Want to see TSE:ROI full AI Analyst Report?
Top Page
Route1 Inc
(ROI)
Select Model
Select Model
Rating:47Neutral
Price Target:
C$0.12
▼(-15.71% Downside)
Action:Reiterated
Date:08/27/26
The score is primarily held down by weak financial performance, led by sustained revenue decline, ongoing net losses, and a highly stressed balance sheet with negative equity. Technicals are mixed (neutral momentum with longer-term trend support but near-term weakness). Valuation is also a headwind because the negative P/E reflects unprofitable operations and there is no dividend yield data to offset.
Positive Factors
Secure niche business model
Route1 operates in a security-sensitive niche where protected access to enterprise data and applications is a core customer requirement. Its MobiKEY platform and related identity and endpoint capabilities provide a focused offering that can support recurring software, maintenance, and implementation revenue.
Negative Factors
Sustained revenue decline
A prolonged revenue contraction signals that Route1 has not yet achieved durable growth or sufficient scale in its target markets. Shrinking sales can weaken operating leverage, limit investment capacity, and make it harder for margin improvements to translate into consistent profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Secure niche business model
Route1 operates in a security-sensitive niche where protected access to enterprise data and applications is a core customer requirement. Its MobiKEY platform and related identity and endpoint capabilities provide a focused offering that can support recurring software, maintenance, and implementation revenue.
Read all positive factors
Route1 Inc (ROI) vs. iShares MSCI Canada ETF (EWC)
Market Cap
C$5.62M
Dividend YieldN/A
Average Volume (3M)19.85K
Price to Earnings (P/E)―
Beta (1Y)2.53
Revenue Growth-22.16%
EPS Growth83.17%
CountryCA
Employees30
SectorGeneral
Sector StrengthN/A
IndustrySoftware - Application
Share Statistics
EPS (TTM)>-0.01
Shares Outstanding46,873,820
10 Day Avg. Volume18,550
30 Day Avg. Volume19,849
Financial Highlights & Ratios
PEG Ratio0.14
Price to Book (P/B)-8.77
Price to Sales (P/S)0.31
P/FCF Ratio8.68
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
Route1 Inc Business Overview & Revenue Model
Company Description
Route1 Inc. provides engineering and professional services using data capture technologies in the United States, Canada, and internationally. The company offers smart communities solutions, such as parking enforcement, wanted vehicle detection, co...
How the Company Makes Money
Route1 makes money primarily by selling secure remote access and related security software/services to institutional customers. Revenue is typically generated through (1) software licensing and subscriptions for access to its secure remote access ...
Route1 Inc Earnings Call Summary
Earnings Call Date:Apr 24, 2024
(Q4-2023)
| % Change Since: |
Next Earnings Date:Nov 25, 2026
Earnings Call Sentiment Neutral
Route1 has made significant progress in stabilizing its business model and growing its non-MobiKEY revenue streams. The company is optimistic about future EBITDA growth and financial stability. However, challenges remain, particularly with the decline in MobiKEY revenue and the impact of decreased VAR business. The sentiment is cautiously optimistic as Route1 continues to navigate its pivot to services.Positive Updates
Pivot to Services and Stabilization
Route1 has successfully pivoted from a pure play software cybersecurity company to an outcome-based services company, focusing on video capture-based technologies. The company reports stabilization in the fourth quarter of 2023, with a promising outlook for 2024.
Negative Updates
Decline in MobiKEY Revenue
There was a loss of approximately $225,000 in quarterly subscriber revenue from MobiKEY, attributed to competition from Microsoft integrating similar services in their suite.
Read all updates
Q4-2023 Updates
Positive
Negative
Pivot to Services and Stabilization
Route1 has successfully pivoted from a pure play software cybersecurity company to an outcome-based services company, focusing on video capture-based technologies. The company reports stabilization in the fourth quarter of 2023, with a promising outlook for 2024.
Read all positive updates
Company Guidance
During the Q4 2023 earnings call for Route1, CEO Tony Busseri discussed the company's strategic pivot from a pure play software cybersecurity firm to a comprehensive services provider, emphasizing their focus on delivering video capture-based technologies. He highlighted several key metrics, noting a decrease in revenue by approximately $4.5 million due to a reduction in value-added reseller business and MobiKEY subscriptions, which affected gross margins by around $700,000. Despite this, the company saw stability and growth in other areas, achieving non-MobiKEY gross profit above $150,000 per quarter in two of the last four quarters. Additionally, Route1's recurring license plate recognition technology support agreements exceeded $1 million on an annualized basis by Q1 2024. Busseri also underscored the importance of fixed cost control to enhance EBITDA and expressed optimism about achieving over $1 million in trailing four-quarter EBITDA by the end of the first half of 2024, while maintaining a stable debt position and improving working capital.Route1 Inc Financial Statement Overview
Summary
Income Statement
36
Negative
Balance Sheet
24
Negative
Cash Flow
61
Positive
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 10.56M | 11.52M | 15.15M | 17.58M | 22.05M | 27.27M |
| Gross Profit | 3.77M | 3.71M | 5.25M | 5.87M | 7.58M | 10.82M |
| EBITDA | 701.20K | 785.94K | 354.35K | 542.08K | 1.02M | 1.80M |
| Net Income | -187.29K | -350.76K | -1.06M | -1.28M | -1.72M | 222.21K |
Balance Sheet | ||||||
| Total Assets | 7.72M | 8.13M | 9.38M | 9.54M | 12.36M | 15.10M |
| Cash, Cash Equivalents and Short-Term Investments | 32.31K | 32.56K | 86.61K | 38.35K | 78.50K | 62.57K |
| Total Debt | 3.30M | 3.36M | 4.08M | 4.62M | 4.99M | 4.72M |
| Total Liabilities | 8.29M | 8.53M | 9.76M | 8.96M | 10.59M | 12.37M |
| Stockholders Equity | -570.01K | -401.04K | -383.82K | 584.35K | 1.77M | 2.73M |
Cash Flow | ||||||
| Free Cash Flow | 714.61K | 405.14K | 887.52K | 218.88K | 580.32K | 353.39K |
| Operating Cash Flow | 764.49K | 455.03K | 887.52K | 686.82K | 602.27K | 1.05M |
| Investing Cash Flow | -278.15K | -215.94K | -27.82K | -467.94K | 530.00 | -2.20M |
| Financing Cash Flow | -436.30K | -322.79K | -773.91K | -347.76K | -457.59K | 5.50K |
Route1 Inc Technical Analysis
Negative
0.14
Price Trends
0.14
Negative
0.13
Negative
0.10
Positive
Market Momentum
>-0.01
Positive
41.86
Neutral
66.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ROI, the sentiment is Negative. The current price of 0.14 is below the 20-day moving average (MA) of 0.14, below the 50-day MA of 0.14, and above the 200-day MA of 0.10, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 41.86 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:ROI.
Route1 Inc Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% | |
47 Neutral | C$5.62M | -35.29 | 39.71% | ― | -22.16% | 83.17% | |
47 Neutral | C$2.17M | -3.48 | 39.85% | ― | ― | ― | |
41 Neutral | C$11.06M | -1.13 | 46.34% | ― | -86.57% | 45.63% | |
41 Neutral | C$3.40M | -0.56 | 61.34% | ― | -24.45% | 32.66% | |
41 Neutral | C$658.50K | -0.74 | 34.04% | ― | -76.53% | -11.48% | |
39 Underperform | C$3.74M | -0.75 | -255.24% | ― | ― | ― |
* General Sector Average
TSE:ROI
Route1 Inc
0.12
0.02
14.29%
TSE:MBO
Mobio Technologies
0.10
0.04
58.33%
TSE:RIWI
RIWI Corp
0.14
-0.31
-69.32%
TSE:BWLK
Boardwalktech Software
0.03
-0.03
-50.00%
TSE:VSBY
Vsblty Groupe Technologies
0.13
0.04
47.06%
TSE:TBIX
TrustBix
0.01
-0.03
-75.00%
Route1 Inc Corporate Events
Business Operations and StrategyFinancial Disclosures
Route1 boosts margins and recurring revenue as ALPR market shifts toward governance
Neutral
Aug 25, 2026
Route1 reported a sharp year-over-year drop in second-quarter revenue to $2.4 million, primarily due to lower transactional device and professional-service activity, but improved profitability metrics as gross margin widened to 45.2% from 36.5%. R...
Business Operations and StrategyProduct-Related Announcements
Route1 Deepens U.S. Municipal Ties With New ALPR and Support Deals
Positive
Aug 11, 2026
Route1 Inc. has expanded its recurring operational relationships with the City of Davis, California and the City of Santa Barbara Police Department through new purchase orders totaling about US$0.3 million. The company is leveraging hardware refre...
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.