Energous (WATT) AI Stock Analysis

• Market Cap: $9.88M
• Dividend Yield: N/A
• Average Volume (3M): 49.05K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.01
• Revenue Growth: 433.51%
• EPS Growth: 71.19%
• Country: US
• Employees: 26
• Sector: Technology
• Sector Strength: 82
• Industry: Hardware, Equipment & Parts
• EPS (TTM): -2.40
• Shares Outstanding: 1,455,359
• 10 Day Avg. Volume: 31,722
• 30 Day Avg. Volume: 49,053
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 0.27
• Enterprise Value/Revenue: 2.55
• Enterprise Value/Gross Profit: 17.82
• Enterprise Value/Ebitda: -0.18
• 1Y Price Target: $7.50
• Price Target Upside: 10.46% Upside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 0

• Rating: 40 Underperform
• Price Target: $7.50 ▲(10.46% Upside)

Energous Corporation's overall stock score is primarily impacted by its poor financial performance, characterized by declining revenues, persistent losses, and high leverage. Technical analysis indicates a bearish trend with weak momentum. The valuation is unattractive due to a negative P/E ratio and no dividend yield. While the successful Nasdaq listing compliance is a positive event, it does not significantly offset the financial and technical challenges.

Energous Business Overview & Revenue Model

Company Description

Energous Corporation develops wireless charging solutions. The company develops WattUp wireless power technology that consists of semiconductor chipsets, software controls, hardware designs, and antennas that enables radio frequency-based charging for electronic devices. The company's products are used in building and home automation, electronic shelf labels, industrial IoT sensors, surface and implanted medical devices, tracking devices, hearables, wearables, consumer electronics, and public safety applications. Energous Corporation was formerly known as DvineWave Inc. and changed its name to Energous Corporation in January 2014. The company was incorporated in 2012 and is headquartered in San Jose, California.

How the Company Makes Money

Energous generates revenue through the licensing of its WattUp technology to manufacturers and developers of electronic devices. The company typically enters into partnerships with various hardware manufacturers who integrate its wireless charging technology into their products. This licensing model allows Energous to earn royalties based on the sales of the devices that utilize its technology. Additionally, Energous may generate revenue through the sale of its own proprietary charging systems and through collaborations with firms in sectors such as consumer electronics and IoT, where the demand for wireless charging solutions is rapidly increasing.

Energous Financial Statement Overview

Summary

Energous faces significant financial challenges with declining revenues, persistent losses, and high leverage. The company struggles with cash flow management and relies heavily on external financing. Immediate strategic changes are necessary to improve financial health and sustainability.

Income Statement

Energous shows a declining revenue trend with significant negative net income, indicating persistent losses. The gross profit margin is extremely low, and the company has negative EBIT and EBITDA margins, reflecting operational inefficiencies and high costs relative to revenue.

Balance Sheet

The balance sheet reveals high leverage with negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is not meaningful due to negative equity, and the equity ratio is negative, highlighting potential solvency issues.

Cash Flow

Cash flow analysis shows negative operating and free cash flows, indicating cash burn. The company relies on financing activities to support operations, which is unsustainable long-term. The operating cash flow to net income ratio is negative, reflecting cash inefficiencies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.05M	768.00K	474.18K	851.32K	756.79K	327.35K
Gross Profit	150.00K	12.00K	195.10K	-426.24K	-175.76K	200.81K
EBITDA	-14.64M	-16.84M	-21.55M	-25.30M	-37.16M	-30.78M
Net Income	-15.16M	-18.40M	-19.37M	-25.86M	-44.51M	-30.64M
Balance Sheet
Total Assets	13.38M	3.79M	16.68M	29.75M	51.37M	53.14M
Cash, Cash Equivalents and Short-Term Investments	10.09M	1.35M	13.94M	26.29M	49.07M	50.73M
Total Debt	1.87M	1.49M	1.26M	1.97M	668.72K	1.40M
Total Liabilities	3.88M	4.87M	5.18M	5.11M	4.39M	4.09M
Stockholders Equity	9.50M	-1.08M	11.50M	24.65M	46.98M	49.05M
Cash Flow
Free Cash Flow	-17.31M	-17.70M	-19.44M	-23.80M	-29.09M	-24.93M
Operating Cash Flow	-17.17M	-17.57M	-19.25M	-23.64M	-28.72M	-24.79M
Investing Cash Flow	-143.00K	-123.00K	-187.08K	-164.99K	-365.74K	-136.63K
Financing Cash Flow	16.68M	5.11M	7.08M	1.02M	27.43M	53.97M

Energous Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.79
• 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 WATT, the sentiment is Negative. The current price of 6.79 is below the 20-day moving average (MA) of 7.67, below the 50-day MA of 9.97, and below the 200-day MA of 11.29, indicating a bearish trend. The MACD of -0.87 indicates Positive momentum. The RSI at 33.23 is Neutral, neither overbought nor oversold. The STOCH value of 10.09 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for WATT.

Energous Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$35.55B	8.91	-10.55%	1.87%	8.47%	-8.26%
MEI	52 Neutral	$250.32M	―	-8.58%	6.89%	-5.96%	49.33%
MVIS	49 Neutral	$334.07M	―	-115.11%	―	-71.30%	17.62%
LPTH	47 Neutral	$243.24M	―	-24.86%	―	2.59%	-48.02%
GNSS	46 Neutral	$89.41M	―	-177.60%	―	8.95%	14.34%
WATT	40 Underperform	$9.88M	―	-232.47%	―	433.51%	71.19%
WBX	39 Underperform	$57.02M	―	-138.61%	―	-11.22%	―

Energous Corporate Events

Energous Secures Nasdaq Listing with Bid Price Compliance

Energous Corporation received an extension from Nasdaq to comply with the $1.00 minimum bid price requirement, which it successfully met by August 25, 2025, ensuring its continued listing on the Nasdaq Capital Market.

Energous Announces Reverse Stock Split Effective August 11

On August 7, 2025, Energous Corporation announced a 1-for-30 reverse stock split of its common stock, effective August 11, 2025, to comply with Nasdaq’s minimum bid price requirement. This move, approved by stockholders in June 2025, will see every thirty shares combined into one, with cash payments for fractional shares, ensuring no change in the par value or voting rights. The stock will continue trading under the symbol ‘WATT’ with a new CUSIP number, impacting all stockholders uniformly and adjusting equity awards and securities proportionately.

Energous Stockholders Approve Key Proposals at Annual Meeting

On June 11, 2025, Energous Corporation held its Annual Meeting of Stockholders virtually, where stockholders approved several key proposals, including the amendment of the 2024 Equity Incentive Plan to increase authorized shares by 2,000,000. The meeting also saw the election of four directors and the ratification of BPM LLP as the independent accounting firm. Additionally, stockholders approved a reverse stock split and decided on a biennial advisory vote on executive compensation.