Victory Square Technologies Inc (VST) AI Stock Analysis

• Market Cap: C$87.84M
• Dividend Yield: N/A
• Average Volume (3M): 141.68K
• Price to Earnings (P/E): 27.6
• Beta (1Y): 0.89
• Revenue Growth: 28.28%
• EPS Growth: N/A
• Country: CA
• Employees: 19
• Sector: Financial
• Sector Strength: 70
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): N/A
• Shares Outstanding: 100,964,970
• 10 Day Avg. Volume: 98,193
• 30 Day Avg. Volume: 141,677
• PEG Ratio: -0.25
• Price to Book (P/B): 5.28
• Price to Sales (P/S): 1.94
• P/FCF Ratio: -19.21
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: C$1.00 ▲(28.21% Upside)

Victory Square Technologies Inc. has a solid technical outlook with strong market momentum, which is the most significant factor driving the score. Financial performance is a concern due to profitability and cash flow challenges, but revenue growth and positive net income shift are promising. Valuation is moderate, with a P/E ratio suggesting fair pricing relative to growth prospects.

Victory Square Technologies Inc Business Overview & Revenue Model

Company Description

Victory Square Technologies Inc. is a private equity and venture capital firm specializing in incubation, acquisition and invests in startups, Early stage and provides the senior leadership and resources needed to growth. Through its portfolio companies it focuses on technologies in blockchain, digital health, web3, creator economy, metaverse, machine learning, climate tech, youth, mental health, healthcare, special needs, technology, First Nation, artificial intelligence, and virtual reality/augmented reality, health, mobile gaming, film, esports, cannabis, and education. The company formerly known as Fantasy 6 Sports Inc. and changed its name to Victory Square Technologies Inc. in June 2017. It prefers to take minority investment in the companies. Victory Square Technologies Inc. was incorporated in 2015 and is headquartered in Vancouver, Canada with an additional office in Lewes, Delaware.

How the Company Makes Money

Victory Square Technologies generates revenue primarily through its investments in portfolio companies and the commercialization of its proprietary technologies. Key revenue streams include equity stakes in the startups it incubates, which can result in capital gains upon successful exits or public offerings. Additionally, VST may earn revenue through licensing agreements for its developed technologies and services provided to its partner companies. The company also benefits from significant partnerships with other technology firms and venture capital entities, which can enhance its investment returns and market reach, further contributing to its earnings.

Victory Square Technologies Inc Financial Statement Overview

Summary

Victory Square Technologies Inc. shows promising revenue growth, crucial for the Electronic Gaming & Multimedia industry, yet struggles with profitability and cash flow stability. The high leverage and consistent negative free cash flow represent risks that need addressing for long-term financial health. Despite these challenges, the shift to positive net income and increasing equity are positive indicators for potential future improvement.

Income Statement

Victory Square Technologies Inc. experienced substantial revenue growth, with a 38.7% increase from the previous year, indicating solid performance in revenue generation. However, the company's profitability remains a concern, as evidenced by a negative EBIT margin and volatile net profit margins over the years. The recent TTM (Trailing-Twelve-Months) shows a shift to positive net income, suggesting potential profitability improvements.

Balance Sheet

The company maintains a high debt-to-equity ratio, which poses a financial risk due to leverage. Despite this, stockholders' equity has been increasing, indicating shareholders' interest is growing. The equity ratio is moderate, suggesting a balanced asset structure, but the high liabilities relative to equity remain a concern.

Cash Flow

Cash flow management is a challenge, with consistent negative free cash flow highlighting operational cash strain. Although there's slight improvement in operating cash flow relative to net income, the company must focus on enhancing cash generation and reducing capital expenditures to stabilize its cash position.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	18.64M	16.72M	12.06M	5.93M	1.49M	1.49M
Gross Profit	6.50M	6.37M	5.49M	3.26M	910.14K	527.79K
EBITDA	3.79M	2.06M	-13.89M	-24.59M	-16.59M	16.25M
Net Income	3.11M	1.23M	-14.15M	-28.59M	-19.43M	19.92M
Balance Sheet
Total Assets	16.25M	10.22M	11.78M	24.18M	37.33M	42.65M
Cash, Cash Equivalents and Short-Term Investments	6.12M	1.23M	2.20M	3.83M	4.38M	4.57M
Total Debt	2.55M	2.41M	6.84M	6.60M	4.28M	2.23M
Total Liabilities	8.17M	7.47M	12.07M	10.93M	6.17M	3.95M
Stockholders Equity	11.27M	6.13M	3.96M	13.97M	27.38M	32.94M
Cash Flow
Free Cash Flow	-1.72M	-1.69M	-3.39M	-4.17M	-8.86M	-3.26M
Operating Cash Flow	-275.83K	-503.33K	-3.18M	-3.61M	-8.57M	-3.26M
Investing Cash Flow	-131.01K	-213.03K	1.48M	-808.30K	-3.51M	-70.33K
Financing Cash Flow	4.58M	-181.11K	95.35K	3.87M	11.90M	7.75M

Victory Square Technologies Inc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.78
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:VST, the sentiment is Positive. The current price of 0.78 is below the 20-day moving average (MA) of 0.81, below the 50-day MA of 0.78, and above the 200-day MA of 0.39, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 59.51 is Neutral, neither overbought nor oversold. The STOCH value of 82.88 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:VST.

Victory Square Technologies Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
VST	58 Neutral	C$87.84M	27.64	46.49%	―	28.28%	―
VRTS	47 Neutral	C$21.28M	-6.67	―	―	-5.42%	93.94%
GET	46 Neutral	―	―	―	―	―	―
ESE	45 Neutral	$13.23M	-3.11	―	―	―	―
EGLX	39 Underperform	$9.55M	-0.07	-186.28%	―	-56.63%	-25.99%

Victory Square Technologies Inc Corporate Events

Victory Square Technologies Announces Share Buyback and Investor Webinar

Victory Square Technologies Inc. has announced a Normal Course Issuer Bid (NCIB) to repurchase up to 5% of its common shares, reflecting confidence in its portfolio and long-term outlook. This strategic move is part of the company’s efforts to enhance shareholder value, following the successful conversion of strategic capital into shares of Hydreight Technology Inc., which significantly increased the company’s asset value. With a clear balance sheet and market capitalization below its net asset value, the share buyback is seen as a logical step to return value to shareholders.

The most recent analyst rating on (TSE:VST) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Victory Square Technologies Inc stock, see the TSE:VST Stock Forecast page.

Victory Square Technologies Achieves Revenue Growth and Profitability in Q2 2025

Victory Square Technologies reported strong financial results for Q2 2025, highlighted by a 33% year-over-year increase in adjusted revenue to $13.9 million and a return to profitability with an adjusted EBITDA of $829 thousand. The company’s portfolio companies are showing significant momentum, with Hydreight achieving its third consecutive profitable quarter and Insu Therapeutics advancing its oral insulin tablet towards clinical milestones. Victory Square is also exploring strategic initiatives such as share buybacks to reduce NAV discount and launching Pawsible Ventures, a fund and incubator focused on pet wellness, telehealth, and AI.

The most recent analyst rating on (TSE:VST) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on Victory Square Technologies Inc stock, see the TSE:VST Stock Forecast page.

Victory Square’s Alex Chieng Triumphs at Global AI Hackathon

Victory Square Technologies Inc. announced that Alex Chieng, CEO of Pawsible Ventures, a Victory Square portfolio company, won the world’s largest AI hackathon hosted by Bolt.New. Chieng’s project, Loafie, an emotional support app, highlights Victory Square’s commitment to innovation in AI and pet wellness. Pawsible Ventures, backed by Victory Square, focuses on advancing pet wellness through AI and health-tech, positioning itself as a leader in the $300 billion global pet market.