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Invinity Energy Systems PLC (GB:IES)
LSE:IES

Invinity Energy Systems (IES) AI Stock Analysis

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GB:IES

Invinity Energy Systems

(LSE:IES)

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Neutral 45 (OpenAI - 5.2)
Rating:45Neutral
Price Target:
20.00p
▲(0.00% Upside)
Invinity Energy Systems' overall stock score is primarily impacted by its poor financial performance, with significant losses and negative cash flow. While technical indicators and valuation metrics are weak, recent strategic initiatives and corporate events provide some positive outlook. The company's ability to execute on its strategic plans and improve financial metrics will be crucial for future performance.
Positive Factors
Cost Competitiveness
Substantial product and manufacturing cost reductions materially improve long-term unit economics. A 43% product cost drop and 36% manufacturing cut enhance margin sustainability and competitive pricing versus lithium-ion, supporting scalable deployments and contract competitiveness.
Balance Sheet Strength / Runway
A debt-free balance sheet and ~£40m cash provide multi-year runway to execute commercialization and scale production without near-term refinancing. This reduces solvency risk, supports strategic investments and partnerships, and gives time to reach positive cash generation.
Strategic Partnerships & Market Access
Localization partnerships in major manufacturing markets lower costs, accelerate permit-to-market timelines, and open large addressable markets. They also create potential recurring license and royalty income streams and strengthen long-term competitive position in LDES procurement programs.
Negative Factors
Declining Revenues and Negative Margins
Persistent revenue decline and negative gross/net margins indicate structural profitability challenges. Until volumes rise and fixed costs are absorbed, negative margins undermine sustainable operating leverage, impair ROE, and limit reinvestment capacity over the medium term.
Negative Free Cash Flow
Consistently negative and worsening free cash flow signals difficulty converting sales into cash, increasing reliance on financing or equity raises. Over time this can dilute shareholders, constrain capex for scaling, and pressure the company if cost reductions or volume growth lag expectations.
Order Conversion and Revenue Visibility
High second-half dependency and portions of the order book contingent on customer notices-to-proceed reduce revenue visibility. This concentration risk prolongs cash conversion timelines and exposes near-term performance to approval delays or geopolitical/policy shifts affecting project starts.

Invinity Energy Systems (IES) vs. iShares MSCI United Kingdom ETF (EWC)

Invinity Energy Systems Business Overview & Revenue Model

Company DescriptionInvinity Energy Systems plc manufactures and sells vanadium flow batteries (VFB) for energy storage solutions in the United Kingdom, Canada, the United States, Australia, and China. The company also develops electricity grids, as well as offers electric grid services. It provides batteries for energy storage for utilities and developers, commercial and industrial, and off-grid and microgrid applications. Invinity Energy Systems plc was incorporated in 2006 and is based in Saint Helier, the United Kingdom.
How the Company Makes MoneyInvinity Energy Systems generates revenue through the sale of its vanadium flow battery systems, which are marketed to a diverse range of customers including utility companies, commercial enterprises, and renewable energy developers. The company’s revenue model primarily revolves around direct product sales, installation services, and long-term maintenance contracts. Key revenue streams also include the development of customized energy storage solutions tailored to specific customer requirements. Additionally, IES benefits from strategic partnerships with energy developers and technology firms, which can lead to joint projects and access to new markets, further enhancing their earning potential. The growing global demand for energy storage solutions, driven by the increasing adoption of renewable energy sources, also contributes significantly to the company's financial performance.

Invinity Energy Systems Financial Statement Overview

Summary
Invinity Energy Systems faces significant financial challenges with declining revenues and persistent losses. The negative margins and cash flow deficits signal operational and financial inefficiencies. While leverage is low, the company struggles to generate sufficient returns on its equity. Strategic improvements are necessary to enhance profitability and cash generation.
Income Statement
Invinity Energy Systems shows a declining revenue trend over the past two years, with a significant drop from 2022 to 2023. The gross profit margin is negative, indicating costs exceed revenues. Net profit margin is also negative, highlighting ongoing losses. The company reported negative EBIT and EBITDA margins, reflecting operational inefficiencies.
Balance Sheet
The company maintains a relatively low debt-to-equity ratio, indicating low leverage. However, the stockholders' equity has been decreasing, and the equity ratio indicates a high reliance on equity financing. The return on equity is negative, reflecting the company's inability to generate profits from its equity base.
Cash Flow
Free cash flow is negative, with a declining trend, indicating liquidity issues. The operating cash flow to net income ratio is unfavorable, highlighting the challenge in generating cash from operations. Despite positive financing cash flows, the company struggles with negative free cash flow growth.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue3.63M5.01M22.01M2.94M3.19M406.00K
Gross Profit-4.45M-3.51M-3.35M17.00K-3.44M-1.28M
EBITDA-20.14M-21.31M-20.97M-17.12M-20.60M-22.56M
Net Income-21.64M-22.80M-23.18M-18.59M-21.04M-24.27M
Balance Sheet
Total Assets68.29M75.56M41.97M53.09M66.64M50.15M
Cash, Cash Equivalents and Short-Term Investments18.74M35.35M5.01M5.14M26.36M21.95M
Total Debt2.45M1.70M1.56M1.71M770.00K756.00K
Total Liabilities12.56M9.89M8.16M18.70M15.40M7.79M
Stockholders Equity55.73M65.67M33.81M34.39M51.24M42.35M
Cash Flow
Free Cash Flow-25.98M-26.20M-20.40M-22.58M-23.71M-11.27M
Operating Cash Flow-24.19M-24.89M-19.36M-21.87M-22.96M-10.92M
Investing Cash Flow-2.08M-1.30M-984.00K-708.00K-751.00K-358.00K
Financing Cash Flow-918.00K53.62M20.13M1.29M28.10M32.00M

Invinity Energy Systems Technical Analysis

Technical Analysis Sentiment
Positive
Last Price20.00
Price Trends
50DMA
19.19
Positive
100DMA
20.17
Negative
200DMA
19.00
Positive
Market Momentum
MACD
0.54
Negative
RSI
54.16
Neutral
STOCH
52.85
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:IES, the sentiment is Positive. The current price of 20 is above the 20-day moving average (MA) of 19.21, above the 50-day MA of 19.19, and above the 200-day MA of 19.00, indicating a bullish trend. The MACD of 0.54 indicates Negative momentum. The RSI at 54.16 is Neutral, neither overbought nor oversold. The STOCH value of 52.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:IES.

Invinity Energy Systems Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
51
Neutral
£130.06M-5.21-86.37%732.03%12.60%
51
Neutral
£486.74M-14.07-23.26%12.58%12.39%
47
Neutral
£27.61M-1.10-113.32%
46
Neutral
£396.35M-8.68-18.47%57.73%-67.12%
45
Neutral
£118.02M-4.61-32.53%-58.85%55.03%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:IES
Invinity Energy Systems
20.00
4.50
29.03%
GB:AFC
AFC Energy
11.92
3.02
33.93%
GB:CWR
Ceres Power Holdings
256.80
94.60
58.32%
GB:ITM
ITM Power
64.00
28.10
78.27%
GB:GWIN
Gowin New Energy Group Ltd.
0.06
0.03
83.33%
GB:CPH2
Clean Power Hydrogen PLC
6.00
-1.30
-17.81%

Invinity Energy Systems Corporate Events

Business Operations and Strategy
Scottish Secretary’s Visit Underscores Invinity’s Role in UK Long-Duration Energy Storage
Positive
Jan 9, 2026

Invinity Energy Systems hosted UK Secretary of State for Scotland Douglas Alexander at its Bathgate manufacturing facility, where he toured the plant, operated a vanadium flow battery connected to the Scottish grid and was briefed on the technology’s safety, low noise and suitability for storing renewable energy on demand. The visit highlighted Invinity’s growing commercial traction, including its potential role in supplying up to 16.7 GWh of long-duration energy storage under the UK LDES Cap & Floor Scheme and the progress at its Copwood VFB Energy Hub, underscoring the company’s importance to UK energy security, green job creation and the wider transition to a more efficient, resilient and affordable clean power system.

The most recent analyst rating on (GB:IES) stock is a Buy with a £40.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Invinity Lifts 2025 Revenue to £17m and Secures 20 MWh Follow-On Orders in Hungary
Positive
Jan 2, 2026

Invinity Energy Systems reported that 2025 closed with solid commercial and operational progress, including multiple new sales, successful delivery of major projects and a sharp focus on reducing Endurium product costs to improve margins and competitiveness. The company expects to post about £17m in 2025 revenue and grant income and has already built a 2026 order book of around £17m in signed contracts, giving management confidence in future growth alongside a substantial sales pipeline and ongoing bids in the UK’s long-duration energy storage Cap & Floor scheme. Invinity also announced follow‑on orders totalling 20 MWh of Endurium vanadium flow batteries from Hungarian partner Ideona for two government-supported solar‑plus‑storage projects, reinforcing its presence in Central Europe and underscoring growing repeat demand for its technology.

The most recent analyst rating on (GB:IES) stock is a Hold with a £18.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity Wins First Commercial Order for Endurium Enterprise Battery in France
Positive
Dec 29, 2025

Invinity Energy Systems has secured the first commercial order for its recently launched Endurium Enterprise vanadium flow battery product, with a 3.5 MWh system to be installed alongside an existing solar PV array at French aquaculture firm Charles Murgat. The behind-the-meter installation is intended to maximise onsite solar consumption, cut energy costs, improve resilience and lower the facility’s carbon footprint, underscoring Endurium Enterprise’s focus on commercial and industrial customers seeking safe, durable and cost-effective energy storage. The project, expected to proceed once construction permits are obtained and with battery delivery targeted for the second half of 2026, represents a milestone for Invinity as it demonstrates that recent cost reductions now support subsidy-free, purely commercial deployments, providing a key reference case to strengthen the company’s positioning in the competitive C&I energy storage market.

The most recent analyst rating on (GB:IES) stock is a Hold with a £18.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and Strategy
Invinity Wins 12 MWh US Grid Storage Deal with PNNL
Positive
Dec 22, 2025

Invinity Energy Systems has secured a sale of a 12 MWh Endurium vanadium flow battery system to the US Department of Energy’s Pacific Northwest National Laboratory for installation at PNNL’s Richland, Washington campus. The system will be used at the Grid Storage Launchpad to demonstrate the role of long-duration, utility-grade storage in providing 24-hour discharge, boosting operational resilience and cutting peak energy demand, reflecting a broader shift in the US power market—exemplified by PJM—towards prioritising eight- to ten-hour storage duration over short-term capacity. Supported by previously announced DOE funding and scheduled for delivery in the second half of 2026, the project deepens Invinity’s engagement with US grid innovation efforts and positions its vanadium flow technology as a contender for future long-duration storage deployments in North America.

The most recent analyst rating on (GB:IES) stock is a Hold with a £18.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity Completes First Phase of Europe’s Largest Vanadium Flow Battery Project
Positive
Dec 16, 2025

Invinity Energy Systems has successfully completed the first phase of its 20.7 MWh Invinity Copwood VFB Energy Hub project in East Sussex, UK, which is set to become the largest vanadium flow battery installation in Europe. The project is on track for completion in Q1 2026, with commercial operations expected later that year. This development marks a significant milestone for Invinity, reinforcing its position as a leader in the energy storage industry and potentially setting a new standard for long-duration energy storage solutions globally.

The most recent analyst rating on (GB:IES) stock is a Hold with a £18.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and Strategy
Invinity Energy Systems Announces Change of Registered Address
Positive
Dec 12, 2025

Invinity Energy Systems plc has announced a change in its registered address to a new location in London. This move reflects the company’s ongoing efforts to optimize its operations and maintain its position as a leader in the energy storage industry. The change is part of Invinity’s broader strategy to enhance its market presence and operational efficiency, potentially impacting stakeholders by reinforcing its commitment to growth and innovation in the energy sector.

The most recent analyst rating on (GB:IES) stock is a Hold with a £18.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity’s Vanadium Flow Battery Undergoes Testing at U.S. Grid Storage Launchpad
Positive
Dec 11, 2025

Invinity Energy Systems has announced that the U.S. Department of Energy’s Pacific Northwest National Laboratory (PNNL) has commenced testing of its vanadium flow battery at the new Grid Storage Launchpad in Washington. This testing, initiated by U.S. Energy Secretary Chris Wright, marks a significant milestone for the Department of Energy’s investment in advanced energy storage. Over the next year, the battery will undergo rigorous testing to evaluate its potential in supporting the U.S. grid, providing valuable insights for grid-scale storage technologies. This collaboration with PNNL is a crucial validation of Invinity’s technology, enhancing its position in the U.S. energy storage market.

The most recent analyst rating on (GB:IES) stock is a Hold with a £18.00 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Invinity Energy Systems Begins Construction on UK’s Largest Vanadium Flow Battery Project
Positive
Nov 19, 2025

Invinity Energy Systems has commenced construction at the LoDES project site in East Sussex, UK, marking a significant step in deploying a 20.7 MWh vanadium flow battery and a 3 MWp solar array. This project, supported by a £10m grant from DESNZ, will feature the largest operating vanadium flow battery in Europe, enhancing the UK grid’s flexibility and supporting renewable energy integration. The project is expected to be operational by the second half of 2026, offering Invinity a strategic asset that showcases its technology and improves financial returns. By owning the solar array, Invinity aims to maximize operational flexibility and financial benefits, contributing to the UK’s clean energy goals and reducing reliance on natural gas.

The most recent analyst rating on (GB:IES) stock is a Hold with a £20.50 price target. To see the full list of analyst forecasts on Invinity Energy Systems stock, see the GB:IES Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 07, 2025