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Aduro Clean Technologies (TSE:ACT)
:ACT

Aduro Clean Technologies (ACT) AI Stock Analysis

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TSE:ACT

Aduro Clean Technologies

(ACT)

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Neutral 43 (OpenAI - 5.2)
Rating:43Neutral
Price Target:
C$18.00
▲(6.70% Upside)
The overall stock score is primarily impacted by significant financial challenges, including declining revenues and negative profitability margins. Technical analysis indicates a bearish trend, while valuation metrics highlight unattractive pricing due to negative earnings. The lack of earnings call data and corporate events further limits positive influences on the score.
Positive Factors
Proprietary Technology & Business Model
Owning a differentiated Hydrochemolytic™ process is a durable competitive asset: it enables licensing, JV models and potential recurring revenues from technology adoption. Over months, proprietary tech supports scale opportunities and defensibility versus commodity service providers.
Low Financial Leverage
Extremely low leverage reduces solvency risk and preserves strategic optionality. This financial conservatism allows the company to pursue demonstration projects and partnerships without heavy interest burdens, improving resilience while commercial traction is developed.
Strong Gross Margins and FCF Growth
High gross margins indicate attractive unit economics for the core conversion process, while positive free cash flow growth shows improving cash generation versus losses. Together these fundamentals suggest the business can become cash-accretive as scale reduces fixed costs and operating inefficiencies.
Negative Factors
Declining Revenue Trend
Sharp revenue decline undermines the licensing/JV model and constrains the ability to absorb fixed costs tied to commercialization. Without a durable reversal in contract wins or commercial uptake, reduced top-line momentum will limit margin expansion and capital efficiency over the medium term.
Negative Profitability and ROE
Severely negative margins and deeply negative ROE indicate the company is destroying equity value and not converting revenues into shareholder returns. Persistent losses will hinder reinvestment and make achieving sustainable profitability without structural changes difficult over the next several quarters.
Operating Cash Flow Shortfall and Capital Reliance
Negative operating cash flow necessitates external capital to fund the Demonstration-Scale Plant. Reliance on dilutive financing shows limited internal funding capability and raises execution and dilution risk; successful commercialization must follow to justify further capital support.

Aduro Clean Technologies (ACT) vs. iShares MSCI Canada ETF (EWC)

Aduro Clean Technologies Business Overview & Revenue Model

Company DescriptionAduro Clean Technologies (ACT) is an innovative company focused on developing and commercializing advanced technologies for the conversion of waste materials into valuable products, particularly in the renewable energy and sustainable materials sectors. The company specializes in the development of its proprietary Hydrochemolytic™ technology, which converts biomass and other organic waste into high-value products such as renewable fuels and chemicals, promoting circular economy principles.
How the Company Makes MoneyAduro Clean Technologies generates revenue primarily through the licensing of its Hydrochemolytic™ technology to industrial partners and clients in various sectors, including waste management, energy, and chemicals. The company also earns money through joint ventures and collaborations with strategic partners, which may involve shared investment in technology development and commercialization. Additional revenue streams include consulting services related to technology implementation and optimization, as well as potential product sales derived from the processing of waste materials into renewable fuels and chemicals. The establishment of partnerships with industry leaders further enhances ACT's market presence and can lead to additional revenue opportunities through collaborative projects.

Aduro Clean Technologies Financial Statement Overview

Summary
Aduro Clean Technologies faces significant financial challenges, with declining revenues and persistent losses impacting profitability. While the company has managed to reduce leverage, its cash flow generation remains insufficient to cover ongoing losses. Continued focus on improving operational efficiency and revenue growth is essential for future financial stability.
Income Statement
Aduro Clean Technologies has experienced declining revenue growth, with a negative growth rate of -10.66% in the latest year. The company also exhibits negative profit margins, with a net profit margin of -22.03% and an EBIT margin of -21.99% in the previous year, indicating ongoing operational challenges and inefficiencies.
Balance Sheet
The company's debt-to-equity ratio has improved over time, currently at 0.0145, indicating low leverage. However, the return on equity remains negative, reflecting ongoing losses and a need for improved profitability. The equity ratio is relatively stable, suggesting a moderate level of financial stability.
Cash Flow
Aduro Clean Technologies has shown some improvement in free cash flow growth, with a positive growth rate of 24.03%. However, the operating cash flow remains negative, and the free cash flow to net income ratio indicates that cash flow generation is not yet sufficient to cover net losses.
BreakdownTTMDec 2024Dec 2023Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue220.71K231.21K109.63K337.52K0.0037.93K
Gross Profit78.50K231.21K-41.68K-93.64K-60.63K37.88K
EBITDA-15.44M-11.60M-5.69M-6.99M-4.97M-3.09M
Net Income-16.01M-12.15M-5.86M-7.44M-5.08M-3.21M
Balance Sheet
Total Assets22.63M12.83M7.58M6.96M3.22M3.03M
Cash, Cash Equivalents and Short-Term Investments15.09M6.96M4.05M2.81M2.11M2.86M
Total Debt156.57K170.95K157.98K138.59K241.64K668.92K
Total Liabilities4.50M1.04M613.02K600.53K826.75K1.21M
Stockholders Equity18.13M11.79M6.97M6.36M2.39M1.82M
Cash Flow
Free Cash Flow-12.42M-10.42M-6.50M-6.36M-3.71M-1.05M
Operating Cash Flow-9.71M-8.98M-4.50M-5.21M-3.30M-1.03M
Investing Cash Flow-2.63M-1.44M-2.01M-1.14M-411.00K-19.05K
Financing Cash Flow21.47M14.57M8.44M5.11M2.96M3.86M

Aduro Clean Technologies Technical Analysis

Technical Analysis Sentiment
Positive
Last Price16.87
Price Trends
50DMA
17.13
Positive
100DMA
17.78
Positive
200DMA
14.47
Positive
Market Momentum
MACD
-0.29
Negative
RSI
59.64
Neutral
STOCH
78.74
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ACT, the sentiment is Positive. The current price of 16.87 is above the 20-day moving average (MA) of 16.49, below the 50-day MA of 17.13, and above the 200-day MA of 14.47, indicating a bullish trend. The MACD of -0.29 indicates Negative momentum. The RSI at 59.64 is Neutral, neither overbought nor oversold. The STOCH value of 78.74 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ACT.

Aduro Clean Technologies Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
71
Outperform
C$40.94M18.5319.05%-13.85%-60.15%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
C$36.34M16.0010.00%-30.45%
45
Neutral
C$4.93M-2.21-68.14%-209.09%
45
Neutral
C$24.85M-483.33-1.51%-3.45%-104.92%
43
Neutral
C$562.73M-33.93-114.59%-33.91%-40.26%
42
Neutral
C$12.31M-3.1414.18%-29.19%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:ACT
Aduro Clean Technologies
18.50
10.30
125.61%
TSE:BRM
Biorem Inc
2.44
-0.55
-18.39%
TSE:WATR
Current Water Technologies Inc
0.02
-0.02
-50.00%
TSE:SHRC
Sharc International Systems Inc
0.08
-0.09
-53.13%
TSE:TMG
Thermal Energy International
0.15
-0.07
-30.95%
TSE:GRN
Greenlane Renewables Inc
0.24
0.15
152.63%

Aduro Clean Technologies Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Aduro Clean Technologies Prices US$20 Million U.S. Public Offering to Fund Demonstration Plant
Positive
Dec 19, 2025

Aduro Clean Technologies has priced a US$20 million underwritten U.S. public offering of 1,739,130 common shares bundled with half-warrants, each whole warrant exercisable at US$16.00 per share for three years, with securities sold exclusively to U.S. investors under an effective shelf registration. The company plans to use the proceeds primarily to fund construction of its demonstration-scale plant, with any remaining funds allocated to research and development, general corporate purposes and working capital, a move that underscores its capital-intensive scale-up phase and could accelerate commercialization of its chemical recycling and upgrading technologies while modestly diluting existing shareholders.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$20.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Aduro Clean Technologies Graduates from Shell GameChanger Program
Positive
Dec 16, 2025

Aduro Clean Technologies has successfully graduated from the Shell GameChanger program, marking a significant milestone in the development of its Hydrochemolytic™ Technology. This achievement validates Aduro’s approach to converting waste plastics into high-quality hydrocarbons, enhancing its engineering and commercial readiness. The program’s conclusion supports Aduro’s plans for scaling up its operations, including the commissioning of a Pilot Plant and the design of a Demonstration-scale facility, positioning the company as a key player in chemical decarbonization and the energy transition.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$20.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and Strategy
Aduro Clean Technologies Partners with ECOCE to Enhance Plastic Recycling in Mexico
Positive
Dec 3, 2025

Aduro Clean Technologies has partnered with ECOCE, a Mexican non-profit environmental association, to explore the use of Aduro’s Hydrochemolytic™ Technology (HCT) for recycling flexible plastic packaging in Mexico. This collaboration aims to tackle the significant challenge of recycling mixed and multilayer plastics, a growing waste category in Mexico, by converting them into valuable liquid hydrocarbons. The initiative is expected to create new business models and market opportunities for ECOCE’s members and other stakeholders, potentially enhancing recycling efficiency and reducing environmental impact.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$17.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Aduro Achieves Milestone in Plastic Recycling with Successful Steam-Cracking Trials
Positive
Nov 20, 2025

Aduro Clean Technologies announced the successful pilot-scale steam-cracking of its Hydrochemolytic™ oil derived from waste plastics. This achievement validates the oil’s potential as a drop-in-compatible circular feedstock for steam crackers, offering significant economic and environmental benefits by reducing the need for costly pre-treatment and enabling integration with minimal modifications.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$14.50 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and Strategy
Aduro Clean Technologies to Feature on ‘Earth with John Holden’ and Present at Key Recycling Conferences
Positive
Nov 13, 2025

Aduro Clean Technologies will be featured on the docu-series ‘Earth with John Holden’ and is set to participate in two major international conferences focused on advanced recycling and sustainable packaging. The company will showcase its Hydrochemolytic™ Technology (HCT), which uses water-assisted chemistry to convert hard-to-recycle plastics into valuable resources, highlighting its potential to address environmental challenges and expand the recyclability of complex plastics. Aduro’s involvement in these events underscores its commitment to advancing chemical recycling and engaging with industry leaders to support sustainable material systems.

The most recent analyst rating on (TSE:ACT) stock is a Sell with a C$16.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and Strategy
Aduro Clean Technologies Eyes Netherlands for Demonstration Plant Expansion
Positive
Nov 6, 2025

Aduro Clean Technologies has signed a non-binding Letter of Intent to potentially acquire a brownfield industrial site in the Netherlands for €2 million, intended for their Demonstration Plant. This strategic move is part of Aduro’s plan to scale up its Hydrochemolytic™ technology, with the site offering existing infrastructure and utilities that reduce project risk and capital costs. The Netherlands’ robust waste management systems and proximity to liquid steam crackers align with Aduro’s objectives, supporting the EU’s circular economy goals and offering potential for future expansion.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$19.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Aduro Clean Technologies Advances NGP Pilot Plant Commissioning
Positive
Oct 30, 2025

Aduro Clean Technologies has announced progress in the commissioning of its Next Generation Process (NGP) Pilot Plant, which is on schedule and has moved from Phase 1 to Phase 2. This phase involves system validation and operator training, aiming to validate the company’s Hydrochemolytic™ Technology in continuous operation. The plant is a crucial step in Aduro’s scale-up strategy, designed to establish operating parameters, produce product samples, and generate data for environmental assessments and future plant designs. Key partners like Zeton Inc. and Siemens Canada are actively supporting the commissioning phase, ensuring a safe and efficient start-up.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$19.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and StrategyProduct-Related Announcements
Aduro Advances Demonstration Plant with Engineering Trials
Positive
Oct 23, 2025

Aduro Clean Technologies has announced engineering trials using industrial-scale equipment as part of its Demonstration Plant program. Collaborating with KraussMaffei Extrusion GmbH and CHILL B.V., the trials aim to optimize the integration of extrusion systems for processing contaminated waste plastics into the Hydrochemolytic™ process. These efforts are crucial for finalizing design parameters and supporting procurement decisions for the Demonstration Plant, which is expected to advance the company’s technology scale-up and enhance its market positioning.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$19.00 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
Aduro Clean Technologies Advances Towards Commercial Readiness Amid Financial Challenges
Neutral
Oct 16, 2025

Aduro Clean Technologies has reported its financial results for the first quarter of fiscal 2026, highlighting progress towards commercial readiness with the construction of its Next Generation Process Pilot Plant and the initiation of a global site-selection process for its Demonstration Plant program. Despite a decrease in quarterly revenue and a significant loss from operations, the company maintains a strong cash position, bolstered by a recent public offering, allowing it to continue investing in research, development, and strategic growth initiatives.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$15.50 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

Business Operations and Strategy
Aduro Clean Technologies to Sponsor and Present at New Orleans Investment Conference
Positive
Oct 14, 2025

Aduro Clean Technologies announced its participation as a Gold Sponsor in the 51st Annual New Orleans Investment Conference, scheduled for November 2-5, 2025. This participation provides the company an opportunity to present its innovative technologies and engage with investors, potentially enhancing its market positioning and stakeholder relations.

The most recent analyst rating on (TSE:ACT) stock is a Hold with a C$15.50 price target. To see the full list of analyst forecasts on Aduro Clean Technologies stock, see the TSE:ACT Stock Forecast page.

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: Dec 19, 2025