NET Power (NPWR) AI Stock Analysis

• Market Cap: $608.67M
• Dividend Yield: N/A
• Average Volume (3M): 851.58K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.50
• 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: 761,316
• 30 Day Avg. Volume: 851,580
• PEG Ratio: 0.25
• Price to Book (P/B): 1.19
• Price to Sales (P/S): 3109.10
• P/FCF Ratio: -7.75
• Enterprise Value/Market Cap: 0.51
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: -4.94
• Enterprise Value/Ebitda: -0.23
• 1Y Price Target: $4.00
• Price Target Upside: 45.99% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): -0.39
• Revenue Forecast (FY): N/A

• Rating: 49 Neutral
• Price Target: $3.00 ▲(9.49% 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 financial leverage

Very low reported debt materially reduces near-term solvency risk and gives the company flexibility to pursue multi-year commercialization steps without immediate default pressure. This structural balance-sheet strength supports multi-stage project development and licensing efforts as revenue is awaited.

Strategic partnership with Entropy

A formal partnership with an established PCC provider meaningfully reduces technology and integration risk, accelerating time-to-market. That collaboration strengthens NET Power's ability to offer bankable, hybrid solutions to developers and utilities, improving commercial prospects for licensing and engineering services.

Bankable project‑finance approach

Ability to structure projects that attract third‑party project finance shifts capital intensity away from NET Power and aligns with a licensing/service model. This enhances scalability and reduces direct capital commitment, making recurring licensing and engineering revenue more attainable over the medium term.

Negative Factors

Pre‑commercial zero revenue and heavy losses

No material revenue and sustained, large net losses mean the company remains dependent on external funding until projects generate license or service cash flows. Structurally, prolonged negative operating and free cash flow raises execution and dilution risk absent timely commercialization milestones.

High first‑of‑a‑kind facility cost risk

Substantial cost overruns on the inaugural oxy‑combustion facility materially increase capital needs and extend timelines. This raises execution risk, could deter developers or financiers, and may force repricing of licensing/royalty terms, slowing adoption and delaying durable revenue generation.

Sharp equity erosion

Dramatic decline in equity signals material value erosion and likely dilution from financing. Structurally, weakened equity capital limits non‑dilutive funding options, raises cost of future capital, and constrains strategic flexibility to scale licensing and support long‑lead commercial projects.

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

NET Power shows potential for growth with increased revenue, but persistent negative profitability and cash flow challenges raise concerns about operational efficiency and long-term viability. The strong equity position provides some financial stability, but improvements in profitability and cash management are essential.

Income Statement

NET Power has experienced inconsistent revenue growth, with a marked increase in total revenue from 2023 to 2024. However, the company has struggled with negative net income and gross profit margins over multiple years, indicating ongoing profitability challenges. The negative EBIT and EBITDA margins further highlight the operational inefficiencies that need addressing.

Balance Sheet

The company maintains a solid equity base with a high equity ratio, suggesting financial stability. However, the negative net income has led to low return on equity (ROE), which indicates inefficient use of equity capital. The debt-to-equity ratio remains low, suggesting low leverage and potential for future borrowing if needed.

Cash Flow

While NET Power has improved its free cash flow position from 2023 to 2024, the operating cash flow remains negative, which is concerning for long-term sustainability. The free cash flow to net income ratio is unavailable due to negative net income, which complicates the assessment of cash flow efficiency.

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: Neutral
• Last Price: 2.74
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NPWR, the sentiment is Neutral. The current price of 2.74 is above the 20-day moving average (MA) of 2.48, below the 50-day MA of 2.75, and above the 200-day MA of 2.64, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 55.36 is Neutral, neither overbought nor oversold. The STOCH value of 76.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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	$83.52M	15.70	8.20%	―	-1.47%	52.65%
PSIX	65 Neutral	$1.64B	14.35	118.50%	―	54.78%	122.61%
NPO	64 Neutral	$4.84B	56.43	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	$9.40B	30.73	12.38%	―	5.52%	9.03%
NPWR	49 Neutral	$608.67M	-0.33	-130.22%	―	-100.00%	-7118.27%
CETY	43 Neutral	$4.75M	-0.88	-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.