NET Power (NPWR) AI Stock Analysis

• Market Cap: $484.27M
• Dividend Yield: N/A
• Average Volume (3M): 862.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.53
• Revenue Growth: -100.00%
• EPS Growth: -7118.27%
• Country: US
• Employees: 68
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): -5.28
• Shares Outstanding: 83,919,754
• 10 Day Avg. Volume: 756,587
• 30 Day Avg. Volume: 862,179
• PEG Ratio: 0.25
• Price to Book (P/B): 1.19
• Price to Sales (P/S): 3109.10
• P/FCF Ratio: -7.66
• Enterprise Value/Market Cap: -0.12
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: 0.91
• Enterprise Value/Ebitda: 0.04
• 1Y Price Target: $4.00
• Price Target Upside: 83.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): -0.32
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: $2.50 ▲(14.68% Upside)

The score is weighed down primarily by weak financial performance (zero TTM revenue, very large losses, and ongoing cash burn despite low debt). Technicals are moderately supportive with mildly positive momentum, and the earnings call adds some optimism via a faster-to-market PCC strategy and bankable project framing, but valuation remains hard to assess due to negative earnings.

Positive Factors

Low leverage

NET Power's very low reported debt provides durable financial flexibility during the pre-commercial phase. Low leverage reduces near-term solvency risk and preserves optionality to pursue project finance, strategic partnerships, or staged equity raises without immediate default pressure.

Entropy partnership & PCC pivot

The Entropy partnership shifts NET Power toward a faster-to-market PCC approach, materially lowering technology and execution risk versus relying solely on first-of-a-kind oxy-combustion. Using an established solvent shortens development timelines and strengthens prospects for licensing and bankable projects.

Project-financeable West Texas plan

Targeting low LCOE in a low-cost gas region and structuring Phase One via project finance increases commercial viability and reduces corporate funding needs. This model supports scalable licensing and deployment without the company shouldering full plant CapEx long-term.

Negative Factors

Zero revenue & cash burn

NET Power remains pre-commercial with no material product revenue and sustained negative operating and free cash flow. Over months this structural cash burn forces dependence on external financing or partner-funded projects, increasing dilution and execution risk if capital markets tighten.

Sharp equity erosion

The rapid decline in shareholders' equity reflects accumulated losses and reduces the firm's capital cushion. Persistently negative returns on equity constrain funding flexibility, weaken bargaining power with partners, and make future equity raises more dilutive and costly.

High oxy-combustion cost & slow timeline

The very high projected capex and delayed commercialization materially increase technical and financing risk for NET Power's flagship oxy-combustion path. Extended timelines push returns far forward, complicating partner adoption and increasing the likelihood that early costs and delays will constrain scaled licensing.

NET Power Business Overview & Revenue Model

Company Description

NET Power Inc. operates as a clean energy technology company. It invents, develops, and licenses clean power generation technology. The company was founded in 2010 and is headquartered in Durham, North Carolina.

How the Company Makes Money

NET Power generates revenue primarily through the sale of electricity produced from its Allam Cycle power plants. The company partners with utilities and energy companies to develop and operate these plants, receiving payments for the energy generated. Additionally, NET Power may enter into long-term power purchase agreements (PPAs) that secure revenue over extended periods. The company also benefits from potential licensing agreements for its technology, allowing other firms to implement its Allam Cycle technology in their operations. Partnerships with key industry players enhance its market reach and facilitate investments in new projects, contributing to its overall revenue streams.

NET Power Financial Statement Overview

Summary

Financials reflect a pre-commercial profile: revenue is 0 in TTM with very large losses (TTM net loss ~$593M) and persistent cash burn (TTM operating cash flow about -$106M; free cash flow around -$152M). The key offset is very low leverage (total debt ~$4.0M; debt-to-equity ~0.03), but equity has fallen sharply (from ~$656M in 2024 to ~$144M in TTM), highlighting elevated execution and financing risk until commercialization improves results.

Income Statement

Results reflect a pre-commercial profile with heavy losses and minimal/zero revenue. Revenue declined to 0 in TTM (Trailing-Twelve-Months) from a very small base in prior years, and profitability remains deeply negative (TTM net loss of ~$593M; large negative gross profit and EBIT). While 2021 showed higher revenue versus earlier periods, the company has not demonstrated a sustained path to scale, and loss levels have expanded materially in the most recent periods.

Balance Sheet

Balance sheet leverage is very low, with modest total debt (~$4.0M in TTM (Trailing-Twelve-Months)) and a low debt-to-equity ratio (~0.03), which reduces near-term solvency risk. However, equity has fallen sharply versus prior years (from ~$656M in 2024 to ~$144M in TTM), and returns on equity are meaningfully negative, indicating substantial value erosion driven by ongoing losses.

Cash Flow

Cash generation remains weak with continued cash burn (TTM operating cash flow of about -$106M and free cash flow around -$152M). Free cash flow was negative across all periods provided, and cash burn increased versus 2024 (free cash flow about -$102M). A relative improvement in free cash flow growth in TTM (Trailing-Twelve-Months) is not enough to offset the overall funding dependence implied by persistently negative operating and free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	250.00K	175.00K	580.00K	2.10M	45.00K
Gross Profit	-63.07M	-1.71M	-932.00K	305.00K	1.27M	8.00K
EBITDA	-1.33B	-167.03M	-118.97M	-36.64M	-24.97M	-23.39M
Net Income	-593.31M	-49.19M	-77.23M	-54.78M	-38.29M	-36.40M
Balance Sheet
Total Assets	629.89M	2.29B	2.47B	78.14M	348.37M	107.08M
Cash, Cash Equivalents and Short-Term Investments	365.39M	507.57M	636.93M	5.16M	2.57M	12.78M
Total Debt	4.01M	3.10M	2.15M	786.00K	7.01M	0.00
Total Liabilities	47.41M	131.93M	142.30M	13.73M	42.32M	8.50M
Stockholders Equity	143.76M	655.60M	785.01M	64.40M	306.44M	98.58M
Cash Flow
Free Cash Flow	-151.81M	-101.50M	-60.65M	-16.75M	-1.33M	-25.20M
Operating Cash Flow	-105.95M	-31.65M	-49.00M	-16.63M	-1.33M	-24.98M
Investing Cash Flow	-45.94M	-168.67M	-103.70M	-115.00K	-345.03M	-220.00K
Financing Cash Flow	-5.00M	-4.93M	335.39M	21.47M	348.93M	29.00M

NET Power Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.18
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NPWR, the sentiment is Negative. The current price of 2.18 is below the 20-day moving average (MA) of 2.48, below the 50-day MA of 2.53, and below the 200-day MA of 2.65, indicating a bearish trend. The MACD of -0.11 indicates Positive momentum. The RSI at 29.52 is Positive, neither overbought nor oversold. The STOCH value of 15.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NPWR.

NET Power Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BWEN	65 Neutral	$75.64M	9.92	8.20%	―	-1.47%	52.65%
PSIX	65 Neutral	$1.62B	12.92	118.50%	―	54.78%	122.61%
NPO	64 Neutral	$5.33B	62.14	5.80%	0.56%	6.44%	101.24%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GNRC	59 Neutral	$10.40B	32.81	12.38%	―	5.52%	9.03%
NPWR	49 Neutral	$484.27M	-0.26	-130.22%	―	-100.00%	-7118.27%
CETY	41 Neutral	$2.80M	-0.40	-82.18%	―	-57.40%	52.85%

NET Power Corporate Events

NET Power Withdraws MISO Interconnection Request, Explores Alternatives

On December 29, 2025, NET Power Inc. notified the Midcontinent Independent System Operator that it would withdraw its request for interconnection after updated MISO information showed significantly higher expected network upgrade costs for the proposed project. The company continues to hold its site lease in the northern MISO region and is now evaluating alternative ways to develop clean firm power generation at that location, while indicating that it has not capitalized significant costs on the interconnection request and does not expect the withdrawal to have a material adverse effect on its financial condition or operating results.

The most recent analyst rating on (NPWR) stock is a Hold with a $3.00 price target. To see the full list of analyst forecasts on NET Power stock, see the NPWR Stock Forecast page.