Quest Water Global (QWTR) AI Stock Analysis

• Market Cap: $3.96M
• Dividend Yield: N/A
• Average Volume (3M): 3.37K
• Price to Earnings (P/E): ―
• Beta (1Y): -4.75
• Revenue Growth: N/A
• EPS Growth: 18.97%
• Country: US
• Employees: 2
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): N/A
• Shares Outstanding: 131,903,030
• 10 Day Avg. Volume: 4,260
• 30 Day Avg. Volume: 3,369
• PEG Ratio: 0.00
• Price to Book (P/B): -1.48
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.28
• Enterprise Value/Market Cap: 1.69
• Enterprise Value/Revenue: 13.39K
• Enterprise Value/Gross Profit: -159.43K
• Enterprise Value/Ebitda: -10.73
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 40 Underperform
• Price Target: $0.03 ▼(-27.50% Downside)
• Action: Downgraded Date: 01/28/26
• Date: Action: Downgraded 01/28/26

The score is driven primarily by very weak financial performance (minimal revenue, ongoing losses/cash burn, negative equity and higher debt). Technicals add further pressure with a downtrend and bearish momentum, while valuation is constrained by loss-making results (negative P/E) and no dividend yield.

Positive Factors

Structural market demand

Exposure to water and wastewater treatment places the company in a structurally resilient sector driven by long-term infrastructure needs and regulatory pressures. That persistent demand can support multi-year commercial opportunities if the firm develops viable offerings.

Product/service development focus

The company’s stated focus on developing, marketing and operating purification and wastewater solutions signals a strategic product orientation. If R&D converts to repeatable systems or service contracts, this creates a durable path to scalable revenue and technical differentiation.

Lean operating footprint

A very small headcount implies low fixed payroll overhead, which can extend runway and reduce operating burn while pursuing product development or pilot projects. For an early-stage microcap, lean costs are a durable structural advantage versus higher-burn peers.

Negative Factors

Negative equity and rising debt

Sustained negative equity and increasing debt materially weaken the capital base, constraining the company’s ability to absorb shocks, secure non-dilutive financing, or support growth. This structural balance-sheet weakness raises insolvency and partner risk over the medium term.

Consistent negative operating cash flow

Persistent negative operating and free cash flow means the business cannot self-fund operations or commercialization. Over months, this necessitates external financing or asset sales, increasing dilution or leverage risk and limiting ability to invest in durable commercial growth.

Minimal revenue and negative gross profit

Lack of meaningful revenue and negative gross margins indicate the core offering is not covering direct costs. Without validated, repeatable sales or improved unit economics, the company faces a durable uphill path to profitability and scale absent new commercial wins.

Quest Water Global Business Overview & Revenue Model

Company Description

Quest Water Global, Inc. operates as a water technology company in Canada. It provides solutions that address the shortage of clean drinking water. The company develops AQUAtap, a proprietary community drinking water system that is a self-contained water purification system; and WEPS, a proprietary water extraction and purification system that produces clean drinking water from humidity in the atmosphere. It serves customers in North America, Latin America, the Caribbean and Africa, the Democratic Republic of the Congo, and the Republic of Angola. The company was incorporated in 2010 and is based in North Vancouver, Canada.

How the Company Makes Money

Quest Water Global makes money through the sale and installation of its water purification systems and related technologies. Revenue streams include direct sales to governments, non-governmental organizations, and private sector clients who require sustainable water solutions. The company may also engage in strategic partnerships and joint ventures to expand its market reach and enhance its technological capabilities. Additionally, Quest Water Global could generate income from maintenance services, consultancy, and support contracts associated with its installations. Any specific data on significant partnerships or detailed financial figures is currently unavailable.

Quest Water Global Financial Statement Overview

Summary

Financial quality is extremely weak: revenue is effectively absent, losses are persistent with negative gross profit, operating/free cash flow is consistently negative, and the balance sheet is stressed with negative equity and rising debt.

Income Statement

The operating profile is very weak. Revenue is effectively absent in most years (including 2022–2024), while losses remain large and persistent (net loss of about $0.76M in 2024 vs. about $0.60M in 2023). Gross profit is negative in recent years, indicating the core business is not covering direct costs, and profitability has not shown a durable improvement despite lower losses versus 2022.

Balance Sheet

The balance sheet is highly stressed, with negative stockholders’ equity across all periods (about -$2.4M in 2024) and very small asset levels (about $1.5K in 2024). Debt increased sharply to about $2.3M in 2024 from about $1.7M in 2023, which elevates financial risk. While a debt-to-equity reading is shown, negative equity makes leverage indicators less economically meaningful and underscores a weak capital base.

Cash Flow

Cash generation is consistently negative, with operating cash flow around -$0.57M in 2024 and free cash flow also negative (roughly matching operating cash flow). Free cash flow deteriorated materially in 2024 (growth of about -44%), and cash flow has not demonstrated a path to self-funding operations, implying continued reliance on external financing.

Breakdown	TTM	Mar 2025	Dec 2023	Mar 2023	Dec 2021	Dec 2020
Income Statement
Total Revenue	500.00	0.00	0.00	0.00	150.00K	0.00
Gross Profit	-42.00	-500.00	-21.00K	-21.00K	37.24K	0.00
EBITDA	-623.96K	-757.11K	-595.51K	-1.19M	197.60K	0.00
Net Income	-624.38K	-757.61K	-596.01K	-1.23M	-319.87K	-459.27K
Balance Sheet
Total Assets	72.34K	1.53K	2.20K	2.26K	11.45K	124.66K
Cash, Cash Equivalents and Short-Term Investments	66.00	4.00	3.00	0.00	4.23K	4.71K
Total Debt	2.74M	2.30M	1.73M	1.15K	0.00	175.00K
Total Liabilities	2.82M	2.41M	1.84M	1.28M	3.68M	3.53M
Stockholders Equity	-2.74M	-2.41M	-1.83M	-1.27M	-3.67M	-3.41M
Cash Flow
Free Cash Flow	-722.50K	-567.51K	-579.83K	-563.08K	-528.44K	-535.73K
Operating Cash Flow	-722.50K	-567.51K	-579.83K	-561.58K	-528.44K	-535.73K
Investing Cash Flow	0.00	0.00	0.00	-1.50K	0.00	0.00
Financing Cash Flow	722.56K	567.51K	579.83K	558.86K	527.95K	485.51K

Quest Water Global Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 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 QWTR, the sentiment is Negative. The current price of 0.04 is above the 20-day moving average (MA) of 0.03, above the 50-day MA of 0.03, and above the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 39.88 is Neutral, neither overbought nor oversold. The STOCH value of 50.00 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for QWTR.

Quest Water Global Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ERII	71 Outperform	$542.02M	23.61	9.41%	―	0.10%	1.50%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
FTEK	56 Neutral	$46.30M	-15.20	-7.10%	―	-5.66%	-397.46%
LIQT	53 Neutral	$16.31M	-1.85	-73.79%	―	10.97%	44.99%
TOMZ	43 Neutral	$12.74M	-2.42	-108.76%	―	-30.61%	-111.40%
QWTR	40 Underperform	$3.96M	-6.38	―	―	―	18.97%