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Adcore (ADCO) AI Stock Analysis
Adcore
(TSX:ADCO)
Persistent losses and negative cash flow are the largest constraints, while low leverage and revenue, margin, and AI-product progress provide partial support. Technical conditions are mixed, and the negative P/E with no dividend yield materially weakens valuation.
Adcore (ADCO) vs. iShares MSCI Canada ETF (EWC)
- Market Cap
- CAD 6.59M
- Dividend Yield
- ―
- Average Volume (3M)
- 33.93K
- Price to Earnings (P/E)
- -3.7
- Beta (1Y)
- 1.01
- Revenue Growth
- 8.60%
- EPS Growth
- -800.00%
- Country
- Canada
- Employees
- 58
- Sector
- Technology
- Sector Strength
- 61
- Industry
- Software - Application
Adcore Business Overview & Revenue Model
Company Description
Adcore Inc., an Israeli firm established in Tel Aviv in 2005, specializes in delivering a cutting-edge platform for the management and automation of e-commerce advertising. Its operations span across a broad international landscape, including the Asi...
How the Company Makes Money
Adcore primarily makes money by providing (1) managed digital marketing services and (2) technology/software offerings that support advertising and e-commerce operations. 1) Managed services / agency-style revenue: Adcore earns fees for managing clie...
Adcore Earnings Call Summary
The call presented meaningful operational and product progress — double-digit top-line growth, stronger gross profit and margin expansion, and faster-than-expected AI product execution (5 agents shipped, AI Studio monetizing). However, these positives are balanced by financial pressures: cash and working capital declined materially, adjusted EBITDA compressed, operating and net losses widened, and SG&A rose significantly (driven by payroll and FX). Management has a clear efficiency plan (15–20% OpEx reductions) and expects seasonal cash recovery into H2/Q4, but near-term profitability and cash runway remain areas of focus.
Q2-2026 Updates
Positive Updates
Negative Updates
Company Guidance
Management's guidance emphasized sustaining margin expansion and profitability while funding AI investment: Q2 revenue was $7.2M (+10% YoY) with gross profit $3.7M (+19%) and a 51% gross margin (vs 47% a year ago); H1 revenue was $15.7M (+16%) with H1 gross profit $6.8M (+10%); Q2 adjusted EBITDA was $41k (vs $155k prior), operating loss $600k and net loss $800k (vs $400k prior); cash was $4.0M at 6/30/26 (down from $10.3M at 12/31/25) with working capital $3.1M (vs $5.1M); management expects cash and working capital to recover in H2 (peaking seasonally in Q4), plans to cut OpEx ~15–20% (primarily payroll/SG&A) with most actions in Q3 to enter Q4 leaner, intends to keep adjusted EBITDA positive while scaling AI (delivered 5 agents vs 3 planned and AI Studio is already producing early paying customers), and reiterated a long‑term target price of CAD 1.30/share versus the current CAD 0.15 (citing an ~900% EV-to-gross‑profit gap).
Adcore Financial Statement Overview
Summary
Revenue growth and low leverage are offset by recurring operating and net losses, shrinking equity, and renewed negative operating and free cash flow. Income statement, balance sheet, and cash flow scores are 38, 45, and 32, respectively.
Income Statement
38NegativeBalance Sheet
45NeutralCash Flow
32Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 25.53M | 24.25M | 23.70M | 23.13M | 19.69M | 27.97M |
| Gross Profit | 9.78M | 8.31M | 9.88M | 9.44M | 8.49M | 8.45M |
| EBITDA | 117.22K | 430.85K | 654.00K | 360.00K | 394.00K | 846.00K |
| Net Income | -1.64M | -984.95K | -541.00K | -944.00K | -2.23M | -277.00K |
Balance Sheet | ||||||
| Total Assets | 11.39M | 15.71M | 16.27M | 14.43M | 14.54M | 17.28M |
| Cash, Cash Equivalents and Short-Term Investments | 2.83M | 7.48M | 7.50M | 6.11M | 6.53M | 11.06M |
| Total Debt | 433.29K | 497.09K | 604.00K | 0 | 188.00K | 434.00K |
| Total Liabilities | 5.04M | 8.23M | 7.91M | 5.55M | 4.81M | 5.09M |
| Stockholders Equity | 6.35M | 7.48M | 8.36M | 8.87M | 9.73M | 12.20M |
Cash Flow | ||||||
| Free Cash Flow | -2.05M | 1.59M | 1.45M | -146.00K | -3.78M | -2.41M |
| Operating Cash Flow | -1.68M | 1.62M | 2.43M | 849.00K | -2.55M | -1.44M |
| Investing Cash Flow | -1.82M | -1.50M | -983.00K | -995.00K | -1.21M | -931.00K |
| Financing Cash Flow | -135.56K | -104.46K | -61.00K | -282.00K | -853.00K | 4.67M |
Adcore Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ADCO, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.12, and below the 200-day MA of 0.16, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 60.30 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ADCO.
Adcore Peers Comparison
Overall Rating
TSE:MBO51Neutral- TSE:ADCO44Neutral
TSE:VSBY41.3Neutral
TSE:WISH40Underperform
TSE:NTAR37Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| Sector * | 61Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% |
| TSE:MBO | 51Neutral | CAD 2.17M | -3.66 | 39.85% | ― | ― | ― |
| TSE:ADCO | 44Neutral | CAD 8.54M | -3.73 | -23.09% | ― | 8.60% | -800.00% |
| TSE:VSBY | 41Neutral | CAD 10.20M | -1.12 | 46.34% | ― | -86.57% | 45.63% |
| TSE:WISH | 40Underperform | CAD 5.50M | -0.91 | -71.93% | ― | -33.40% | -270.13% |
| TSE:NTAR | 37Underperform | CAD 11.83M | -2.86 | 74.69% | ― | 18.40% | 36.36% |
* Technology Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| TSE:ADCO | Adcore | 0.14 | -0.08 | -37.78% | |
| TSE:MBO | Mobio Technologies | 0.10 | -0.01 | -5.00% | |
| TSE:NTAR | NexTech AR Solutions Corp | 0.05 | -0.09 | -65.52% | |
| TSE:VSBY | Vsblty Groupe Technologies Corp | 0.09 | 0.00 | 5.88% | |
| TSE:WISH | Wishpond Technologies Ltd. | 0.10 | -0.04 | -25.93% |
Adcore Corporate Events
Adcore Restructures to Cut Costs and Target Operating Profit in Late 2026
PositiveAdcore has launched a company-wide restructuring to transform itself into a leaner, cash-generative operation, cutting its workforce by about 25%, sharply reducing senior management and director compensation, and renegotiating supplier contracts to h...
Adcore Named Finalist in 2026 Microsoft Advertising Search Performance Awards
PositiveAdcore has been named a finalist for the Search Performance Partner of the Year award for EMEA and LATAM in the 2026 Microsoft Advertising Partner Awards, recognizing its AI-driven search performance on the Microsoft Advertising platform. The nominat...
Adcore schedules Q2 2026 results and investor call for August 13
NeutralAdcore Inc., a Toronto-listed AI-driven marketing technology provider focused on automating e-commerce advertising and optimizing advertisers’ return on investment, operates from its Tel Aviv headquarters and multiple international offices. The...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Oct 22, 2026