ZenaTech's current financial and technical indicators suggest caution. Here's a detailed analysis:
- Financial Performance and Growth:
- ZenaTech has reported a net loss of $187,475.88 and a revenue of $27,115.36 for the latest quarter1. The company's net income has decreased by 40.9% and revenue by 20.69%2. Additionally, the 3-year net income CAGR is low at 4%, while the 3-year revenue CAGR is negative at -12.03%3. These figures indicate deteriorating financial health and a challenging market position.
- The company's free cash flow has been negative, with significant outflows indicating a struggle to generate sufficient cash to support operations4.
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Technical Indicators:
- The stock's technical indicators are not robust. The RSI is at 19.4, which is typically considered oversold territory, but it may also suggest a lack of momentum5.
- The MACD is at -1.3, and the KDJ is at -3.61, both of which could indicate bearish momentum5.
- The stock is currently trading below its 5-Day, 10-Day, and 20-Day moving averages6, which could be seen as a bearish signal.
- The absence of recent positive news or analyst coverage makes it difficult to assess a potential upside78.
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Market Sentiment and Fund Flow: The net fund flow is out of the company, with a significant outflow of $1.51 million21, which could be a sign of investor skepticism.
In conclusion, given the negative financial trends, technical indicators, and lack of positive market sentiment, ZenaTech does not currently present an attractive buying opportunity. Investors should exercise caution and consider these factors before making a purchase decision.