DMG Blockchain Solutions (DMGI) AI Stock Analysis

• Market Cap: C$68.70M
• Dividend Yield: N/A
• Average Volume (3M): 417.95K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.11
• Revenue Growth: 24.20%
• EPS Growth: -3756.52%
• Country: CA
• Employees: 16
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 0.00
• Shares Outstanding: 203,242,020
• 10 Day Avg. Volume: 532,386
• 30 Day Avg. Volume: 417,949
• 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$0.82
• Price Target Upside: 141.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 50 Neutral
• Price Target: C$0.50 ▲(47.06% Upside)

DMG Blockchain Solutions faces significant profitability and cash flow challenges, impacting its financial performance score. Technical indicators suggest a neutral market position, while valuation metrics are weak due to negative earnings. The earnings call provided some positive strategic insights, but these were not enough to offset the financial and operational challenges.

Positive Factors

Negative Factors

DMG Blockchain Solutions Business Overview & Revenue Model

Company Description

DMG Blockchain Solutions Inc. operates as a blockchain and cryptocurrency company in Canada. The company manages, operates, and develops digital solutions to monetize the blockchain ecosystem. It also offers transaction verification; co-location hosting; data center optimization; and high-performance computing services. In addition, the company provides infrastructure consulting in various fields, including location and power infrastructure review, air flow and cooling contact, high and low voltage power design and engineering, and facility power distribution design and engineering. Further, the company develops and licenses proprietary blockchain and cryptocurrency software, comprising Mining Pool, an audited mining pool; WalletScore, a blockchain audit and analytics platform; Mine Manager, an optimization software for mining facilities; Blockseer Intelligence, an analytics tool that enables the tracking of cryptocurrency on Bitcoin and Ethereum blockchains; Blockseer Breeze, an enterprise-grade custody solution to securely manage digital assets; and BlockSeer Freeze, a software product that watches BTC wallets and provides early notification of transactions on the blockchain network. Additionally, it offers forensic services. The company was incorporated in 2011 and is headquartered in Grand Forks, Canada.

How the Company Makes Money

DMG Blockchain Solutions generates revenue primarily through its cryptocurrency mining operations, where it earns profits by mining Bitcoin and other cryptocurrencies. The company also offers hosting services for third-party miners, charging fees for the use of its facilities and equipment. Additionally, DMGI develops and sells proprietary software solutions that cater to the needs of blockchain applications, which further contributes to its revenue. Partnerships with other blockchain firms and technology providers enhance its service offerings and expand its market reach, playing a significant role in its overall earnings.

DMG Blockchain Solutions Financial Statement Overview

Summary

DMG Blockchain Solutions shows revenue growth but struggles with profitability and cash flow. The balance sheet is strong with substantial equity, yet increasing leverage poses risks. Improvement in operational efficiency and cash generation is needed.

Income Statement

DMG Blockchain Solutions has shown revenue growth over the years, with TTM revenue at $38.47M compared to $33.9M in the previous year, indicating a positive trajectory. Despite this growth, the company struggles with profitability as evidenced by negative EBIT and net income margins, highlighting challenges in operational efficiency and cost management.

Balance Sheet

The company's balance sheet shows a strong equity position with a stockholders' equity of $103.83M representing 80.2% of total assets, suggesting financial stability. However, the debt-to-equity ratio has increased to 0.20, indicating a rising leverage trend, which could pose risks if not managed effectively.

Cash Flow

Cash flow analysis reveals negative free cash flow in the TTM period, reflecting challenges in generating cash from operations. The operating cash flow to net income ratio is negative, highlighting inefficiencies. Despite these issues, the company managed to fund operations through financing activities, which may not be sustainable long-term.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	41.79M	33.90M	27.94M	43.24M	10.22M	7.40M
Gross Profit	39.56M	32.42M	11.14M	10.38M	8.59M	-972.50K
EBITDA	5.11M	14.49M	5.60M	2.87M	-7.18M	-304.99K
Net Income	-15.20M	-5.23M	-16.46M	-16.98M	-9.55M	-2.58M
Balance Sheet
Total Assets	133.55M	103.87M	82.59M	96.90M	111.13M	21.51M
Cash, Cash Equivalents and Short-Term Investments	2.42M	2.00M	2.18M	1.65M	20.17M	1.07M
Total Debt	12.91M	14.02M	1.36M	516.30K	538.23K	2.42M
Total Liabilities	19.27M	19.21M	5.61M	5.47M	5.81M	6.59M
Stockholders Equity	114.29M	84.66M	76.98M	91.43M	105.31M	17.23M
Cash Flow
Free Cash Flow	-4.99M	-12.21M	-275.88K	-22.32M	-74.29M	541.91K
Operating Cash Flow	15.64M	8.21M	4.87M	15.19M	-29.83M	1.37M
Investing Cash Flow	-28.12M	-21.20M	-5.30M	-33.50M	-45.45M	1.82M
Financing Cash Flow	13.63M	12.88M	980.21K	-125.72K	93.70M	-3.42M

DMG Blockchain Solutions Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.34
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:DMGI, the sentiment is Positive. The current price of 0.34 is above the 20-day moving average (MA) of 0.31, above the 50-day MA of 0.30, and above the 200-day MA of 0.30, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 57.32 is Neutral, neither overbought nor oversold. The STOCH value of 51.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:DMGI.

DMG Blockchain Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NDA	56 Neutral	134.72M	-230.43	―	―	-20.75%	-84.00%
DEFI	52 Neutral	51.06M	-3.67	―	―	-98.96%	-214.13%
HIVE	51 Neutral	1.15B	-15.91	5.13%	―	7.57%	40.56%
DMGI	50 Neutral	C$68.70M	―	-14.48%	―	24.20%	-3756.52%
BIGG	47 Neutral	35.33M	-1.35	-147.31%	―	34.56%	-161.07%
CBIT	42 Neutral	43.02M	-5.88	-22.93%	―	76.55%	-507.14%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

DMG Blockchain Solutions Corporate Events

DMG Blockchain Solutions Reports August Operational Results and Expands AI Initiatives

DMG Blockchain Solutions reported a decline in its August 2025 operational results, with a decrease in Bitcoin mined and hashrate due to planned substation maintenance. Despite this, the company increased its Bitcoin balance by selling less than it earned and is considering a formal treasury policy to accumulate digital assets. Additionally, DMG is expanding its business initiatives by selling AI infrastructure to the Canadian defense sector, establishing key relationships to facilitate rapid deployment.

The most recent analyst rating on (TSE:DMGI) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on DMG Blockchain Solutions stock, see the TSE:DMGI Stock Forecast page.

DMG Blockchain Solutions Reports Mixed Q3 2025 Results Amid Strategic Advancements

DMG Blockchain Solutions reported a mixed financial performance for the third quarter of 2025, with revenues of $11.6 million, reflecting an 8% sequential decline but a 40% year-over-year increase. The company mined 84 bitcoins, down from the previous quarter, but improved its hashrate by 2%. Despite a net loss of $0.4 million, DMG advanced key initiatives, including expanding hydro-enabled bitcoin mining and AI infrastructure, positioning itself for long-term growth in digital asset custody and capitalizing on the rising value of digital currencies.

The most recent analyst rating on (TSE:DMGI) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on DMG Blockchain Solutions stock, see the TSE:DMGI Stock Forecast page.

DMG Blockchain Solutions to Announce Q3 2025 Financial Results

DMG Blockchain Solutions Inc. announced the release of its third quarter 2025 financial results, scheduled for August 25, 2025, before market opening. The company will also host a conference call to discuss the results and provide a corporate update. This announcement is significant as it reflects DMG’s ongoing efforts to maintain transparency with stakeholders and its commitment to growth within the blockchain and data center technology industry.

The most recent analyst rating on (TSE:DMGI) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on DMG Blockchain Solutions stock, see the TSE:DMGI Stock Forecast page.

DMG Blockchain Solutions Reports July Gains and Launches Blockseer Explorer

DMG Blockchain Solutions announced its preliminary operational results for July 2025, highlighting an increase in Bitcoin mining and hashrate due to the full operational status of its hydro infrastructure. The company also launched Blockseer Explorer, a product designed for Bitcoin-native operators to track wallet activity and export transaction data easily. DMG’s strategic efforts to reduce its loan balance with Sygnum Bank and its focus on increasing its Bitcoin balance while exploring a broader digital asset portfolio indicate a strong positioning in the blockchain industry.

The most recent analyst rating on (TSE:DMGI) stock is a Buy with a C$0.85 price target. To see the full list of analyst forecasts on DMG Blockchain Solutions stock, see the TSE:DMGI Stock Forecast page.