Psyched Wellness (PSYC) AI Stock Analysis

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Psyched Wellness

(CNQX:PSYC)

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Rating:37Underperform

Price Target:CAD 0.01▲(80.00% Upside)

Action:downgraded

Date:11/04/26

The overall stock score of 37 is anchored by Psyched Wellness's critical financial distress and fundamental unprofitability. The company faces severe operating losses, a negative gross profit (costing more to produce goods than it earns), and rapid cash burn that threatens basic solvency. A deeply negative valuation multiple further underscores the lack of underlying value, rendering the stock an exceptionally high-risk proposition.

Positive Factors

Revenue GrowthRevenue growth shows that the company is gaining commercial traction and expanding sales beyond its initial base. If this trajectory continues, greater scale could improve operating leverage and provide a foundation for better economics, although profitability must still catch up.

Negative Factors

Negative Gross Profit and Large LossesNegative gross profit indicates that the current revenue base does not yet cover direct product costs, before broader operating expenses are considered. Persistently large operating and net losses weaken the path to self-funded growth and raise questions about the sustainability of the business model.

Psyched Wellness (PSYC) vs. iShares MSCI Canada ETF (EWC)

Market Cap: CAD 1.57M
Dividend Yield: ―
Average Volume (3M): 4,875
Price to Earnings (P/E): -0.3
Beta (1Y): 0.13
Revenue Growth: 115.14%
EPS Growth: -5.84%
Country: Canada
Employees: 1,800
Sector: Consumer Defensive
Sector Strength: 62
Industry: Packaged Foods

Psyched Wellness Business Overview & Revenue Model

Company Description

Psyched Wellness Ltd. operates as a health supplements enterprise, specializing in the production and distribution of artisanal medicinal mushrooms and their associated consumer packaged goods. A prominent offering is their Amanita Muscaria Tincture,...

Psyched Wellness Financial Statement Overview

Summary

Psyched Wellness exhibits extreme financial distress. Despite nominal revenue, the company suffers from massively negative gross margins, severe operating losses, aggressive cash burn, and a rapidly depleting equity cushion, posing exceptionally high insolvency risks.

Income Statement

10Very Negative

Balance Sheet

12Very Negative

Cash Flow

10Very Negative

Financial statement breakdown
Breakdown	TTM	Feb 2026	Feb 2025	Feb 2024	Feb 2023	Feb 2022
Income Statement
Total Revenue	775.14K	472.30K	623.16K	321.10K	14.27K	0
Gross Profit	-444.19K	189.79K	241.89K	155.71K	7,542	0
EBITDA	-6.00M	-5.08M	-4.52M	-3.32M	-4.29M	-65.31K
Net Income	-5.47M	-5.04M	-4.26M	-3.43M	-4.30M	-4.50M
Balance Sheet
Total Assets	1.30M	3.75M	7.89M	7.34M	3.31M	6.38M
Cash, Cash Equivalents and Short-Term Investments	182.51K	2.25M	6.36M	6.13M	2.57M	5.53M
Total Debt	288.13K	0	0	0	0	0
Total Liabilities	761.42K	644.82K	449.33K	303.56K	198.07K	178.15K
Stockholders Equity	539.26K	3.10M	7.44M	7.03M	3.11M	6.20M
Cash Flow
Free Cash Flow	-4.11M	-4.05M	-3.11M	-3.11M	-3.18M	-3.04M
Operating Cash Flow	-4.11M	-4.05M	-3.10M	-3.03M	-3.09M	-3.01M
Investing Cash Flow	2,519	0	-2,777	-44.84K	126.99K	-28.58K
Financing Cash Flow	1.08M	0	3.39M	6.64M	0	6.51M

Psyched Wellness Peers Comparison

Overall Rating

UnderperformOutperform

Sector (62)

Financial Indicators

TSE:PSYC against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSE:JWEL	69Neutral	CAD 1.90B	24.30	15.93%	2.06%	14.96%	35.61%
Sector *	62Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
TSE:HBFG	46Neutral	CAD 241.29M	-12.38	-311.77%	―	82.33%	-570.45%
TSE:CULT	37Underperform	CAD 616.60K	-0.52	-9999.00%	―	3288.96%	50.66%
TSE:PSYC	37Underperform	CAD 2.04M	-0.31	-305.94%	―	115.14%	-5.84%

* Consumer Defensive Sector Average

Performance Comparison

TSE:PSYC and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
TSE:PSYC	Psyched Wellness Ltd	0.01	-0.01	-50.00%
TSE:JWEL	Jamieson Wellness	45.69	11.63	34.15%
TSE:HBFG	Happy Belly Food Group Inc	1.45	-0.28	-16.18%
TSE:MOOO.X	Happy Supplements Inc.	0.35	-0.05	-12.50%
TSE:CULT	Cult Food Science Corp.	0.25	-0.25	-50.00%

Psyched Wellness Corporate Events

Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance

Psyched Wellness Secures Related-Party Term Loan to Fund AMA Brand Operations

Positive

Oct 8, 2026

Psyched Wellness has secured a US$110,577 term loan from Gotham Green funds, which will be used to fund operating expenses and inventory purchases tied to its AMA-branded Amanita Muscaria products. The loan, bearing interest at SOFR plus 5% and matur...

Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance

Psyched Wellness Secures Insider-Backed Term Loan to Fund AMA Brand Growth

Positive

Aug 5, 2026

Psyched Wellness has secured US$230,000 in term notes from Gotham Green Fund III entities to fund operating expenses and inventory purchases tied to its AMA-branded mushroom-derived wellness products. The notes bear interest at SOFR plus 5% and are s...

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: Nov 04, 2026

Psyched Wellness AI Stock Analysis