Current Water Technologies Inc (WATR) AI Stock Analysis

• Market Cap: C$4.93M
• Dividend Yield: N/A
• Average Volume (3M): 149.74K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.58
• Revenue Growth: -68.14%
• EPS Growth: -209.09%
• Country: CA
• Employees: N/A
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Pollution & Treatment Controls
• EPS (TTM): >-0.01
• Shares Outstanding: 246,590,040
• 10 Day Avg. Volume: 60,099
• 30 Day Avg. Volume: 149,737
• PEG Ratio: 0.02
• Price to Book (P/B): -43.42
• Price to Sales (P/S): 3.64
• P/FCF Ratio: -10.92
• 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: 45 Neutral
• Price Target: C$0.02 ▲(0.00% Upside)

The score is driven primarily by weak financial performance (shrinking revenue, deeply negative margins, negative equity, and ongoing cash burn). Technical indicators are mostly neutral and do not offset the fundamental risk, and valuation metrics provide limited support due to negative earnings and no dividend data.

Positive Factors

Market Expansion

The sale of a new water treatment system for high purity water signifies entry into a niche market with growth potential, enhancing market position and revenue prospects.

Contract Acquisition

Securing a major contract for an irrigation project highlights the company's expertise and strengthens its position in the water management industry, supporting future growth.

Financial Position Strengthening

The successful private placement improves the company's financial position, providing necessary capital for operations and potential growth initiatives.

Negative Factors

Negative Margins

Negative gross profit margins suggest operational inefficiencies and cost management issues, which can hinder profitability and long-term sustainability.

High Leverage

High leverage with low equity increases financial risk, limiting the company's ability to invest in growth opportunities and manage economic downturns effectively.

Revenue Decline

A significant decline in revenue indicates challenges in market demand or competitive pressures, potentially impacting long-term financial stability and growth.

Current Water Technologies Inc Business Overview & Revenue Model

Company Description

Current Water Technologies Inc. develops environmental technologies in Canada, Australia, and the United States. It operates through two segments, Current Water and Pumptronics. The company provides patented and proprietary technologies for the treatment of wastewater and drinking water that are contaminated by metals or nutrients, such as arsenic and nitrate/ammonia associated with the mining, metal processing, chemical, agricultural, municipal, and waste management sectors; and for the recovery of nickel and other valuable metals from waste mill sulphide tailings associated with the mining sector. Its technologies include electro-static deionization, a electrochemical process that lowers the concentration of total dissolved solids in water; ammonia removal technology, a technology used for the removal of dissolved ammonia from industrial and municipal water, including wastewater, storm water, sewage effluent, and mine waste water; NitrEL system, an electrochemical water treatment process that reduces nitrate concentrations in contaminated drinking water, groundwater, and industrial process wastewater streams; AmdEl, an electrochemical system that prevents the oxidation of sulphide minerals in tailings or waste rock; and ExtrEL for the recovery of metals from sulphide tailings and ore. The company was formerly known as ENPAR Technologies Inc. and changed its name to Current Water Technologies Inc. in January 2018. Current Water Technologies Inc. was incorporated in 1996 and is headquartered in Guelph, Canada.

How the Company Makes Money

Current Water Technologies Inc. generates revenue primarily through the sale and licensing of its patented water treatment technologies and systems. The company offers its products to a range of clients in industrial and municipal sectors, where there is a significant need for effective water treatment solutions. Revenue streams include direct sales, licensing agreements with partners who utilize the company's technologies, and service contracts for the maintenance and operation of installed systems. The company may also engage in research and development partnerships or receive grants for the advancement of its technologies, but detailed information on specific partnerships or financial data is not available.

Current Water Technologies Inc Financial Statement Overview

Summary

Current Water Technologies Inc. faces financial challenges, with persistent losses and negative margins. The balance sheet shows high leverage and low equity, indicating financial risk. However, there are improvements in cash flow management, though reliance on external financing remains high.

Income Statement

The company's revenue has been declining over recent periods, with a significant drop in total revenue from 2022 to TTM (Trailing-Twelve-Months). Gross profit margin is negative in the TTM, indicating that costs exceed revenues, which is a major concern for profitability. The net profit margin is also negative in the TTM, highlighting consistent losses, and the EBIT margin remains negative, indicating operational inefficiencies. However, there was a positive EBITDA in the TTM, showing some improvement in operational cash generation.

Balance Sheet

The company has a concerning debt-to-equity ratio due to low equity levels, which increased financial risk. Return on equity is not meaningful due to negative equity in previous years. The equity ratio is low, indicating a high reliance on liabilities to finance assets. The financial structure remains weak, with high liabilities compared to equity and assets.

Cash Flow

Free cash flow is negative in the TTM, indicating cash outflows after capital expenditures. The operating cash flow to net income ratio is negative, reflecting cash flow challenges. However, the company improved its free cash flow from 2022 to TTM, showing some improvement in cash management. Financing cash flow remains crucial for sustaining operations, as indicated by recent inflows.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	504.86K	1.53M	2.02M	2.16M	1.18M	1.41M
Gross Profit	-880.45K	-136.91K	106.69K	131.18K	-630.86K	431.88K
EBITDA	-1.23M	-728.74K	701.50K	-872.16K	-1.39M	-130.68K
Net Income	-1.52M	-1.02M	447.15K	-1.05M	-1.57M	-307.82K
Balance Sheet
Total Assets	1.03M	1.54M	2.11M	902.76K	1.50M	1.34M
Cash, Cash Equivalents and Short-Term Investments	54.12K	79.11K	113.14K	118.67K	635.30K	132.53K
Total Debt	575.99K	732.26K	1.04M	233.06K	369.64K	503.49K
Total Liabilities	1.66M	1.67M	2.01M	1.37M	1.28M	1.40M
Stockholders Equity	-631.15K	-127.95K	96.59K	-464.96K	216.71K	-64.21K
Cash Flow
Free Cash Flow	-333.67K	-508.66K	164.31K	-380.04K	-1.11M	-413.63K
Operating Cash Flow	-333.68K	-508.65K	168.31K	-377.33K	-1.01M	-413.63K
Investing Cash Flow	0.00	0.00	-4.00K	-2.71K	-93.26K	0.00
Financing Cash Flow	277.59K	474.63K	-169.84K	-136.59K	1.60M	473.89K

Current Water Technologies Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.02
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:WATR, the sentiment is Negative. The current price of 0.02 is equal to the 20-day moving average (MA) of 0.02, below the 50-day MA of 0.02, and below the 200-day MA of 0.02, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 48.15 is Neutral, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:WATR.

Current Water Technologies Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
RGEN	47 Neutral	C$3.81M	-0.89	―	―	―	―
DST	46 Neutral	C$12.20M	-1.97	―	―	-27.49%	-32.97%
WATR	45 Neutral	C$4.93M	-2.21	―	―	-68.14%	-209.09%
SAY	43 Neutral	C$3.74M	-4.55	―	―	17.30%	-200.00%
SHRC	42 Neutral	C$12.31M	-3.14	―	―	14.18%	-29.19%
APL	40 Underperform	C$3.24M	-34.38	-1.36%	―	―	-144.44%