From Yahoo Finance: 2025-06-18 12:07:00

Genius Group Holdings increased its Bitcoin holdings to 100 BTC after a favorable court ruling in May 2025. The company aims to follow Microstrategy’s lead in using Bitcoin as a strategic asset, despite being a small-cap firm with financial risks, raising questions among investors about its strategy’s impact.

Bitcoin’s recent surge to over $110,000 has revived retail interest in cryptocurrency-related stocks. However, small-cap stocks like Genius Group have not fared well compared to the S&P 500 due to regulatory issues, affecting the performance of GNS shares, which are down significantly.

Genius Group, a Singapore-based edtech company, offers AI-powered education platforms focused on Bitcoin. With a market cap of $25 million, it operates in over 100 countries and caters to 5.8 million students. Despite its global presence, the company faces volatility due to its small size and financial challenges.

GNS shares have plummeted over 86% in the past year, trading around $0.35. The company’s financials reveal a price-sales ratio of 3.3x and a price-book value of 0.31x, with negative profit margins. Despite a surge in net asset value, legal issues and operational concerns may be impacting its stock performance.

Genius Group reported $7.9 million in revenue for full-year 2024, down from $23.1 million in 2023 due to asset acquisition issues. The company narrowed its operating loss but still faces challenges. Its NAV surged to $79.4 million, driven by crypto gains, but profitability remains a concern.

Genius Group is seeking damages of over $700 million for alleged fraud, impacting its forecasting. The company resumed buying Bitcoin after a successful appeal, owning 100 BTC valued at $10 million. With uncertain profitability projections, the company’s future remains uncertain pending legal outcomes.

Analysts do not cover Genius Group stock due to its small size. Investors interested in GNS should focus on company fundamentals, Bitcoin market trends, and litigation progress to make informed decisions.

Read more: This Penny Stock Just Doubled Down on Plans to Become the Next MicroStrategy. Should You Buy It Now?