Ceres Power Holdings (CWR) AI Stock Analysis

• Market Cap: £431.01M
• Dividend Yield: N/A
• Average Volume (3M): 3.49M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.80
• Revenue Growth: 12.58%
• EPS Growth: 12.39%
• Country: UK
• Employees: 478
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): -0.10
• Shares Outstanding: 194,674,970
• 10 Day Avg. Volume: 3,155,376
• 30 Day Avg. Volume: 3,494,985
• PEG Ratio: 0.25
• Price to Book (P/B): 2.15
• Price to Sales (P/S): 6.37
• P/FCF Ratio: -7.74
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £503.33
• Price Target Upside: 127.34% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: 223.00p ▲(0.72% Upside)

Ceres Power Holdings' overall stock score is driven by strong revenue growth and strategic initiatives, but is significantly hindered by ongoing profitability challenges and bearish technical indicators. The earnings call provided some positive strategic insights, but valuation remains a concern due to negative earnings and lack of dividends.

Positive Factors

Revenue Growth

The significant revenue growth reflects strong market demand for Ceres Power's technology, indicating successful market penetration and potential for future expansion.

Strategic Partnerships

Strategic partnerships with major global companies enhance Ceres Power's market position and facilitate access to new markets, supporting long-term growth and innovation.

Strong Balance Sheet

A strong balance sheet with substantial cash reserves provides financial stability and flexibility, enabling continued investment in growth and innovation.

Negative Factors

Profitability Challenges

Ongoing profitability challenges hinder financial health, requiring strategic adjustments to achieve sustainable operations and long-term viability.

Revenue Recognition Challenges

Challenges in revenue recognition can lead to financial unpredictability, affecting planning and investor confidence, necessitating improved contract management.

Order Intake Decline

A decline in order intake suggests potential demand issues or competitive pressures, which could impact future revenue and market positioning.

Ceres Power Holdings Business Overview & Revenue Model

Company Description

Ceres Power Holdings plc, a fuel cell technology and engineering company, engages in the development and commercialization of fuel cell technology in North America, Asia, and Europe. The company offers SteelCell, a solid oxide fuel cell that generates power from conventional and sustainable fuels, such as natural gas, biogas, ethanol, and hydrogen. Its products are applied in commercial, data center, transport, and residential markets. Ceres Power Holdings plc has a collaboration and license agreement with Doosan Fuel Cell Co. Ltd to build a 50MW facility for the mass manufacture under license of Ceres' fuel cell stacks in South Korea. The company was incorporated in 2004 and is headquartered in Horsham, the United Kingdom.

How the Company Makes Money

Ceres Power generates revenue through multiple streams, primarily by licensing its fuel cell technology to manufacturers and energy providers. The company enters into partnerships with global organizations to develop and commercialize fuel cell systems, which involves upfront licensing fees as well as ongoing royalties based on production and sales volumes. Additionally, Ceres Power engages in joint ventures and collaborations with large-scale energy companies, which further contribute to its revenue through shared development costs and potential profit-sharing arrangements. The company's focus on innovation and expansion into new markets also plays a critical role in driving its earnings, as it seeks to capitalize on the growing demand for clean energy solutions.

Ceres Power Holdings Financial Statement Overview

Summary

Ceres Power Holdings shows strong revenue growth but struggles with profitability due to negative net and EBIT margins. The balance sheet is stable with low debt, but ongoing losses impact return on equity. Cash flow is negative, though liquidity is supported by significant cash reserves.

Income Statement

Ceres Power Holdings shows significant revenue growth with an increase from £22.3M in 2023 to £51.9M in 2024, a 132.4% growth rate. However, the company struggles with profitability, as indicated by consistent negative net and EBIT margins over the years. Despite growing revenue, the net income remains negative, reflecting operational challenges.

Balance Sheet

The company's balance sheet is stable with a low debt-to-equity ratio of 0.01, indicating low leverage. The equity ratio is strong at 84.97%, showing a high proportion of assets financed by equity. However, net losses have impacted the return on equity, which is negative.

Cash Flow

Cash flow analysis reveals negative free cash flow and operating cash flow, indicating cash burn. The free cash flow to net income ratio is negative due to continuous losses. However, the company maintains significant cash reserves, which provides a buffer for operational funding.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	44.48M	51.89M	22.32M	19.79M	30.78M	21.12M
Gross Profit	33.90M	40.16M	13.55M	13.05M	19.05M	14.22M
EBITDA	-21.88M	-18.68M	-44.05M	-45.11M	-17.30M	-9.21M
Net Income	-35.34M	-28.30M	-54.01M	-47.62M	-21.09M	-9.88M
Balance Sheet
Total Assets	162.41M	181.10M	206.37M	261.99M	299.99M	147.51M
Cash, Cash Equivalents and Short-Term Investments	104.07M	102.47M	139.96M	182.32M	244.58M	102.19M
Total Debt	2.80M	2.22M	2.60M	3.12M	3.04M	4.45M
Total Liabilities	27.85M	27.27M	25.74M	24.59M	19.34M	26.00M
Stockholders Equity	134.56M	153.83M	180.63M	233.77M	280.65M	121.51M
Cash Flow
Free Cash Flow	-21.92M	-42.68M	-48.62M	-68.47M	-32.17M	-18.42M
Operating Cash Flow	-18.99M	-35.94M	-33.90M	-50.29M	-20.22M	-5.37M
Investing Cash Flow	10.66M	34.26M	12.29M	-38.85M	-32.85M	-26.58M
Financing Cash Flow	-654.00K	-478.00K	-242.00K	129.00K	171.00M	57.47M

Ceres Power Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 221.40
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:CWR, the sentiment is Negative. The current price of 221.4 is below the 20-day moving average (MA) of 304.82, below the 50-day MA of 303.87, and above the 200-day MA of 146.24, indicating a neutral trend. The MACD of -24.51 indicates Positive momentum. The RSI at 30.41 is Neutral, neither overbought nor oversold. The STOCH value of 8.62 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:CWR.

Ceres Power Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AFC	51 Neutral	£118.36M	-4.57	-86.37%	―	732.03%	12.60%
CWR	51 Neutral	£431.01M	-12.13	-23.26%	―	12.58%	12.39%
IKA	51 Neutral	£70.52M	-11.05	-31.45%	―	265.67%	-16.50%
LPA	45 Neutral	£4.82M	-21.73	-1.39%	―	-10.88%	-122.05%
EAAS	38 Underperform	£18.39M	-4.32	-36.75%	―	20.98%	17.29%

Ceres Power Holdings Corporate Events

Ceres Power Announces Total Voting Rights Update

Ceres Power Holdings plc announced that as of 28 November 2025, it has 194,674,969 Ordinary Shares in issue, each with one voting right, and holds no shares in treasury. This information is crucial for shareholders to determine their interests under the Disclosure Guidance and Transparency Rules, reflecting the company’s commitment to transparency and regulatory compliance.

Ceres Power Expands Manufacturing with Weichai Partnership

Ceres Power Holdings has signed a manufacturing licence agreement with Weichai Power for the production of its solid oxide fuel cell technology, expanding its global manufacturing partner portfolio. This agreement will allow Weichai to manufacture cells and stacks for stationary power systems, targeting AI data centres and industrial applications, and is expected to generate significant revenue through licence fees and royalties. The partnership with Weichai, a major player in conventional gas engines, is seen as both an endorsement of Ceres’ technology and a substantial business opportunity, positioning Ceres to further establish its technology as an industry standard.

Ceres Power Confirms Total Voting Rights and Shareholder Transparency

Ceres Power Holdings plc has announced that as of 31 October 2025, it has 194,417,904 Ordinary Shares in issue, each with one voting right. This information is crucial for shareholders to determine their interests in the company under the Disclosure Guidance and Transparency Rules. The announcement reflects Ceres Power’s ongoing commitment to transparency and regulatory compliance, which is essential for maintaining investor confidence and supporting its strategic partnerships in the clean energy sector.

Ceres Power Announces Total Voting Rights Update

Ceres Power Holdings plc announced that as of September 30, 2025, the company had 193,955,462 Ordinary Shares in issue, each with one voting right, and none held in treasury. This information is crucial for shareholders to determine their notification requirements under the Disclosure Guidance and Transparency Rules, potentially impacting their engagement with the company.

Ceres Power Transitions to Commercial Phase Amid Strong Financial Position

Ceres Power Holdings plc announced its interim results for the six months ended 30 June 2025, highlighting a strong balance sheet with cash and short-term investments of £104.1 million. Despite a 26% decrease in revenue to £21.1 million due to prior one-off license revenue, the company maintained a gross margin of 79%. Key commercial developments include the start of mass production by partner Doosan using Ceres’ solid oxide fuel cell technology, and the launch of Shell’s electrolyser in Bangalore. Delta has also invested significantly in manufacturing facilities for hydrogen energy solutions. Ceres is undergoing a business transformation to shift from an R&D focus to a commercial production phase, driven by growing demand for power solutions in AI data centers and electrification. The company is poised for growth with a strategic focus on the fuel cell power market, while the hydrogen market remains a future opportunity.