Clip Money Inc. (CLIP) AI Stock Analysis

• Market Cap: C$26.87M
• Dividend Yield: N/A
• Average Volume (3M): 49.44K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.86
• Revenue Growth: 245.98%
• EPS Growth: 9.70%
• Country: CA
• Employees: N/A
• Sector: Financial
• Sector Strength: 70
• Industry: Software - Infrastructure
• EPS (TTM): -0.03
• Shares Outstanding: 105,380,860
• 10 Day Avg. Volume: 53,405
• 30 Day Avg. Volume: 49,438
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: C$0.50
• Price Target Upside: 92.31% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 54 Neutral
• Price Target: C$0.50 ▲(92.31% Upside)

The overall stock score of 54 reflects strong technical momentum, which is partially offset by poor financial performance and valuation concerns. The company's significant revenue growth is overshadowed by negative margins and high leverage, posing risks to financial stability.

Clip Money Inc. Business Overview & Revenue Model

Company Description

Clip Money Inc. (CLIP) is a financial technology company specializing in providing innovative payment solutions and financial services primarily aimed at small and medium-sized enterprises (SMEs). The company operates in the fintech sector, offering a platform that facilitates seamless transactions, payment processing, and cash management services. Clip Money's core products include digital wallets, payment gateways, and integrated financial management tools, designed to enhance operational efficiency for businesses and streamline their payment processes.

How the Company Makes Money

Clip Money Inc. generates revenue through multiple streams, primarily by charging transaction fees for its payment processing services. Each time a transaction is processed through its platform, the company earns a percentage of the transaction value. Additionally, Clip Money may offer subscription-based services for businesses that require advanced features or higher transaction limits. The company also monetizes its integrated financial management tools by providing premium features that enhance business analytics and cash flow management. Key partnerships with financial institutions and payment networks further bolster its revenue, as these collaborations can lead to increased transaction volumes and expanded market reach.

Clip Money Inc. Financial Statement Overview

Summary

Clip Money Inc. shows strong revenue growth of 31.7% TTM, but faces significant challenges with negative margins and high leverage. The negative stockholders' equity and operating cash flow highlight financial instability, necessitating strategic improvements.

Income Statement

Clip Money Inc. shows a significant revenue growth rate of 31.7% TTM, indicating strong top-line expansion. However, the company struggles with negative margins across the board, including a gross profit margin of -22.4% and a net profit margin of -303.97% TTM, reflecting substantial operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet reveals a concerning financial structure with a negative stockholders' equity of -$12.5 million TTM, leading to a negative debt-to-equity ratio of -1.72. This indicates high leverage and potential solvency issues. Return on equity is positive at 132.31% TTM, but this is due to negative equity, which distorts the metric.

Cash Flow

Cash flow analysis shows a negative operating cash flow of -$3.8 million TTM, with a free cash flow to net income ratio of 1.10, suggesting that the company is generating cash relative to its net losses. However, the free cash flow growth rate is negative at -12.38% TTM, indicating declining cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.00M	2.36M	577.92K	27.69K	―	181.00
Gross Profit	-148.96K	-1.09M	-1.94M	-1.24M	―	-731.09K
EBITDA	-4.43M	-5.32M	-6.48M	-9.65M	―	-1.69M
Net Income	-8.91M	-9.34M	-9.32M	-12.14M	―	-2.54M
Balance Sheet
Total Assets	9.00M	13.78M	13.86M	9.86M	7.80M	5.34M
Cash, Cash Equivalents and Short-Term Investments	1.70M	2.00M	6.15M	1.48M	962.49K	3.16M
Total Debt	18.88M	15.68M	11.81M	6.23M	0.00	103.09K
Total Liabilities	21.52M	25.19M	13.01M	7.80M	7.36M	428.00K
Stockholders Equity	-12.52M	-7.94M	848.19K	2.06M	437.66K	4.91M
Cash Flow
Free Cash Flow	-4.22M	-7.49M	-7.35M	-6.54M	―	-113.25K
Operating Cash Flow	-3.79M	-7.32M	-6.68M	-4.87M	―	-82.51K
Investing Cash Flow	-414.17K	-699.27K	-898.42K	-1.68M	―	-1.57M
Financing Cash Flow	3.60M	1.73M	12.10M	7.05M	1.64M	2.75M

Clip Money Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.26
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CLIP, the sentiment is Positive. The current price of 0.26 is below the 20-day moving average (MA) of 0.27, above the 50-day MA of 0.24, and above the 200-day MA of 0.23, indicating a bullish trend. The MACD of 0.01 indicates Positive momentum. The RSI at 57.10 is Neutral, neither overbought nor oversold. The STOCH value of 40.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:CLIP.

Clip Money Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MOGO	56 Neutral	63.58M	15.97	4.81%	―	2.79%	0.00%
CLIP	54 Neutral	C$26.87M	―		―	245.98%	9.70%
NOW	38 Underperform	30.13M	-228.57	85.52%	―	-13.50%	96.77%
PKK	36 Underperform	5.57M	-0.06	0.00%	―	-85.42%	51.62%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Clip Money Inc. Corporate Events

Clip Money Inc. Secures US$4 Million Through Strategic Financings

Clip Money Inc. has successfully closed two non-brokered private placements, raising a total of US$4,000,000. The financings include a US$3,000,000 unsecured convertible note from Cardtronics Inc., Clip Money’s largest shareholder and strategic partner, and a US$1,000,000 equity financing from two company insiders. These transactions underscore Cardtronics’ confidence in Clip Money’s solutions and team, potentially strengthening the company’s market position and operational capabilities.

Clip Money Inc. Announces Successful Shareholder Meeting Results

Clip Money Inc. announced the results of its annual meeting of shareholders, where all five nominees for the board of directors were elected with near-unanimous support. Additionally, the appointment of MNP LLP as auditors and the re-approval of the company’s Amended and Restated Omnibus Equity Incentive Plan were overwhelmingly approved, indicating strong shareholder confidence in the company’s governance and strategic direction.

Clip Money Inc. Issues RSUs and Options to Recognize Performance

Clip Money Inc. announced the issuance of 965,000 restricted share units and 27,500 options to executives and employees as recognition for their 2024 performance. Additionally, 450,000 RSUs were granted to directors as compensation for their roles. These awards are part of the company’s equity incentive plan, aiming to enhance employee and director engagement and align interests with shareholders.

Clip Money Inc. Reports 225% Revenue Growth in Q1 2025 and Expands U.S. Network

Clip Money Inc. reported a significant revenue growth of 225% year-over-year in the first quarter of 2025, driven by an increase in new deposit users and new product offerings. The company is strategically expanding its U.S. business deposit network through a partnership with Green Dot, aiming to add over 4,000 deposit locations, which is expected to enhance its market position and value proposition to stakeholders.