EnWave: Reiterating Speculative Buy on Delayed Near-Term Orders but Strengthening FY27 Outlook

Clarus analyst Noel Atkinson maintained a Buy rating on Enwave Corp yesterday and set a price target of C$0.80.

Noel Atkinson has given his Buy rating due to a combination of factors related to both EnWave’s near-term softness and its improving longer-term outlook. He acknowledges weaker expectations for early FY26 results because the company did not secure new large-scale equipment orders in the first quarter, which dampens projected revenue and margins for Q1 and likely Q2. At the same time, he notes that ongoing construction of large units for inventory and a series of new 10kW system orders should support revenue recognition later in FY26 and help feed the pipeline for larger systems. As a result, he still anticipates year-over-year revenue growth in FY26, albeit at a reduced level, and he expects that the late-arriving orders will set up a stronger first half of FY27.

Atkinson also highlights an increasingly attractive financial profile beyond FY26, revising his FY27 estimates upward for both revenue and adjusted EBITDA as the delayed orders and a fuller sales funnel begin to convert. He maintains that EnWave’s position as a leading provider of microwave-based drying systems, combined with the royalty streams tied to equipment installations, supports a compelling longer-term earnings trajectory. Using a sum-of-the-parts approach, he applies an enterprise value multiple of roughly 4x his FY27 adjusted EBITDA forecast, which underpins his $0.80 per share price target. Taken together, these elements lead him to reiterate a Speculative Buy recommendation despite short-term variability in quarterly results.

ENW’s price has also changed moderately for the past six months – from C$0.455 to C$0.335, which is a -26.37% drop .