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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#4703
Positioning
Market Dominance
Manufacturing
Beer & Liquor
$7M
Lionel F. Conacher
Better Choice Company Inc. operates as an animal health and wellness company. Its products portfolio includes naturally formulated kibble and canned dog and cat foods. The company provides its products for dogs, cats, and pet parents under the Halo and TruDog brand names.
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| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$UL UNILEVER PLC | 78 | 96 | 98 | 59 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ASML ASML HOLDING NV | 77 | 89 | 86 | 83 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ESLT ELBIT SYSTEMS LTD | 76 | 81 | 87 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$MT ArcelorMittal | 75 | 71 | 98 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$AMAT APPLIED MATERIALS INC /DE | 75 | 85 | 87 | 84 | 20.9x | 13.6x | 32.9% | 20.5% | 48.8% | 30.6% | 24.4% | 7.7% | 0.9% | 32.0x | $148.6B | VS | |
$SIMO Silicon Motion Technology CORP | 75 | 84 | 86 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$CODA Coda Octopus Group, Inc. | 74 | 83 | 90 | 79 | 16.3x | 11.9x | 7.4% | 7.5% | 68.3% | 19.5% | 18.2% | 29.0% | 0.0% | 0.0x | $84M | VS | |
$GSK GSK plc | 74 | 84 | 90 | 70 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$EFXT Enerflex Ltd. | 74 | 80 | 91 | 83 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$BUD Anheuser-Busch InBev SA/NV | 74 | 84 | 97 | 63 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$SRXH Better Choice Co Inc. | 27 | 37 | 5 | 2 | - | - | -743.6% | -96.9% | 34.3% | -59.1% | -44.1% | 0.7% | 0.0% | 668.0x | $7M | ||
| SECTOR BENCH | - | - | - | - | - | 22.3x | 11.5x | -1.9% | 0.9% | 44.1% | 2.5% | 1.0% | 6.7% | 0.0% | 0.2x | - | REF |
Better Choice Co Inc. (SRXH) receives a "Avoid" rating with a composite score of 26.8/100. It ranks #4703 out of 7,333 stocks in our coverage universe and carries a 1-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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Lagging peers — losers tend to keep underperforming
Expensive relative to fundamentals — limited margin of safety
Average quality profile
High volatility — wider range of outcomes increases timing risk
Aggressive spending — empire-building risk, dilutive growth
Below-average composite — caution warranted
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Relative valuation derived from Manufacturing sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
No analyst ratings for SRXH.
View All RatingsROIC -286.7% vs WACC 11.2% (spread -297.9%)
GM 34% vs sector 44%, OM -59% vs sector 3%
Capital turnover 2.08x
Rev growth 1%, 8yr history
Interest coverage -8.5x
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate Better Choice Co Inc. (SRXH) as Avoid with a composite score of 26.8/100 at a current price of $0.13. The stock falls in the bottom quintile, and the multi-factor weakness suggests a high probability of continued underperformance.
Better Choice Co Inc. holds a top-quartile position (#0 of 50) within the Manufacturing sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 26.8/100 places it at rank #4703 in our full universe.
No Moat
High
Poor
Fair Value
Stable competitive position in a defensive sector.
Leverage of 668% D/E amplifies downside risk.
Weak momentum suggests persistent institutional selling pressure.
Vulnerability to macroeconomic shocks and interest rate volatility.
Better Choice Co Inc. represents a avoid based on multi-factor quantitative performance.
Our quantitative model flags Better Choice Co Inc. with an Avoid rating, assigning a composite score of 26.8/100 and 1 out of 5 stars. Ranked #4703 of 7,333 stocks, SRXH falls in the bottom tier across key factors. Historically, stocks with this profile have faced elevated risk of underperformance and capital loss.
SRXH's quality score of 37/100 is below average, suggesting challenges with profitability or capital efficiency. The company reports a return on equity of -743.6% (sector avg: -1.9%), gross margins of 34.3% (sector avg: 44.1%), net margins of -44.1% (sector avg: 1.0%). Investors should examine whether management is actively addressing these weaknesses or if they reflect structural industry headwinds.
SRXH registers a value score of just 5/100, suggesting the stock trades at a significant premium to its fundamental metrics. Key valuation metrics include a P/B ratio of 11.00x. High-premium valuations like this require strong future execution to avoid multiple compression, and downside risk is elevated if growth disappoints.
Better Choice Co Inc.'s investment score of 30/100 suggests limited reinvestment activity. Key growth metrics include revenue growth of 0.7% vs. a sector average of 6.7% and a return on assets of -96.9% (sector: 0.9%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
Better Choice Co Inc. is experiencing notably weak momentum with a score of just 2/100. The stock has underperformed its peers and is trending below major moving averages. Revenue growth stands at 0.7% year-over-year, while a beta of -0.10 reflects its sensitivity to broader market moves. While deep momentum weakness can occasionally present value opportunities, it often reflects deteriorating fundamentals or structural headwinds that may persist.
SRXH's stability score of 31/100 signals elevated volatility and/or leverage concerns. Key stability metrics include a beta of -0.10 and a debt-to-equity ratio of 668.00x (sector avg: 0.2x). Investors should be prepared for wider-than-average price swings and consider position sizing accordingly to manage portfolio risk.
The short interest score of 51/100 for SRXH suggests somewhat elevated bearish positioning by institutional traders. Specific risk factors include elevated leverage (D/E: 668.00x), micro-cap liquidity risk. With a $7M market cap (micro-cap), Better Choice Co Inc. may experience above-average volatility. Investors should consider whether the short thesis has merit or if it creates a potential short-squeeze opportunity.
Better Choice Co Inc. is a micro-cap company in the Manufacturing sector, ranked #0 of 50 in its sector (100th percentile) and #4703 of 7,333 overall (36th percentile). Key comparisons include ROE of -743.6% trailing the -1.9% sector median and operating margins of -59.1% below the 2.5% sector average. This top-quartile standing reflects exceptional competitive strength relative to Manufacturing peers.
While SRXH currently exhibits a AVOID profile, superior opportunities exist within the MANUFACTURING sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
View Top Manufacturing Alpha →Quant Factor Profile
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Improvement in Momentum (2) would have the largest impact on the composite score.
ROE 39036% ABOVE SECTOR MEDIAN (FAVORABLE)
Gross Margin 22% BELOW SECTOR MEDIAN
Op. Margin 2455% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081

SRx Health Solutions and its merger partner EMJ Crypto Technologies (EMJX) announced the public launch of EventHorizonIQ, a read-only ledger that uses AI agents to record early signs of financial market instability. The platform tracks three canonical signals: Liquidity Stress, Belief Dislocation, and Policy & Regulatory Surprise. EventHorizonIQ is designed as a neutral record-keeping system rather than a trading tool or forecasting engine.

Eric Jackson is set to become CEO of EMJ Crypto Technologies after SRx Health Solutions signs a definitive agreement to acquire the company, with plans to create a next-generation crypto treasury platform using AI and risk management strategies.

SRx Health Solutions has signed a definitive agreement to acquire EMJX, a digital-asset treasury platform that uses quantitative models and AI for multi-asset digital treasury management. Upon completion, Eric M. Jackson will serve as CEO and Chairman of the combined company.
NORTH PALM BEACH, Fla., Feb. 20, 2026 (GLOBE NEWSWIRE) -- SRx Health Solutions, Inc. (NYSE American: SRXH) (the "Company") today announced that on February 18, 2026, it received a public warning letter (the “Letter”) from the NYSE Regulation Staff of the New York Stock Exchange (the “Exchange”) notifying the Company that it failed to comply with Sections 301 and 713 of the NYSE American LLC Company Guide (the “Company Guide”). The Letter relates to the issuance of approximately 7.5 million share
SRXH has also further reduced its short position across its cryptocurrency portfolio of Bitcoin and Ethereum and is now net long its holdings.