EarthRenew (ERTH) AI Stock Analysis

• Market Cap: $20.06M
• Dividend Yield: N/A
• Average Volume (3M): 167.38K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.77
• Revenue Growth: -29.91%
• EPS Growth: -89.29%
• Country: CA
• Employees: 19
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Independent Power Producers
• EPS (TTM): >-0.01
• Shares Outstanding: 160,441,130
• 10 Day Avg. Volume: 84,808
• 30 Day Avg. Volume: 167,381
• PEG Ratio: <0.01
• Price to Book (P/B): 0.51
• Price to Sales (P/S): 0.82
• P/FCF Ratio: -41.18
• Enterprise Value/Market Cap: 0.90
• Enterprise Value/Revenue: 2.74
• Enterprise Value/Gross Profit: 28.04
• Enterprise Value/Ebitda: -8.76
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: C$0.00 ▼(-100.00% Downside)

EarthRenew's stock score is primarily impacted by its financial performance challenges, including negative profitability and cash flow issues. While technical analysis shows positive momentum, the valuation remains unattractive due to a negative P/E ratio. The lack of earnings call data and corporate events means these factors do not influence the score.

EarthRenew Business Overview & Revenue Model

Company Description

Replenish Nutrients Holding Corp. operates as sustainable power-generation company, which engages in generating electricity from industrial natural gas turbine. The firm focuses on supporting a farm system that puts healthy soils and grower profitability back on the table. It transforms livestock waste into an organic fertilizer to be used by organic and traditional growers in Canada and the United States. The company was founded on November 16, 1987 and is headquartered in Alberta, Canada.

How the Company Makes Money

EarthRenew generates revenue primarily through the sale of its organic fertilizers and soil amendments to farmers and agricultural businesses. The company benefits from a growing demand for sustainable agricultural products as more farmers seek eco-friendly alternatives to synthetic fertilizers. Key revenue streams include direct sales to agricultural producers, partnerships with distributors, and collaborations with agricultural organizations focused on promoting sustainable farming practices. Additionally, EarthRenew may have opportunities for revenue through research and development projects aimed at enhancing product effectiveness and expanding its product line. The company's commitment to sustainability and innovation positions it favorably within the agricultural sector, contributing to its earnings potential.

EarthRenew Financial Statement Overview

Summary

EarthRenew faces significant financial challenges across its income statement, balance sheet, and cash flow. The company struggles with profitability, as evidenced by negative margins and net income. While leverage is moderate, the negative return on equity indicates inefficiencies in generating shareholder value. Cash flow management shows some positive trends, but liquidity remains a concern. Overall, EarthRenew needs to address its profitability and cash flow issues to improve its financial health.

Income Statement

EarthRenew's income statement shows a challenging financial position with negative net profit margins and EBIT margins over the TTM period. Despite a slight revenue growth of 9.9% in the TTM, the company has consistently reported negative net income, indicating ongoing profitability issues. The gross profit margin is low at 9.8%, reflecting cost pressures. Overall, the income statement highlights significant profitability challenges.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of 0.57, indicating manageable leverage levels. However, the return on equity is negative, reflecting the company's inability to generate positive returns for shareholders. The equity ratio stands at 50.6%, suggesting a reasonable level of equity financing. While the company maintains a stable capital structure, the negative ROE is a concern.

Cash Flow

Cash flow analysis shows a significant improvement in free cash flow growth, but the operating cash flow remains negative, indicating cash flow challenges. The free cash flow to net income ratio is high, suggesting that the company is generating more free cash flow relative to its net income, but the negative operating cash flow coverage ratio highlights liquidity concerns. Overall, cash flow management remains a critical area for improvement.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.55M	6.90M	13.92M	17.27M	12.30M	506.86K
Gross Profit	640.46K	639.05K	1.35M	2.15M	3.30M	146.83K
EBITDA	-2.05M	-2.96M	1.89M	-5.66M	-3.31M	-3.55M
Net Income	-3.88M	-4.27M	84.19K	-7.08M	-4.70M	-3.88M
Balance Sheet
Total Assets	20.36M	19.65M	29.41M	38.77M	26.79M	5.64M
Cash, Cash Equivalents and Short-Term Investments	492.06K	119.90K	1.04M	3.63M	1.27M	953.77K
Total Debt	5.85M	3.30M	3.90M	4.15M	3.65M	393.32K
Total Liabilities	10.06M	8.47M	14.11M	23.86M	16.26M	954.61K
Stockholders Equity	10.30M	11.18M	15.29M	14.92M	10.54M	4.68M
Cash Flow
Free Cash Flow	-2.68M	-137.83K	-2.20M	-8.70M	-2.38M	-3.75M
Operating Cash Flow	-452.25K	310.05K	-520.45K	-6.28M	-416.71K	-3.75M
Investing Cash Flow	-2.13M	-314.01K	-1.21M	-2.32M	-3.85M	0.00
Financing Cash Flow	3.01M	-913.74K	-862.35K	10.95M	4.59M	4.27M

EarthRenew Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.18
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ERTH, the sentiment is Positive. The current price of 0.18 is above the 20-day moving average (MA) of 0.15, above the 50-day MA of 0.13, and above the 200-day MA of 0.09, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 62.70 is Neutral, neither overbought nor oversold. The STOCH value of 29.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ERTH.

EarthRenew Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
MGRO	57 Neutral	$35.10M	-6.16	-310.19%	―	49.17%	-1068.82%
ERTH	50 Neutral	$20.06M	-4.72	-32.75%	―	-29.91%	-89.29%
NPK	46 Neutral	C$57.94M	-5.09	-37.27%	―	-36.30%	10.13%
KRN	43 Neutral	C$6.13M	-7.77	-21.94%	―	―	39.56%

EarthRenew Corporate Events

Replenish Nutrients Expands U.S. Market Reach with Licensing Agreement

Replenish Nutrients has entered a three-year licensing agreement with Farmers Union Enterprises to expand the production of its patented SuperKS fertilizer in the U.S. This partnership allows Replenish to access nearly 70 million acres of cropland across five states without additional capital expenditure, enhancing its market reach and credibility in the regenerative-farming sector. The agreement is expected to generate licensing revenues and offers a scalable model for future regional expansions, marking a significant step in positioning Replenish as a leading provider of regenerative-fertilizer technologies in North America.

Replenish Nutrients Expands Product Line with New Licensing Deal

Replenish Nutrients has announced a new licensing deal with MJ Ag Solutions Ltd, introducing a proprietary pellet fertilizer product to supply Northern Alberta farmers. This agreement allows Replenish to expand its product line without capital expenditure, leveraging MJ Ag Solutions’ manufacturing capabilities. The new pellet product aligns with Replenish’s existing offerings, providing soil health benefits while reducing production costs and simplifying manufacturing. This strategic move demonstrates the scalability of Replenish’s pelletization technology and offers a capital-light path to growth, with plans to pursue additional licensing agreements in other regions.

Replenish Nutrients Boosts Production and Hosts Soil Health Conference

Replenish Nutrients has announced significant production increases at its Beiseker facility, which is 90% complete and expected to reach a capacity of 2,000 tonnes per month. This expansion is set to enhance revenue growth and cost efficiency, reinforcing the company’s leadership in regenerative agriculture. Additionally, Replenish is hosting a soil health conference in Calgary, Alberta, to discuss sustainable agriculture with key stakeholders, further solidifying its position as a market leader in regenerative fertilizer and soil health solutions.

Replenish Nutrients Reports Q2 2025 Financial Growth and Strategic Developments

Replenish Nutrients announced improvements in its 2025 second quarter financial results, with increased revenue and gross profit percentage due to higher sales volumes and improved pricing spreads. The company is advancing its operations with the commissioning of the Beiseker facility, which is producing high-quality granulated fertilizer expected to yield significant margins. Recent financing of approximately $5.6 million supports these upgrades and reflects confidence in Replenish’s innovative regenerative fertilizer products in the growing sustainable agriculture market. Additionally, the company is exploring business development initiatives, including developing a pelletized fertilizer version and potential licensing deals, which could enhance margins and cash flows.