cbdMD (YCBD) AI Stock Analysis

• Market Cap: $10.25M
• Dividend Yield: N/A
• Average Volume (3M): 7.54M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.05
• Revenue Growth: -7.80%
• EPS Growth: 90.17%
• Country: US
• Employees: 42
• Sector: Healthcare
• Sector Strength: 45
• Industry: Drug Manufacturers - Specialty & Generic
• EPS (TTM): -0.21
• Shares Outstanding: 8,912,959
• 10 Day Avg. Volume: 860,286
• 30 Day Avg. Volume: 7,543,844
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.49
• Enterprise Value/Revenue: 0.27
• Enterprise Value/Gross Profit: 0.43
• Enterprise Value/Ebitda: -25.18
• 1Y Price Target: $2.00
• Price Target Upside: 100.00% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 44 Neutral
• Price Target: $1.00 ▲(0.00% Upside)

The overall stock score is primarily impacted by significant financial challenges, including negative earnings and cash flow issues. While technical analysis provides some short-term bullish signals, the negative valuation metrics further weigh down the score.

Positive Factors

Market Expansion

The expansion of distribution through a new partnership in Florida represents a strategic move to increase market presence and revenue potential, leveraging new product lines to capture more market share in the growing CBD and THC-infused product segments.

Direct-to-Consumer Model

The direct-to-consumer model enhances customer engagement and loyalty, providing better margins and control over the customer experience, which is crucial for long-term growth in the competitive CBD market.

Branding and Customer Education

Strong branding and customer education initiatives position cbdMD as a trusted resource in the CBD industry, fostering customer loyalty and differentiating the company from competitors, which is essential for sustained market leadership.

Negative Factors

Declining Revenues

Declining revenues indicate potential challenges in market demand or competitive pressures, which could hinder long-term growth prospects and necessitate strategic adjustments to regain momentum.

High Leverage

High leverage increases financial risk and limits flexibility, potentially impacting the company's ability to invest in growth opportunities or weather economic downturns, posing a threat to long-term stability.

Negative Cash Flows

Negative cash flows suggest liquidity challenges and an inability to cover operational costs, which could constrain the company's capacity to sustain operations and invest in future growth, affecting long-term viability.

cbdMD Business Overview & Revenue Model

Company Description

cbdMD, Inc. produces and distributes various cannabidiol (CBD) products. The company owns and operates consumer hemp-based CBD brands, such as cbdMD, Paw CBD, and cbdMD Botanicals. Its cbdMD brand products include CDB tinctures, gummies, topicals, capsules, bath bombs, bath salts, and sleep aids. It also offers veterinarian-formulated products, including tinctures, chews, and topicals under the Paw CBD brand name. The company distributes its products through its e-commerce Website, third-party e-commerce sites, wholesalers, and various brick and mortar retailers in the United States. It has a research partnership with the University of Mississippi to identify novel cannabinoids. The company was formerly known as Level Brands, Inc. and changed its name to cbdMD, Inc. in May 2019. cbdMD, Inc. was incorporated in 2015 and is headquartered in Charlotte, North Carolina.

How the Company Makes Money

cbdMD generates revenue primarily through the sale of its CBD products across various categories such as oils, capsules, gummies, topicals, and pet products. The company operates a direct-to-consumer model through its e-commerce platform, allowing it to reach customers nationwide. Additionally, cbdMD has established partnerships with various retailers, providing its products in brick-and-mortar locations, which contributes to revenue growth. The company also leverages subscription services, encouraging repeat purchases and customer loyalty. Furthermore, cbdMD's investment in marketing, including influencer partnerships and educational content, helps drive brand awareness and sales, enhancing its overall earnings.

cbdMD Financial Statement Overview

Summary

cbdMD faces significant financial challenges with negative net income, high leverage, and negative cash flows. The company reports consistent losses and declining revenues, indicating a need for strategic reorientation to improve profitability and financial stability.

Income Statement

The income statement reveals significant challenges with negative net income and EBIT over time, signaling ongoing profitability issues. The TTM (Trailing-Twelve-Months) data shows a negative EBIT margin, indicating the company is not generating operating profits. Revenues have been declining, with the latest TTM figure substantially lower than prior periods, reflecting negative growth trends and potential market challenges.

Balance Sheet

The balance sheet shows a concerningly high debt-to-equity ratio in recent periods, indicating high leverage and potential financial risk. Stockholders' equity has decreased significantly, impacting the equity ratio adversely. Despite a substantial increase in total debt, the company has maintained some equity, though the financial stability remains questionable with high liabilities relative to equity.

Cash Flow

Cash flow analysis highlights severe issues with negative operating and free cash flows, indicating the company is not generating sufficient cash to cover its operations and capital expenditures. The TTM data shows a substantial negative free cash flow, suggesting liquidity challenges. The operating cash flow to net income ratio is unfavorable, reinforcing concerns about cash management and sustainability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	19.03M	19.48M	24.16M	35.40M	44.48M	41.88M
Gross Profit	11.64M	12.00M	14.98M	22.34M	29.99M	26.37M
EBITDA	-200.98K	-1.49M	-20.01M	-15.48M	-22.01M	-16.86M
Net Income	-2.51M	-3.70M	-22.94M	-74.09M	-23.39M	12.60M
Balance Sheet
Total Assets	9.90M	10.58M	16.20M	40.79M	124.88M	110.84M
Cash, Cash Equivalents and Short-Term Investments	1.06M	2.45M	1.80M	7.72M	27.44M	15.10M
Total Debt	962.74K	1.27M	3.68M	4.87M	6.07M	8.68M
Total Liabilities	3.78M	8.62M	7.16M	9.37M	21.74M	31.66M
Stockholders Equity	6.11M	1.96M	9.03M	31.42M	103.14M	79.18M
Cash Flow
Free Cash Flow	-687.97M	-642.81K	-4.60M	-15.66M	-16.44M	-11.98M
Operating Cash Flow	-507.96M	-352.79K	-4.30M	-14.97M	-14.09M	-10.66M
Investing Cash Flow	-291.37K	-290.01K	702.45K	-688.68K	-2.55M	-1.57M
Financing Cash Flow	1.00	1.30M	-1.32M	-4.04M	28.23M	22.37M

cbdMD Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For YCBD, the sentiment is Negative. The current price of 1 is below the 20-day moving average (MA) of 1.16, above the 50-day MA of 0.89, and below the 200-day MA of 1.78, indicating a neutral trend. The MACD of 0.06 indicates Positive momentum. The RSI at 46.89 is Neutral, neither overbought nor oversold. The STOCH value of 16.36 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for YCBD.

cbdMD Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TAK	56 Neutral	$44.13B	46.25	1.99%	4.22%	1.36%	-1.81%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
TLRY	51 Neutral	$1.76B	―	-85.59%	―	2.31%	-726.17%
SNDL	51 Neutral	$607.46M	―	-8.30%	―	0.70%	15.62%
YCBD	44 Neutral	$10.25M	―	-33.13%	―	-7.80%	90.17%
FLGC	38 Underperform	$12.82M	―	-230.73%	―	-24.10%	38.17%
SHPH	32 Underperform	$3.94M	―	-551.04%	―	―	31.53%

cbdMD Corporate Events

cbdMD Finalizes Securities Purchase Agreements with Investors

On September 30, 2025, cbdMD, Inc. finalized Securities Purchase Agreements with four institutional investors, resulting in the issuance of 1,700,000 shares of Series B Convertible Preferred Stock for $1,700,000, with net proceeds of $1,500,000 allocated for working capital. The Series B Preferred Stock, convertible into common stock and accruing dividends at 10% per annum, positions cbdMD to strengthen its financial base, although it includes restrictions such as a 4.99% beneficial ownership limit and no voting rights for holders, potentially impacting investor influence.

The most recent analyst rating on (YCBD) stock is a Sell with a $0.50 price target. To see the full list of analyst forecasts on cbdMD stock, see the YCBD Stock Forecast page.

cbdMD, Inc. Reports Q3 2025 Financial Results

cbdMD, Inc. is a North Carolina-based company specializing in the production and sale of cannabidiol (CBD) products, operating primarily within the health and wellness sector. The company is known for its diverse range of CBD offerings, including tinctures, gummies, topicals, and pet products.