Pineapple Financial Inc. — financial distress indicators
Financial-health summary
Pineapple Financial Inc.'s reported numbers place it in the 'Weak' financial-health band (distress score 69/100). The main indicators are consecutive annual losses, share price down >80% from 52-week high and equity eroded by >20% in a year. In its favour: high insider/promoter ownership (72%) aligns management with survival.
Stress by dimension
Share price — last 12 months
Indicators behind the score
Each red flag shows the evidence from the company’s own filings and the financial or legal principle behind it. Points add to the 0–100 score.
Net loss in each of the last two years.
Sustained losses at a lender usually mean credit losses are outrunning provisions — a risk-management failure.
Price is -86% from its 52-week high.
Equity markets price distress early; collapses of this size usually reflect fear of wipe-out in a restructuring.
Book equity changed -33% YoY.
Fast equity erosion (losses, unrealised bond losses, write-downs) was the signature of the 2023 U.S. regional-bank failures.
Share count up +218% in a year.
Survival financing: repeated equity raises at depressed prices.
Last price $0.82.
Below the $1 minimum-bid listing standard (Nasdaq Rule 5550(a)(2) / NYSE 802.01C); sustained breach leads to delisting and loss of capital-market access.
Total assets grew +32% in a year.
Hyper-growth outpacing risk controls preceded failures such as Yes Bank (2020) and SVB (2023).
Annualised volatility is 134%.
High equity volatility raises the market-implied default probability.
Revenue vs net income
Cash generation
Debt vs cash vs equity
✅ Mitigating factors
- High insider/promoter ownership (72%) aligns management with survival.
📰 Recent news scan
- Pineapple Financial Reports $25.3 Million in Third-Quarter Net Income as Company Enters Its Next Stage of GrowthYahoo Finance · 2026-07-20
- Pineapple Financial Announces Initial Impact of AI-Powered Mortgage Agent Recruiting and Onboarding InitiativesYahoo Finance · 2026-05-05
- Pineapple Financial to Participate in Upcoming May Investor and Industry ConferencesYahoo Finance · 2026-04-30
- Pineapple Financial Announces Expanded $15 Million Share Repurchase ProgramYahoo Finance · 2026-04-22
- Pineapple Financial Inc. Q2 2026 Earnings Call SummaryYahoo Finance · 2026-04-14
⚖️ U.S. legal pathway — Title 11, U.S. Code
Which chapter would apply?
- Chapter 11 — reorganisation. Management usually stays in control as debtor-in-possession; the automatic stay (§362) halts collection; a plan must meet the best-interests test (§1129(a)(7)) and the absolute priority rule (§1129(b)) — creditors are paid before shareholders, who are frequently wiped out.
- Chapter 7 — liquidation. A trustee sells assets and distributes proceeds by statutory priority (§§507, 726).
- Subchapter V (“Chapter 5”) is a fast track for small-business debtors under a statutory debt cap, but SEC-reporting companies are excluded (§101(51D)) — so it rarely applies to listed companies.
What typically triggers a filing
- Payment default or covenant breach lenders will not waive; a debt maturity that cannot be refinanced.
- Auditor going-concern doubt (ASC 205-40 / PCAOB AS 2415) — often itself a default trigger in loan agreements.
- Creditors can force a case with an involuntary petition (§303) if debts are not paid as they come due.
- Delisting after sustained sub-$1 prices or equity deficits cuts off equity funding.
Transactions shortly before filing can be clawed back (preferences — 90 days, §547; fraudulent transfers — 2 years, §548).
Frequently asked questions
What do Pineapple Financial Inc.'s financial-health indicators show?
As of 2026-10-08, Pineapple Financial Inc.'s public financial data places it in the 'Weak' band with a distress score of 69/100, driven by consecutive annual losses, share price down >80% from 52-week high and equity eroded by >20% in a year. This is a statistical screen of reported numbers — it does not mean the company is insolvent, has defaulted or will enter insolvency proceedings.
What is Pineapple Financial Inc.'s financial distress score?
69/100 ('Weak').
What works in Pineapple Financial Inc.'s favour?
High insider/promoter ownership (72%) aligns management with survival.
How are shareholders treated if a company enters insolvency?
In a Chapter 11 reorganisation the absolute priority rule pays secured lenders, then unsecured creditors, before shareholders — so existing shares are usually cancelled or heavily diluted. In Chapter 7 the company is liquidated and shareholders rarely recover anything.
Other Bank & Finance companies with distress indicators
- CaliberCos Inc. (CWD)Very weak 79/100
- loanDepot, Inc. (LDI)Weak 69/100
- TeraWulf Inc. (WULF)Weak 68/100
- SHF Holdings, Inc. (SHFS)Weak 67/100
- Streamex Corp. (STEX)Weak 67/100
- Soluna Holdings, Inc. (SLNH)Weak 66/100
Methodology
Score = capped sum of rule-based red flags across seven dimensions (liquidity, solvency, profitability, cash flow, sales trend, market signal, news). Ohlson O-score (1980) gives an accounting-based 1-year failure probability; Merton distance-to-default (Bharath & Shumway 2008) gives a market-implied probability. Financial institutions use a capital-based rule set. Recalculated every trading day from the latest filings, prices and news.