PharmaCielo (PCLO) AI Stock Analysis

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PharmaCielo

(TSXV:PCLO)

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Rating:42Neutral

Price Target:CAD 0.05▼(-4.00% Downside)

Action:reiterated

Date:10/06/26

The score is held down primarily by weak financial health—ongoing large losses, negative equity, and meaningfully negative cash flow—despite improving revenue and gross margin. Technical indicators are mixed/soft and do not show clear bullish momentum, while valuation is constrained by negative earnings and no dividend yield.

Positive Factors

Revenue GrowthThe sharp TTM revenue rebound indicates stronger recent demand for the company’s products and improved commercial traction. If maintained, higher sales can provide operating leverage, support broader customer penetration, and create a foundation for eventual profitability.

Negative Factors

Persistent UnprofitabilityContinued substantial losses show that the company has not yet scaled its revenue base enough to cover operating costs. Without a sustained reduction in losses, growth may require additional funding and the improved margin profile may not translate into durable shareholder value.

PharmaCielo (PCLO) vs. iShares MSCI Canada ETF (EWC)

Market Cap: CAD 8.01M
Dividend Yield: ―
Average Volume (3M): 87.62K
Price to Earnings (P/E): -2.7
Beta (1Y): -3.50
Revenue Growth: 0.90%
EPS Growth: 57.73%
Country: Canada
Employees: 268
Sector: Healthcare
Sector Strength: 51
Industry: Drug Manufacturers - Specialty & Generic

PharmaCielo Business Overview & Revenue Model

Company Description

PharmaCielo Ltd., operating in conjunction with its subsidiary, is primarily engaged in the comprehensive cultivation, processing, and distribution of pharmaceutical-grade cannabis extracts, including tetrahydrocannabinol (THC), and associated medici...

How the Company Makes Money

PharmaCielo’s primary revenue model is business-to-business (B2B) sales of cannabis-derived ingredients and related products. The company seeks to monetize its operations by (1) cultivating and/or sourcing cannabis biomass and converting it into proc...

PharmaCielo Financial Statement Overview

Summary

Despite strong TTM revenue growth (~42%) and improved gross margin (~37%), the company remains deeply unprofitable with materially negative EBIT/net income, negative stockholders’ equity (about -$10.7M), and persistently negative operating/free cash flow (operating cash flow about -$7.0M). These indicate ongoing funding and solvency risk until losses narrow and equity is rebuilt.

Income Statement

22Negative

Balance Sheet

18Very Negative

Cash Flow

16Very Negative

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Jun 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	3.60M	2.61M	3.48M	1.54M	5.31M	1.94M
Gross Profit	1.34M	756.40K	730.88K	-1.37M	827.06K	-4.31M
EBITDA	-317.50K	-1.00M	-4.60M	-12.19M	-10.50M	-24.34M
Net Income	-3.71M	-4.55M	-9.14M	-16.30M	-16.04M	-26.92M
Balance Sheet
Total Assets	12.75M	8.56M	18.39M	22.29M	25.12M	35.96M
Cash, Cash Equivalents and Short-Term Investments	77.50K	289.24K	147.94K	62.18K	325.98K	5.63M
Total Debt	18.21M	18.65M	20.52M	18.31M	12.59M	8.43M
Total Liabilities	23.44M	23.92M	25.91M	23.97M	18.72M	16.63M
Stockholders Equity	-10.70M	-15.35M	-7.52M	-1.68M	6.39M	19.33M
Cash Flow
Free Cash Flow	-6.96M	-1.02M	-1.97M	-5.17M	-10.23M	-21.21M
Operating Cash Flow	-6.96M	-1.02M	-1.97M	-5.15M	-9.71M	-20.07M
Investing Cash Flow	10.05M	6.66M	41.14K	391.64K	-725.49K	-1.66M
Financing Cash Flow	-3.04M	-5.52M	2.02M	4.63M	5.30M	18.21M

PharmaCielo Technical Analysis

Technical Analysis SentimentNegative

Last Price0.05

Price Trends

50DMA0.06Negative

100DMA0.06Negative

200DMA0.07Negative

Market Momentum

MACD-0.00Positive

RSI43.32Neutral

STOCH-0.00Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:PCLO, the sentiment is Negative. The current price of 0.05 is below the 20-day moving average (MA) of 0.05, below the 50-day MA of 0.06, and below the 200-day MA of 0.07, indicating a bearish trend. The MACD of -0.00 indicates Positive momentum. The RSI at 43.32 is Neutral, neither overbought nor oversold. The STOCH value of -0.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:PCLO.

PharmaCielo Peers Comparison

Overall Rating

UnderperformOutperform

Sector (51)

Financial Indicators

TSE:PCLO against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSE:INNO	56Neutral	CAD 8.55M	-6.55	-19.37%	―	-19.20%	42.54%
Sector *	51Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
TSE:LABS	49Neutral	CAD 27.77M	-5.60	-13.79%	―	-6.74%	43.54%
TSE:ATLE	42Neutral	CAD 41.96M	-0.76	-2099.75%	―	-100.00%	94.43%
TSE:PCLO	42Neutral	CAD 9.34M	-2.67	28.59%	―	0.90%	57.73%
TSE:AVCN	41Neutral	CAD 14.11M	-3.24	-108.44%	―	-0.23%	-142.54%
TSE:OILS	40Underperform	CAD 3.40M	-1.75	-43.92%	―	-18.30%	-397.37%

* Healthcare Sector Average

Performance Comparison

TSE:PCLO and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TSE:PCLO	Pharmacielo	0.05	0.01	11.11%
TSE:ATLE	Willow Biosciences	0.09	-0.07	-43.75%
TSE:LABS	Medipharm Labs (Otc)	0.07	-0.01	-13.33%
TSE:OILS	Nextleaf Solutions	0.02	-0.04	-66.67%
TSE:AVCN	Avicanna Inc	0.10	-0.16	-60.38%
TSE:INNO	Innocan Pharma Corporation	1.90	-16.10	-89.44%

PharmaCielo Corporate Events

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing

PharmaCielo Revenue Surges on European Cannabis Sales as It Preserves Cash with Share-Based Interest Payment

Positive

Aug 28, 2026

PharmaCielo reported a sharp rebound in its 2026 first quarter, with revenue rising to $1.4 million from $0.3 million a year earlier, driven by a broader geographic footprint and new dried flower sales into Europe. The company swung to a gross profit...

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: Oct 06, 2026

PharmaCielo AI Stock Analysis