Solesence (SLSN) AI Stock Analysis

• Market Cap: $153.06M
• Dividend Yield: N/A
• Average Volume (3M): 42.71K
• Price to Earnings (P/E): 155.0
• Beta (1Y): 1.35
• Revenue Growth: 30.04%
• EPS Growth: -53.50%
• Country: US
• Employees: 98
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Household & Personal Products
• EPS (TTM): -0.02
• Shares Outstanding: 70,536,840
• 10 Day Avg. Volume: 46,970
• 30 Day Avg. Volume: 42,713
• PEG Ratio: -0.20
• Price to Book (P/B): 10.18
• Price to Sales (P/S): 2.91
• P/FCF Ratio: -58.81
• Enterprise Value/Market Cap: 1.64
• Enterprise Value/Revenue: 4.05
• Enterprise Value/Gross Profit: 16.35
• Enterprise Value/Ebitda: 76.29
• 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: 45 Neutral
• Price Target: $2.00 ▼(-7.83% Downside)

Solesence's overall stock score is primarily impacted by its mixed financial performance and bearish technical indicators. The high P/E ratio further suggests overvaluation concerns. While there are strategic improvements and leadership changes, the immediate financial and technical challenges weigh heavily on the stock's attractiveness.

Positive Factors

Leadership Transition

The new CEO, Kevin Carrington, brings fresh leadership that could drive strategic improvements and long-term growth, enhancing Solesence's market position.

Strategic Improvements in Operations

Operational enhancements are likely to boost efficiency and profitability, supporting sustainable growth and competitive advantage in the long term.

Market Position and Revenue Growth

Despite short-term setbacks, Solesence's ability to increase revenue year-over-year indicates strong market demand and potential for continued expansion.

Negative Factors

Revenue and Profit Decline

The decline in revenue and profitability highlights challenges in maintaining sales momentum, which could impact long-term financial stability.

Operational Challenges

Operational inefficiencies and increased costs could hinder margin recovery and profitability, affecting Solesence's competitive positioning.

Consumer Market Softening

A softening consumer market may reduce demand and revenue growth, posing a risk to Solesence's business model and market expansion efforts.

Solesence Business Overview & Revenue Model

Company Description

Solésence, Inc., formerly Nanophase Technologies Corporation, is a developer and manufacturer of clean, inclusive, mineral-based skincare and makeup products. The company partners with global and indie brands, leveraging its proprietary Active Stress Defense™ technology suite to bring environmental protection beauty products to market.

How the Company Makes Money

Solesence generates revenue primarily through the sale of its proprietary formulations and technologies to cosmetics and personal care companies. The company operates on a business-to-business (B2B) model, where it partners with established brands to develop customized solutions tailored to their specific needs. Key revenue streams include direct sales of formulations, licensing agreements for the use of its proprietary technologies, and consulting services for product development and formulation optimization. Significant partnerships with major players in the beauty industry further enhance its market presence and contribute to its earnings, as these collaborations often result in long-term contracts and repeat business.

Solesence Financial Statement Overview

Summary

Solesence shows a mixed financial performance. While profitability metrics like net profit margin and EBIT margin are positive, the declining revenue growth and negative cash flows are concerning. The balance sheet shows improved leverage, but historical high debt levels pose risks.

Income Statement

Solesence shows a mixed performance in its income statement. The TTM data reveals a slight decline in revenue growth at -3.52%, indicating potential challenges in maintaining sales momentum. However, the company maintains a positive net profit margin of 8.13% and an EBIT margin of 9.90%, suggesting operational efficiency. The gross profit margin of 28.14% is moderate, reflecting stable cost management. Overall, while profitability metrics are positive, the declining revenue growth rate is a concern.

Balance Sheet

The balance sheet presents a moderate financial position. The debt-to-equity ratio has improved to 0.59 in the TTM period, indicating reduced leverage compared to previous years. Return on equity is strong at 32.99%, showcasing effective use of equity to generate profits. However, the equity ratio is not explicitly provided, which limits a comprehensive assessment of asset financing. The improvement in leverage is a positive sign, but historical high leverage remains a risk factor.

Cash Flow

Cash flow analysis highlights significant challenges. The TTM period shows negative operating cash flow and free cash flow, indicating cash management issues. Despite a high free cash flow to net income ratio of 3.69, the negative operating cash flow coverage ratio of -0.07 suggests difficulties in covering net income with operating cash. The substantial free cash flow growth of 71.20% is a positive development, but overall cash flow health remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	62.15M	52.35M	37.30M	37.32M	29.48M	17.12M
Gross Profit	15.39M	16.19M	7.83M	8.36M	8.69M	5.99M
EBITDA	3.30M	6.06M	-2.80M	-1.69M	3.96M	1.84M
Net Income	1.07M	4.24M	-4.39M	-2.62M	2.32M	493.33K
Balance Sheet
Total Assets	53.99M	50.00M	32.88M	33.56M	28.39M	13.54M
Cash, Cash Equivalents and Short-Term Investments	429.00K	1.41M	1.72M	2.19M	657.00K	956.75K
Total Debt	25.18M	15.30M	21.26M	18.11M	14.75M	7.57M
Total Liabilities	36.76M	35.06M	30.98M	27.91M	20.93M	10.81M
Stockholders Equity	17.23M	14.95M	1.90M	5.65M	7.46M	2.73M
Cash Flow
Free Cash Flow	-11.21M	-2.59M	-3.06M	-4.47M	447.00K	-2.94M
Operating Cash Flow	-8.20M	1.97M	-2.01M	-1.65M	2.32M	-2.06M
Investing Cash Flow	-4.29M	-4.56M	-1.05M	-2.82M	-1.87M	-878.00K
Financing Cash Flow	9.99M	2.27M	2.59M	6.00M	-747.00K	2.70M

Solesence Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 2.17
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SLSN, the sentiment is Negative. The current price of 2.17 is below the 20-day moving average (MA) of 2.46, below the 50-day MA of 3.15, and below the 200-day MA of 3.27, indicating a bearish trend. The MACD of -0.35 indicates Negative momentum. The RSI at 37.79 is Neutral, neither overbought nor oversold. The STOCH value of 84.18 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SLSN.

Solesence Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EPC	63 Neutral	$828.46M	33.41	1.62%	3.26%	-1.34%	-73.59%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
EWCZ	62 Neutral	$210.92M	14.88	15.38%	―	-5.47%	13.42%
NUS	61 Neutral	$507.49M	4.78	14.55%	2.31%	-12.10%	―
HELE	47 Neutral	$438.93M	―	-52.84%	―	-5.64%	-577.74%
SKIN	47 Neutral	$175.02M	-4.90	-18.73%	―	-13.14%	57.98%
SLSN	45 Neutral	$153.06M	155.00	6.60%	―	30.04%	-53.50%

Solesence Corporate Events

Solésence Reports Q3 2025 Results Amid Strategic Changes

Solésence, Inc. is a prominent player in the healthcare sector, specializing in scientifically-driven solutions across beauty and life science categories, with a focus on mineral-based sun protection products. In its third-quarter 2025 financial results, Solésence reported significant strategic transformations, including leadership changes and operational restructuring, aimed at enhancing innovation and growth. The company appointed Kevin Cureton as CEO and Laura Riffner as CFO, while also consolidating its manufacturing facilities and improving automation processes to boost efficiency.

Nanophase Technologies Corp’s Earnings Call: Challenges and Optimism

Nanophase Technologies Corp’s recent earnings call revealed a challenging quarter marked by a decline in revenue and profitability. Despite these short-term financial setbacks, the company expressed optimism about long-term growth prospects, driven by strategic operational improvements and leadership changes. The overall sentiment of the call was one of cautious optimism, with a focus on future growth and market leadership.

Solesence Reaches Settlement Agreement with Solarium Brands

On October 31, 2025, Solésence, Inc. and its subsidiary Solésence, LLC reached a Confidential Settlement Agreement with Solarium Brands, LLC and A-Frame Brands, LLC regarding disputes over consumer care products previously sold by Solésence to Solarium. As part of the agreement, Solarium will make a one-time settlement payment of $675,000 to Solésence by January 15, 2026, potentially impacting Solésence’s financial standing positively.

The most recent analyst rating on (SLSN) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Solesence stock, see the SLSN Stock Forecast page.

Solesence Announces Leadership Changes Amid Strategic Shift

On September 3, 2025, Solésence, Inc. announced significant leadership changes as part of its strategic transformation. Kevin Cureton was promoted to President and CEO, Laura Riffner was appointed CFO, and Jess Jankowski transitioned to Board Advisor until his retirement in November 2025. These changes follow Solésence’s rebranding and uplisting to Nasdaq, positioning the company for continued growth in delivering high-performance skincare products. The leadership appointments are expected to drive future innovation and growth, enhancing Solésence’s market position and shareholder value.

The most recent analyst rating on (SLSN) stock is a Hold with a $3.50 price target. To see the full list of analyst forecasts on Solesence stock, see the SLSN Stock Forecast page.

Solesence Holds Successful Annual Shareholder Meeting

On August 28, 2025, Solésence, Inc. held its Annual Meeting of Shareholders, where 86.83% of the shares entitled to vote were represented. During the meeting, shareholders elected two director nominees, approved the 2025 Equity Compensation Plan, and ratified the appointment of RSM US LLP as the independent registered public accounting firm for 2025.

The most recent analyst rating on (SLSN) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Solesence stock, see the SLSN Stock Forecast page.