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Renoworks Software Inc (TSE:RW)
:RW
Canadian Market
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Renoworks Software (RW) AI Stock Analysis

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TSE:RW

Renoworks Software

(RW)

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Neutral 44 (OpenAI - Gpt-5.6Sol)
Rating:44Neutral
Price Target:
C$0.24
▼(-43.49% Downside)
Action:Reiterated
Date:08/28/26
The score is driven primarily by weak financial consistency: despite strong gross margins and no debt, the latest TTM shows declining revenue, renewed losses, and negative cash flow. Technicals further weigh on the score with a clear downtrend and bearish momentum, while valuation is hindered by a negative P/E and no dividend support.
Positive Factors
Strong Gross Margins
The expanding gross margin indicates attractive software unit economics and pricing or delivery efficiency. If maintained, it provides capacity to fund product investment, customer acquisition, and operating-cost absorption as the business scales.
Negative Factors
Recent Revenue Contraction
The recent revenue decline interrupts the longer-term growth record and suggests weaker customer expansion, retention, or project activity. Sustained contraction would limit operating leverage and make it harder to convert strong gross margins into durable profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Gross Margins
The expanding gross margin indicates attractive software unit economics and pricing or delivery efficiency. If maintained, it provides capacity to fund product investment, customer acquisition, and operating-cost absorption as the business scales.
Read all positive factors

Renoworks Software (RW) vs. iShares MSCI Canada ETF (EWC)

Renoworks Software Business Overview & Revenue Model

Company Description
Headquartered in Calgary, Canada, RenoWorks Software Inc. is a global provider of cutting-edge digital visualization software for the home renovation and new construction sectors. The company's innovative suite of tools empowers professionals and ...
How the Company Makes Money
Renoworks Software makes money primarily by selling access to its visualization and sales-enablement software and associated services to businesses in the remodeling/building-products ecosystem. Key revenue streams include: (1) Software licensing ...

Renoworks Software Financial Statement Overview

Summary
Strong and improving gross margins support attractive unit economics, and the company carries no reported debt. However, the latest TTM shows revenue decline, a return to net losses, and negative operating/free cash flow, indicating profitability and cash generation are not yet stable.
Income Statement
44
Neutral
Balance Sheet
52
Neutral
Cash Flow
41
Neutral
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue7.36M7.74M6.94M6.29M5.94M5.55M
Gross Profit5.82M5.96M5.12M4.43M3.79M3.49M
EBITDA-469.93K37.65K155.14K-470.62K-1.23M-480.87K
Net Income-315.06K18.52K133.06K-497.77K-1.32M-608.96K
Balance Sheet
Total Assets2.35M2.80M2.64M1.67M1.79M2.21M
Cash, Cash Equivalents and Short-Term Investments1.27M1.44M1.54M645.55K704.08K1.19M
Total Debt0.000.000.000.000.00297.37K
Total Liabilities2.32M2.59M2.65M1.87M1.56M1.64M
Stockholders Equity31.95K205.12K-4.36K-195.19K232.72K571.78K
Cash Flow
Free Cash Flow-315.07K-176.44K882.12K-59.88K-1.22M48.50K
Operating Cash Flow-293.15K-158.55K893.82K-52.83K-1.18M93.93K
Investing Cash Flow-12.92K-8.89K-2.70K-6.30K-11.56K-140.43K
Financing Cash Flow83.00K75.50K0.00600.00710.79K712.29K

Renoworks Software Technical Analysis

Technical Analysis Sentiment
Negative
Last Price0.43
Price Trends
50DMA
0.31
Negative
100DMA
0.28
Negative
200DMA
0.33
Negative
Market Momentum
MACD
-0.02
Positive
RSI
25.26
Positive
STOCH
12.50
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RW, the sentiment is Negative. The current price of 0.43 is above the 20-day moving average (MA) of 0.27, above the 50-day MA of 0.31, and above the 200-day MA of 0.33, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 25.26 is Positive, neither overbought nor oversold. The STOCH value of 12.50 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:RW.

Renoworks Software Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
49
Neutral
C$7.70M-1.27-71.93%-33.40%-270.13%
47
Neutral
C$30.69M-12.84202.94%20.09%17.58%
44
Neutral
C$9.41M-29.87-181.34%-3.65%-192.77%
42
Neutral
C$4.88M-4.9371.02%-3.38%-37.25%
39
Underperform
C$3.74M-0.75-219.22%
39
Underperform
C$7.05M-0.80-8232.51%1.68%-8.17%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:RW
Renoworks Software
0.23
-0.37
-61.67%
TSE:IAI
infinitii ai
0.04
>-0.01
-12.50%
TSE:MAPS
ProStar Holdings Inc
0.19
0.09
90.00%
TSE:RIWI
RIWI Corp
0.14
-0.31
-69.32%
TSE:VQS
VIQ Solutions
0.10
-0.10
-50.00%
TSE:WISH
Wishpond Technologies
0.14
>-0.01
-5.41%

Renoworks Software Corporate Events

Business Operations and StrategyFinancial Disclosures
Renoworks Boosts Recurring Software Revenue as It Invests in AI Platform, But Q2 Profitability Slips
Negative
Aug 27, 2026
Renoworks reported weaker overall financial results for the second quarter and first half of 2026 as it deliberately reduces low-margin design services in favor of higher-margin recurring software revenue. Total revenue for the six months fell 9.5...
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 28, 2026