(DEFT) DeFi Technologies - Overview
Sector: Financial Services | Industry: Capital Markets | Exchange: NASDAQ (USA) | Market Cap: 260m USD | Total Return: -81.7% in 12m
Avg Turnover: 2.98M
Qual. Beats: 0
Rev. Trend: 78.4%
Warnings
Earnings expected to drop: P/E 8.4 → Forward 82.6
Below Avwap Earnings
Tailwinds
No distinct edge detected
DeFi Technologies Inc. is a Toronto-based asset management firm specializing in the decentralized finance (DeFi) sector. The company develops and manages exchange-traded products (ETPs) that track individual digital protocols or diversified baskets of digital assets, providing institutional and retail investors with regulated exposure to the cryptocurrency market. Its business model integrates early-stage venture investments, an arbitrage trading desk, and over-the-counter (OTC) liquidity services.
The company operates within the specialized digital asset ETP market, where providers earn management fees by bridging traditional equity exchanges with decentralized protocols. Unlike direct cryptocurrency ownership, these synthetic products allow investors to gain price exposure without the technical requirements of managing private keys or digital wallets. For a deeper analysis of these industry trends, readers may find ValueRay a useful resource for further research.
Following its rebranding from Valour Inc. in 2023, the firm continues to expand its research capabilities and institutional offerings. This multifaceted approach aims to capture value across the DeFi ecosystem through both passive investment products and active proprietary trading strategies.
- Asset management fee revenue depends on total assets under management growth
- Arbitrage desk profitability relies on high volatility in digital asset markets
- Regulatory clarity in Canada and Europe impacts exchange traded product expansion
- Bitcoin and Ethereum price fluctuations drive valuation of synthetic investment products
- Early-stage venture capital returns depend on liquidity events in digital asset space
| Net Income: 49.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA 0.21 > 1.0 |
| NWC/Revenue: -229.0% < 20% (prev -87.91%; Δ -141.1% < -1%) |
| CFO/TA -0.07 > 3% & CFO -43.1m > Net Income 49.4m |
| Net Debt (-156.6m) to EBITDA (58.3m): -2.68 < 3 |
| Current Ratio: 0.78 > 1.5 & < 3 |
| Outstanding Shares: last quarter (292.0m) vs 12m ago -20.42% < -2% |
| Gross Margin: 46.48% > 18% (prev 0.82%; Δ 4.57k% > 0.5%) |
| Asset Turnover: 7.75% > 50% (prev 14.77%; Δ -7.02% > 0%) |
| Interest Coverage Ratio: 11.57 > 6 (EBITDA TTM 58.3m / Interest Expense TTM 4.89m) |
| A: -0.23 (Total Current Assets 523.7m - Total Current Liabilities 672.5m) / Total Assets 636.3m |
| B: -0.15 (Retained Earnings -95.0m / Total Assets 636.3m) |
| C: 0.07 (EBIT TTM 56.6m / Avg Total Assets 838.2m) |
| D: 0.32 (Book Value of Equity 153.4m / Total Liabilities 479.6m) |
| Altman-Z'' = -1.23 = CCC |
| DSRI: 0.25 (Receivables 9.06m/87.4m, Revenue 64.9m/153.6m) |
| GMI: 1.77 (GM 46.48% / 82.38%) |
| AQI: 0.84 (AQ_t 0.17 / AQ_t-1 0.21) |
| SGI: 0.42 (Revenue 64.9m / 153.6m) |
| TATA: 0.15 (NI 49.4m - CFO -43.1m) / TA 636.3m) |
| Beneish M = -3.31 (Cap -4..+1) = AA |
As of May 24, 2026, the stock is trading at USD 0.70 with a total of 2,370,147 shares traded.
Over the past week, the price has changed by -3.70%,
over one month by -15.70%,
over three months by +9.32% and
over the past year by -81.72%.
DeFi Technologies has received a consensus analysts rating of 4.67. Therefore, it is recommended to buy DEFT.
- StrongBuy: 4
- Buy: 2
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 2.5 | 262.9% |
P/E Forward = 82.6446
P/S = 3.9053
P/B = 1.929
Revenue TTM = 64.9m USD
EBIT TTM = 56.6m USD
EBITDA TTM = 58.3m USD
Long Term Debt = 2.41m USD (estimated: total debt 2.98m - short term 569k)
Short Term Debt = 569k USD (from shortTermDebt, last quarter)
Debt = 2.98m USD (from shortLongTermDebtTotal, last quarter) (leases 2.97m already included)
Net Debt = -156.6m USD (calculated: Debt 2.98m - CCE 159.6m)
Enterprise Value = 103.2m USD (259.8m + Debt 2.98m - CCE 159.6m)
Interest Coverage Ratio = 11.57 (Ebit TTM 56.6m / Interest Expense TTM 4.89m)
EV/FCF = 2.89x (Enterprise Value 103.2m / FCF TTM 35.8m)
FCF Yield = 34.64% (FCF TTM 35.8m / Enterprise Value 103.2m)
FCF Margin = 55.05% (FCF TTM 35.8m / Revenue TTM 64.9m)
Net Margin = 76.12% (Net Income TTM 49.4m / Revenue TTM 64.9m)
Gross Margin = 46.48% ((Revenue TTM 64.9m - Cost of Revenue TTM 34.8m) / Revenue TTM)
Gross Margin QoQ = 19.45% (prev none%)
Tobins Q-Ratio = 0.16 (Enterprise Value 103.2m / Total Assets 636.3m)
Interest Expense / Debt = 164.2% (Interest Expense 4.89m / Debt 2.98m)
Taxrate = 0.0% (0.0 / 4.86m)
NOPAT = 56.6m (EBIT 56.6m * (1 - 0.00%))
Current Ratio = 0.40 (Total Current Assets 523.7m / Total Current Liabilities 1.30b)
Debt / Equity = 0.02 (Debt 2.98m / totalStockholderEquity, last quarter 156.6m)
Debt / EBITDA = -2.68 (Net Debt -156.6m / EBITDA 58.3m)
Debt / FCF = -4.38 (Net Debt -156.6m / FCF TTM 35.8m)
Total Stockholder Equity = 122.5m (last 4 quarters mean from totalStockholderEquity)
RoA = 5.90% (Net Income 49.4m / Total Assets 636.3m)
RoE = 22.73% (Net Income TTM 49.4m / Total Stockholder Equity 217.5m)
RoCE = 25.72% (EBIT 56.6m / Capital Employed (Equity 217.5m + L.T.Debt 2.41m))
RoIC = 8.89% (NOPAT 56.6m / Invested Capital 636.3m)
WACC = 18.61% (E(259.8m)/V(262.8m) * Re(18.82%) + (debt cost/tax rate unavailable))
Discount Rate = 18.82% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 64.44 | Cagr: 6.47%
[DCF] Terminal Value 44.36% ; FCFF base≈44.0m ; Y1≈38.6m ; Y5≈31.2m
[DCF] Fair Price = 0.89 (EV 190.4m - Net Debt -156.6m = Equity 347.0m / Shares 387.8m; r=18.61% [WACC]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.50 | # QB: 0
Revenue Correlation: 78.37 | Revenue CAGR: 96.83% | SUE: N/A | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.01 | Chg30d=N/A | Revisions=-20% | Analysts=1
EPS current Year (2026-12-31): EPS=-0.01 | Chg30d=N/A | Revisions=-20% | GrowthEPS=-133.5% | GrowthRev=-40.5%
EPS next Year (2027-12-31): EPS=0.08 | Chg30d=-50.15% | Revisions=N/A | GrowthEPS=+696.4% | GrowthRev=+73.0%
[Analyst] Revisions Ratio: -20%