improved slightly to 27.11%, but the net profit margin is still negative at -10.41%, highlighting the need for cost control and efficiency improvements.

Balance Sheet

The balance sheet of SNDL reflects a relatively stable financial position with a low debt-to-equity ratio of 0.14, suggesting prudent leverage management. However, the return on equity is negative at -8.68%, indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio is not explicitly provided, but the low debt levels suggest a strong equity base relative to assets.

Cash Flow

SNDL's cash flow statement shows some positive trends with a free cash flow growth rate of 106.7% in the TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.74, suggesting that the company is generating cash flow from operations, albeit not fully covering net losses. The free cash flow to net income ratio of 0.82 indicates that while cash flow is improving, profitability remains a concern.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	944.25M	920.45M	909.01M	712.20M	56.13M	60.92M
Gross Profit	256.01M	240.33M	190.41M	140.38M	-9.00M	-49.87M
EBITDA	-39.95M	-41.20M	-99.15M	-326.55M	-223.76M	-185.54M
Net Income	-98.29M	-94.80M	-172.66M	-335.11M	-226.98M	-233.25M
Balance Sheet
Total Assets	1.29B	1.35B	1.47B	1.56B	1.43B	294.87M
Cash, Cash Equivalents and Short-Term Investments	211.67M	248.89M	201.64M	311.76M	649.03M	60.38M
Total Debt	150.54M	152.27M	167.03M	169.83M	33.47M	1.44M
Total Liabilities	205.28M	215.89M	243.82M	231.69M	98.13M	25.18M
Stockholders Equity	1.09B	1.13B	1.21B	1.31B	1.33B	271.68M
Cash Flow
Free Cash Flow	49.73M	43.90M	-24.58M	-17.57M	-159.23M	-60.67M
Operating Cash Flow	60.82M	54.91M	-16.65M	-6.71M	-155.44M	-57.49M
Investing Cash Flow	30.80M	17.76M	-24.82M	-230.16M	-496.28M	-70.88M
Financing Cash Flow	-66.32M	-49.36M	-43.08M	-41.79M	1.15B	142.75M

SNDL Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.36
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SNDL, the sentiment is Negative. The current price of 2.36 is above the 20-day moving average (MA) of 2.19, below the 50-day MA of 2.39, and above the 200-day MA of 1.76, indicating a neutral trend. The MACD of -0.16 indicates Positive momentum. The RSI at 27.14 is Positive, neither overbought nor oversold. The STOCH value of 7.40 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SNDL.

SNDL Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
SNDL	49 Neutral	$476.19M	―	-7.82%	―	1.76%	18.31%
TLRY	49 Neutral	$1.44B	―	-85.59%	―	2.31%	-726.17%
CPHI	41 Neutral	$5.07M	-1.03	-52.05%	―	-29.64%	73.63%
YCBD	40 Underperform	$7.21M	-0.13	-33.13%	―	-7.80%	90.17%
IMCC	38 Underperform	$6.72M	-2.36	-36.94%	―	2.17%	88.34%
FLGC	38 Underperform	$6.77M	-0.23	-37.38%	―	-22.60%	53.82%

SNDL Corporate Events

SNDL Reports Strong Q3 2025 Results with Record Free Cash Flow

On November 4, 2025, SNDL Inc. reported its financial and operational results for the third quarter of 2025, highlighting a net revenue of $244.2 million, a 3.1% increase from the previous year, driven by a 13.5% growth in its cannabis business. Despite an operating loss of $11.1 million due to non-cash adjustments, the company achieved a record free cash flow of $16.7 million, reflecting strong operational improvements and strategic investments. SNDL’s robust financial position, with no debt and significant cash reserves, enables it to pursue high-return opportunities, including the acquisition of cannabis retail stores and expansion of its cultivation facilities, positioning the company for long-term success in the evolving cannabis market.

SNDL Inc. Reports Q3 2025 Financial Results

SNDL Inc. has released its financial statements for the three and nine months ended September 30, 2025. The report highlights a net revenue of $244.2 million for the third quarter, showing an increase from the previous year. Despite this, the company reported a net loss, reflecting ongoing challenges in managing costs and investments. The financial results underscore SNDL’s efforts to stabilize its financial position, with a focus on improving gross profit margins and reducing liabilities. The company’s financial performance is crucial for stakeholders as it navigates the competitive landscape and seeks to enhance shareholder value.

SNDL Inc. Appoints New Auditor Following Marcum’s Resignation

On October 16, 2025, SNDL Inc. was informed by Marcum LLP of its resignation as the company’s auditor following the acquisition of Marcum’s attestation business by CBIZ CPAs P.C. The board of directors and audit committee of SNDL approved the appointment of CBIZ as the new independent registered public accounting firm effective October 17, 2025, until the next annual general meeting.