Bluesky Digital Assets (BTC) AI Stock Analysis

• Market Cap: C$5.92M
• Dividend Yield: N/A
• Average Volume (3M): 68.95K
• Price to Earnings (P/E): ―
• Beta (1Y): -3.11
• Revenue Growth: -7.93%
• EPS Growth: 15.88%
• Country: CA
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): -0.02
• Shares Outstanding: 69,695,625
• 10 Day Avg. Volume: 83,523
• 30 Day Avg. Volume: 68,955
• PEG Ratio: 63.41
• Price to Book (P/B): 10.31
• Price to Sales (P/S): -611.83
• P/FCF Ratio: -15.01
• 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: Moderate Sell
• Number of Analyst Covering: 1

• Rating: 39 Underperform
• Price Target: C$0.00 ▼(-100.00% Downside)

Bluesky Digital Assets is currently facing severe financial challenges, with declining revenues and persistent losses. The technical analysis indicates a bearish trend, with the stock trading below key moving averages and nearing oversold conditions. Valuation metrics further highlight the company's struggle with profitability, as reflected in the negative P/E ratio. These factors collectively contribute to a low overall stock score.

Bluesky Digital Assets Business Overview & Revenue Model

Company Description

Bluesky Digital Assets (BTC) is a forward-thinking company operating in the digital asset management sector, specializing in the acquisition, development, and management of blockchain-based digital assets. With a focus on cryptocurrencies and decentralized finance (DeFi), Bluesky offers a range of services including asset trading, investment advisory, and portfolio management solutions for both individual and institutional investors. The company is committed to leveraging cutting-edge technology to optimize asset performance and provide clients with innovative financial solutions.

How the Company Makes Money

Bluesky Digital Assets generates revenue through multiple streams, primarily focusing on transaction fees from trading activities on its platform, which includes both cryptocurrency buy/sell transactions and DeFi investment operations. Additionally, the company earns money through advisory fees for its investment consulting services, where it guides clients on asset allocation and investment strategies within the digital asset space. Another significant revenue stream comes from asset management services, where Bluesky charges management fees based on a percentage of assets under management (AUM). Strategic partnerships with blockchain technology firms and exchanges also enhance its revenue potential through referral commissions and shared service offerings, contributing to a diversified income model.

Bluesky Digital Assets Financial Statement Overview

Summary

Bluesky Digital Assets is facing significant financial difficulties across all verticals. The income statement reflects declining revenues and persistent losses, while the balance sheet shows some improvement in leverage but ongoing profitability challenges. Cash flow remains negative, indicating liquidity issues. The company needs to address its revenue decline and improve operational efficiency to achieve financial stability.

Income Statement

Bluesky Digital Assets has faced significant challenges in its income statement. The company has experienced a severe decline in revenue, with a negative revenue growth rate of -57.84% in the most recent year. Margins are deeply negative, with net profit and EBIT margins indicating substantial losses. The gross profit margin is also negative, reflecting inefficiencies in cost management. Overall, the income statement shows a struggling financial performance with no clear signs of profitability.

Balance Sheet

The balance sheet reveals a mixed picture. The debt-to-equity ratio has improved to 0.13, indicating a reduction in leverage compared to previous years. However, the return on equity remains negative, highlighting ongoing profitability issues. The equity ratio suggests a moderate level of equity financing, but the company's financial stability is still under pressure due to persistent losses.

Cash Flow

Cash flow analysis shows some improvement in free cash flow growth, but the company continues to generate negative operating and free cash flows. The operating cash flow to net income ratio is negative, indicating cash flow challenges. While the free cash flow to net income ratio is positive, it reflects the company's ability to cover net losses rather than generate positive cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	-8.12K	-15.23K	1.56K	1.42M	3.73M	694.64K
Gross Profit	-175.00K	-457.07K	-59.79K	-6.91M	2.17M	103.87K
EBITDA	-5.22M	-2.77M	-3.66M	-5.52M	-4.96M	-1.09M
Net Income	-5.09M	-2.62K	-4.06M	-7.40M	-6.31M	-1.63M
Balance Sheet
Total Assets	2.72M	1.61M	880.09K	1.97M	8.72M	2.02M
Cash, Cash Equivalents and Short-Term Investments	505.80K	1.31M	148.82K	281.07K	1.00M	1.61M
Total Debt	122.74K	114.69K	165.81K	265.27K	296.97K	291.40K
Total Liabilities	413.73K	709.70K	856.39K	1.41M	3.84M	645.11K
Stockholders Equity	2.30M	903.46K	23.70K	556.92K	4.88M	1.37M
Cash Flow
Free Cash Flow	-805.59K	-620.80K	-1.27M	-2.89M	-7.83M	-683.81K
Operating Cash Flow	-805.59K	-620.80K	-1.27M	-439.31K	-1.94M	-588.36K
Investing Cash Flow	-215.98K	211.75K	364.97K	-2.31M	-5.45M	1.72K
Financing Cash Flow	1.47M	1.59M	768.66K	2.18M	7.06M	809.21K

Bluesky Digital Assets Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.08
• 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 TSE:BTC, the sentiment is Negative. The current price of 0.08 is below the 20-day moving average (MA) of 0.09, below the 50-day MA of 0.10, and below the 200-day MA of 0.17, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 31.39 is Neutral, neither overbought nor oversold. The STOCH value of -11.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:BTC.

Bluesky Digital Assets Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BITF	60 Neutral	C$2.16B	-16.16	-13.01%	―	46.65%	44.91%
SIX	57 Neutral	C$16.01M	3.58	56.25%	―	―	3.72%
NDA	56 Neutral	C$135.99M	-232.61	―	―	-20.75%	-84.00%
CSTR	41 Neutral	C$8.47M	-1.56	-124.73%	―	-84.15%	-5.79%
BTC	39 Underperform	C$5.92M	―	-345.56%	―	-7.93%	15.88%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Bluesky Digital Assets Corporate Events

Bluesky Digital Assets Invests in ChessGold to Enhance AI and Blockchain Offerings

Bluesky Digital Assets Corp. has announced a strategic investment in ChessGold Inc., an online digital game developer, by agreeing to a loan of up to CAD 1,000,000. The investment aligns with Bluesky’s focus on AI and Blockchain, as ChessGold integrates these technologies into its game development. This move not only provides financial support for ChessGold’s market launch, but also positions Bluesky to potentially gain equity in a company poised for growth in the digital gaming space.

Bluesky Digital Assets Secures $750,000 Credit Facility to Advance AI Initiatives

Bluesky Digital Assets Corp. has secured a $750,000 CAD unsecured revolving credit facility from a group of private lenders, at an 8% annual interest rate, to support its working capital needs and advance its AI and BlueskyINTEL platform development. Additionally, Bluesky is issuing 7,500,000 Common Shares to consultants tasked with identifying acquisition targets to bolster its AI business model, indicating a strategic push towards growth and market expansion.

Bluesky Digital Assets Raises Over $1.15 Million

Bluesky Digital Assets Corp. successfully raised over $1.15 million CAD through the exercise of warrants, which will be used to advance their AI development and business ventures. The company, positioned at the intersection of AI, Blockchain, and Web3 solutions, aims to leverage this capital for further growth. Bluesky’s platform, BlueskyINTEL, facilitates business adoption of emerging technologies.

Bluesky Digital Assets Prepares for Revenue Growth

Bluesky Digital Assets Corp. is set to launch its BlueskyINTEL Web Engagement Platform in January 2025, aiming to generate revenue through subscriptions and partnerships. The platform strategically connects businesses looking to adopt AI and blockchain with suitable solution providers. This marks a significant milestone as the company transitions from development to revenue generation.

Bluesky Digital Assets Raises Funds Amid Market Surge

Bluesky Digital Assets Corp. has successfully closed a private placement, raising C$242,500 through the sale of 4,850,000 units. Additionally, they garnered C$415,250 from warrant exercises, leading to a total of C$657,750. The company remains unaware of any operational changes that might explain recent market activity.