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DEFT, Defi Technologies Inc.
Defi Technologies Inc. is a publicly listed company with its Common Shares listed for trading on Cboe Canada under the symbol "DEFI", on The Nasdaq Stock Market LLC under the symbol "DEFT", and on FSE under the symbol "R9B" and with BDRs representing Common Shares listed for trading on B3 S.A.
On September 18, 2025, the Company announced that Valour launched the world's first physically backed Bitcoin staking ETP, 1Valour Bitcoin Physical Staking on the London Stock Exchange Main Market.
The business
What it sells, where the money comes from, the kind of company it is.
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What moves the needle
- Where the revenue and the profit actually come from, and whether the returns are earned by a real advantage or bought with capital. The segment detail in the 10-K is where this one is settled. On its own account, the filing leans hardest on pricing power & competition, set against the numbers in what the filing emphasizes, below.
Every line is arithmetic on the company's filings, shown in full in the sections below.
The record
Ten years of arithmetic, read across the cycle.
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2025 the business reported $62M of profit but ($133M) of owner earnings: $196M less than the profit line, taken out by capital spending and the timing of cash.
| FY2025 | |
|---|---|
| Reported net income | $62M |
| Depreciation & amortizationnon-cash charge added back | +$2K |
| Working capital & othertiming of cash in and out, other non-cash items | −$196M |
| Cash from operations | ($133M) |
| Capital expenditurecash put back in to keep running and to grow | −$2K |
| Owner earnings | ($133M) |
| Owner-earnings marginowner earnings ÷ revenue | -135% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .
Much of fiscal 2025's profit didn't arrive as operating cash; it sits in “working capital & other” above. That can be a real inventory or timing swing, or profit that doesn't run through operating cash at all: a heavy tax year, equity-method earnings, or investment income booked through investing. For a year like this, owner earnings understates the cash earned; the full cash-flow statement carries the rest.
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
“Material Weakness in the Company's Financial Statements We identified a material weakness in our internal control over financial reporting and restated our financial statements for the three-month periods ended June 30, 2024, and September 30, 2024 as a…”
“Material Weakness in the Company's Financial Statements We identified a material weakness in our internal control over financial reporting and restated our financial statements for the three-month periods ended June 30, 2024, and September 30, 2024 as a…”
The figures below are only as sound as the controls that produced them. read the note →
Will it survive?
- ComfortableOperating income $47M ÷ interest expense $5M
What this means
Operating profit covers interest with the kind of margin Graham wanted for a defensive holding. Necessary, not sufficient, it says solvent, not cheap.
- Net cash, debt-freeCash $91M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $91M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Not enough data
What this means
The filing data didn't include the inputs for this check.
Is it a good business?
- Not enough dataIndustry peers: median -16%
What this means
The filing data didn't include the inputs for this check.
- Owner-earnings margin -135%Consumes cashOwner earnings ($133M) = operating cash ($133M) − maintenance capex $2KIndustry peers: median 14%
What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's -135% of revenue this year.
- Are earnings backed by cash? -2.14×Thinly cash-backedCash from ops ($133M) ÷ net income $62M
In the filing’s words The filing discloses a material weakness in its financial controls — the reported numbers here, and the record built on them, are only as reliable as the controls that produced them.
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? 0.94×MaintainingCapex $2K ÷ depreciation $2K
What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.
Graham’s defensive tests · 0 of 2 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $99M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity MissCurrent ratio ≥ 2× · 0.99×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $0.04/share (latest year $0.16), the averaged base the calculator's gate runs on, and book value is $0.39/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Does AI threaten the moat?
Low contestabilityThe moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.
The filing positions AI as something the company uses, not something it fears.
“Partnerships and Acquisitions On December 10, 2024, the Company announced that it has signed a letter of intent to increase its holdings of Neuronomics AG (" Neuronomics "), a Swiss asset management firm specializing in quantitative trading strategies powered by artificial intell…”
AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat, and the company is using it that way.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of fiscal year-end, Dec 31, 2025Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
- Cash & short-term investments$91M
- Receivables$8M
- Other current assets$568M
- Accounts payable$24M
- Other current liabilities$648M
From the company's latest filing.
What an owner would ask, FY2025
read the 10-K →- Which reported numbers are a judgment call?Management names Revenue recognition, Contingencies as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →
The questions the record and the charts do not answer on their own; each carries the figure and the place to look.
Peers, Capital Markets & Asset Management
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| PWPPerella Weinberg Partners | $751M | — | -7.6% | — | 15% |
| DAVEDave Inc. | $554M | — | -4.2% | -12% | 13% |
| WDWalker & Dunlop | $320M | — | 143.4% | 14% | 149% |
| GEMIGemini Space Station Inc. | $180M | — | -192.5% | -95% | -123% |
| DEFTDefi Technologies Inc. | $99M | — | 46.9% | 63% | -135% |
| GPGIGPGI Inc. | $60M | 53% | 30.4% | -3% | 27% |
| GREELGreenidge Generation Holdings Inc. | $59M | — | -16.2% | -193% | — |
| FWDIForward Industries Inc. | $18M | 20% | -3.9% | -21% | -1% |
| Group median | — | — | -4.0% | -12% | 13% |
The price
What a price has to assume.
What the price implies
reverse-DCFEnter the US price, in dollars: the NYSE/Nasdaq quote you hold. Defi Technologies Inc.'s US listing is the ordinary share itself. The record tables elsewhere on this page remain as filed.
Defi Technologies Inc. is profitable, but owner earnings are negative this year because capital spending currently outruns operating cash, a build-out, so the owner-earnings reverse-DCF has no positive base to grow. We read the price from both ends instead: type a price to see the steady-state profitability it demands, then set the mature margin you would believe and weigh the two against each other. Nothing leaves your browser unless you enter it in your notebook.
Enter a price to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Two reads of one future. From your price: the owner earnings the company must reach, valued at a mature multiple and discounted back at your rate, expressed as the margin it implies on revenue grown at your rate. From your belief: the mature margin you would credit, set on the dial above. When the margin the price demands runs above the one you would believe, you are paying for a future taken on faith. For a deep cyclical at a trough, normalized through-cycle earnings are the better lens; this mode is for the genuinely unprofitable, and for the profitable business whose capital spending currently outruns its cash.
Manual order: ← DDL its page in the Manual DGNX →
Industry order: ← DBRG the Capital Markets & Asset Management chapter DGXX →