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goeasy
(TSX:GSY)
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Rating:48Neutral
Price Target:
C$45.00
â–²(4.36% Upside)
Action:Reiterated
Date:08/11/26
The score is held down primarily by pressured financial performance (TTM revenue contraction, losses, and very high leverage). The earnings call adds a mixed picture—liquidity and credit trends are improving sequentially, but profitability, controls remediation, and suspended capital returns remain key risks. Technicals are broadly neutral, while valuation support from the headline dividend yield is tempered by losses and the stated dividend suspension.
Positive Factors
Improved operating cash flow
A sharp TTM rebound to positive operating and free cash flow materially improves goeasy's ability to fund operations and loss absorption without immediate external financing. Durable cash generation supports remediation, working capital and measured originations, reducing near-term liquidity stress while consistency risk remains.
Negative Factors
High leverage
Very high leverage materially constrains goeasy's financial flexibility, increasing sensitivity to funding cost moves and credit deterioration. With debt levels large relative to equity, the firm faces higher refinancing, covenant and solvency risk during downturns, limiting ability to absorb losses or pursue growth without deleveraging.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved operating cash flow
A sharp TTM rebound to positive operating and free cash flow materially improves goeasy's ability to fund operations and loss absorption without immediate external financing. Durable cash generation supports remediation, working capital and measured originations, reducing near-term liquidity stress while consistency risk remains.
Read all positive factors
goeasy (GSY) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$677.61M
Dividend Yield13.82%
Average Volume (3M)70.50K
Price to Earnings (P/E)―
Beta (1Y)1.60
Revenue Growth5.44%
EPS Growth-222.24%
CountryCA
Employees2,300
SectorFinancial
Sector Strength70
IndustryFinancial - Credit Services
Share Statistics
EPS (TTM)-20.65
Shares Outstanding16,034,243
10 Day Avg. Volume38,089
30 Day Avg. Volume70,496
Financial Highlights & Ratios
PEG Ratio0.07
Price to Book (P/B)2.55
Price to Sales (P/S)1.28
P/FCF Ratio-2.48
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
C$45.33Price Target Upside5.13% Upside
Rating ConsensusModerate Sell
Number of Analyst Covering3
EPS Forecast (FY)-3.58
Revenue Forecast (FY)C$1.59B
goeasy Business Overview & Revenue Model
Company Description
goeasy Ltd. provides non-prime leasing and lending services under the easyhome, easyfinancial, and LendCare brands to consumers in Canada. It operates through two segments, Easyfinancial and Easyhome. The company offers unsecured and secured insta...
How the Company Makes Money
goeasy makes money primarily by originating and servicing consumer loans and earning finance-related income over the life of those loans. The company’s key revenue streams include: (1) Interest and finance charges on installment loans (primarily u...
goeasy Earnings Call Summary
Earnings Call Date:Aug 06, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Nov 05, 2026
Earnings Call Sentiment Neutral
The call conveyed a balanced message: management executed decisive actions that materially strengthened liquidity and improved several quarter-over-quarter credit metrics, while also acknowledging significant year-over-year revenue and credit challenges, an outstanding material weakness remediation, and a continued need to rebuild earnings momentum. The company is stabilizing the business through originations discipline, portfolio mix shift toward direct-to-consumer, and operational improvements, but near-term profitability and yields remain under pressure and capital returns are suspended.Positive Updates
Quarterly Adjusted Earnings Per Share Turnaround
Delivered adjusted diluted EPS of CAD 1.02 in Q2 2026, a sequential improvement from an adjusted diluted loss per share of CAD (1.90) in Q1 2026.
Negative Updates
Year-over-Year Revenue Decline
Quarterly revenue declined 9.6% YoY to CAD 390 million, driven by a 2% YoY contraction in the consumer loan portfolio, lower yields, and reduced originations.
Read all updates
Q2-2026 Updates
Positive
Negative
Quarterly Adjusted Earnings Per Share Turnaround
Delivered adjusted diluted EPS of CAD 1.02 in Q2 2026, a sequential improvement from an adjusted diluted loss per share of CAD (1.90) in Q1 2026.
Read all positive updates
Company Guidance
Management provided a Q3 2026 outlook calling for ending gross consumer loans receivable of CAD 4.8–5.0 billion, total yield on consumer loans of 26.5%–28.0%, and net charge‑offs of 14.5%–16.0%; they also refreshed full‑year 2026 guidance, expecting year‑end gross consumer loans receivable broadly consistent with Q2 ending (about CAD 5.0 billion), total yields (including ancillary) broadly consistent with the first half (Q2 yield was 28.3%), and net charge‑offs to average in the mid‑teens with continued improvement through the back half of the year. Management said originations will ramp from Q2 levels but remain calibrated to profitable returns, liquidity was strengthened (unrestricted cash plus unused contractual borrowing capacity CAD 1.37 billion and RCF access restored July 1), the allowance for credit losses was CAD 499.5 million at quarter‑end, and dividends and share repurchases remain suspended.goeasy Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
32
Negative
Cash Flow
50
Neutral
| Breakdown | TTM | Mar 2026 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 1.69B | 1.70B | 1.52B | 1.25B | 1.02B | 826.72M |
| Gross Profit | 1.32B | 1.17B | 1.05B | 851.59M | 708.26M | 561.49M |
| EBITDA | 700.41M | 1.02B | 918.96M | 740.46M | 603.86M | 472.32M |
| Net Income | -341.44M | -178.37M | 283.11M | 247.90M | 140.16M | 244.94M |
Balance Sheet | ||||||
| Total Assets | 5.48B | 5.76B | 5.19B | 4.16B | 3.30B | 2.60B |
| Cash, Cash Equivalents and Short-Term Investments | 312.10M | 99.46M | 251.38M | 120.38M | 32.45M | 82.88M |
| Total Debt | 4.45B | 4.63B | 3.69B | 2.89B | 2.45B | 1.91B |
| Total Liabilities | 4.69B | 4.91B | 3.99B | 3.11B | 2.43B | 1.81B |
| Stockholders Equity | 796.13M | 850.42M | 1.20B | 1.05B | 869.69M | 789.91M |
Cash Flow | ||||||
| Free Cash Flow | 480.61M | -876.81M | -479.45M | -490.58M | -533.77M | -106.32M |
| Operating Cash Flow | 503.37M | -854.62M | -469.45M | -473.22M | -505.88M | -78.88M |
| Investing Cash Flow | -891.31M | -22.20M | 3.52M | -11.75M | -42.49M | -210.63M |
| Financing Cash Flow | 1.98M | 781.93M | 572.73M | 566.89M | 508.55M | 298.94M |
goeasy Technical Analysis
Negative
43.12
Price Trends
45.90
Negative
41.14
Positive
70.33
Negative
Market Momentum
-0.79
Negative
42.58
Neutral
27.05
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:GSY, the sentiment is Negative. The current price of 43.12 is above the 20-day moving average (MA) of 42.99, below the 50-day MA of 45.90, and below the 200-day MA of 70.33, indicating a bearish trend. The MACD of -0.79 indicates Negative momentum. The RSI at 42.58 is Neutral, neither overbought nor oversold. The STOCH value of 27.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:GSY.
goeasy Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | C$1.02B | 29.94 | 6.17% | 0.32% | 13.80% | 11.27% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
65 Neutral | C$961.48M | 12.14 | 21.12% | 3.81% | 22.39% | -10.18% | |
55 Neutral | C$851.06M | 9.91 | 13.08% | 8.03% | 12.78% | 14.21% | |
52 Neutral | C$5.52B | -617.14 | -0.07% | 1.79% | -3.80% | -102.38% | |
48 Neutral | C$677.61M | -2.05 | -37.13% | 13.82% | 5.44% | -222.24% | |
44 Neutral | C$1.82B | -80.86 | -0.30% | 4.63% | -7.16% | -116.37% |
* Financial Sector Average
TSE:GSY
goeasy
42.26
-162.89
-79.40%
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goeasy Corporate Events
Business Operations and StrategyFinancial Disclosures
Goeasy Tightens Lending and Boosts Provisions as Credit Losses Climb
Negative
Aug 7, 2026
Goeasy reported a sharp slowdown in its lending business in the second quarter of 2026 as it executed a six-point action plan to prioritize liquidity and tighten credit. Gross consumer loans receivable fell 2% year over year to $5.0 billion and 7%...
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.