ClearSign Combustion (CLIR) AI Stock Analysis

• Market Cap: $45.34M
• Dividend Yield: N/A
• Average Volume (3M): 1.58M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.19
• Revenue Growth: -49.70%
• EPS Growth: -2.72%
• Country: US
• Employees: 18
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): -0.03
• Shares Outstanding: 52,426,280
• 10 Day Avg. Volume: 421,856
• 30 Day Avg. Volume: 1,581,167
• PEG Ratio: 0.86
• Price to Book (P/B): 5.12
• Price to Sales (P/S): 19.60
• P/FCF Ratio: -15.35
• Enterprise Value/Market Cap: 0.41
• Enterprise Value/Revenue: 8.73
• Enterprise Value/Gross Profit: 26.57
• Enterprise Value/Ebitda: -2.93
• 1Y Price Target: $2.00
• Price Target Upside: 146.91% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 52 Neutral
• Price Target: $1.00 ▲(23.46% Upside)

ClearSign Combustion's overall stock score is primarily influenced by its financial performance, which shows growth but significant profitability challenges. Technical analysis suggests a neutral outlook, while valuation remains low due to ongoing losses. The earnings call highlights both progress and challenges, indicating a need for cautious optimism.

Positive Factors

Regulatory Tailwinds

Regulatory pressures in key markets are driving demand for ClearSign's low-emission technologies, supporting long-term growth potential.

Product Innovation

Successful testing of hydrogen-capable burners positions ClearSign as a leader in clean energy solutions, aligning with global fuel trends.

Strategic Partnerships

Strong partnerships with industry leaders like Zeeco enhance market reach and credibility, fostering long-term business growth.

Negative Factors

Revenue Decline

A significant drop in revenue indicates challenges in maintaining sales momentum, which could impact financial stability if not addressed.

Profitability Challenges

Increasing net losses highlight ongoing profitability issues, which could hinder investment in growth initiatives and long-term viability.

Cash Flow Issues

Negative cash flow from operations suggests difficulties in generating sufficient cash, potentially limiting operational and strategic flexibility.

ClearSign Combustion Business Overview & Revenue Model

Company Description

ClearSign Combustion (CLIR) is a technology company specializing in the design and commercialization of advanced combustion systems. The company operates primarily in the industrial sector, focusing on applications in the oil and gas, power generation, and industrial process industries. ClearSign's core products include its patented ClearSign Core technology, which enhances combustion efficiency while significantly reducing emissions, thereby addressing regulatory compliance and environmental concerns in combustion processes.

How the Company Makes Money

ClearSign Combustion generates revenue primarily through the sale of its combustion systems and related technologies. This includes direct sales of equipment, as well as licensing agreements for its proprietary technology to other manufacturers in the industry. The company may also derive income from installation, maintenance, and consulting services associated with its systems. Key revenue streams include contracts with large industrial clients, partnerships with equipment manufacturers, and collaborations with research institutions focused on improving combustion technology. The company's emphasis on reducing emissions and improving efficiency positions it favorably in a market increasingly driven by environmental regulations and the demand for cleaner technology.

ClearSign Combustion Financial Statement Overview

Summary

ClearSign Combustion shows revenue growth but faces significant challenges with profitability and cash flow generation. The balance sheet is stable with low leverage, but ongoing negative net income and cash flows pose risks to long-term sustainability.

Income Statement

ClearSign Combustion has shown some improvement in revenue growth over the past year, increasing from $2.4 million to $3.6 million. However, the company continues to face significant challenges with negative EBIT and net income, reflecting ongoing profitability issues. The gross profit margin is positive, but the net profit margin remains negative, indicating that the company is struggling to turn revenue growth into profit.

Balance Sheet

The company maintains a relatively strong equity position with an equity ratio of roughly 86.5%. The debt-to-equity ratio is low, suggesting conservative leverage. However, the negative net income impacts return on equity negatively, which remains a concern for profitability. Overall, the balance sheet shows stability with manageable debt levels.

Cash Flow

Operating cash flow remains negative, raising concerns about the company's ability to generate sufficient cash from operations. Free cash flow is also negative, despite positive financing cash flow. The free cash flow to net income ratio is unfavorable, indicating ongoing cash flow challenges despite revenue growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.15M	3.60M	2.40M	374.00K	607.00K	0.00
Gross Profit	707.00K	1.12M	817.00K	-30.00K	-452.00K	-279.00K
EBITDA	-6.42M	-5.55M	-5.30M	-5.47M	-7.63M	-6.68M
Net Income	-6.35M	-5.30M	-5.19M	-5.76M	-7.89M	-6.84M
Balance Sheet
Total Assets	12.75M	15.92M	7.62M	10.93M	9.36M	11.12M
Cash, Cash Equivalents and Short-Term Investments	10.49M	14.04M	5.68M	9.06M	7.61M	8.82M
Total Debt	185.00K	188.00K	243.00K	359.00K	555.00K	669.00K
Total Liabilities	3.67M	2.15M	2.43M	1.37M	1.08M	1.58M
Stockholders Equity	9.08M	13.76M	5.19M	9.55M	8.28M	9.54M
Cash Flow
Free Cash Flow	-3.92M	-4.59M	-3.43M	-5.16M	-6.92M	-6.16M
Operating Cash Flow	-3.87M	-4.37M	-3.23M	-4.99M	-6.71M	-5.96M
Investing Cash Flow	-119.00K	-218.00K	2.49M	-2.69M	-213.00K	-194.00K
Financing Cash Flow	-7.00K	12.95M	-15.00K	6.54M	5.69M	6.43M

ClearSign Combustion Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.81
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLIR, the sentiment is Negative. The current price of 0.81 is below the 20-day moving average (MA) of 0.87, below the 50-day MA of 0.84, and above the 200-day MA of 0.69, indicating a neutral trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 45.09 is Neutral, neither overbought nor oversold. The STOCH value of 34.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CLIR.

ClearSign Combustion Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CECO	72 Outperform	$1.79B	35.44	18.85%	―	29.86%	331.33%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
CLWT	60 Neutral	$8.53M	11.78	―	―	-14.25%	-59.84%
CLIR	52 Neutral	$45.34M	-7.69	-53.13%	―	-49.70%	-2.72%
FTEK	44 Neutral	$78.31M	-23.98	-7.10%	―	-5.66%	-397.46%
LIQT	41 Neutral	$22.02M	-1.71	-73.79%	―	10.97%	44.99%
SCWO	39 Underperform	$65.53M	-3.44	-232.63%	―	―	―

ClearSign Combustion Corporate Events

ClearSign Technologies Reports Q3 2025 Earnings

ClearSign Technologies Corporation is a company that designs and develops products and technologies aimed at decarbonization and enhancing the performance of industrial and commercial systems, primarily in the energy and power industries. The company is known for its ClearSign Core™ technology, which achieves low emissions without the need for selective catalytic reduction.

ClearSign Combustion Updates Bylaws and Award Agreements

On November 11, 2025, ClearSign Technologies Corporation’s Board of Directors adopted Amended and Restated Bylaws, which include changes to the stockholder voting process and procedures for business proposals and nominations at annual meetings. Additionally, the Human Capital and Compensation Committee approved modifications to the company’s award agreements, changing the governing law and jurisdiction to Delaware, aligning with the company’s state of incorporation.

The most recent analyst rating on (CLIR) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on ClearSign Combustion stock, see the CLIR Stock Forecast page.

ClearSign Granted Nasdaq Extension for Compliance

On April 1, 2025, ClearSign Technologies Corporation received a notification from Nasdaq indicating non-compliance with the $1 minimum bid price requirement for its common stock. On September 30, 2025, Nasdaq granted ClearSign a 180-day extension until March 30, 2026, to regain compliance, potentially through a reverse stock split. Failure to meet the requirement could lead to delisting, although the company may appeal. The extension does not immediately affect the stock’s listing or trading status.

The most recent analyst rating on (CLIR) stock is a Hold with a $1.00 price target. To see the full list of analyst forecasts on ClearSign Combustion stock, see the CLIR Stock Forecast page.

ClearSign Combustion’s Earnings Call: Growth Amid Challenges

ClearSign Combustion’s recent earnings call presented a balanced sentiment, showcasing notable revenue growth and strategic advancements while acknowledging challenges such as project delays and board transitions. The company demonstrated significant achievements but also faced ongoing hurdles.

ClearSign Regains Nasdaq Compliance with New Appointments

ClearSign Technologies Corporation faced compliance issues with Nasdaq’s board independence and audit committee composition requirements due to the resignations of two board members. On August 26, 2025, the company addressed these issues by appointing Anthony DiGiandomenico as an independent director and G. Todd Silva as the chairperson and financial expert of the Audit Committee, regaining compliance by August 28, 2025.

The most recent analyst rating on (CLIR) stock is a Hold with a $0.50 price target. To see the full list of analyst forecasts on ClearSign Combustion stock, see the CLIR Stock Forecast page.