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SenesTech (SNES)
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SenesTech (SNES) AI Stock Analysis

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SNES

SenesTech

(NASDAQ:SNES)

Rating:52Neutral
Price Target:
$5.00
▼(-0.60% Downside)
SenesTech's overall stock score is driven by strong earnings call highlights, including record revenue and strategic growth initiatives. However, ongoing profitability challenges and negative cash flows weigh heavily on the financial performance and valuation, resulting in a moderate overall score.
Positive Factors
Manufacturing Capacity
The company has space for a total of three production lines to be deployed where multiple production shifts could support significantly higher revenue levels at higher margins.
Product Performance
SenesTech’s soft-bait Evolve formulation continues to be the company’s biggest-selling product, amounting to over 80% of total quarterly revenues.
Revenue Growth
SenesTech is experiencing growth in revenues from all its channels, including online retailers, brick-and-mortar stores, municipalities, international sales, agricultural, and commercial entities.
Negative Factors
Market Conditions
If market conditions remain supportive, the company's revenue and operating performance in the near term could be stronger than current expectations.

SenesTech (SNES) vs. SPDR S&P 500 ETF (SPY)

SenesTech Business Overview & Revenue Model

Company DescriptionSenesTech, Inc. develops a technology for managing animal pest populations through fertility control. It offers ContraPest, a liquid bait that limits reproduction of male and female rats. The company was incorporated in 2004 and is headquartered in Phoenix, Arizona.
How the Company Makes MoneySenesTech generates revenue primarily through the sale of its flagship product, ContraPest, to various markets including agriculture, food production, and urban pest control. The company employs a direct sales model alongside partnerships with pest control service providers and agricultural distributors to enhance product reach. Additional revenue streams may include licensing agreements for its technology and potential collaborations with governmental and environmental organizations focused on sustainable pest management solutions. The company's strategic partnerships with pest control professionals and agricultural entities further bolster its market presence and revenue potential.

SenesTech Earnings Call Summary

Earnings Call Date:Aug 07, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Nov 18, 2025
Earnings Call Sentiment Positive
The earnings call presented a strong positive sentiment due to record revenue and gross profit margins, significant growth in Evolve product sales, and successful expansion in e-commerce and international markets. Although there were some challenges, such as a decline in ContraPest sales and slower progress in the agriculture market, the highlights far outweighed the lowlights.
Q2-2025 Updates
Positive Updates
Record Quarterly Revenue and Gross Profit Margins
SenesTech reported record quarterly revenue and record gross profit margins, with gross profit margins reaching 65.4%, up from 54.2% a year ago.
Significant Growth in Evolve Product Sales
Sales of the Evolve Rodent Birth Control solution increased by 94% compared to the year-ago quarter and now make up 83% of total quarterly revenue.
Expansion in E-commerce and Retail Channels
E-commerce sales grew by 78% year-over-year and 18% sequentially, now representing more than 50% of quarterly sales. Brick-and-mortar retail sales increased nearly 500% sequentially.
Strong Performance in City and Government Verticals
Government-related sales grew more than 500% from the year-ago quarter, with notable deployments in cities like New York and Chicago.
International Expansion and New Partnerships
SenesTech has agreements with more than 15 countries for Evolve's growth and received a reorder from a Caribbean island.
Successful Capital Raising Efforts
SenesTech raised $6.3 million through a warrant exercise inducement, providing an operating runway through the end of 2027.
Negative Updates
Decline in ContraPest Sales
ContraPest sales decreased by approximately 45% compared to the previous year, now accounting for only 17% of Q2 sales.
Slower Than Expected Progress in Agriculture Market
The agriculture market, while significant in potential, has shown slower than expected progress. Trials are ongoing in sugarcane fields, almond orchards, and granaries.
Continued Operating Expenses
Operating expenses increased slightly due to one-time expenses, with a focus on reducing cash burn to $1 million per quarter.
Company Guidance
In the SenesTech second quarter fiscal year 2025 financial results conference call, the company reported record quarterly revenue and gross profit margins, with Evolve Rodent Birth Control sales increasing by 94% year-over-year and 36% sequentially, now accounting for 83% of total revenue. Gross profit margins rose to 65.4% from 54.2% in the previous year. E-commerce sales, which include platforms like Amazon, grew by 78% year-over-year and now represent over 50% of quarterly sales. The company also noted a 500% sequential increase in brick-and-mortar retail sales, driven by a new partnership with Bradley Caldwell. Municipal and government-related sales grew over 500% from the previous year, with significant ongoing trials in major cities such as New York City and Chicago. The company anticipates achieving cash flow breakeven, projected at $1.5 million in quarterly revenue, by the latter half of 2026.

SenesTech Financial Statement Overview

Summary
SenesTech shows potential with revenue growth and a stable balance sheet, but faces significant challenges in achieving profitability and positive cash flows. The company's financial health is hampered by ongoing net losses and negative cash flow, necessitating a strategic focus on operational efficiency and cost management to improve financial performance.
Income Statement
45
Neutral
SenesTech has shown some revenue growth, with a significant increase from $1,193,000 in 2023 to $1,857,000 in 2024. However, the company is still struggling with profitability, as evidenced by the negative EBIT and net income. The gross profit margin has improved, but the net profit margin remains non-existent due to zero net income in 2024. These factors result in a moderate score, reflecting positive revenue trends but ongoing profitability challenges.
Balance Sheet
50
Neutral
The balance sheet indicates a stable equity position with a decrease in total liabilities over the years. The debt-to-equity ratio is low, showing conservative leverage. However, the return on equity is weak due to persistent net losses, limiting the score to an average level. The company's financial stability is supported by a solid equity base, but profitability issues weigh heavily.
Cash Flow
40
Negative
SenesTech's cash flow statement reveals challenges with negative operating and free cash flows, despite some improvement in free cash flow from 2023 to 2024. The operating cash flow to net income ratio cannot be calculated for 2024 due to zero net income. The company has relied on financing activities to manage cash needs, reflecting ongoing cash flow struggles and reducing the score.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue2.09M1.86M1.19M1.02M576.00K258.00K
Gross Profit1.34M1.00M539.00K464.00K220.00K-23.00K
EBITDA-5.91M-6.01M-7.57M-9.51M-7.95M-7.62M
Net Income-4.43M-6.18M-7.71M-9.71M-8.27M-7.94M
Balance Sheet
Total Assets10.37M3.28M7.29M6.78M11.50M6.02M
Cash, Cash Equivalents and Short-Term Investments6.05M1.31M5.39M4.78M9.33M3.64M
Total Debt2.69M262.00K406.00K359.00K555.00K1.44M
Total Liabilities3.39M767.00K942.00K1.50M1.47M2.14M
Stockholders Equity6.98M2.51M6.35M5.28M10.04M3.88M
Cash Flow
Free Cash Flow-5.45M-6.12M-7.71M-8.75M-7.88M-7.22M
Operating Cash Flow-5.32M-6.03M-7.57M-8.58M-7.78M-7.11M
Investing Cash Flow-126.00K-56.00K-149.00K-170.00K-99.00K-67.00K
Financing Cash Flow9.53M2.00M8.34M4.20M13.56M8.88M

SenesTech Technical Analysis

Technical Analysis Sentiment
Positive
Last Price5.03
Price Trends
50DMA
4.97
Positive
100DMA
3.84
Positive
200DMA
3.27
Positive
Market Momentum
MACD
0.02
Negative
RSI
55.07
Neutral
STOCH
73.67
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SNES, the sentiment is Positive. The current price of 5.03 is above the 20-day moving average (MA) of 4.73, above the 50-day MA of 4.97, and above the 200-day MA of 3.27, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 55.07 is Neutral, neither overbought nor oversold. The STOCH value of 73.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SNES.

SenesTech Risk Analysis

SenesTech disclosed 34 risk factors in its most recent earnings report. SenesTech reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

SenesTech Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
72
Outperform
$126.06M42.698.06%-1.52%6.38%
70
Outperform
$72.86M24.494.18%2.07%3.46%-34.80%
62
Neutral
$10.28B6.210.76%2.84%3.10%-36.03%
54
Neutral
$80.17M-406.97%8400.76%31.02%
52
Neutral
$24.12M-119.89%36.89%91.74%
48
Neutral
$9.48M-17.63%-15.26%73.10%
$6.77M-14.01%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SNES
SenesTech
5.03
2.03
67.67%
FSI
Flexible Solutions International
9.50
6.34
200.63%
GURE
Gulf Resources
0.75
-0.27
-26.47%
NTIC
Northern Technologies International
7.74
-4.31
-35.77%
LOOP
Loop Industries
1.86
0.50
36.76%
CNEY
CN Energy Group
2.20
-4.97
-69.32%

SenesTech Corporate Events

Private Placements and Financing
SenesTech Enters New Warrant Agreements for Funding
Neutral
Aug 5, 2025

On August 4, 2025, SenesTech entered into agreements with certain warrant holders to exercise existing warrants for 1,458,872 shares of common stock at $4.15 per share, generating gross proceeds of approximately $6.3 million. In return, the company will issue new short-term warrants for 2,188,308 shares at $5.25 per share, with the proceeds intended for working capital and general corporate purposes. The transactions, facilitated by H.C. Wainwright & Co., LLC, are expected to close around August 5, 2025, and include issuing placement agent warrants. The new warrants are unregistered and have a fifteen-month expiration post-registration statement effectiveness.

Executive/Board Changes
SenesTech Appoints Lynn Y. Graham to Board
Neutral
Jul 10, 2025

On July 5, 2025, SenesTech‘s Board of Directors expanded to seven members, appointing Lynn Y. Graham as an independent Class III director until the 2028 Annual Meeting of Stockholders. Ms. Graham will also join the Board’s Commercialization Committee, with no prior arrangements influencing her selection and no related transactions under Regulation S-K.

Private Placements and Financing
SenesTech Raises $4.4M Through Warrant Exercise
Neutral
Jul 1, 2025

On June 30, 2025, SenesTech entered into agreements with certain warrant holders for the exercise of existing warrants to purchase 1,458,872 shares of common stock at $2.90 per share, generating gross proceeds of approximately $4.4 million. In exchange, SenesTech will issue new short-term warrants for the same number of shares at an exercise price of $4.15 per share, with potential additional proceeds of $6.0 million if fully exercised. The company plans to use the funds for working capital and general corporate purposes, with H.C. Wainwright acting as the exclusive placement agent for the transaction.

Private Placements and Financing
SenesTech Registers Additional Shares for Capital Raising
Neutral
Jun 30, 2025

On June 30, 2025, SenesTech registered an additional $711,227 worth of common stock shares under its At The Market Offering Agreement with H.C. Wainwright & Co., LLC. Prior to this, the company had sold $2,854,827.84 in shares through the same agreement, indicating ongoing efforts to raise capital.

Delistings and Listing ChangesExecutive/Board ChangesShareholder MeetingsStock Split
SenesTech Stockholders Approve Key Proposals at Annual Meeting
Neutral
Jun 10, 2025

On June 9, 2025, SenesTech held its Annual Meeting in Surprise, Arizona, where stockholders voted on several key proposals. The election of Class III directors, approval of executive compensation for fiscal 2024, ratification of M&K CPAS, PLLC as the accounting firm, and authorization of common stock issuance were among the approved items. However, the amendment to increase shares under the 2018 Plan was not approved. Additionally, stockholders approved a reverse stock split proposal to maintain Nasdaq listing and an adjournment proposal to allow further voting if necessary.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 26, 2025