One-glance verdict
Within fair range
$2.06 our estimate vs market $2.60
26% above our estimate
Fundamentals snapshot
GURU Organic Energy Corp.
GUROF · PNK · Consumer Defensive · Beverages - Non-Alcoholic
Current price
$2.60
52-week range
$1.27 - $4.86
Market cap
$78.18M
Balance sheet
Healthy
-57.36x Concerning
Net cash $16.67M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
0 Risks
3 rewards · 0 risks
- Reward Revenue grew 14.9% last year.
- Reward Returns 0.0% on equity, ahead of 20% of its peers.
- Reward Free cash flow was positive in 1/10 years.
What this company does
GURU Organic Energy Corp.
GURU is a Canadian beverage company that makes and sells a line of organic energy drinks in Canada and the United States. The company generates revenue by selling these drinks through a wide supply chain (the network of businesses that get a product from the factory to the customer), including gas stations, grocery stores, and online retailers like Amazon. This broad distribution is important for GURU to compete with larger brands and reach health-conscious consumers wherever they shop.
How the company got here
Founded in Montreal, Canada, in 1999, GURU launched what it calls the world's first natural, plant-based energy drink. The company aimed to create a healthier alternative to traditional energy drinks by using organic ingredients. For many years, it grew as a niche brand, primarily in its home market of Quebec. A major turning point was going public in 2020, which provided funds to expand its presence across Canada and into the United States. This expansion has been focused on getting its products into more stores and growing its online sales.
What it actually does
GURU makes and sells a line of certified organic and plant-based energy drinks. You can find them in stores like convenience stores, gas stations, and major grocery chains, as well as online through platforms like Amazon. The company's main selling point is its 'clean' ingredient list, which includes natural caffeine and avoids artificial sweeteners like sucralose and aspartame. Their goal is to appeal to health-conscious consumers who are looking for an energy boost without the artificial ingredients found in many mainstream energy drinks.
Organic Energy Drinks
This is the company's single and entire line of business; it focuses exclusively on developing, marketing, and selling its organic energy drinks. GURU doesn't own its own factories but instead uses third-party co-packers (companies that manufacture and package products for other companies) to produce its beverages. This approach allows GURU to focus on building its brand and expanding its distribution network (the system of stores and websites that sell its products). The company makes money by selling these drinks to distributors and retailers, who then sell them to consumers in Canada and the United States.
What management is betting on now
GURU's current strategy is heavily focused on growing its sales in both Canada and the United States. A key part of this is expanding its line of zero-sugar drinks, which have been very popular. The company is also working to get its products into more U.S. stores, particularly in the natural and organic grocery sector. In Canada, management has shifted to a direct distribution model (handling the delivery of its products to stores itself), which they believe gives them better control and improves their gross margin (the profit made on each can sold before administrative costs). They are also investing in marketing to build brand awareness and attract new customers who want a healthier energy drink option.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value $2.06 vs current price $2.60
Our most-likely fair value is $2.06 a share — about 20.6% away from today's price of $2.60, so the stock currently looks fairly priced.
Is it drowning in debt?
Healthy
Net cash $16.7M - more cash than debt. Interest coverage -57.4x.
Net debt
$-16.67M
Interest coverage
-57.36x
GURU Organic Energy Corp.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here.
Healthy
Worse cushion
Baseline
Better cushion
GUROF
BASELINE
GURU Organic Energy Corp.
Total debt $517.72K Interest coverage -57.36x This is the baseline the peer rows are being compared against.
Total debt $675.88M Interest coverage 9.57x This peer still has a real interest-payment cushion, while GUROF does not.
Total debt $62.67M Interest coverage 25.32x This peer still has a real interest-payment cushion, while GUROF does not.
What you should know
The case for and against GUROF
3 Rewards
0 Risks
Rewards
-
Revenue grew 14.9% last year.
-
Returns 0.0% on equity, ahead of 20% of its peers.
-
Free cash flow was positive in 1/10 years.
Risks
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
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P/B
3.62x
P/S
2.06x
EV/EBITDA
-270.46x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
65.9%
Operating margin
-14.0%
Net margin
0.0%
ROE
0.0%
ROA
-1.1%
Health
Liquidity and balance-sheet strength
Debt / equity
0.03x
Current ratio
4.03x
Quick ratio
3.17x
Total debt
$517.72K
Total cash
$17.19M
Growth
How the business has been compounding
Revenue TTM
$26.80M
Revenue 5Y CAGR
6.1%
EPS TTM
0.00
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$2.34M
Free CF TTM
$2.28M
FCF margin
8.5%
Dividend
Shareholder payout
Yield
—
Payout ratio
0.0%
Last ex-div date
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