WonderFi Technologies Inc (WNDR) AI Stock Analysis

• Market Cap: C$172.79M
• Dividend Yield: N/A
• Average Volume (3M): 498.32K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.61
• Revenue Growth: 0.36%
• EPS Growth: -690.91%
• Country: CA
• Employees: 110
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): -0.01
• Shares Outstanding: 664,587,400
• 10 Day Avg. Volume: 660,043
• 30 Day Avg. Volume: 498,319
• PEG Ratio: 1.67
• Price to Book (P/B): 1.87
• Price to Sales (P/S): 3.32
• P/FCF Ratio: -71.67
• 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: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 43 Neutral
• Price Target: C$0.50 ▲(92.31% Upside)

WonderFi Technologies Inc's overall stock score is primarily impacted by its strong revenue growth and robust gross profit margin. However, the company's struggles with profitability and cash flow management, combined with bearish technical indicators and poor valuation metrics, significantly weigh down the score. The absence of earnings call data and corporate events further limits the positive factors influencing the score.

Positive Factors

Revenue Growth

The strong revenue growth trajectory indicates expanding market reach and increased adoption of WonderFi's fintech solutions, which is a positive indicator for long-term business sustainability.

Gross Profit Margin

A robust gross profit margin suggests effective cost management and pricing power, which can support profitability as the company scales its operations.

Low Leverage

Low leverage enhances financial stability and reduces risk, providing WonderFi with greater flexibility to invest in growth opportunities without the burden of high debt costs.

Negative Factors

Profitability Challenges

Ongoing profitability challenges indicate that WonderFi needs to improve its cost structure and operational efficiency to achieve sustainable long-term growth and shareholder value.

Negative Cash Flow

Negative cash flow, despite improvements, highlights the need for better cash management strategies to ensure liquidity and support future growth initiatives.

Negative ROE

A negative ROE reflects challenges in generating shareholder returns, underscoring the importance of enhancing profitability and operational efficiency to improve financial performance.

WonderFi Technologies Inc Business Overview & Revenue Model

Company Description

WonderFi Technologies Inc. operates as a technology company. The company engages in the development of a technology platform to facilitate investments in the decentralized finance industry. It provides access to digital assets, including crypto, DeFi, gaming, and NFTs. The company is based in Vancouver, Canada.

How the Company Makes Money

WonderFi generates revenue primarily through transaction fees from its trading platform, where users buy and sell cryptocurrencies. Each transaction incurs a fee, which constitutes a significant portion of its earnings. The company may also earn revenue through premium services, such as advanced trading features or subscription-based educational content. Additionally, partnerships with other financial institutions and fintech companies can lead to revenue-sharing agreements and increased user adoption, further enhancing its income streams. WonderFi's strategic collaborations in the digital asset ecosystem, including integrations with wallets and exchanges, also contribute to its profitability by expanding its user base and facilitating more transactions.

WonderFi Technologies Inc Financial Statement Overview

Summary

WonderFi Technologies Inc exhibits strong revenue growth and a robust gross profit margin but is struggling with profitability and cash flow management. The balance sheet reflects a low leverage position, which is positive, yet the negative ROE indicates challenges in generating returns for shareholders. The company needs to focus on improving net profitability and cash flows to strengthen its financial standing.

Income Statement

WonderFi Technologies Inc has shown significant revenue growth over the years, with a notable increase from CAD 28.28M in 2023 to CAD 57.74M in 2024, indicating a strong growth trajectory. However, the company is struggling with profitability, as evidenced by negative net income and EBIT margins consistently over the years. Gross profit margin in 2024 improved significantly to 72.96%, but the company remains unprofitable with a net profit margin of -2.15%.

Balance Sheet

The balance sheet of WonderFi Technologies Inc shows a reasonable equity base with stockholders' equity at CAD 102.45M in 2024. The company has a low debt-to-equity ratio, suggesting low leverage, which is positive for financial stability. However, the equity ratio has decreased over the years, indicating a rising proportion of liabilities to assets. Return on Equity (ROE) remains negative due to net losses, affecting overall balance sheet strength.

Cash Flow

Cash flow analysis shows improving free cash flow, although it remains negative at CAD -2.67M in 2024. The company has managed to reduce its negative operating cash flow significantly, reflecting better operational cash management. However, free cash flow to net income ratio is not favorable, and financing activities have not been consistent in supporting growth, highlighting cash flow management challenges.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2019
Income Statement
Total Revenue	57.74M	28.28M	6.48M	0.00	0.00
Gross Profit	42.14M	18.53M	-2.55M	-134.76K	0.00
EBITDA	6.13M	-6.57M	-22.55M	-5.14M	-153.75K
Net Income	-1.24M	-16.69M	-35.58M	-5.06M	-153.75K
Balance Sheet
Total Assets	2.22B	1.14B	449.60M	25.37M	30.22K
Cash, Cash Equivalents and Short-Term Investments	34.35M	26.09M	8.29M	20.35M	13.86K
Total Debt	225.72K	627.84K	5.02M	65.37K	0.00
Total Liabilities	2.12B	1.03B	284.30M	535.38K	86.73K
Stockholders Equity	102.45M	104.58M	165.30M	24.84M	-56.52K
Cash Flow
Free Cash Flow	-2.67M	-14.42M	-21.15M	-5.66M	-88.54K
Operating Cash Flow	-2.30M	-13.60M	-21.08M	-5.65M	-88.54K
Investing Cash Flow	15.67M	23.71M	-43.60M	-5.81K	0.00
Financing Cash Flow	-5.11M	4.27M	52.69M	25.97M	0.00

WonderFi Technologies Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.26
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:WNDR, the sentiment is Negative. The current price of 0.26 is below the 20-day moving average (MA) of 0.30, below the 50-day MA of 0.33, and below the 200-day MA of 0.30, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 21.82 is Positive, neither overbought nor oversold. The STOCH value of 20.35 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:WNDR.

WonderFi Technologies Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
ABXX	49 Neutral	C$61.56M	-2.36	-128.45%	―	40.92%	-27.42%
VQS	48 Neutral	C$9.43M	-0.86	-644.92%	―	2.20%	37.96%
WNDR	43 Neutral	C$172.79M	-5.98	-30.04%	―	0.36%	-690.91%
AXCP	39 Underperform	C$51.98M	―	-150.03%	―	―	81.07%
LQWD	38 Underperform	C$31.16M	-4.97	-21.52%	―	782.42%	-63.88%

WonderFi Technologies Inc Corporate Events

WonderFi Updates on Robinhood Acquisition Progress

WonderFi Technologies Inc. has announced an update on its transaction with Robinhood Markets, Inc., where Robinhood will acquire all issued and outstanding common shares of WonderFi. The companies are working on post-closing integration to deploy Robinhood’s proprietary technology, with the transaction expected to close in the first half of 2026, pending regulatory approvals. This acquisition is anticipated to enhance WonderFi’s service offerings and market positioning, benefiting its stakeholders by integrating advanced technology and expanding its reach in the financial services industry.

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

WonderFi Reports Strong Q2 2025 Results Amid Robinhood Acquisition

WonderFi Technologies Inc. reported approximately $10.8 million in revenue and interest income for the second quarter of 2025, with its trading platforms Bitbuy and Coinsquare managing over $1.9 billion in client assets. The company is set to be acquired by Robinhood Markets, Inc., following approval from securityholders and the Supreme Court of British Columbia. This acquisition is expected to close in the latter half of 2025, potentially enhancing WonderFi’s market position and operational capabilities.

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