LiqTech International (LIQT) AI Stock Analysis

• Market Cap: $16.07M
• Dividend Yield: N/A
• Average Volume (3M): 12.39K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.16
• Revenue Growth: 10.97%
• EPS Growth: 44.99%
• Country: US
• Employees: 105
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): -0.27
• Shares Outstanding: 9,947,841
• 10 Day Avg. Volume: 5,362
• 30 Day Avg. Volume: 12,386
• PEG Ratio: 0.04
• Price to Book (P/B): 1.35
• Price to Sales (P/S): 0.85
• P/FCF Ratio: -2.16
• Enterprise Value/Market Cap: 1.71
• Enterprise Value/Revenue: 1.67
• Enterprise Value/Gross Profit: 22.01
• Enterprise Value/Ebitda: -5.36
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -0.56
• Revenue Forecast (FY): $21.90M

• Rating: 53 Neutral
• Price Target: $1.50 ▼(-31.51% Downside)
• Action: Reiterated Date: 02/28/26
• Date: Action: Reiterated 02/28/26

The score is held down primarily by weak financial performance (ongoing losses, negative cash flow, and a weakening equity base). Offsetting this are constructive technical momentum and a relatively upbeat earnings outlook with strong 2026 growth/EBITDA guidance, though execution and financing risks remain meaningful.

Positive Factors

Systems Revenue Momentum

A durable shift toward higher-value systems increases revenue visibility and customer stickiness. Systems sales typically carry higher contribution margins and create recurring service and parts revenue, enabling operating leverage as installations and aftermarket ecosystems scale over multiple years.

Improving Gross Margins

Material margin improvement reflects product mix shift to standardized, higher-margin systems and better fixed-cost absorption. If sustained with growing systems revenue, this improves structural profitability potential and the path to consistent positive adjusted EBITDA and cash generation.

Strengthened Board & Financing Expertise

Adding an experienced finance leader bolsters governance and the company's ability to execute strategic financings and scale operations. Strong board-level financial experience reduces execution risk and improves access to capital markets or structured financings needed for multi-year growth plans.

Negative Factors

Consistent Cash Burn

Sustained negative operating and free cash flow constrains reinvestment and forces reliance on external capital. Until positive, recurring cash generation is achieved, the company faces structural funding pressure that can limit growth investments and increase dilution or refinancing risk.

Weakened Equity & Rising Leverage

A deteriorating equity base and higher leverage reduce financial flexibility and increase vulnerability to funding shocks. Elevated leverage with ongoing losses raises refinancing and covenant risk, making it harder to absorb revenue volatility or pursue opportunistic investments without costly capital.

Financing & Execution Risk

Achieving 2026 scale depends on timely project execution and securing additional capital. Limited cash runway, dependence on a delayed large order, and tariff uncertainty create structural execution and competitiveness risks that could impede sustainable margin expansion and the company’s ability to realize guided systems growth.

LiqTech International Business Overview & Revenue Model

Company Description

LiqTech International (LIQT) is a leading provider of advanced filtration technologies and solutions, primarily focusing on the production of membranes and systems for water treatment and air filtration. The company operates within the environmental sector, offering innovative products that target the removal of contaminants and pollutants from water and air, thereby contributing to sustainability and environmental protection. LiqTech's core products include ceramic membranes, which are used in various applications such as wastewater treatment, industrial processes, and aquaculture.

How the Company Makes Money

LiqTech International generates revenue primarily through the sale of its filtration products and systems, which include ceramic membranes and complete filtration units. These products are sold to various industries, including oil and gas, food and beverage, and municipal water treatment plants. The company also earns revenue through service contracts related to the maintenance and support of its filtration systems. Additionally, LiqTech has formed strategic partnerships and collaborations with key industry players, enhancing its market reach and technological capabilities, which contribute to increased sales and revenue growth. The company's focus on innovation and expanding its product offerings in response to environmental regulations and demand for clean water solutions further drives its earnings potential.

LiqTech International Financial Statement Overview

Summary

Fundamentals are weak: persistent losses and deeply negative ROE, consistently negative operating and free cash flow, and a weakening equity base with rising leverage (debt-to-equity ~1.16). Offsetting this slightly, 2025 showed improvement versus 2024 in gross margin and the scale of losses, but cash burn and profitability remain key constraints.

Income Statement

Profitability remains weak: the company posted losses every year (2025 net margin ~-52% vs. ~-71% in 2024), though the scale of losses improved versus 2024. Gross margin improved sharply in 2025 (~7.6%) from 2024 (~1.7%), but remains low and has been volatile (e.g., ~15% in 2023). Revenue trajectory is a key concern: 2025 revenue declined materially (growth rate ~-167%), following a modest decline in 2024 after growth in 2023, pointing to an unstable top line and limited operating leverage.

Balance Sheet

Leverage is moderate but trending worse: debt-to-equity increased to ~1.16 in 2025 from ~0.71 in 2024 as equity declined, reducing balance-sheet flexibility. The business is generating deeply negative returns for shareholders (2025 return on equity ~-82%), consistent with ongoing losses. A positive offset is that debt levels appear relatively stable year-to-year (roughly $11–12M recently), but the weakening equity base raises refinancing and dilution risk if losses persist.

Cash Flow

Cash generation is consistently negative: operating cash flow and free cash flow were negative across all years shown, including 2025 operating cash flow of about -$6.1M and free cash flow of about -$6.5M. While 2025 cash burn improved versus 2024 (less negative), free cash flow growth remained negative, and ongoing outflows indicate the business likely depends on external funding to sustain operations until profitability improves.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	16.51M	14.60M	18.00M	15.98M	18.27M
Gross Profit	1.25M	250.91K	2.78M	567.14K	1.58M
EBITDA	-5.99M	-7.48M	-5.48M	-11.40M	-7.74M
Net Income	-8.53M	-10.35M	-8.57M	-14.17M	-11.13M
Balance Sheet
Total Assets	27.28M	32.43M	35.97M	40.13M	45.05M
Cash, Cash Equivalents and Short-Term Investments	5.07M	10.87M	9.48M	15.16M	15.36M
Total Debt	17.28M	11.81M	12.22M	11.54M	24.46M
Total Liabilities	16.91M	15.77M	18.70M	16.82M	32.28M
Stockholders Equity	10.43M	16.65M	17.28M	23.31M	12.77M
Cash Flow
Free Cash Flow	-6.50M	-8.90M	-7.08M	-13.73M	-8.34M
Operating Cash Flow	-6.11M	-7.53M	-4.18M	-12.04M	-7.20M
Investing Cash Flow	-217.93K	-424.04K	-2.89M	-1.69M	-1.45M
Financing Cash Flow	719.29K	8.49M	580.64K	13.70M	13.90M

LiqTech International Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.19
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LIQT, the sentiment is Negative. The current price of 2.19 is above the 20-day moving average (MA) of 1.67, above the 50-day MA of 1.70, and above the 200-day MA of 1.97, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.54 is Neutral, neither overbought nor oversold. The STOCH value of 46.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for LIQT.

LiqTech International 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%
CLWT	60 Neutral	$9.98M	17.99	―	―	-14.25%	-59.84%
FTEK	58 Neutral	$42.88M	-14.08	-7.10%	―	-5.66%	-397.46%
LIQT	53 Neutral	$16.07M	-1.82	-73.79%	―	10.97%	44.99%
CLIR	48 Neutral	$29.44M	-4.69	-53.13%	―	-49.70%	-2.72%
SCWO	48 Neutral	$45.53M	-2.23	-232.63%	―	―	―
TOMZ	43 Neutral	$12.38M	-2.36	-108.76%	―	-30.61%	-111.40%

LiqTech International Corporate Events

LiqTech International Adds Veteran Finance Leader to Board

On February 11, 2026, LiqTech International’s board expanded from five to six members and appointed veteran finance executive Robert “Bob” Wowk as an independent director, with his board, audit committee, and compensation committee roles effective March 1, 2026. The appointment, formally announced in a February 18, 2026 press release, follows standard independent director compensation policies and was made without any related-party arrangements or disclosable transactions.

Wowk, who brings more than three decades of finance and business development experience across industrial gases and renewable energy, has held senior roles at Linde, Gulf Cryo, Air Products and as CFO at several growth-stage clean energy firms. LiqTech’s board highlighted that his background in scaling technology companies and executing financings is expected to reinforce the company’s growth strategy and strengthen its positioning in key environmental filtration markets.

The most recent analyst rating on (LIQT) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on LiqTech International stock, see the LIQT Stock Forecast page.