ZENA Stock Risk & Deep Value Analysis
ZenaTech Inc
Technology • Software - Infrastructure
DVR Score
out of 10
What You Need to Know About ZENA Stock
We analyzed ZenaTech Inc using our deep value framework. Sign in to see our full verdict and DVR Score.
We ran ZENA through our deep value framework — analyzing financial health, distress signals, competitive moat, and risk factors. Our risk assessment: Aggressive. Here's what we found.
ZENA Risk Analysis & Red Flags
What Could Go Wrong
The company is burning cash with persistent losses and a high valuation based on future growth. If ongoing M&A and R&D do not rapidly translate into substantial, profitable revenue growth and large, recurring contracts within the next 12-18 months, significant dilution via capital raises or a sharp re-rating of its valuation multiple could occur, causing a substantial stock price decline.
Risk Matrix
Overall
Aggressive
Financial
High
Market
Medium
Competitive
High
Execution
High
Regulatory
Medium
Red Flags
- ⚠
Persistent operating losses and negative cash flow from operations.
- ⚠
Extremely high TTM P/S ratio (87.38) given the current revenue base (implied TTM revenue ~$1.14M).
- ⚠
Growth strategy heavily reliant on acquisitions (21st acquired company), posing integration and synergy risks.
- ⚠
Lack of granular up-to-date financial metrics (e.g., specific current/quick ratios, share structure) from recent reports, requiring higher due diligence.
Upcoming Risk Events
- 📅
Disappointing Q4 2025/Q1 2026 earnings results or weak guidance
- 📅
Failure to secure major utility/defense contracts
- 📅
Increased competitive pressure or technological obsolescence
When to Reconsider
- 🚪
Failure to announce major utility or defense contracts by end of 2026.
- 🚪
Quarterly revenue declines for two consecutive quarters.
- 🚪
Clear evidence of excessive share dilution (e.g., >20% increase in outstanding shares) without proportional revenue growth.
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What Does ZenaTech Inc (ZENA) Do?
Market Cap
$98.81M
Sector
Technology
Industry
Software - Infrastructure
Employees
30
ZenaTech, Inc., an enterprise software technology company, develops cloud-based software applications in Canada. It provides cloud-based enterprise software solutions for the medical records industry; software solutions for the automated facility management and center industry; safety and compliance management software and mobile solutions; field service management software and mobile solutions; browser-based enterprise software applications for public safety; and quantum computing solutions. The company also engages in the manufacturing, sale, and distribution of drones. ZenaTech, Inc. was formerly known as ZenaDrone, Inc. and changed its name to ZenaTech, Inc. on October 5, 2020. The company was incorporated in 2017 and is based in Vancouver, Canada.
Visit ZenaTech Inc WebsiteInvestment Thesis
ZenaTech is a highly speculative, aggressive growth play positioned to capitalize on the convergence of AI, drone technology, and decentralized energy grid optimization. Its rapid M&A strategy, recent expansion into US defense, and proprietary AI position it for significant market share gains in massive, critical sectors, potentially leading to a 10x return as its technology scales and major contracts materialize.
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ZENA Price Targets & Strategy
12-Month Target
$9.00
Bull Case
$15.00
Bear Case
$1.00
Valuation Basis
Based on 85x forward P/S multiple applied to $5.0M estimated FY26 TTM revenue, aligning with analyst consensus.
Entry Strategy
Dollar-cost average between $1.80-$2.20, particularly on dips post-earnings or market volatility, seeking support near previous lows.
Exit Strategy
Take 30-50% profit at $9.00-$10.00, remaining position to capitalize on long-term 10x potential; Stop loss at $1.50 (below recent support).
Portfolio Allocation
5-10% for aggressive risk tolerance.
Price Targets & Strategy
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Is ZENA Financially Healthy?
Profitability
Gross Margin
100.00%
Operating Margin
-198.84%
Net Margin
-314.67%
Return on Equity
-93.10%
Revenue Growth
320.93%
EPS
$-0.87
Balance Sheet
Current Ratio
2.17
Quick Ratio
2.17
Debt/Equity
0.46
Cash Flow
EBITDA
-$7.07M
Other
Beta (Volatility)
2.46
Does ZENA Have a Competitive Moat?
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🛡️ Narrow
Moat Trend
Expanding
Moat Sources
3 Identified
The proprietary AI and deep integration with critical infrastructure (energy, defense) could create durable switching costs and network effects, but sustained R&D investment and successful contract wins are essential to maintain and strengthen this moat against larger, well-funded competitors.
Moat Erosion Risks
- •Rapid technological obsolescence or emergence of superior AI solutions.
- •Larger tech companies or defense contractors entering ZENA's niche with greater resources.
- •Failure to secure and retain major enterprise/government contracts leading to loss of scale.
ZENA Competitive Moat Analysis
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ZENA Market Intelligence
Sentiment & Insider Activity
Social Sentiment
Neutral (Potential for bullish sentiment from retail investors attracted to high-growth narrative, but limited data provided).
Institutional Sentiment
Positive (One analyst 'Buy' rating with a significant $9 target, Zacks ABR 1.00).
Insider Activity (Form 4)
CEO Dr. Shaun Passley acquired 6,744,000 shares of Boardwalktech Software indirectly via ZenaTech, taking a 9.59% stake effective April 13, 2026. No direct Form 4 filings for ZENA shares.
Options Flow
Options imply a significant 34.4% share price move post-Q1 2026 earnings, indicating high volatility expectations.
Earnings Intelligence
Next Earnings
Q4 2025 announced April 22, 2026 (tomorrow). Q1 2026 date unconfirmed.
Surprise Probability
High (given limited analyst estimates and implied options volatility).
Historical Earnings Pattern
No specific historical pattern provided, but likely high volatility given early-stage nature and recent strategic pivots.
Key Metrics to Watch
Competitive Position
Top Competitor
IOT (General AI/IoT ETF; direct competitors are niche)
Market Share Trend
Gaining (via aggressive M&A and new market entries like defense and DaaS network expansion).
Valuation vs Peers
Trading at a significant premium on TTM P/S (87.38) compared to most established peers, reflecting high growth expectations rather than current profitability. Lags peers in efficiency metrics.
Competitive Advantages
- •Proprietary AI-powered technology for decentralized energy grid optimization.
- •Expanding Drone as a Service (DaaS) network through strategic acquisitions.
- •Strategic focus and early inroads into the US defense sector with ZenaDrone.
Market Intelligence
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What Could Drive ZENA Stock Higher?
Near-Term (0-6 months)
- •Q4 2025 Earnings Report (announced April 22, 2026)
- •Q1 2026 Earnings Report (date unconfirmed, implied significant volatility)
- •2026 ZenaDrone US defense pilot program results
- •Integration success of recent acquisitions
Medium-Term (6-18 months)
- •Securing multi-year utility contracts (per previous analysis)
- •Full operationalization of Mesa AZ facility and Baton Rouge AI R&D center
- •Expansion of Drone as a Service network beyond Pacific Northwest
Long-Term (18+ months)
- •Achieving market leadership in AI-powered energy grid optimization
- •Significant adoption of ZenaDrone in defense and commercial sectors
- •Development of further disruptive AI/quantum computing applications
Catalysts & Growth Drivers
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What's the Bull Case for ZENA?
- ✓
Acceleration in organic revenue growth, not solely acquisition-driven.
- ✓
Announcement and details of significant multi-year utility or defense contracts.
- ✓
Improvements in gross and operating margins, signaling a path towards profitability.
Bull Case Analysis
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Competing with ZENA
See how ZenaTech Inc compares to related companies
| Company | Market Cap | DVR Score | P/E | Revenue | Profit Margin | Rev Growth | |
|---|---|---|---|---|---|---|---|
ZenaTech Inc ZENA | $98.8M | 8.2 | — | $3.2M | -314.7% | 320.9% | |
Apple Inc AAPL | $3.9T | 1.5 | 33.2 | $391.0B | 27.0% | 10.1% | Compare → |
Alphabet Inc GOOGL | $4.7T | 1.0 | 29.1 | $402.8B | 37.9% | 17.4% | Compare → |
Meta Platforms Inc META | — | 5.1 | 15.7 | — | 30.1% | 22.2% | Compare → |
Microsoft Corp MSFT | — | 0.5 | — | — | — | — | Compare → |
NVIDIA Corp NVDA | $4.4T | 5.3 | 38.5 | $215.9B | 55.6% | 65.0% | Compare → |
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How ZenaTech Inc Makes Money
ZenaTech Inc. is a technology company specializing in AI-powered solutions, primarily focusing on two key areas: optimizing decentralized energy grids and providing Drone as a Service (DaaS) capabilities. For energy grids, it likely offers SaaS platforms to utilities for enhanced efficiency and management. Its DaaS network, expanded through numerous acquisitions, delivers drone services for various commercial and industrial applications. Furthermore, the company is strategically pushing into the US defense sector, aiming to supply advanced ZenaDrone technology and related services to government clients. In essence, ZenaTech sells disruptive AI and drone technology and services to major industries and government entities.
Read Full Business Model BreakdownFAQ
What is the DVR Score for ZenaTech Inc (ZENA)?
As of April 21, 2026, ZenaTech Inc has a DVR Score of 8.2 out of 10, placing it in the "Hidden Gem" category. This score is generated by our AI-powered deep value analysis framework that evaluates growth potential, financial health, competitive moat, and risk factors.
What is the market capitalization of ZenaTech Inc?
ZenaTech Inc's market capitalization is approximately $98.8M. The company operates in the Technology sector within the Software - Infrastructure industry.
What ticker symbol does ZenaTech Inc use?
ZENA is the ticker symbol for ZenaTech Inc. The company trades on the NCM.
What is the risk level for ZENA stock?
Our analysis rates ZenaTech Inc's overall risk as Aggressive. This assessment considers execution risk, market risk, financial risk, competitive risk, and regulatory risk. For a full breakdown, see the risk analysis section above.
Is ZenaTech Inc's revenue growing?
ZenaTech Inc has reported revenue growth of 320.9%. The company is showing strong top-line momentum.
Is ZENA stock profitable?
ZenaTech Inc has a profit margin of -314.7%. The company is currently unprofitable.
How often is the ZENA DVR analysis updated?
Our AI-powered analysis of ZenaTech Inc is refreshed regularly to incorporate the latest financial data, market conditions, and news. The most recent update was on April 21, 2026.
Important Disclaimer – Not Financial Advice
Deep Value Reports is an independent research platform for educational and informational purposes only. We are not financial advisors, investment advisors, or licensed professionals. The analysis, scores, and information provided on this page for ZENA (ZenaTech Inc) should not be construed as personalized investment advice, a recommendation to buy or sell any security, or an offer to provide investment advisory services.
All investments involve risk, including the potential loss of principal. Past performance does not guarantee future results. Always conduct your own research, consider your financial situation, and consult with a qualified financial advisor before making any investment decisions.