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Energous Corp (WATT) Fundamental Analysis & AI Grade 2026

WATT Nasdaq Radio & Tv Broadcasting & Communications Equipment DE CIK: 0001575793
Updated This Month • Analysis: May 15, 2026 • SEC Data: 2026-03-31
Combined AI Grade
C
78% Confidence
N/A
C
78% Conf
Pending
Analysis scheduled

📊 WATT Key Takeaways

Revenue: $3.1M
Net Margin: -53.7%
Free Cash Flow: $-5.6M
Current Ratio: 18.54x
Debt/Equity: 0.00x
EPS: $-0.43
AI Grade: C with 78% confidence
Energous Corp (WATT) receives a C fundamental grade with 78% confidence from our AI analysis based on SEC 10-K filings. With revenue of $3.1M, net profit margin of -53.7%, and return on equity (ROE) of -3.9%, Energous Corp demonstrates mixed fundamentals in the Telecom sector. Below is our complete WATT stock analysis for 2026.

Is Energous Corp (WATT) a Good Investment?

Claude

Energous demonstrates explosive revenue growth (+3292% YoY) but fundamental operations remain severely unprofitable with -54% net margins, -60% operating margins, and negative free cash flow of -$5.6M annually. Despite a fortress balance sheet with $36.6M cash and minimal debt, the company is burning cash at an unsustainable rate with no clear evidence of an operational path to profitability.

Energous Corp Key Strengths (WATT)

Claude
  • + Extraordinary revenue growth of 3292% YoY indicates significant market traction and demand
  • + Strong liquidity position with $36.6M cash and 18.54x current ratio provides substantial runway
  • + Minimal debt burden with 0.00x Debt/Equity ratio eliminates financial distress risk

WATT Stock Risks: Energous Corp Investment Risks

Claude
  • ! Severe cash burn of -$5.6M annually despite growth, consuming balance sheet strength at 6.5-year runway
  • ! Deeply unprofitable operations with -$1.7M net loss and -59.9% operating margin show operational inefficiency
  • ! Negative operating leverage where massive revenue increase failed to improve profitability, suggesting unit economics or scaling challenges
  • ! Zero insider Form 4 filings in 90 days suggests lack of insider confidence in business trajectory

Key Metrics to Watch

Claude
  • * Operating cash flow trend - critical to determine if burn rate improves with scale
  • * Operating margin progression - path to breakeven is key indicator of business viability
  • * Cash runway depletion rate - determine time available before capital raise required

Energous Corp (WATT) Financial Metrics & Key Ratios

Revenue
$3.1M
Net Income
$-1.7M
EPS (Diluted)
$-0.43
Free Cash Flow
$-5.6M
Total Assets
$45.6M
Cash Position
$36.6M

💡 AI Analyst Insight

Strong liquidity with a 18.54x current ratio provides a solid financial cushion.

WATT Profit Margin, ROE & Profitability Analysis

Gross Margin 35.5%
Operating Margin -59.9%
Net Margin -53.7%
ROE -3.9%
ROA -3.6%
FCF Margin -182.0%

WATT vs Telecom Sector: How Energous Corp Compares

How Energous Corp compares to Telecom sector averages

Net Margin
WATT -53.7%
vs
Sector Avg 14.0%
WATT Sector
ROE
WATT -3.9%
vs
Sector Avg 15.0%
WATT Sector
Current Ratio
WATT 18.5x
vs
Sector Avg 1.0x
WATT Sector
Debt/Equity
WATT 0.0x
vs
Sector Avg 1.2x
WATT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Energous Corp Stock Overvalued? WATT Valuation Analysis 2026

Based on fundamental analysis, Energous Corp has mixed fundamental signals relative to the Telecom sector in 2026.

Return on Equity
-3.9%
Sector avg: 15%
Net Profit Margin
-53.7%
Sector avg: 14%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.00x
Sector avg: 1.2x

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.

Energous Corp Balance Sheet: WATT Debt, Cash & Liquidity

Current Ratio
18.54x
Quick Ratio
18.01x
Debt/Equity
0.00x
Debt/Assets
6.2%
Interest Coverage
-9.23x
Long-term Debt
$124.0K

WATT Revenue & Earnings Growth: 5-Year Financial Trend

WATT 5-year financial data: Year 2021: Revenue $756.8K, Net Income -$31.8M, EPS N/A. Year 2022: Revenue $851.3K, Net Income -$41.4M, EPS $-0.64. Year 2023: Revenue $851.3K, Net Income -$26.3M, EPS $-6.78. Year 2024: Revenue $768.0K, Net Income -$19.4M, EPS $-4.15. Year 2025: Revenue $5.6M, Net Income -$18.4M, EPS $-77.16.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Energous Corp's revenue has grown significantly by 644% over the 5-year period, indicating strong business expansion. The most recent EPS of $-77.16 indicates the company is currently unprofitable.

WATT Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-182.0%
Free cash flow / Revenue

WATT Quarterly Earnings & Performance

Quarterly financial performance data for Energous Corp including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q1 2026 $343.0K -$1.7M $-0.43
Q3 2025 $230.0K -$2.1M $-1.31
Q2 2025 $46.0K -$2.8M $-0.08
Q1 2025 $64.0K -$3.4M $-0.12
Q3 2024 $169.0K -$3.4M $-0.50
Q2 2024 $46.0K -$4.0M $-0.65
Q1 2024 $64.0K -$6.6M $-1.11
Q3 2023 $168.7K -$4.0M $-0.86

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Energous Corp Dividends, Buybacks & Capital Allocation

Operating Cash Flow
-$5.6M
Cash generated from operations
Capital Expenditures
$38.0K
Investment in assets
Dividends
None
No dividend program

WATT SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Energous Corp (CIK: 0001575793)

📋 Recent SEC Filings

Date Form Document Action
May 28, 2026 4 xslF345X06/doc4.xml View →
May 14, 2026 10-Q watt-20260331x10q.htm View →
May 13, 2026 8-K tm2613253d1_8k.htm View →
Apr 29, 2026 DEF 14A tm261570-1_def14a.htm View →
Mar 26, 2026 10-K watt-20251231x10k.htm View →

Frequently Asked Questions about WATT

What is the AI rating for WATT?

Energous Corp (WATT) has an AI grade of C with 78% confidence, based on fundamental analysis of SEC EDGAR filings.

What are WATT's key strengths?

Claude: Extraordinary revenue growth of 3292% YoY indicates significant market traction and demand. Strong liquidity position with $36.6M cash and 18.54x current ratio provides substantial runway.

What are the risks of investing in WATT?

Claude: Severe cash burn of -$5.6M annually despite growth, consuming balance sheet strength at 6.5-year runway. Deeply unprofitable operations with -$1.7M net loss and -59.9% operating margin show operational inefficiency.

What is WATT's revenue and growth?

Energous Corp reported revenue of $3.1M.

Does WATT pay dividends?

Energous Corp does not currently pay dividends.

Where can I find WATT SEC filings?

Official SEC filings for Energous Corp (CIK: 0001575793) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is WATT's EPS?

Energous Corp has a diluted EPS of $-0.43.

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 grade reflects both perspectives for balanced insights.

What is WATT's fundamental grade?

Based on our AI fundamental analysis in June 2026, Energous Corp has a C grade with 78% confidence. Review the strengths and risks sections above for full context. This is not investment advice.

Is WATT stock overvalued or undervalued?

Valuation metrics for WATT: ROE of -3.9% (sector avg: 15%), net margin of -53.7% (sector avg: 14%). Compare these metrics with sector averages to assess valuation.

What is WATT's AI grade for 2026?

Our dual AI analysis gives Energous Corp a combined C grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is WATT's free cash flow?

Energous Corp's operating cash flow is $-5.6M, with capital expenditures of $38.0K. FCF margin is -182.0%.

How does WATT compare to other Telecom stocks?

Vs Telecom sector averages: Net margin -53.7% (avg: 14%), ROE -3.9% (avg: 15%), current ratio 18.54 (avg: 1).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) 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 and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: May 15, 2026 | Data as of: 2026-03-31 | Powered by Claude AI