olivLaw · US equity research
ZeroStack Corp. ZSTK
Finance Services · SIC 6199 · Vertical: Finance Services (SIC 6199)
ZeroStack Corp. (formerly Flora Growth, Nasdaq ticker ZSTK) presents itself as an AI-focused decentralized treasury and asset management company built around strategic ownership of 0G Tokens. It also runs a pharmaceutical distribution business through Phatebo GmbH, concentrated in Germany. The company matters now because its net loss of 119.7 million USD in 2025 and accumulated deficit of 277.8 million USD show how much the business depends on digital asset values.
At the close of 04 Nov 2026, ZeroStack Corp. (ZSTK) stock was 2.71 USD (−5.57% on the day), with market capitalisation 47.4 m USD, beta 1.34, 52-week range 1.35–11.80 USD. Latest reported quarter (Q2 2026): revenue of 13.7 m USD (+40.7% YoY), net income of -24.6 m USD, diluted EPS -2.47 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
Loading chart…
Technical reading
- RSI (14)
- 26.4
- oversold (≤ 30)
- Bollinger (20, 2)
- 2.26 – 4.86
- in the lower half of the band · %B 0.17 · band width 72.8%
- SMA 50 / 200
- 4.25 / 5.13
- downtrend (price < SMA50 < SMA200)
- MACD (12, 26, 9)
- -0.42 / -0.34
- MACD below signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | −43.8% | −1.1% | −42.7 pp | — |
| 3 months | +45.7% | −0.5% | +46.2 pp | — |
| 6 months | −47.9% | +4.4% | −52.3 pp | — |
| Year to date | −56.7% | +12.3% | −69.0 pp | — |
| 1 year | −71.1% | +13.5% | −84.7 pp | −47.5% |
| 3 years | −92.4% | +76.4% | −168.8 pp | −48.3% |
| 5 years | −99.9% | +63.7% | −163.6 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 30 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 7.2 m | 7.6 m | 6.9 m | 9.7 m | 9.7 m | 9.4 m | 7.3 m | 13.7 m |
| Cost of revenue | 6.7 m | 7.4 m | 6.3 m | 9.1 m | 9.4 m | 9.2 m | 4.1 m | 12.0 m |
| Gross profit | 495.0 k | 286.0 k | 535.0 k | 619.0 k | 335.0 k | 160.0 k | 3.1 m | 1.6 m |
| Research & development | 118.0 k | 191.0 k | 113.0 k | 73.0 k | — | — | — | — |
| Operating income | -2.1 m | -3.7 m | -1.6 m | -1.5 m | -3.3 m | -149.2 m | -62.7 m | -24.2 m |
| Depreciation & amortisation | 8.0 k | 211.0 k | 182.0 k | 195.0 k | 7.0 k | 4.0 k | 4.0 k | 4.0 k ≈ |
| Interest expense | -195.0 k ≈ | — | 51.0 k | 96.0 k ≈ | 61.0 k ≈ | — | 66.0 k | 89.0 k ≈ |
| Pre-tax income | -2.4 m | -3.9 m | -253.0 k | -1.5 m | -3.6 m | -110.0 m | -36.7 m | -24.4 m |
| Income tax | -66.0 k | -58.0 k | 88.0 k | 7.0 k | 18.0 k | -54.0 k | -9.0 k | 258.0 k |
| Net income | -3.8 m | -6.1 m | -758.0 k | -2.4 m | -6.7 m | -109.9 m | -36.7 m | -24.6 m |
| Diluted EPS | -11.03 | -15,860.28 ≈ | -1.54 | -4.27 | -9.05 | -12,018.14 ≈ | -3.68 | -2.47 |
| Operating cash flow | -2.1 m ≈ | -1.3 m | -2.7 m | -2.9 m ≈ | 33.0 k ≈ | -3.2 m | -3.8 m | 1.4 m ≈ |
| Capex | 20.0 k ≈ | 0 | 24.0 k | 65.0 k ≈ | 9.0 k ≈ | 29.0 k | 0 | 0 ≈ |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2020 | 2021 | 2022 | 2023 | ⚠ 2024 | 2025 |
|---|---|---|---|---|---|---|
| Revenue | 106.0 k | 9.0 m | 33.4 m | 76.1 m | 35.9 m | 35.7 m |
| Revenue YoY | unavailable | +8,371.7% | +271.9% | +127.8% | — | −0.5% |
| Net income | -14.3 m | -21.4 m | -52.4 m | -57.0 m | -15.9 m | -119.7 m |
| Net income YoY | unavailable | unavailable | unavailable | unavailable | — | unavailable |
| Diluted EPS | -0.47 | -0.48 | -13.68 | -7.75 | -50.02 | -43.49 |
| Diluted EPS YoY | unavailable | unavailable | unavailable | unavailable | — | unavailable |
| net % | -13,522.6% | -237.9% | -156.9% | -75.0% | -44.4% | -335.6% |
| Free cash flow | -8.4 m | -24.9 m | -17.2 m | -8.6 m | -5.2 m | -8.8 m |
The series breaks before 2024: earlier years come from the original reports of the issuer of that time, later years from a subsequent filing that restated the perimeter (a separation, discontinued operations). The year-on-year change across the break is not shown.
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 5.6 m USD
- Financial debt
- 53.5 m USD
- Net debt
- 47.9 m USD
- Equity
- 70.6 m USD
- Total assets
- 130.2 m USD
- Debt / equity
- 0.76x
- Current ratio
- 1.01x
- ROE
- -319.0%
- ROA
- -153.0%
- FCF margin
- -24.7%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 106.0 k | 9.0 m | 33.4 m | 76.1 m | 35.9 m | 35.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Cost of revenue | 35.0 k | 6.6 m | 20.2 m | 58.3 m | 33.7 m | 34.0 m | SEC (XBRL)· 27 Feb 2026verified |
| Gross profit | 71.0 k | 2.4 m | 13.3 m | 17.7 m | 2.2 m | 1.6 m | SEC (XBRL)· 27 Feb 2026verified |
| Research & development | 78.0 k | 132.0 k | 388.0 k | 62.0 k | 418.0 k | — | SEC (XBRL)· 24 Mar 2025verified |
| Operating income | — | -19.0 m | -47.2 m | -50.4 m | -8.9 m | -154.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Depreciation & amortisation | 113.0 k | 501.0 k | 2.6 m | 2.5 m | 768.0 k | 582.0 k | SEC (XBRL)· 27 Feb 2026verified |
| EBITDA | — | -18.5 m ≈ | -44.6 m ≈ | -47.9 m ≈ | -8.2 m ≈ | -154.1 m ≈ | SEC (XBRL)· 27 Feb 2026derived |
| Interest expense | — | 1.3 m | 941.0 k | 236.0 k | — | — | SEC (XBRL)· 28 Mar 2024verified |
| Pre-tax income | -14.3 m | -21.5 m | -48.1 m | -48.3 m | -9.3 m | -115.4 m | SEC (XBRL)· 27 Feb 2026verified |
| Income tax | 0 | -98.0 k | -1.4 m | -1.6 m | 22.0 k | 59.0 k | SEC (XBRL)· 27 Feb 2026verified |
| Net income | -14.3 m | -21.4 m | -52.4 m | -57.0 m | -15.9 m | -119.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Diluted EPS | -0.47 | -0.48 | -13.68 | -7.75 | -50.02 | -43.49 | SEC (XBRL)· 27 Feb 2026verified |
| Weighted average diluted shares | — | — | 3.8 k | 7.4 k | 318 | 2.8 k | SEC (XBRL)· 27 Feb 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 15.5 m | 37.6 m | 8.9 m | 4.4 m | 5.2 m | 5.6 m | SEC (XBRL)· 27 Feb 2026verified |
| Receivables | 922.0 k | 5.3 m | 5.3 m | 4.0 m | 1.6 m | 799.0 k | SEC (XBRL)· 27 Feb 2026verified |
| Inventories | 540.0 k | 3.0 m | 8.7 m | 8.5 m | 2.2 m | 1.9 m | SEC (XBRL)· 27 Feb 2026verified |
| Current assets | 17.6 m | 47.9 m | 31.2 m | 21.4 m | 19.8 m | 8.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Property, plant & equipment, net | 411.0 k | 3.8 m | 1.2 m | 847.0 k | 81.0 k | 128.0 k | SEC (XBRL)· 27 Feb 2026verified |
| Goodwill | 430.0 k | 19.7 m | 23.4 m | 0 | 2.0 m | — | SEC (XBRL)· 24 Mar 2025verified |
| Intangibles (excl. goodwill) | 658.0 k | 9.7 m | 17.7 m | 946.0 k | 2.7 m | — | SEC (XBRL)· 24 Mar 2025verified |
| Total assets | 19.5 m | 85.5 m | 81.0 m | 23.6 m | 26.2 m | 130.2 m | SEC (XBRL)· 27 Feb 2026verified |
| Accounts payable | 1.8 m | 2.4 m | 7.8 m | 5.1 m | 3.6 m | 2.3 m | SEC (XBRL)· 27 Feb 2026verified |
| Short-term debt | 251.0 k | 18.0 k | 1.1 m | 1.9 m | 2.1 m | 2.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Long-term debt | — | — | — | — | 0 | 50.8 m | SEC (XBRL)· 27 Feb 2026verified |
| Current liabilities | 2.7 m | 6.1 m | 17.4 m | 16.3 m | 18.8 m | 8.6 m | SEC (XBRL)· 27 Feb 2026verified |
| Total liabilities | 3.2 m | 8.5 m | 24.6 m | 17.2 m | 21.7 m | 59.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Equity | 16.3 m | 76.9 m | 56.4 m | 6.4 m | 4.5 m | 70.6 m | SEC (XBRL)· 27 Feb 2026verified |
| Shares outstanding at year end | — | 65.5 m | — | — | — | — | SEC (XBRL)· 09 May 2022verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | -8.4 m | -20.9 m | -15.9 m | -8.4 m | -5.0 m | -8.7 m | SEC (XBRL)· 27 Feb 2026verified |
| Capex | 0 | 4.0 m | 1.3 m | 163.0 k | 134.0 k | 127.0 k | SEC (XBRL)· 27 Feb 2026verified |
| Free cash flow | -8.4 m ≈ | -24.9 m ≈ | -17.2 m ≈ | -8.6 m ≈ | -5.2 m ≈ | -8.8 m ≈ | SEC (XBRL)· 27 Feb 2026derived |
| Investing cash flow | -2.2 m | -14.6 m | -15.8 m | -234.0 k | 203.0 k | -3.5 m | SEC (XBRL)· 27 Feb 2026verified |
| Financing cash flow | 25.8 m | 58.4 m | 4.4 m | 3.2 m | 6.5 m | 11.3 m | SEC (XBRL)· 27 Feb 2026verified |
| Share repurchases | — | 0 | 255.0 k | 0 | — | — | SEC (XBRL)· 28 Mar 2024verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
1 indicators that do not apply to the sector.
Valuation
olivLaw classification
- indicators available: 5 of at least 6
- score weight coverage: 37.5% of at least 60%
- valuation methods computed: 0 of at least 1
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 47.4 m USD
Key indicators
Coverage and freshness
Score by group
38% · Insufficient data
Estimated value range
unavailable — no valuation method could be computed
Valuation assumptions are editorial choices, not measured; beta is not measured.
Valuation methods
- DCF (discounted cash flow)unavailable · the reported interest expense is far older than the latest period (the filer changed its XBRL tag): a stale figure is not used
- Peers: EV/EBITDAunavailable · the base of the ratio is not positive
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption
no valuation method could be computed
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Insufficient data
Minimum-evidence gate: indicators available: 5 of at least 6; score weight coverage: 37.5% of at least 60%; valuation methods computed: 0 of at least 1
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | -2,092.1% | 0 (vs peers) | 28% |
| Net margin · Quality | -444.2% | 20 (vs peers) | 17% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | 2.2% | 19 (on a fixed band) | 22% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | unavailable | unavailable | — |
| Interest coverage · Balance sheet | unavailable | unavailable | — |
| Current ratio · Balance sheet | 0.9x | 12 (on a fixed band) | 11% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | unavailable | unavailable | — |
| FCF yield · Valuation | -11.9% | 0 (on a fixed band) | 22% |
| Shareholder yield (distributions) · Returns | unavailable | unavailable | — |
| Payout ratio (FCF) · Returns | unavailable | unavailable | — |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet· partial12/100 · 1/3 factors with a value
- Growth· partial19/100 · 1/2 factors with a value
- Quality8/100 · 2/3 factors with a value
- Returns· partialunavailable · 0/2 factors with a value
- Valuation· partial0/100 · 1/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
ZeroStack Corp. (ZSTK). Latest full fiscal year: 2025; data up to 2026-06-30.
Figures computed from the financial statements: revenue 35.7 m USD in 2025; YoY growth -0.5%; net margin -444.2%; ROE -1,993.6%.
Valuation cannot be computed from the available data.
Insufficient data for a verdict (indicators available: 5 of at least 6; score weight coverage: 37.5% of at least 60%; valuation methods computed: 0 of at least 1).
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
No signal among the computed factors. That is not an absence of risk: factors without data were not assessed, and business risks (margins, inventory, demand) are in the source-based analysis.
What contradicts it
- ROIC: -2,092.1%
- Net margin: -444.2%
- Revenue CAGR 3Y: 2.2%
- Current ratio: 0.9x
- FCF yield: -11.9%
Not assessed (insufficient data or a ratio without meaning): FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, P/E (TTM), EV/EBITDA, Shareholder yield (distributions), Payout ratio (FCF).
Versus the vertical median
Finance Services (SIC 6199) · same industry (4-digit SIC) · compared with 39 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| AXPAmerican Express Co | 223.0 bn | 18.7 | 35.9% | 27.9% | +6.4% | −9% / +95% |
| ARBKArgo Blockchain PLC | 45.2 bn | — | — | -117.2% | −7.0% | −97% / −99% |
| COINCoinbase Global, Inc. | 40.1 bn | — | -4.7% | -12.5% | +9.4% | −44% / +21% |
| SOFISoFi Technologies, Inc. | 22.4 bn | 36.3 | 7.1% | 104.3% | +23.1% | −42% / +138% |
| MARAMara Holdings, Inc. | 2.7 bn | — | -107.2% | -430.2% | +38.2% | −42% / −43% |
| UPSTUpstart Holdings, Inc. | 2.3 bn | 39.9 | 8.0% | 4.9% | +64.0% | −48% / −13% |
| PURRHyperliquid Strategies Inc | 1.9 bn | 3.0 | 32.6% | 3,229.8% | unavailable | unavailable / unavailable |
| CLSKCleanSpark, Inc. | 1.7 bn | — | -68.6% | -130.2% | +102.2% | −55% / +9% |
| BTDRBitdeer Technologies Group | 1.5 bn | — | -196.7% | -171.3% | −5.1% | −51% / +45% |
| RHLDResolute Holdings Management, Inc. | 1.0 bn | 24.1 | — | 4.2% | +9.9% | −26% / unavailable |
| CDChaince Digital Holdings Inc. | 741.4 m | — | -12.3% | -182.5% | +277.9% | −30% / +622% |
| GDOTGreen Dot Corp | 727.1 m | — | -2.8% | -1.1% | +20.7% | +2% / +59% |
| TRONTron Inc. | 664.1 m | 96.8 | 3.8% | 135.6% | +10.0% | −24% / −48% |
| JFU9F Inc. | 536.7 m | 23.2 | 4.7% | 125.2% | +12.2% | −52% / −43% |
| BTBTBit Digital, Inc. | 300.9 m | — | -56.7% | -237.2% | +5.1% | −65% / −68% |
| CANGCango Inc. | 272.7 m | — | -130.8% | -90.4% | +524.3% | −92% / −76% |
| CNTNCanton Strategic Holdings, Inc. | 172.1 m | — | -43.1% | — | unavailable | −17% / −83% |
| USBCUsbc, Inc. | 166.5 m | — | -414.1% | — | −100.0% | −47% / −97% |
| SNFCASecurity National Financial Corporation | 166.1 m | 6.5 | 9.0% | 11.1% | +3.0% | +15% / +37% |
| TONXTon Strategy Company | 159.7 m | — | -75.5% | -532.8% | +1,327.8% | −15% / −93% |
| BMHLBluemount Holdings Limited | 79.0 m | 61,098.2 | 26.2% | 18.8% | unavailable | −8% / unavailable |
| UPXIUpexi, Inc. | 62.9 m | — | -1,356.3% | -984.3% | +58.1% | −73% / −95% |
| ZSTKZeroStack Corp. | 47.4 m | — | -1,993.6% | -444.2% | −0.5% | −71% / −92% |
| SGRXSangrix Inc. | 40.8 m | — | -300.3% | -36,190.3% | −98.6% | −99% / −100% |
| AVXAvax One Technology Ltd. | 34.9 m | — | -189.6% | -1,533.9% | +8,709.3% | −80% / −100% |
1- and 3-year price returns: for ZSTK from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
ZeroStack Corp. (formerly Flora Growth, Nasdaq ticker ZSTK) presents itself as an AI-focused decentralized treasury and asset management company built around strategic ownership of 0G Tokens. It also runs a pharmaceutical distribution business through Phatebo GmbH, concentrated in Germany. The company matters now because its net loss of 119.7 million USD in 2025 and accumulated deficit of 277.8 million USD show how much the business depends on digital asset values.
SWOT
Strengths
- The company raised capital through private placements and holds a strategic position in 0G Tokens, with staking started in January 2026 12. Phatebo provides a distribution platform across several European countries.
- The management team has built regulatory know-how in pharmaceuticals needed for import and export licences 1.
- Selling the cannabis-related assets reduced legacy debt obligations, simplifying the financial structure 1.
Weaknesses
- The company has a limited operating history and large net losses with a significant accumulated deficit 1.
- Revenue and asset values depend on volatile digital assets, which makes results hard to forecast 1.
- The financing structure is complex, with convertible notes, warrants and equity lines that can dilute existing shareholders 12.
Opportunities
- If the 0G network expands, the company could obtain more stable income from staking and native AI functions 2.
- European pharmaceutical distribution could grow if the product portfolio extends into more EU countries 2.
- A clear US regulatory framework for crypto could ease access to capital and broaden the treasury strategy 1.
Threats
- A fall in the value of 0G Tokens could directly weigh on the company's financial position and results 1.
- Custody risks, cyber security threats and loss of private keys could lead to total or partial loss of digital assets 1.
- Price pressure in pharmaceutical distribution and government restrictions could reduce operating margins 1.
Risks
- 0G volatility and accounting losseshigh
The value of 0G Tokens can fall quickly, and changes in market value are recognised directly in results, which could produce large losses in unfavourable periods 1.
- Custody and cyber securityhigh
Digital assets are exposed to loss of private keys, cyber attacks and custodial counterparty risk, which could seriously affect the financial position 1.
- Shareholder dilutionmedium
Convertible notes, warrants and at-the-market or equity line programmes can issue many new shares, which could reduce existing shareholders' stake 12.
- Price pressure in pharma distributionmedium
Wholesale margins are sensitive to government pricing policies and transport costs, factors outside the company's control 1.
- Dependence on third-party serviceslow
Product delivery depends on third-party transport and import services, and disruptions there could affect sales and contracts 1.
Investment thesis
What would need to be true (bull case)
- If the 0G network reaches its AI potential and token values rise, the treasury could generate significant accounting gains, and staking could add recurring income 12.
- European pharmaceutical distribution gives a diversified operating revenue base, and extending the portfolio into EU countries could support revenue growth in that segment 2.
- Removing cannabis-related assets and restructuring debt could simplify the company and ease near-term financial pressure 1.
What would break the thesis
- The company reports large net losses and an accumulated deficit above 277 million USD, indicating the business model is not yet profitable 1.
- Most of the strategic value depends on volatile tokens, and a correction in crypto markets could quickly reduce asset values and investor confidence 1.
- The complex financing structure and repeated share issuances could reduce value for long-term existing shareholders 12.
What to watch
- Development of 0G token values and treasury resultsQ3 2026
- Use of the White Lion equity line and the at-the-market programme2026
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
In September 2025 the company transferred its legacy hemp and cannabis business, including AV, Vessel, High Roller and Just Brands, to its noteholders in satisfaction of debt 1. Colombian interests had been sold earlier. The current structure reflects a shift from a CPG and cannabis business toward digital assets and pharmaceutical distribution. The company reported losses for 2025 that suggest the new activity has not yet reached profitability 1.
Segments
Digital assets and AI (0G treasury)
The treasury segment holds and manages digital assets, including 0G and Bitcoin as of 31 December 2025, with the aim of accumulating 0G over the long term 1. From January 2026 the company began staking 0G on validator nodes and earns rewards, which it records as revenue at fair value on receipt 2.
Pharmaceutical distribution (Phatebo)
Phatebo GmbH, based in Germany, distributes pharmaceutical and medical products, including drugs for cancer therapies, ADHD, multiple sclerosis and depression, in 28 countries 2. The German warehouse also serves as a logistics hub for the company's product portfolio in the European Union 2.
Market context
The company operates in two very different markets. On one side, the digital asset market is described as highly volatile, where the value of 0G can materially affect results 1. On the other, European pharmaceutical distribution is a low-margin business sensitive to wholesale prices and government regulation 1.
On demand, the Phatebo portfolio covers a range of therapies and targets markets in Europe, Asia, Latin America and North America 2. Development of a decentralized AI sector remains uncertain and depends on adoption of the 0G network, which the company describes as still early stage 1.
Trends
- Digital asset volatilitymixed
0G Tokens are described as new and highly volatile assets, and changes in their market value feed directly into reported results 1. If crypto market trends strengthen, the company could benefit from higher treasury values; if they weaken, accounting losses could deepen.
- Staking and validation incometailwind
Since January 2026 staking rewards have become a new operating revenue source, which the company plans to use to fund operations 2. If the 0G network grows its validator base, the company's reward share could become more predictable.
- Crypto and AI regulationheadwind
The company monitors US federal crypto legislation and reserves the right to modify its strategy to avoid registration as an investment company 1. New rules could limit or reshape the business model.
- Price pressure in pharma distributionheadwind
European pharmaceutical distribution is affected by government pricing policies and wholesale price restrictions that can compress margins 1. The effect on Phatebo depends on how these policies evolve.
Competitive position
In digital asset treasuries, ZeroStack compares with other companies holding tokens as reserve assets, but the available sources do not name a clear list of direct competitors. In pharmaceutical distribution, Phatebo competes with large European distributors whose profiles are not detailed in the sources provided 2.
The company's competitive position depends on its ability to use the native AI functions of 0G and to maintain relationships with distributors and suppliers in the EU. The sources do not provide a market share analysis, so the degree of any advantage remains uncertain.
- Other Nasdaq- or NYSE-listed digital asset treasury companies
Companies holding cryptocurrencies as treasury assets; the sources do not identify them individually.
- European pharmaceutical distributors with German operations
Competitors in the European wholesale market; not named in the available sources.
- Staking platforms and validators for the 0G network
Competition for validation rewards; not detailed in the sources.
- CBD product and vaporizer distributors
Former cannabis activities were sold; competition in this segment is no longer a current focus.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
- Zerostack’s Crypto Holdings Top $1 BillionYahoo Finance — News · 25 Aug 2026 · EN
- Zerostack v1.3.4 released – Lightweight Unix-inspired coding agentHacker News · 30 May 2026 · EN
- Zerostack – A Unix-inspired coding agent written in pure RustHacker News · 16 May 2026 · EN
The latest news item in our archive is from 25 Aug 2026; the newest SEC filing is from 02 Nov 2026. The press archive comes from the RSS feeds we follow and does not necessarily cover the latest event — the filings alongside do.
SEC filings
- Current report02 Nov 2026Material agreement · Termination of a material agreement · Departure or appointment of officers · Financial statements and exhibits
- Current report21 Aug 2026Other events
- Current report19 Aug 2026Material agreement · Acquisition or disposition of assets · Item 3.02 · Departure or appointment of officers · Financial statements and exhibits
- Quarterly report31 Jul 2026
- Current report23 Jul 2026Acquisition or disposition of assets
- Current report20 Jul 2026Departure or appointment of officers · Amendments to articles or bylaws · Shareholder vote · Financial statements and exhibits
- Current report06 May 2026Departure or appointment of officers · Financial statements and exhibits
- Quarterly report04 May 2026
- Current report31 Mar 2026Material agreement · Termination of a material agreement · Item 3.02 · Financial statements and exhibits
- Annual report27 Feb 2026
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / ZeroStack Corp. · 27 Feb 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / ZeroStack Corp. · 31 Jul 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / ZeroStack Corp. · 10 Aug 2023
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.