Hillcrest Energy Technologies (HEAT) AI Stock Analysis

• Market Cap: C$16.55M
• Dividend Yield: N/A
• Average Volume (3M): 196.16K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.72
• Revenue Growth: N/A
• EPS Growth: 40.24%
• Country: CA
• Employees: 2
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -0.01
• Shares Outstanding: 100,283,910
• 10 Day Avg. Volume: 407,773
• 30 Day Avg. Volume: 196,158
• PEG Ratio: 0.12
• Price to Book (P/B): -9.07
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -1.34
• 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: 49 Neutral
• Price Target: C$0.14 ▼(-0.71% Downside)

The score is primarily held down by very weak financial performance (minimal revenue, ongoing losses/cash burn, and negative equity with rising debt). Technicals are comparatively supportive with the stock trading above major moving averages and positive MACD, while valuation offers limited support due to losses and no dividend. Corporate events add a modest positive tilt via financing and partnership momentum.

Positive Factors

Strategic Partnerships

The partnership with Systematec for European distribution enhances Hillcrest's market reach and accelerates adoption of its technology, strengthening its competitive position in the automotive sector.

Technological Advancements

The development of a high-efficiency inverter prototype with 99.7% efficiency positions Hillcrest as a leader in EV power systems, offering a durable competitive advantage through reduced energy loss.

Financial Flexibility

The completion of a convertible debenture financing round enhances Hillcrest's financial stability and operational flexibility, allowing it to strategically invest in growth opportunities.

Negative Factors

Declining Revenue

The lack of revenue generation indicates significant operational challenges, impacting the company's ability to sustain growth and invest in future projects.

High Leverage

High leverage poses solvency risks and limits financial flexibility, potentially hindering Hillcrest's ability to navigate industry changes and invest in innovation.

Negative Cash Flows

Negative cash flows indicate operational cash burn and reliance on external funding, challenging Hillcrest's long-term sustainability and ability to finance growth internally.

Hillcrest Energy Technologies Business Overview & Revenue Model

Company Description

Hillcrest Energy Technologies Ltd., a clean technology company, engages in developing high performance power conversion technologies and digital control systems for powertrains, charging applications, and grid-connected renewable energy generation and storage systems. The company was formerly known as Hillcrest Petroleum Ltd. and changed its name to Hillcrest Energy Technologies Ltd. in April 2021. Hillcrest Energy Technologies Ltd. was incorporated in 2006 and is headquartered in Vancouver, Canada.

How the Company Makes Money

Hillcrest Energy Technologies generates revenue primarily through the sale and licensing of its proprietary power electronics and control systems. The company's key revenue streams include direct sales to energy providers and manufacturers seeking to improve the efficiency of their renewable energy installations. Additionally, Hillcrest engages in strategic partnerships with other technology firms and energy companies to co-develop and integrate its solutions, further enhancing its market reach and revenue potential. The company may also benefit from government incentives and grants aimed at promoting clean energy technologies, contributing to its overall financial performance.

Hillcrest Energy Technologies Financial Statement Overview

Summary

Hillcrest Energy Technologies struggles with financial instability, marked by declining revenues and ongoing losses reflected in the income statement. The balance sheet reveals high leverage and solvency concerns, while negative cash flows indicate liquidity challenges.

Income Statement

Hillcrest Energy Technologies has experienced declining revenue with zero revenue reported in recent periods. The gross profit margin is negative, indicating the company is incurring costs without generating revenue. Net income has consistently been negative, showing ongoing losses. Margins such as EBIT and EBITDA are also negative, reflecting operational challenges. These factors suggest significant financial instability and a need for strategic adjustments.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio due to substantial liabilities and diminishing equity, indicating financial leverage risks. Stockholders' equity has been decreasing, which reflects the continued operating losses. The company has a low equity ratio, showing reliance on debt financing. These aspects highlight potential solvency concerns and limited financial stability.

Cash Flow

Hillcrest Energy Technologies shows negative operating and free cash flows, indicating operational cash burn and insufficient cash generation. Free cash flow growth is negative, suggesting deteriorating cash flow management. The company's financing activities seem to support operations, but the reliance on external funding poses sustainability risks. These factors point to ongoing liquidity challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	0.00	0.00	0.00	0.00	624.87K	696.75K
Gross Profit	-140.30K	0.00	-294.70K	-241.32K	28.51K	-87.23K
EBITDA	-6.95M	-10.50M	-7.77M	-6.08M	-10.89M	-1.96M
Net Income	-7.78M	-10.96M	-8.14M	-6.36M	-13.24M	-2.25M
Balance Sheet
Total Assets	2.16M	2.96M	2.71M	3.12M	6.63M	1.81M
Cash, Cash Equivalents and Short-Term Investments	155.63K	15.58K	74.36K	456.29K	3.69M	676.09K
Total Debt	3.35M	2.22M	262.79K	110.95K	178.53K	351.94K
Total Liabilities	6.88M	4.07M	1.59M	690.66K	1.39M	2.24M
Stockholders Equity	-4.72M	-1.11M	1.12M	2.43M	5.25M	-427.60K
Cash Flow
Free Cash Flow	-1.78M	-7.52M	-4.60M	-5.62M	-6.97M	-1.76M
Operating Cash Flow	-1.78M	-7.52M	-4.57M	-5.43M	-4.61M	-1.57M
Investing Cash Flow	0.00	0.00	-24.04K	-54.17K	-2.36M	-184.55K
Financing Cash Flow	1.88M	7.49M	4.21M	2.25M	10.02M	2.39M

Hillcrest Energy Technologies Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.14
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:HEAT, the sentiment is Positive. The current price of 0.14 is above the 20-day moving average (MA) of 0.13, above the 50-day MA of 0.13, and above the 200-day MA of 0.11, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 73.55 is Negative, neither overbought nor oversold. The STOCH value of 81.48 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:HEAT.

Hillcrest Energy Technologies Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZTE	76 Outperform	C$11.45M	11.40	18.01%	―	-17.91%	-54.21%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
HEAT	49 Neutral	C$16.55M	-2.62	―	―	―	40.24%
EDY	43 Neutral	C$10.11M	-3.65	―	―	26.56%	94.17%
WIFI	41 Neutral	C$4.18M	-0.39	―	―	190.53%	-9.41%
YNV	37 Underperform	C$20.40M	-2.88	-155.37%	―	-21.98%	-32.07%

Hillcrest Energy Technologies Corporate Events

Hillcrest Closes Final Tranche of Unit Offering to Fund ZVS Technology Push

Hillcrest Energy Technologies has closed the final tranche of its previously announced unit offering, raising total gross proceeds of about $4.59 million at $0.09 per unit through a combination of cash subscriptions and the settlement of outstanding debt with an arm’s-length creditor. The financing, which included a strategic investment from Pasqua First Nation and resulted in the issuance of over 51 million common shares and an equal number of warrants, strengthens the company’s balance sheet and reduces debt while providing capital to advance and commercialize its ZVS power-conversion technology, support marketing and investor-relations efforts, and fund general working capital needs, potentially improving its operational runway and positioning within the electrification and renewables market.

The most recent analyst rating on (TSE:HEAT) stock is a Hold with a C$0.14 price target. To see the full list of analyst forecasts on Hillcrest Energy Technologies stock, see the TSE:HEAT Stock Forecast page.

Hillcrest Boosts Private Placement to $7.25 Million With Strategic Indigenous Investment

Hillcrest Energy Technologies plans to close the second tranche of its previously announced private placement in early January 2026, including a $3 million strategic investment from Pasqua First Nation. The company has increased the cash component of the offering to $4.4 million and adjusted the debt settlement portion to $2.85 million, modestly lifting the total offering size to $7.25 million due to oversubscriptions; the transaction will significantly expand the share count but is proceeding under a financial difficulties exemption from Canadian Securities Exchange security-holder approval rules. Proceeds are earmarked for further development of Hillcrest’s ZVS technology, product marketing, investor relations, paying down accounts payable and general working capital, moves that aim to stabilize the balance sheet and support ongoing commercialization efforts in the power conversion and renewable energy markets.

The most recent analyst rating on (TSE:HEAT) stock is a Hold with a C$0.14 price target. To see the full list of analyst forecasts on Hillcrest Energy Technologies stock, see the TSE:HEAT Stock Forecast page.

Hillcrest Validates ZVS Inverter Tech with Tier 1 Auto Supplier, Sharpens Commercialization Push

Hillcrest Energy Technologies has completed Phase 1 of a technology evaluation with a top global Tier 1 automotive supplier, successfully converting the supplier’s half-bridge power modules to enable Zero Voltage Switching operation for next-generation EV inverter platforms. This phase delivered technical proof of concept through prototype design, testing and delivery, validating that Hillcrest’s ZVS technology can be integrated into established automotive architectures and reinforcing the company’s positioning as a partner for leading OEMs and suppliers. Building on commercial traction inverter prototypes that have achieved up to 99.7% efficiency and system-level gains of up to 6% under standardized test procedures, Hillcrest is now concentrating on monetizing its technology via licensing, joint development and strategic partnerships that can provide high-value, near-term revenue and potentially non-dilutive funding. In parallel, the company is advancing its ZVS PCS1000 (200kW, 1000V) grid-connected converter toward A-sample demonstrations targeted for the second quarter of 2026, with a particular focus on applications such as data centers, energy storage and EV charging, including next-generation AI data centers that require more efficient, high-voltage DC power distribution, thereby expanding Hillcrest’s addressable market and strategic relevance across both automotive and critical power infrastructure segments.

Hillcrest Energy Technologies Secures $2.6 Million in First Tranche of Unit Offering

Hillcrest Energy Technologies has successfully closed the first tranche of its unit offering, raising over $2.6 million through a combination of cash offerings and debt settlements. This financial maneuver aims to strengthen the company’s financial health by retiring debt and providing capital for the development of its ZVS technology, marketing efforts, and general operations. The company is also preparing for a second tranche of the offering, which could involve significant investment from Pasqua First Nation and potentially other investors, further supporting Hillcrest’s strategic objectives.

Hillcrest Energy Partners with Pasqua First Nation and Apeiron for Clean Energy Expansion

Hillcrest Energy Technologies has announced a strategic venture with Pasqua First Nation #79 and Apeiron Resources Ltd. to form an Indigenous-majority owned entity aimed at commercializing Hillcrest’s ZVS power conversion technology in Canada. This partnership is positioned to leverage the expanding clean energy market in Canada, with significant investment opportunities and government support for clean technology. The collaboration underscores the importance of Indigenous-led initiatives in the energy sector, aiming to drive economic development and sustainability while advancing energy sovereignty and reconciliation.