$CYBCF is nearing my breakeven after almost two years, and the setup is getting interesting again

I originally bought the U.S. OTC listing of Cybeats Technologies, CYBCF, around August 2024 as a small speculative cybersecurity play. It went against me, I held it, and eventually it mostly fell off my radar. Nearly two years later, it is finally approaching my average cost of roughly $0.16, marked by the green horizontal line on the chart, so I pulled it back up to see whether anything had actually changed.

To be clear, I am not presenting this as some brilliant early call. I have been underwater for most of the time I have owned it. It was a small speculative position when I bought it and it remains one now. What interests me is that the company and the chart may finally be improving at the same time.

The lower panels in the screenshot are indicators I have been developing for my own trading and research. I am keeping the actual construction private, but broadly speaking, they are designed to read the internal state of a market across price, participation, pressure, and several different time horizons rather than relying on one conventional oscillator.

What caught my attention is that they are no longer reading CYBT like the persistently weak stock it was through much of 2024 and early 2025. The longer bearish regime appears to be losing control, underlying participation is improving, and several measures that do not normally move together are beginning to align constructively at the right edge of the chart. I am also seeing a buildup of expansion pressure after a fairly long period of compression.

That does not mean the next candle has to be green or that a breakout is guaranteed. These tools are generally better at telling me that a market is approaching a change in state than giving me an exact date and price. Right now, though, the direction of that transition looks increasingly bullish.

The price structure itself is fairly straightforward. The stock established a broad bottom during 2025 and has generally been making higher lows since then. It has now worked its way back toward the $0.15 to $0.16 area, which has rejected it several times and also happens to contain my average cost. A convincing close through that area with real volume would get me back above water while also potentially confirming that this is becoming something more than another temporary bounce.

The first area I would watch above there is roughly $0.17 to $0.18. Beyond that, the larger historical resistance zone appears to be around $0.22 to $0.23. On the downside, losing the recent structure in the low $0.12s would make the setup considerably less interesting to me.

I also went back through the company’s recent announcements to see whether the business had improved enough to support what I was seeing technically.

Cybeats makes software for managing software bills of materials, or SBOMs. In simple terms, its platform helps large companies keep track of all the third-party and open-source components buried inside their products, identify which products are exposed when a new vulnerability appears, and document how the problem is being handled. That is particularly relevant in industrial systems, medical devices, automotive products, and other areas where insecure software can create real operational or regulatory problems.

The company recently closed an oversubscribed C$1.97 million financing at C$0.17 per share. That is Canadian dollars, so it should not be confused with the U.S. price shown on my chart. The raise still creates dilution, but it also gives the company more room to pursue sales and commercialization without an immediate cash crisis.

A few days later, Cybeats announced that one of its channel partners had secured an engagement with a leading Japanese industrial-control-systems company. The customer was not named and the contract value was not disclosed, so I would not pretend that one announcement transforms the financial picture. What makes it interesting is that the company’s partner-led sales strategy appears to be producing actual international business.

Cybeats also has an OEM agreement with Keysight Technologies, which is selling the platform as Keysight SBOM Manager. That could be important because it gives a company of Cybeats’ size access to enterprise customers and industries it would have difficulty reaching efficiently through its own sales team. Keysight has already been applying the software in customer environments and reported early commercial activity through the partnership.

The financial results are still early. Q1 revenue was approximately C$764,000, up 12% from the previous year, and management has said it expects annual recurring revenue to reach approximately C$5 million by the end of Q2. That target has not yet been confirmed in reported Q2 results, so it is an important checkpoint rather than something I am treating as accomplished.

The possible transition here is from a tiny cybersecurity company constantly fighting for financing into a small enterprise-software vendor with working channel distribution, recognized customers, and a clearer regulatory reason for companies to buy its product. The market has not proven that transition yet, but that uncertainty is also why the valuation and potential percentage moves remain so speculative.

There are plenty of reasons this can still fail. It is an illiquid microcap with wide spreads, ongoing cash burn, dilution risk, and limited disclosure around the value of individual contracts. Announcing relationships with large companies is not the same thing as producing enough revenue to become self-sustaining. A move above my average would not suddenly remove those risks.

I am posting it because it has been sitting quietly in my account for almost two years, and it is now approaching my breakeven at the same time that both the underlying business narrative and my own market-state indicators are improving. That combination is enough to put it back on my active watchlist.

I would be particularly interested in hearing the bearish case from anyone who follows the company, the SBOM market, or competing platforms. I already own it, so confirmation bias is obviously something I need to account for.

**Disclosure: Long CYBCF with an average cost of approximately $0.16 per share. This remains a speculative holding and is not financial advice.**