Investment Thesis
Aqua Power Systems is a pre-revenue or dormant electric services company with no operating revenue and persistent operating losses. The company is burning cash with negative free cash flow of -110.8K despite holding 82.3K in cash, indicating an unsustainable business model. With only 15.7K in stockholders' equity and severely negative ROE (-489.8%) and ROA (-84.8%), this company presents extreme financial distress with minimal margin of safety.
Strengths
- Positive cash balance of 82.3K provides short-term runway
- No long-term debt eliminates refinancing risk
- Zero debt-to-equity ratio reflects no leverage burden
Risks
- Zero revenue indicates no viable business operations or sales generation
- Negative operating cash flow of -48.5K shows operational cash burn
- Negative free cash flow of -110.8K unsustainable at current burn rate; cash reserves will deplete in under 1 year
- Severely depleted stockholders' equity of only 15.7K leaves minimal buffer for losses
- Catastrophic profitability metrics (ROE -489.8%, ROA -84.8%) indicate value destruction
- Capital expenditures of 62.3K while operating at losses suggests questionable capital allocation
- Data is stale (2022-09-30) with no recent SEC filings indicating potential inactive status
Key Metrics to Watch
- Revenue generation and path to profitability
- Monthly cash burn rate and remaining cash runway
- Operating cash flow trends and improvement toward positive
- Capital expenditure justification and expected returns
- Recent SEC filing activity and updated financial statements
Financial Metrics
Revenue
0.0
Net Income
-77.0K
EPS (Diluted)
$0.00
Free Cash Flow
-110.8K
Total Assets
90.8K
Cash
82.3K
Profitability Ratios
Gross Margin
N/A
Operating Margin
N/A
Net Margin
N/A
ROE
-489.8%
ROA
-84.8%
FCF Margin
N/A
Balance Sheet & Liquidity
Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.00x
Debt/Assets
82.7%
Interest Coverage
N/A
Long-term Debt
N/A
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-03-20T01:32:11.979040 |
Data as of: 2022-09-30 |
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