High Tide Inc. (HITI) AI Stock Analysis
HITI AI stock analysis summary
AI ResearchHigh Tide Inc. (HITI) is a cannabis retailer and lifestyle accessory distributor operating in Canada, the United States, Europe, and other global markets. Over the trailing twelve months, revenue reached $720.5M with quarterly revenue expanding 32.8% year-over-year in the period ended July 31, 2026. However, the company remains unprofitable on a trailing basis with an EPS of -$0.31 and a net profit margin of -4.6%.
- Market cap
- $229.1M
- Revenue (TTM)
- $720.5M
- P/E
- — fwd 20.0x
- 1Y return
- -25.3% S&P 500 16.8%
- Avg. target
- $4.67 81.6% vs last close
Bull case
- Quarterly revenue expanded 32.8% year-over-year in the quarter ended July 31, 2026, driven by a five-year revenue CAGR of 48.1% from FY2020 to FY2025.
- High Tide generated positive free cash flow of $13.2M and operating cash flow of $23.9M in FY2025.
- Wall Street analysts hold 6 Strong Buy and 1 Buy ratings with a mean price target of $4.67, representing 81.6% upside from the last close.
Bear case
- The company reported net losses in each of the past five fiscal years, including a loss of -$50.7M in FY2025 and an EPS of -$0.31 over the trailing twelve months.
- Total debt stood at $123.5M as of July 31, 2026, outstripping cash and short-term investments of $47.2M and contributing to net debt of $76.3M.
- Shareholders experienced dilution as the share count increased by 64.8% over five years, while the stock declined 54.5% over the same five-year timeframe.
What High Tide does
Headquartered in Calgary, Canada, High Tide Inc. operates in the cannabis retail sector across Canada, Europe, the United States, and other international markets. Established in 2009 and rebranded in October 2018, the company manufactures and distributes smoking accessories and cannabis lifestyle products alongside wholesale and retail cannabis sales. High Tide manages and franchises licensed retail stores, reporting 151 retail locations across Ontario, Alberta, British Columbia, Manitoba, and Saskatchewan as of January 9, 2023. Additionally, the company operates online retail platforms and offers a data analytics service platform designed to enhance operational efficiency and inform industry decision-making.
Growth and profitability
High Tide delivered a five-year revenue CAGR of 48.1% from FY2020 to FY2025. Annual revenue expanded from $181.1M in FY2021 to $356.9M in FY2022, $487.7M in FY2023, $522.3M in FY2024, and $594.0M in FY2025. Net income was negative across all five years, standing at -$34.4M in FY2021, -$71.8M in FY2022, -$39.3M in FY2023, -$4.3M in FY2024, and -$50.7M in FY2025, while gross margin compressed from 35.3% in FY2021 to 25.8% in FY2025. In the latest quarter ended July 31, 2026, quarterly revenue grew 32.8% year-over-year and quarterly earnings growth reached 1531.8%, bringing trailing twelve month revenue to $720.5M.
Balance sheet and cash flow
As of July 31, 2026, High Tide held $47.2M in cash and short-term investments alongside total debt of $123.5M, resulting in net debt of $76.3M. Total assets stood at $369.5M against shareholders' equity of $105.3M, yielding a debt-to-equity ratio of 1.17 and a current ratio of 1.50. In FY2025, operating cash flow generated $23.9M and free cash flow reached $13.2M after capital expenditures of $10.6M. Capital deployment in FY2025 also included dividends paid of $1.4M, while the share count rose 64.8% over five years.
Valuation and performance
At a last close of $2.57 on October 16, 2026, High Tide had a market capitalization of $229.1M and an enterprise value of $324.8M. The stock trades at a forward P/E of 20.0x, above the 17.3x median of its US-listed Healthcare peers. Its price-to-sales of 0.3x is below the peer median of 4.1x, while its EV/EBITDA of 39.6x exceeds the peer median of 12.0x. Over the past year, HITI shares returned -25.3%, trailing the S&P 500 (SPY) return of 16.8%, and over five years returned -54.5% compared to 83.0% for SPY.
What analysts expect
Wall Street coverage consists of 6 Strong Buy ratings, 1 Buy rating, and zero Hold, Sell, or Strong Sell ratings. The mean price target of $4.67 implies an upside of 81.6% over the last close of $2.57. For the fiscal year ending October 31, 2026, analysts estimate revenue of $757.4M and EPS of $0.08, representing EPS growth of 379.2%. High Tide beat EPS estimates in 3 of the last 4 quarters. Two analysts project FY2027 revenue of $837.1M and EPS of $0.13.
Key risks and what to watch
- A debt-to-equity ratio of 1.17 and net debt of $76.3M elevate financial risk if operating cash flow declines from its FY2025 level of $23.9M.
- Gross margin has declined steadily from 35.3% in FY2021 to 25.8% in FY2025, which could pressure future profitability.
- The stock's EV/EBITDA multiple of 39.6x sits well above the US-listed Healthcare peer median of 12.0x, leaving shares vulnerable if earnings miss targets.
- A trailing twelve month return on equity of -26.0% highlights ongoing challenges in generating net earnings from capital.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this HITI AI stock analysis
This page is an AI-written research summary of High Tide Inc. (HITI). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: HITI income statement, HITI balance sheet, HITI key metrics, HITI analyst forecast, HITI chart. See the HITI stock overview for the latest quote and news.
HITI AI stock analysis FAQ
What is High Tide Inc.'s stock ticker and exchange?
High Tide Inc. trades under the ticker symbol HITI on the NASDAQ exchange.
How much revenue does High Tide generate?
Over the trailing twelve months, High Tide generated $720.5M in revenue, following annual revenue of $594.0M in FY2025.
Is High Tide profitable?
On a trailing twelve month basis, High Tide is unprofitable with an EPS of -$0.31 and a net margin of -4.6%. However, analysts project positive EPS of $0.08 for the fiscal year ending October 31, 2026.
What is the consensus analyst price target for HITI?
The mean analyst price target is $4.67, which sits 81.6% above the last close price of $2.57 as of October 16, 2026.