EQ Inc (EQ) AI Stock Analysis

22 Followers

EQ Inc

(TSXV:EQ)

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Rating:50Neutral

Price Target:CAD 0.97▲(1.04% Upside)

Action:reiterated

Date:08/22/26

The score is held down primarily by weak financial performance—ongoing losses, negative equity, and currently negative TTM free cash flow—despite improvement versus 2022–2023. Technicals provide a partial offset, with price above key moving averages and positive momentum indicators. Valuation remains a concern because negative earnings (negative P/E) limit the usefulness of traditional valuation support, and no dividend yield is available.

Positive Factors

Narrowing lossesLosses have narrowed materially from deeply negative 2022–2023 levels, while TTM gross margin rebounded versus 2025. This indicates operational progress and some earnings leverage, although profitability remains unproven and negative.

Negative Factors

Persistent unprofitabilityTTM net margin is about -11.7%, with negative operating and net profitability in every period shown. Persistent losses limit internally funded growth, weaken resilience, and leave the company without sustained earnings power.

EQ Inc (EQ) vs. iShares MSCI Canada ETF (EWC)

Market Cap: CAD 66.81M
Dividend Yield: ―
Average Volume (3M): 13.15K
Price to Earnings (P/E): -43.2
Beta (1Y): 0.09
Revenue Growth: -0.80%
EPS Growth: -193.42%
Country: Canada
Employees: 35
Sector: General
Sector Strength: 55
Industry: Advertising Agencies

EQ Inc Business Overview & Revenue Model

Company Description

EQ Inc. is a technology company specializing in advanced real-time analytics and innovative solutions, serving clients across Canada, the United States, and international territories. The firm's product portfolio includes "Atom," a proprietary progra...

EQ Inc Financial Statement Overview

Summary

Financials are the primary constraint. Revenue is slightly down in TTM (~-3.9%) and the company remains loss-making (TTM net margin ~-11.7%) with negative operating margins. The balance sheet is a key risk due to negative stockholders’ equity (TTM ~-3.43M) and increased debt (~2.81M) relative to assets (~4.66M). Cash flow is volatile and currently negative in TTM (OCF ~-0.12M, FCF ~-0.28M), though 2024–2025 showed periods of positive OCF/FCF, indicating some improvement versus 2022–2023.

Income Statement

32Negative

Balance Sheet

24Negative

Cash Flow

38Negative

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	10.13M	10.10M	9.85M	9.96M	10.98M	12.09M
Gross Profit	1.48M	707.00K	4.06M	4.51M	4.05M	4.98M
EBITDA	-617.00K	-514.00K	41.00K	-4.92M	-5.65M	-5.22M
Net Income	-1.55M	-1.41M	-897.00K	-5.90M	-6.43M	-6.11M
Balance Sheet
Total Assets	4.66M	4.49M	6.12M	5.61M	10.15M	19.05M
Cash, Cash Equivalents and Short-Term Investments	1.15M	464.00K	634.00K	381.00K	1.25M	8.76M
Total Debt	2.81M	1.91M	2.08M	1.57M	79.00K	93.00K
Total Liabilities	8.09M	6.83M	7.14M	6.19M	4.91M	7.61M
Stockholders Equity	-3.43M	-2.35M	-1.02M	-585.00K	5.24M	11.44M
Cash Flow
Free Cash Flow	-281.00K	612.00K	-213.00K	-2.29M	-6.24M	-3.86M
Operating Cash Flow	-119.00K	617.00K	463.00K	-1.68M	-5.62M	-3.09M
Investing Cash Flow	-609.00K	-605.00K	-668.00K	-637.00K	-1.88M	-1.36M
Financing Cash Flow	1.21M	-224.00K	452.00K	1.45M	-45.00K	10.00M

EQ Inc Technical Analysis

Technical Analysis SentimentPositive

Last Price0.96

Price Trends

50DMA0.96Negative

100DMA0.96Negative

200DMA0.95Positive

Market Momentum

MACD-0.00Negative

RSI50.95Neutral

STOCH70.24Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:EQ, the sentiment is Positive. The current price of 0.96 is above the 20-day moving average (MA) of 0.96, below the 50-day MA of 0.96, and above the 200-day MA of 0.95, indicating a neutral trend. The MACD of -0.00 indicates Negative momentum. The RSI at 50.95 is Neutral, neither overbought nor oversold. The STOCH value of 70.24 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:EQ.

EQ Inc Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

TSE:EQ against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
TSE:EQ	50Neutral	CAD 66.11M	-43.24	55.79%	―	-0.80%	-193.42%
TSE:ILLM	48Neutral	CAD 27.82M	-2.74	-15.53%	―	13.75%	-74.08%
TSE:SPN	44Neutral	CAD 8.24M	-4.05	-31.81%	―	-11.89%	-18.33%
TSE:ADX	43Neutral	CAD 1.33M	-0.45	17.39%	―	35.79%	-12.12%
TSE:GKO	41Neutral	CAD 3.99M	-1.48	202.93%	―	―	59.11%
TSE:KDOZ	41Neutral	CAD 15.76M	-13.67	-9.81%	―	30.09%	-307.50%

* General Sector Average

Performance Comparison

TSE:EQ and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TSE:EQ	EQ (EQ)	0.96	-0.01	-1.03%
TSE:ADX	Advantex Marketing International	0.01	0.00	0.00%
TSE:ILLM	Illumin Holdings Inc.	0.52	-0.51	-49.51%
TSE:KDOZ	Kidoz	0.12	-0.21	-64.06%
TSE:SPN	Snipp Interactive	0.03	-0.03	-45.45%
TSE:GKO	Geekco Technologies Corporation Class A	0.03	-0.02	-40.00%

EQ Inc Corporate Events

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing

EQ Works Posts 40% Sequential Revenue Jump on Record ClearLake Growth

Positive

Aug 20, 2026

EQ Works reported second-quarter 2026 revenue of $2.6 million, a 40% sequential increase supported by growth across its ClearLake and Integrated Rewards platforms, as the company pursues a more diversified, recurring revenue model anchored in proprie...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

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: Aug 22, 2026

EQ Inc AI Stock Analysis