AI Analysis | Feedback

Here are a few analogies to describe Shimmick Corporation (SHFS):

• The **Bechtel** of public infrastructure in the Western US, building large civil projects like bridges, dams, and highways.

• Like a regional **Fluor** or **Jacobs** that specializes in heavy civil construction such as water facilities and transit systems.

• A **Skanska**-like company, but with a primary focus on complex heavy civil infrastructure projects across the Western United States.

AI Analysis | Feedback

Major Products and Services of Southside Bancshares, Inc. (SHFS)

• Deposit Accounts: Offers various checking, savings, money market, and certificate of deposit accounts for individuals and businesses.
• Lending Services: Provides commercial, real estate, and consumer loans to individuals and businesses for various purposes.
• Mortgage Loans: Originates and services residential mortgage loans for home purchases and refinancing.
• Trust and Wealth Management: Delivers investment management, financial planning, and trust administration services.

AI Analysis | Feedback

SHF Holdings, Inc. (symbol: SHFS), primarily operating through its subsidiary MariMed Inc., is a multi-state cannabis operator involved in the cultivation, production, and distribution of cannabis and cannabis-infused products across various states in the U.S.

Based on its latest financial reports (10-K for the fiscal year ended December 31, 2023), SHF Holdings, Inc. generates a majority of its revenue from wholesale operations. For 2023, the company reported $92.6 million in wholesale revenue compared to $54.3 million in retail revenue. This indicates that SHFS primarily sells its products to other businesses.

However, SHF Holdings, Inc. does not publicly disclose the specific names of its major wholesale customer companies (other licensed cannabis dispensaries). Such information is typically considered proprietary and competitive within the highly regulated cannabis industry, and companies are generally not required to disclose them in their public filings unless a customer represents a very significant portion (e.g., 10% or more) of total revenue, which is not indicated in SHFS's filings.

Given the above, SHFS serves the following categories of customers:

• Licensed Cannabis Dispensaries: These are the primary business-to-business (B2B) customers. They are other licensed cannabis retailers that purchase SHFS's wholesale cannabis products (such as flower, edibles, concentrates, vapes, etc., under brands like Nature's Heritage, Betty's Eddies, Bubby's Baked, K-Fusion, and Seed & Strain) for resale to consumers in states where SHFS operates its wholesale business.
• Individual Consumers: SHFS also has a significant business-to-consumer (B2C) segment. The company sells directly to individual consumers through its own network of retail dispensaries (including brands like Panacea Wellness and Thrive) and via its delivery services in certain markets. These consumers purchase cannabis products for personal use.

AI Analysis | Feedback

AI Analysis | Feedback

Terry Mendez, Chief Executive Officer & Board Member

Terry Mendez was appointed CEO of Safe Harbor Financial in February 2025. He possesses extensive experience in strategic planning and operational transformation across the information technology and cannabis industries. As the founder of Amos Advisory Solutions, Mr. Mendez successfully led turnaround efforts for both single-state and multi-state cannabis operators. He commenced his career in public accounting with Arthur Andersen and Deloitte & Touche.

Douglas Beck, Principal Accounting Officer, Senior Vice President of Finance and Controller

Douglas Beck was appointed Principal Accounting Officer on September 24, 2025, and continues in his role as Senior Vice President of Finance and Controller, which he has held since May. Prior to his current role, Beck served as Chief Financial Officer at AiAdvertising, Inc. from November 2024 to April 2025, and at ShiftPixy, Inc. from January 2023 to March 2024. He also worked as a consultant and Chief Financial Officer for Beyond Air Inc. Mr. Beck holds a Bachelor of Science in Accounting from Fairleigh Dickinson University and is a licensed Certified Public Accountant.

Michael Regan, Chief Investment & Strategy Officer

Michael Regan was appointed Chief Investment & Strategy Officer on September 24, 2025.

Jeffrey Kay, Chief Marketing Officer

Jeffrey Kay was appointed Chief Marketing Officer on September 24, 2025. He previously served as Senior Vice President of Marketing.

AI Analysis | Feedback

The key risks to SHF Holdings (SHFS) are primarily centered around its financial viability, the volatile regulatory landscape of the cannabis industry, and significant shareholder dilution.

1. Financial Instability and Going Concern Warning: SHF Holdings faces chronic operating losses, weak liquidity, and has received repeated "going-concern" warnings. The company's cash reserves were critically low before a late-2025 rescue financing. Furthermore, management identified material weaknesses in internal controls over financial reporting, leading to a delay in its annual report filing in April 2025. This fundamental financial instability poses a significant threat to the company's ability to continue its operations.
2. Regulatory Uncertainty in the Cannabis Financial Services Sector: Operating within the cannabis financial services ecosystem exposes SHF Holdings to substantial regulatory uncertainty. The industry is subject to evolving state-by-state cannabis legislation, Bank Secrecy Act controls, and FinCEN guidance. Potential changes in the scheduling of cannabis, such as a move from Schedule I to Schedule III, could significantly alter the operational landscape and impact the company's business model.
3. Significant Share Dilution and Listing Risks: SHF Holdings has faced past compliance issues, including a delisting threat from Nasdaq in 2025, which necessitated a recapitalization. The company also increased its authorized shares to 1 billion and approved a reverse stock split, with a large volume of preferred stock and warrants that could lead to substantial dilution for existing shareholders.

AI Analysis | Feedback

The increasing momentum and legislative efforts towards federal cannabis legalization in the United States. If cannabis becomes federally legal, the primary barrier preventing large, traditional financial institutions (national and major regional banks) from serving the industry would be removed. These larger banks possess significantly greater capital, broader product and service offerings, lower cost of capital, and established customer bases. Their entry would directly challenge SHF Holdings' specialized niche, potentially eroding its market share and competitive advantage, which is currently built on serving an underserved market due to federal prohibition.

AI Analysis | Feedback

The addressable market for SHF Holdings, Inc. (SHFS), which provides banking, lending, and other financial services to financial institutions serving the cannabis industry, is primarily within the U.S..

The U.S. state-level marijuana market is projected to require between $65.6 billion and $130.7 billion in growth capital for new businesses and to refinance existing cannabis companies through 2035. This capital requirement is estimated to generate between $1 billion and $2.4 billion in interest revenue for financial institutions that service them.

AI Analysis | Feedback

SHF Holdings, Inc. (SHFS) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market trends:

1. Expansion of Lending and Credit Facilities: A significant driver of revenue growth for SHFS is the expansion of its lending activities, specifically through increased loan interest income and the growth of its credit portfolio. The company has shown substantial year-over-year increases in loan interest income, and it has also launched a small business line of credit program aimed at the cannabis sector.
2. Rollout of Fully Managed Cannabis Banking Program: SHFS recently launched its "Fully Managed Cannabis Banking Program," which is designed to streamline operational and compliance processes for financial institutions operating in the cannabis industry. This program is anticipated to attract more financial institutions to partner with Safe Harbor Financial, thereby expanding its network and the volume of cannabis-related transactions it facilitates.
3. Strategic Alliances and Partnerships: Strategic collaborations are expected to contribute to revenue growth by expanding service offerings and market reach. For instance, SHFS has formed a strategic alliance with FundCanna to provide flexible capital and compliant banking services to cannabis businesses. Additionally, the company extended its partnership with Wurk to enhance financial and workforce management solutions for cannabis enterprises.
4. Potential for Federal Cannabis Reform: The potential for federal reform in the cannabis industry is considered a significant external driver. Such reforms could lead to a "watershed moment for capital movement and M&A in the cannabis sector," directly impacting Safe Harbor Financial's growth prospects and market size by creating a more favorable regulatory environment for its services.
5. Introduction of New Service Offerings like Employee Banking Solutions: SHFS plans to introduce new services, such as employee banking solutions, to differentiate itself from competitors. These solutions aim to address the unique banking challenges faced by employees in cannabis-affiliated businesses, fostering stronger client relationships and potentially opening new revenue streams.

AI Analysis | Feedback

Share Issuance

• In November 2025, stockholders approved increasing the authorized common shares from 130,000,000 to 1,000,000,000.
• Stockholders approved the issuance of common stock upon the conversion of 31,052 shares of Series B Convertible Preferred Stock and the exercise of warrants for up to 1,999,543 shares, both at a price of $7.7644 per share.
• The company's obligation under a Forward Purchase Agreement required the potential issuance of 1.0 million common shares on September 28, 2025.

Inbound Investments

• On September 30, 2025, SHF Holdings completed recapitalization transactions that raised $6.8 million in new capital through a securities purchase agreement for convertible preferred stock and warrants with accredited investors, management, and the board.
• These recapitalization efforts also included the conversion of over $18.8 million in debt into Series B securities.
• The company established a $150 million equity line of credit, with the potential to expand to $500 million, to support future growth opportunities.