Investment Thesis
Aqua Metals has experienced complete operational collapse with zero revenue and sustained significant operating losses (-$4.1M). Despite maintaining a relatively strong balance sheet with low debt and positive equity, the company is burning cash operationally at -$3.8M annually with limited runway (~1.8 years at current burn rate), indicating the business is either in liquidation or complete suspension.
Strengths
- Low leverage with debt/equity ratio of 0.03x provides financial flexibility
- Adequate liquidity with current ratio of 3.07x and $6.8M cash on hand
- Positive stockholders' equity of $13.1M preserves some asset value for stakeholders
Risks
- Zero revenue indicates complete business failure, suspension, or liquidation
- Negative operating cash flow of -$3.8M annually is unsustainable and accelerates cash depletion
- Company has halted all capital expenditures suggesting operational shutdown
- Negative interest coverage ratio (-39.1x) indicates inability to service debt from operations
- Limited cash runway of approximately 1.8 years at current burn rate with no revenue generation
- Persistent operating losses of -$4.1M with no path to profitability evident
Key Metrics to Watch
- Cash and equivalents balance - critical indicator of runway remaining
- Revenue generation - any restart of operations is fundamental requirement
- Operating cash flow trend - must achieve positive OCF for survival
Financial Metrics
Revenue
0.0
Net Income
-4.0M
EPS (Diluted)
$0.00
Free Cash Flow
-3.8M
Total Assets
17.1M
Cash
6.8M
Profitability Ratios
Gross Margin
N/A
Operating Margin
N/A
Net Margin
N/A
ROE
-30.1%
ROA
-23.1%
FCF Margin
N/A
Balance Sheet & Liquidity
Current Ratio
3.07x
Quick Ratio
3.00x
Debt/Equity
0.03x
Debt/Assets
23.3%
Interest Coverage
-39.06x
Long-term Debt
332.0K
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: 2026-05-16T08:35:01.558356 |
Data as of: 2026-03-31 |
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