California Nanotechnologies (CNO) AI Stock Analysis

• Market Cap: C$15.53M
• Dividend Yield: N/A
• Average Volume (3M): 35.75K
• Price to Earnings (P/E): ―
• Beta (1Y): 4.06
• Revenue Growth: -15.84%
• EPS Growth: -375.96%
• Country: CA
• Employees: N/A
• Sector: General
• Sector Strength: N/A
• Industry: Chemicals - Specialty
• EPS (TTM): -0.03
• Shares Outstanding: 50,097,970
• 10 Day Avg. Volume: 35,432
• 30 Day Avg. Volume: 35,752
• PEG Ratio: 0.13
• Price to Book (P/B): 69.32
• Price to Sales (P/S): 3.03
• P/FCF Ratio: 112.45
• 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): N/A

• Rating: 47 Neutral
• Price Target: C$0.38 ▲(11.47% Upside)

The score is held down primarily by weakening financial performance (TTM revenue decline and a return to sizable losses) and a weak price trend (below key moving averages with negative MACD). Support comes from improved balance-sheet footing and positive operating cash flow, but valuation support is limited due to negative earnings and no dividend data.

Positive Factors

Diversified Revenue Streams

Multiple revenue channels—product sales, government and private R&D contracts, partnerships, and licensing—support resilience across industry cycles. This diversification reduces single-market exposure and aids consistent cash inflows over the next several quarters as project pipelines develop.

Strategic Partnerships and Research Ties

Close ties with major corporations and research institutions enhance technology validation, market access, and co-development opportunities. These structural partnerships can lower commercialization risk, accelerate adoption in aerospace/defense/electronics, and sustain long-term revenue potential.

Improving Equity Position

Return to positive equity in recent periods reduces bankruptcy risk and provides a buffer against continued losses. A positive equity base improves access to financing and creditor confidence, granting more time to execute a turnaround or scale profitable product lines.

Negative Factors

Sharp Revenue and Profitability Deterioration

Sustained revenue declines and a swing to deep losses materially weaken earnings power and margin sustainability. Over 2–6 months this undermines reinvestment capacity, makes scaling expensive, and raises execution risk for commercialization of advanced materials.

Elevated Leverage

Debt exceeding equity increases financial rigidity and refinancing risk. With limited cash generation, elevated leverage constrains strategic flexibility, raises interest burden, and could force dilutive financing or asset sales if performance does not stabilize within several quarters.

Weak and Volatile Cash Generation

Recent negative and volatile cash flow reduces the company's ability to self-fund R&D and capex required for product development. Persistent weak FCF increases reliance on external financing, heightening dilution or covenant risk that can impair long-term competitiveness.

California Nanotechnologies Business Overview & Revenue Model

Company Description

California Nanotechnologies Corp. engages in the research, development, and production of nanocrystalline materials through grain size reduction. The company provides spark plasma/ field assisted sintering (SPS/FAST); hot pressing; sintering; diffusion bonding; hot isostatic pressing; vacuum pressureless sintering; cryogenic milling, inert gas milling, planetary ball milling, and pulverizing; and material development and testing services, including mechanical alloying, composites/non-composites, mechanical testing, sample fabrication, prototyping, scanning electron microscopy analysis, and particle size analysis. It also offers SPS starter accessory kits, SPS graphite tooling, SPS systems, tungsten carbide tooling, SPS graphite crucibles, carbon graphite foil/paper, carbon felt and yarn, and quartz glass windows; and Engemini, an SPS/FAST modeling software. It serves aerospace, defense, automotive, medical, and sports and recreation industries. The company is headquartered in Cerritos, California.

How the Company Makes Money

California Nanotechnologies generates revenue through multiple streams, including the sale of proprietary nanomaterials and coatings to industries such as aerospace, electronics, and defense. The company also engages in research and development contracts with government and private sector clients, providing tailored solutions that meet specific industry needs. Additionally, CNO benefits from strategic partnerships with major corporations and research institutions, which facilitate access to new markets and collaborative projects. Licensing agreements for its technologies further contribute to its earnings, allowing other businesses to incorporate CNO's innovations into their own products and processes.

California Nanotechnologies Financial Statement Overview

Summary

Fundamentals are pressured by a ~14% TTM revenue decline and a sizable net loss (negative net and operating margins). Offsetting this, the balance sheet has improved to positive equity with manageable leverage (debt-to-equity ~0.45), and operating cash flow is positive (~$2.1M) and well ahead of the net loss, though free cash flow is modest (~$0.33M) and weakened versus the prior year.

Income Statement

TTM (Trailing-Twelve-Months) results show weakening fundamentals: revenue fell about 14% and profitability deteriorated with a negative net margin (~-21%) and negative operating margin. While gross margin remains solid (~58%), the company is not currently converting that into bottom-line earnings. The most recent annual period (2025) also showed a small net loss despite higher revenue versus prior years, highlighting earnings volatility and limited consistency.

Balance Sheet

Leverage appears manageable with debt-to-equity around 0.45 in TTM (Trailing-Twelve-Months), and equity is positive (~$3.25M), which is an improvement versus earlier years that showed negative equity. However, returns remain weak with negative return on equity in recent periods, signaling that the balance sheet is stronger than the earnings power supporting it.

Cash Flow

Cash generation is a relative bright spot: TTM (Trailing-Twelve-Months) operating cash flow (~$2.1M) is positive and meaningfully exceeds the net loss (operating cash flow to net income >2x), suggesting strong cash conversion despite accounting losses. That said, free cash flow is modest (~$0.33M) and declined sharply versus the prior annual period (large negative free-cash-flow growth), indicating reinvestment needs and/or working-capital swings are pressuring surplus cash.

Breakdown	TTM	Dec 2024	Dec 2024	Dec 2022	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.04M	6.22M	3.34M	1.36M	1.82M	1.06M
Gross Profit	1.22M	4.59M	2.33M	514.32K	669.57K	439.97K
EBITDA	-312.20K	780.97K	753.02K	314.81K	337.91K	10.77K
Net Income	-2.15M	-158.33K	381.68K	200.60K	79.76K	-161.40K
Balance Sheet
Total Assets	4.11M	5.50M	2.36M	1.22M	1.41M	587.40K
Cash, Cash Equivalents and Short-Term Investments	340.66K	533.85K	841.35K	65.11K	294.13K	25.29K
Total Debt	2.46M	1.62M	1.21M	2.15M	1.94M	1.94M
Total Liabilities	1.98M	3.19M	2.21M	2.58M	2.70M	2.24M
Stockholders Equity	2.13M	2.32M	145.97K	-1.36M	-1.29M	-1.66M
Cash Flow
Free Cash Flow	-129.01K	797.00K	89.98K	45.29K	604.26K	33.20K
Operating Cash Flow	-9.28K	2.92M	104.28K	54.97K	717.01K	33.20K
Investing Cash Flow	-111.05K	-2.11M	-14.30K	-9.68K	-112.75K	0.00
Financing Cash Flow	85.84K	-1.12M	535.33K	-6.00K	-387.83K	-62.52K

California Nanotechnologies Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:CNO, the sentiment is Negative. The current price of 0.34 is below the 20-day moving average (MA) of 0.35, below the 50-day MA of 0.34, and below the 200-day MA of 0.43, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 40.34 is Neutral, neither overbought nor oversold. The STOCH value of 10.34 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:CNO.

California Nanotechnologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	55 Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
BOS	53 Neutral	C$134.12M	-25.93	-2.95%	3.12%	5.06%	93.02%
GMG	50 Neutral	C$261.45M	-24.04	-92.59%	―	6.29%	-3.71%
CNO	47 Neutral	C$15.53M	-4.82	-61.05%	―	-15.84%	-375.96%
SURE	46 Neutral	C$7.17M	-272.73	―	―	―	91.27%
IZ	45 Neutral	C$424.07K	100.00	―	―	109.13%	―
NANO	42 Neutral	C$112.71M	-7.15	-64.59%	―	―	56.03%

California Nanotechnologies Corporate Events

California Nanotechnologies Hit by Revenue Slump but Sees Q4 Rebound and Defense, Nuclear Growth

California Nanotechnologies reported a sharp downturn in its third quarter of fiscal 2026, with revenues falling 78% year over year to US$392,481 and swinging to a net loss of US$1.09 million, largely due to delayed manufacturing service revenues, the absence of orders from a key green steel customer, and the resulting pressure on margins over a fixed cost base. Despite the weak quarter, management expects a significant rebound in Q4/FY2026, with revenues projected to exceed US$800,000 as deferred orders are executed and new programs ramp up, supported by improving visibility on commercial contracts for 2026. The company highlighted progress on strategic growth fronts, including a Letter of Intent for SPS-based military brake disc production backed by recently approved U.S. Department of Defense funding and an initial purchase order for nuclear control rods from a U.S. small modular reactor developer, positioning Cal Nano to benefit from expanding defense and nuclear energy supply chains while deepening its presence in the U.S. SPS market through collaboration with Germany’s Dr. Fritsch.

The most recent analyst rating on (TSE:CNO) stock is a Hold with a C$0.38 price target. To see the full list of analyst forecasts on California Nanotechnologies stock, see the TSE:CNO Stock Forecast page.

California Nanotechnologies Expands SPS Footprint with Dr. Fritsch Distribution and R&D Partnership

California Nanotechnologies has entered into a strategic agreement with Germany’s Dr. Fritsch Sondermaschinen GmbH to act as the North American distributor and R&D services partner for Dr. Fritsch’s larger-scale Spark Plasma Sintering equipment, including aftermarket support. Under the deal, Cal Nano will provide developmental trials, pilot-scale validation and material evaluation services for Dr. Fritsch customers, an arrangement aimed at expanding both firms’ reach among North American industrial and research clients, particularly in defense and energy sectors that face export restrictions. The partnership complements Cal Nano’s existing relationship with Japan’s SUGA Co., Ltd., broadening its SPS equipment portfolio without product overlap, and is expected to strengthen the company’s role in advancing Spark Plasma Sintering technologies. In parallel, Cal Nano will host its inaugural SPS/FAST Experts Workshop in March 2026 alongside TMS 2026 in San Diego, showcasing advanced sintering technologies and its large-scale SPS systems, further reinforcing its visibility and positioning in the advanced materials community.

The most recent analyst rating on (TSE:CNO) stock is a Hold with a C$0.36 price target. To see the full list of analyst forecasts on California Nanotechnologies stock, see the TSE:CNO Stock Forecast page.

California Nanotechnologies Secures Orders for Nuclear Reactor Components

California Nanotechnologies Corp. has secured two purchase orders worth approximately $196,250 from a U.S.-based company focused on advanced small modular nuclear reactors. These orders involve the production of boron-carbide reactor control rods for the client’s first demonstration reactor, highlighting Cal Nano’s role in the domestic nuclear supply chain. The company’s expertise in advanced materials and rapid production capabilities were key in securing this partnership. Additionally, Cal Nano will host its inaugural SPS/FAST Experts Workshop in March 2026, showcasing advanced sintering technologies and offering networking opportunities.

The most recent analyst rating on (TSE:CNO) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on California Nanotechnologies stock, see the TSE:CNO Stock Forecast page.

California Nanotechnologies Secures Key Orders for Nuclear Reactor Components

California Nanotechnologies Corp. has secured two purchase orders worth approximately $196,250 from a U.S.-based company for the production of boron-carbide reactor control rods for small modular nuclear reactors. This development highlights Cal Nano’s capability to meet accelerated timelines and specifications, reinforcing its position as a key player in the nuclear supply chain. The orders will be fulfilled at their Santa Ana facility using advanced sintering technologies, and the company is also set to host an SPS/FAST Experts Workshop in 2026, showcasing their expertise and facilities.

The most recent analyst rating on (TSE:CNO) stock is a Hold with a C$0.50 price target. To see the full list of analyst forecasts on California Nanotechnologies stock, see the TSE:CNO Stock Forecast page.