CirChem AB (CIRCHE) AI Stock Analysis

• Market Cap: kr43.42M
• Dividend Yield: N/A
• Average Volume (3M): 64.80K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.06
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: SE
• Employees: 13
• Sector: Industrials
• Sector Strength: 72
• Industry: Waste Management
• EPS (TTM): -0.12
• Shares Outstanding: 40,205,837
• 10 Day Avg. Volume: 121,416
• 30 Day Avg. Volume: 64,798
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.74
• Price to Sales (P/S): 3.28
• P/FCF Ratio: -1.59
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 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): kr40.60M

• Rating: 49 Neutral
• Price Target: kr1.50 ▲(76.47% Upside)
• Action: Reiterated Date: 03/11/26
• Date: Action: Reiterated 03/11/26

The score is held back primarily by weak financial performance, driven by sharply lower revenue, sizable losses, and significant negative operating/free cash flow. Technical indicators provide some offset with moderately positive momentum, while valuation remains unattractive/unclear due to negative earnings and no dividend yield data.

Positive Factors

Recurring revenue model

A service-and-product revenue mix (fees for recycling plus sales of regenerated solvents) supports recurring cash inflows and customer stickiness. Industrial clients often prefer long-term vendors for hazardous waste handling, creating durable revenue visibility if contracts persist.

Specialized recycling capability

Specialization in solvent purification creates technical barriers and positions the company in a niche of circular chemistry. This core competency supports long-term demand as companies internalize sustainability goals and regulators tighten waste disposal rules, creating structural tailwinds.

Manageable leverage

Low debt-to-equity provides financial flexibility to support continued operations, fund working capital, or raise incremental capex without high interest burden. This balance-sheet cushion reduces bankruptcy risk relative to highly leveraged peers during extended recovery periods.

Negative Factors

Material cash burn

Persistent and sizeable negative operating and free cash flow imply ongoing funding needs and constrain the company's ability to invest in capacity or R&D. Over months this increases refinancing risk, dilutes shareholder value if capital raises occur, and limits strategic flexibility.

Sharp revenue decline and losses

A near-30% revenue drop and large operating loss indicate the cost base is not sustainable at current scale. Without persistent revenue recovery or structural margin improvement, ongoing losses will erode equity and make achieving durable profitability challenging over the next several quarters.

Very small operating scale

A tiny workforce constrains capacity to scale operations, maintain service redundancy, or pursue multiple large industrial contracts. Limited scale also reduces bargaining power with suppliers and customers and increases operational risk if key personnel depart.

CirChem AB Business Overview & Revenue Model

Company Description

CirChem AB (publ) engages in recycling of used solvents in Sweden. It collects and purify used industrial solvents for reuse; and produces other chemical products, such as washer fluid and rubbing alcohol. CirChem AB (publ)was founded in 2013 and is based in Vargon, Sweden.

How the Company Makes Money

CirChem AB’s revenue model is based on providing solvent recycling services and selling recovered solvents back into the market. Key revenue streams would typically include (1) fees charged to industrial customers for collecting, handling, and processing spent solvents, and (2) product sales of regenerated/purified solvents to customers who use these chemicals as inputs. Any specific pricing structure, customer mix, contract terms, margins, or named partnerships are not publicly available in the provided context and are therefore null.

CirChem AB Financial Statement Overview

Summary

Financial performance is weak. Income statement deterioration is severe (revenue down ~29.9% YoY with a swing to large operating and net losses). Cash flow is also materially negative (TTM operating cash flow -13.7m; free cash flow -20.6m), indicating meaningful cash burn. The balance sheet is a partial offset with manageable leverage (debt-to-equity ~0.18), but ongoing losses remain the key risk.

Income Statement

TTM (Trailing-Twelve-Months) results show a sharp deterioration: revenue fell ~29.9% versus the prior year and profitability swung from near break-even EBIT in 2024 to a large operating loss (EBIT -11.2m) and net loss (-12.1m). While reported gross profit remains positive, operating and net margins are materially negative in TTM, indicating the cost base is not covered at current scale. The main strength is that the company previously demonstrated the ability to approach operating break-even in 2024, but the latest trajectory is clearly unfavorable.

Balance Sheet

Leverage looks manageable: debt-to-equity is low-to-moderate (about 0.18 in TTM and ~0.20 in 2024), supported by a sizable equity base relative to total debt. However, persistent losses are pressuring returns on equity (negative in all periods, with TTM around -0.14), which can erode balance-sheet strength over time if not reversed. Overall, the balance sheet provides some cushion, but ongoing losses are the key risk.

Cash Flow

Cash generation is weak and worsening: TTM operating cash flow is materially negative (-13.7m) and free cash flow is even more negative (-20.6m), following negative operating cash flow in 2024 as well (-6.4m). Although free cash flow was 'better than net income' in both TTM and 2024 (because net income was also negative), the absolute cash burn is significant and implies continued funding needs. The only clear positive is that cash burn has improved versus the very large outflows seen in 2022–2023, but TTM re-accelerated to heavier burn versus 2024.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	9.96M	20.66M	5.75M	590.62K	85.55K
Gross Profit	-11.24M	19.53M	3.04M	2.92M	2.62M
EBITDA	-10.12M	374.00K	-15.52M	-19.87M	-16.74M
Net Income	-12.05M	-1.07M	-17.14M	-25.50M	-19.48M
Balance Sheet
Total Assets	69.47M	61.18M	59.11M	50.30M	52.14M
Cash, Cash Equivalents and Short-Term Investments	13.65M	11.93M	16.58M	9.78M	14.57M
Total Debt	12.90M	8.92M	8.92M	1.75M	2.00M
Total Liabilities	25.14M	15.49M	24.00M	25.17M	25.77M
Stockholders Equity	44.33M	45.68M	35.10M	25.13M	26.37M
Cash Flow
Free Cash Flow	-20.57M	-12.85M	-27.48M	-25.27M	-5.47M
Operating Cash Flow	-13.70M	-6.38M	-26.68M	-21.49M	-2.78M
Investing Cash Flow	-6.88M	-6.47M	-798.49K	-3.78M	-2.69M
Financing Cash Flow	22.29M	8.20M	34.29M	20.48M	-2.04M

CirChem AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.85
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:CIRCHE, the sentiment is Negative. The current price of 0.85 is below the 20-day moving average (MA) of 1.15, below the 50-day MA of 1.07, and below the 200-day MA of 1.49, indicating a neutral trend. The MACD of 0.01 indicates Positive momentum. The RSI at 46.76 is Neutral, neither overbought nor oversold. The STOCH value of 44.05 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:CIRCHE.

CirChem AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NOTEK	64 Neutral	kr171.64M	11.90	―	―	37.36%	1536.66%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
AXOLOT	53 Neutral	kr106.59M	-13.81	-17.60%	―	-27.29%	72.72%
BIOEX	52 Neutral	kr123.18M	-6.27	-94.54%	―	-27.18%	33.32%
CIRCHE	49 Neutral	kr43.42M	-2.71	-25.32%	―	―	―
SAXG	49 Neutral	kr91.79M	45.33	-14.54%	―	-17.38%	96.53%
SES	45 Neutral	kr199.43M	-2.12	-20.69%	―	-79.18%	-257.25%