📊 LIQT Key Takeaways
Is LIQT a Good Investment? Thesis Analysis
LiqTech is operationally insolvent despite 13% revenue growth, with -51.7% net margins and negative operating cash flow of -$6.1M annually. The company exhibits fundamental business model challenges evident in its critically low 7.6% gross margin, indicating severe pricing or cost structure issues. Current cash position of $5.1M combined with ongoing operational burn creates an unsustainable financial position with limited runway.
Why Buy LIQT? Key Strengths
- Revenue growth of 13% YoY demonstrates market demand for products/services
- Strong liquidity position with 3.38x current ratio and 2.01x quick ratio
- Conservative debt levels with 0.38x debt-to-equity ratio
LIQT Investment Risks to Consider
- Critically low 7.6% gross margin indicates fundamental pricing power or cost structure dysfunction
- Negative operating cash flow of -$6.1M paired with $5.1M cash creates <1 year financial runway
- Net margin of -51.7% with interest coverage of -205.6x demonstrates inability to service debt from operations
- Negative ROE of -81.7% indicates shareholder value destruction
- Very small revenue base of $16.5M limits financial flexibility and scale advantages
- Free cash flow margin of -39.4% shows core business cannot convert sales to cash
Key Metrics to Watch
- Gross margin trend - must improve significantly above 15% for viability
- Operating cash flow - critical to reach positive levels within 2-3 quarters
- Cash burn rate - monitor runway remaining at current burn rates
- Revenue quality - verify organic growth vs. unsustainable margin compression
LIQT Financial Metrics
💡 AI Analyst Insight
Strong liquidity with a 3.38x current ratio provides a solid financial cushion.
LIQT Profitability Ratios
LIQT vs Industrial Sector
How LIQTECH INTERNATIONAL INC compares to Industrial sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is LIQT Overvalued or Undervalued?
Based on fundamental analysis, LIQTECH INTERNATIONAL INC has mixed fundamental signals relative to the Industrial sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
LIQT Balance Sheet & Liquidity
LIQT 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: LIQTECH INTERNATIONAL INC's revenue has declined by 27% over the 5-year period, indicating business contraction. The most recent EPS of $-1.64 indicates the company is currently unprofitable.
LIQT Growth Metrics (YoY)
LIQT Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $2.5M | -$1.4M | $-0.15 |
| Q2 2025 | $4.5M | -$2.1M | $-0.22 |
| Q1 2025 | $4.2M | -$2.4M | $-0.25 |
| Q3 2024 | $2.5M | -$1.4M | $-0.25 |
| Q2 2024 | $4.5M | -$1.6M | $-0.27 |
| Q1 2024 | $4.0M | -$2.4M | $-0.41 |
| Q3 2023 | $3.3M | -$1.4M | $-0.25 |
| Q2 2023 | $5.0M | -$1.6M | $-0.27 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
LIQT Capital Allocation
LIQT SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for LIQTECH INTERNATIONAL INC (CIK: 0001307579)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LIQT
What is the AI rating for LIQT?
LIQTECH INTERNATIONAL INC (LIQT) has an AI rating of STRONG SELL with 90% confidence, based on fundamental analysis of SEC EDGAR filings.
What are LIQT's key strengths?
Claude: Revenue growth of 13% YoY demonstrates market demand for products/services. Strong liquidity position with 3.38x current ratio and 2.01x quick ratio.
What are the risks of investing in LIQT?
Claude: Critically low 7.6% gross margin indicates fundamental pricing power or cost structure dysfunction. Negative operating cash flow of -$6.1M paired with $5.1M cash creates <1 year financial runway.
What is LIQT's revenue and growth?
LIQTECH INTERNATIONAL INC reported revenue of $16.5M.
Does LIQT pay dividends?
LIQTECH INTERNATIONAL INC does not currently pay dividends.
Where can I find LIQT SEC filings?
Official SEC filings for LIQTECH INTERNATIONAL INC (CIK: 0001307579) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LIQT's EPS?
LIQTECH INTERNATIONAL INC has a diluted EPS of $-0.11.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is LIQT a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, LIQTECH INTERNATIONAL INC has a STRONG SELL rating with 90% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is LIQT stock overvalued or undervalued?
Valuation metrics for LIQT: ROE of -81.7% (sector avg: 15%), net margin of -51.7% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
Should I buy LIQT stock in 2026?
Our dual AI analysis gives LIQTECH INTERNATIONAL INC a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LIQT's free cash flow?
LIQTECH INTERNATIONAL INC's operating cash flow is $-6.1M, with capital expenditures of $395.2K. FCF margin is -39.4%.
How does LIQT compare to other Industrial stocks?
Vs Industrial sector averages: Net margin -51.7% (avg: 10%), ROE -81.7% (avg: 15%), current ratio 3.38 (avg: 1.8).