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Reko International (REKO) AI Stock Analysis

TSE:REKO

Reko International

(TSXV:REKO)

Select Model
Rating:69Neutral
Price Target:CAD 5.00â–²(0.00% Upside)
Action:downgraded
Date:08/30/26

Strong balance sheet and attractive valuation are the primary positive drivers, while cash flow volatility and neutral-to-bearish technical indicators limit the upside in the overall score.

Positive Factors
Improving Revenue and ProfitabilityThe rebound in revenue and profitability indicates stronger recent operating performance. If sustained through project execution and disciplined pricing, improved margins can strengthen internal funding and provide a firmer base for future growth.
Negative Factors
Weak Cash ConversionLow operating cash generation relative to earnings and negative free cash flow weaken the quality of reported profits. If the shortfall persists, REKO may face greater working-capital, execution, or external-financing needs despite its low leverage.

Reko International (REKO) vs. iShares MSCI Canada ETF (EWC)

-20%-10%0%10%20%30%40%TSE:REKO+28.53%EWC+21.27%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
CAD 27.42M
Dividend Yield
4.00%
Average Volume (3M)
1,266
Price to Earnings (P/E)
8.7
Beta (1Y)
-0.03
Revenue Growth
7.21%
EPS Growth
―
Country
Canada
Employees
37
Sector
Industrials
Sector Strength
63
Industry
Industrial - Machinery

Reko International Business Overview & Revenue Model

Company Description

Headquartered in Lakeshore, Canada, Reko International Group Inc. has been a key provider of engineered products and services since its incorporation in 1976. The company primarily serves original equipment manufacturers (OEMs) throughout Canada and...

How the Company Makes Money

REKO primarily makes money by selling engineered-to-order manufacturing solutions and related services to industrial customers. Key revenue streams typically include: - Custom tooling programs: Revenue from designing and manufacturing specialized too...

Reko International Financial Statement Overview

Summary

Strong balance sheet with low debt and stable equity, plus income statement rebound in revenue and net income, offset by volatile cash flows and negative free cash flow.

Income Statement

68Positive

Balance Sheet

82Very Positive

Cash Flow

52Neutral
Financial statement breakdown
BreakdownTTMJul 2025Jul 2024Jul 2023Jul 2022Jul 2021
Income Statement
Total Revenue43.30M42.15M44.28M46.75M53.88M39.20M
Gross Profit6.80M7.20M4.85M7.09M8.73M4.83M
EBITDA6.46M4.76M3.03M5.52M6.33M4.19M
Net Income2.90M1.04M-3.89M1.32M2.12M864.00K
Balance Sheet
Total Assets53.78M56.92M58.03M62.79M66.89M62.36M
Cash, Cash Equivalents and Short-Term Investments9.81M18.00M11.43M12.14M14.02M10.71M
Total Debt5.58M9.40M10.96M12.06M12.97M9.08M
Total Liabilities10.83M14.71M16.65M16.88M20.48M15.30M
Stockholders Equity42.94M42.21M41.38M45.91M46.41M47.06M
Cash Flow
Free Cash Flow-5.46M7.52M1.02M1.04M2.44M2.69M
Operating Cash Flow1.91M10.40M3.24M4.47M7.80M5.78M
Investing Cash Flow-6.66M-2.04M-1.81M-3.10M-788.00K-2.76M
Financing Cash Flow-5.42M-1.81M-2.13M-3.26M797.00K-1.25M

Reko International Technical Analysis

Technical Analysis SentimentPositive
Last Price5.00

Price Trends

50DMA4.74Positive
100DMA4.67Positive
200DMA4.37Positive

Market Momentum

MACD0.12Negative
RSI54.55Neutral
STOCH52.93Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:REKO, the sentiment is Positive. The current price of 5.00 is above the 20-day moving average (MA) of 4.88, above the 50-day MA of 4.74, and above the 200-day MA of 4.37, indicating a bullish trend. The MACD of 0.12 indicates Negative momentum. The RSI at 54.55 is Neutral, neither overbought nor oversold. The STOCH value of 52.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:REKO.

Reko International Peers Comparison

Overall Rating

UnderperformOutperform
Sector (63)

Financial Indicators

TSE:REKO against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
TSE:REKOTSE:REKO69NeutralCAD 27.42M8.736.20%4.00%7.21%―
Sector *63Neutral$10.79B15.437.44%2.01%2.89%-14.66%
TSE:PYRTSE:PYR56NeutralCAD 45.27M-4.07112.32%―11.62%16.81%
TSE:TLATSE:TLA47NeutralCAD 12.59M-14.37-5.66%―-8.43%-233.47%
TSE:ENWTSE:ENW46NeutralCAD 22.56M-11.46-16.94%―9.31%-124.29%
TSE:DYATSE:DYA45NeutralCAD 49.81M-5.05718.52%―-57.68%24.90%
TSE:NXHTSE:NXH42NeutralCAD 27.18M-2.88-138.91%―374.59%74.40%

* Industrials Sector Average

Performance Comparison

-50%0%50%100%150%TSE:REKOTSE:DYATSE:ENWTSE:PYRTSE:TLATSE:NXHDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
TSE:REKO and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
TSE:REKOReko International5.001.2734.05%
TSE:DYAdynaCERT Inc0.10-0.03-24.62%
TSE:ENWEnwave Corp0.19-0.16-45.71%
TSE:PYRPyroGenesis Canada0.20-0.03-13.04%
TSE:TLATitan Logix0.47-0.06-11.32%
TSE:NXHNext Hydrogen Solutions Inc0.40-0.20-33.33%
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 30, 2026