CNSX:PBIT

Stock Analysis Report

Executive Summary

POSaBIT Systems Corporation, a financial technology company, provides blockchain-enabled payment processing and point-of-sale systems for cash-only businesses with a focus on the cannabis industry.

Snowflake

Fundamentals

Weak fundamentals or lack of information.

Share Price & News

How has POSaBIT Systems's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

40.0%

PBIT

-1.8%

CA IT

0.2%

CA Market


1 Year Return

n/a

PBIT

23.7%

CA IT

3.5%

CA Market

Return vs Industry: Insufficient data to determine how PBIT performed against the Canadian IT industry.

Return vs Market: Insufficient data to determine how PBIT performed against the Canadian Market.


Shareholder returns

PBITIndustryMarket
7 Day40.0%-1.8%0.2%
30 Day27.3%-1.7%-3.3%
90 Day-6.7%-3.0%-1.9%
1 Yearn/a23.8%23.7%7.3%3.5%
3 Yearn/a58.3%58.1%14.7%4.4%
5 Yearn/a159.6%158.7%26.2%7.7%

Price Volatility Vs. Market

How volatile is POSaBIT Systems's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is POSaBIT Systems undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether POSaBIT Systems is trading at an attractive price based on the cash flow it is expected to produce in the future. But as POSaBIT Systems has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of PBIT’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don’t know where to start, we recommend reading through POSaBIT Systems regulatory filings.
  • Explore potentially undervalued companies in the Software industry.

Future Growth

How is POSaBIT Systems forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

8.9%

Forecasted Software industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as POSaBIT Systems has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has POSaBIT Systems performed over the past 5 years?

-16.8%

Last years earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PBIT is unprofitable, and there is insufficient past data to establish if their past 5-year earnings growth rate was positive.

Accelerating Growth: Unable to compare PBIT's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: PBIT is unprofitable, making it difficult to compare its past year earnings growth to the IT industry (13.4%).


Return on Equity

High ROE: PBIT's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Return on Assets

ROA vs Industry: PBIT is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: PBIT is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is POSaBIT Systems's financial position?


Financial Position Analysis

Short Term Liabilities: PBIT has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: PBIT has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: PBIT has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: PBIT's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet

Inventory Level: PBIT has a low level of unsold assets or inventory.

Debt Coverage by Assets: PBIT has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: PBIT has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: PBIT has less than a year of cash runway if free cash flow continues to reduce at historical rates of -11.3% each year


Next Steps

Dividend

What is POSaBIT Systems's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%2.0%markettop25%5.9%industryaverage1.3%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate PBIT's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PBIT's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if PBIT's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PBIT's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PBIT's dividend in 3 years as they are not forecast to pay a notable one for the Canadian market.


Next Steps

Management

What is the CEO of POSaBIT Systems's salary, the management and board of directors tenure and is there insider trading?

0.5yrs

Average management tenure


CEO

Ryan Hamlin (50yo)

0.5yrs

Tenure

0

Mr. Ryan Hamlin is a Co-Founder of POSaBIT, Inc. and serves as its Chief Executive Officer, President and Director since April 5, 2019. 


Management Age and Tenure

0.5yrs

Average Tenure

54.5yo

Average Age

Experienced Management: PBIT's management team is not considered experienced ( 0.5 years average tenure), which suggests a new team.


Board Age and Tenure

0.5yrs

Average Tenure

55.5yo

Average Age

Experienced Board: PBIT's board of directors are not considered experienced ( 0.5 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: PBIT insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$36327 Sep 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares5,000
Max PriceUS$0.073
BuyUS$4,88526 Sep 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares5,000
Max PriceUS$0.98
BuyUS$1,12219 Sep 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares9,750
Max PriceUS$0.12
BuyUS$82513 Sep 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares4,500
Max PriceUS$0.20
BuyUS$1,33023 Aug 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares7,500
Max PriceUS$0.19
BuyUS$42520 Aug 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares2,500
Max PriceUS$0.17
BuyUS$2,23431 Jul 19
Andrew Sweet
EntityIndividual
Role
Chief Technology Officer
Chief Technical Officer
Shares10,000
Max PriceUS$0.22
BuyUS$25,00022 Jul 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares100,000
Max PriceUS$0.25
BuyUS$7,53614 Jun 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares21,600
Max PriceUS$0.35
BuyUS$6,69007 Jun 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares17,500
Max PriceUS$0.40
BuyUS$87504 Jun 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares2,500
Max PriceUS$0.35
BuyUS$1,84831 May 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares5,000
Max PriceUS$0.39
BuyUS$2,10229 May 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares5,000
Max PriceUS$0.43
BuyUS$4,08009 May 19
Ryan Hamlin
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares8,500
Max PriceUS$0.48
BuyUS$4,08909 May 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares8,700
Max PriceUS$0.47
BuyUS$4,38908 May 19
Andrew Sweet
EntityIndividual
Role
Chief Technology Officer
Chief Technical Officer
Shares10,000
Max PriceUS$0.45
BuyUS$13,79630 Apr 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares27,300
Max PriceUS$0.51
BuyUS$5,96226 Apr 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares10,800
Max PriceUS$0.55
BuyUS$12,41923 Apr 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares23,600
Max PriceUS$0.54
BuyUS$3,97922 Apr 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares8,650
Max PriceUS$0.46
BuyUS$2,36516 Apr 19
Ryan Hamlin
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares3,815
Max PriceUS$0.62
BuyUS$9,00015 Apr 19
Paul Fiore
EntityIndividual
Shares50,000
Max PriceUS$0.18
BuyUS$76,50015 Apr 19
Jon Baugher
EntityIndividual
Role
Member of the Board of Directors
Co-Founder
Shares425,000
Max PriceUS$0.18
BuyUS$76,50015 Apr 19
Ryan Hamlin
EntityIndividual
Role
Chief Executive Officer
Co-Founder
Shares425,000
Max PriceUS$0.18
BuyUS$9,00015 Apr 19
Jeffrey Dossett
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares50,000
Max PriceUS$0.18

Ownership Breakdown


Management Team

  • Steven Gledhill (58yo)

    CFO & Secretary

    • Tenure: 0.5yrs
  • Ryan Hamlin (50yo)

    Co-Founder

    • Tenure: 0.5yrs
  • Jon Baugher (57yo)

    Co-Founder

    • Tenure: 0.5yrs
  • Andy Sweet (52yo)

    Chief Technical Officer

    • Tenure: 0.5yrs
  • Laurie Rosini

    Chief Compliance Officer

    • Tenure: 1yrs

Board Members

  • Bruce Jaffe (54yo)

    Director

    • Tenure: 0.2yrs
  • Jeff Dossett (59yo)

    Chairman of the Board

    • Tenure: 0.5yrs
  • Ryan Hamlin (50yo)

    Co-Founder

    • Tenure: 0.5yrs
  • Jon Baugher (57yo)

    Co-Founder

    • Tenure: 0.5yrs

Company Information

POSaBIT Systems Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: POSaBIT Systems Corporation
  • Ticker: PBIT
  • Exchange: CNSX
  • Founded:
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: CA$11.602m
  • Shares outstanding: 82.87m
  • Website: https://www.posabit.com

Number of Employees


Location

  • POSaBIT Systems Corporation
  • 1128 8th Street
  • Kirkland
  • Washington
  • 98033
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PBITCNSX (Canadian National Stock Exchange)YesCommon SharesCACADApr 2019
POSA.FOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDApr 2019

Biography

POSaBIT Systems Corporation, a financial technology company, provides blockchain-enabled payment processing and point-of-sale systems for cash-only businesses with a focus on the cannabis industry. The com ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 00:51
End of Day Share Price2019/10/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.