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ClearSign Combustion (CLIR)
NASDAQ:CLIR
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ClearSign Combustion
(NASDAQ:CLIR)
52Neutral
ClearSign Combustion (CLIR) vs. S&P 500 (SPY)
Market Cap
$37.68M
Dividend YieldN/A
Average Volume (3M)79.35K
Price to Earnings (P/E)―
Beta (1Y)1.39
Revenue Growth49.65%
EPS Growth16.68%
CountryUS
Employees16
SectorIndustrials
Sector Strength66
IndustryIndustrial - Pollution & Treatment Controls
Share Statistics
EPS (TTM)-0.11
Shares Outstanding52,418,780
10 Day Avg. Volume36,695
30 Day Avg. Volume79,350
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)9.09
Price to Cash Flow (P/CF)-6.80
P/FCF Ratio0.00
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
ClearSign Combustion Business Overview & Revenue Model
Company DescriptionClearSign Technologies Corporation designs and develops products and technologies to enhance operational performance, energy efficiency, emission reduction, safety, and overall cost-effectiveness of industrial and commercial systems in the United States and the People's Republic of China. Its ClearSign Core Burner Technology consists of an industrial burner body and a downstream porous ceramic structure or metal flame stabilizing device; ClearSign Core Plug & Play technology provides direct burner replacement for traditional refinery process heaters; and ClearSign Eye Flame Sensor, an electrical flame sensor for industrial applications. The company also provides ClearSign Core Boiler Burner; and ClearSign Core Flaring Burners technologies. It serves energy, institutional, commercial and industrial boiler, chemical, and petrochemical industries. The company was formerly known as ClearSign Combustion Corporation and changed its name ClearSign Technologies Corporation in November 2019. ClearSign Technologies Corporation was incorporated in 2008 and is headquartered in Tulsa, Oklahoma.
How the Company Makes MoneyClearSign makes money by selling its proprietary combustion technology solutions and related services to industrial clients across multiple sectors. The company's revenue model primarily relies on the sale and licensing of its technology, which includes the ClearSign Core™ and ClearSign Eye™ systems, designed to enhance the combustion process and reduce harmful emissions. Additionally, ClearSign may generate revenue through partnerships and collaborations with industry leaders, leveraging its technology to create integrated solutions for its clients. The company also benefits from regulatory trends and mandates aimed at reducing industrial emissions, which can drive demand for its products and services.
ClearSign Combustion Financial Statement Overview
Summary
ClearSign Combustion shows strong revenue growth with a 78.1% increase, but continues to face profitability challenges with a net loss and negative margins. The balance sheet is stable, supported by a high equity ratio and low leverage, but negative cash flow from operations remains a concern.Income Statement
ClearSign Combustion has shown a substantial increase in revenue over the last year, with a TTM revenue growth rate of 78.1%. However, the company is still operating at a net loss, with a net profit margin of -118.9% for the TTM. The gross profit margin has improved to 37.1%, but negative EBIT and EBITDA margins indicate ongoing operational challenges.45
Neutral
Balance Sheet
The company maintains a strong equity position, with an equity ratio of 86.7% in the TTM, which suggests financial stability. The debt-to-equity ratio is low at 0.014, indicating minimal leverage risk. However, the return on equity is negative due to continued net losses, which is a concern for profitability.60
Neutral
Cash Flow
ClearSign Combustion's cash flow situation shows improvement, with a significant increase in financing cash flow in the TTM. However, the free cash flow remains negative, and the operating cash flow to net income ratio is slightly negative, reflecting challenges in generating positive cash flow from operations.50
Neutral
| Breakdown | |||||
| TTM | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 | Dec 2019 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 4.28M | 2.40M | 374.00K | 607.00K | 0.00 | 0.00 | Gross Profit |
| 1.59M | 817.00K | 116.00K | -452.00K | -279.00K | -1.00K | EBIT |
| -5.89M | -5.98M | -5.88M | -8.14M | -6.93M | -8.58M | EBITDA |
| -4.95M | -5.68M | -5.47M | -7.63M | -6.72M | -8.58M | Net Income Common Stockholders |
| -5.09M | -5.19M | -5.40M | -7.89M | -6.84M | -8.38M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 929.96K | 5.68M | 9.06M | 7.61M | 8.82M | 8.55M | Total Assets |
| 1.64M | 7.62M | 10.93M | 9.36M | 11.12M | 10.94M | Total Debt |
| 47.67K | 243.00K | 359.00K | 555.00K | 669.00K | 595.00K | Net Debt |
| -882.29K | -5.44M | -6.09M | -7.05M | -8.15M | -7.96M | Total Liabilities |
| 761.74K | 2.43M | 1.37M | 1.08M | 1.58M | 1.72M | Stockholders Equity |
| 874.42K | 5.19M | 9.55M | 8.28M | 9.54M | 9.22M |
| Cash Flow | Free Cash Flow | ||||
| -5.69M | -3.43M | -5.16M | -6.92M | -6.16M | -7.32M | Operating Cash Flow |
| -5.41M | -3.23M | -4.99M | -6.71M | -5.96M | -6.90M | Investing Cash Flow |
| -282.00K | 2.49M | -2.69M | -213.00K | -194.00K | 6.50M | Financing Cash Flow |
| 12.41M | -15.00K | 6.54M | 5.69M | 6.43M | 14.00K |
ClearSign Combustion Technical Analysis
Negative
0.76
Price Trends
0.94
Negative
1.03
Negative
0.91
Negative
Market Momentum
-0.04
Negative
41.37
Neutral
29.65
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CLIR, the sentiment is Negative. The current price of 0.76 is below the 20-day moving average (MA) of 0.79, below the 50-day MA of 0.94, and below the 200-day MA of 0.91, indicating a bearish trend. The MACD of -0.04 indicates Negative momentum. The RSI at 41.37 is Neutral, neither overbought nor oversold. The STOCH value of 29.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CLIR.
ClearSign Combustion Risk Analysis
ClearSign Combustion disclosed 37 risk factors in its most recent earnings report. ClearSign Combustion reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
ClearSign Combustion Peers Comparison
Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $39.72B | 29.04 | 14.97% | 0.65% | 5.22% | 4.46% | |
75 Outperform | $6.43B | 22.86 | 14.34% | 1.72% | 5.49% | 51.02% | |
69 Neutral | $6.60B | 35.21 | 7.91% | ― | 23.86% | 740.71% | |
67 Neutral | $328.32M | 17.51 | 9.80% | ― | 3.43% | ― | |
67 Neutral | $1.88B | 17.60 | 4.91% | 2.51% | 2.56% | -91.05% | |
62 Neutral | $8.07B | 13.60 | 3.76% | 3.13% | 3.60% | -14.67% | |
52 Neutral | $37.68M | ― | -55.91% | ― | 49.65% | 16.68% |
* Industrials Sector Average
Performance Comparison
CLIR
ClearSign Combustion
0.76
-0.24
-24.00%
AME
Ametek
171.89
-8.04
-4.47%
GTLS
Chart Industries
146.13
-10.88
-6.93%
FLS
Flowserve
49.19
2.93
6.33%
MG
Mistras Group
10.49
0.78
8.03%
SPB
Spectrum Brands Holdings
71.16
-11.69
-14.11%
ClearSign Combustion Earnings Call Summary
Earnings Call Date: Nov 20, 2024 | % Change Since: -21.65% | Next Earnings Date: Apr 2, 2025
Earnings Call Sentiment Positive
The earnings call was largely positive, with record-breaking revenue figures and significant strategic partnerships being highlighted. However, there were challenges noted, such as the suspension of China operations and delays in California projects. On balance, the positive aspects outweighed the negative.Highlights
Record Quarterly Revenue
The company recognized approximately $1.9 million in revenues for Q3 2024, compared to $85,000 for the same period in 2023, driven by the shipment of multiple process burners to a California refinery.
Largest Year-to-Date Revenue
Year-to-date revenues for the 9 months ended September 30, 2024, reached approximately $3 million, marking a $1.9 million increase over the prior comparable period in 2023.
Improvement in Gross Profit Margin
Year-to-date gross profit margin increased by 11%, from 22% in 2023 to 33% in 2024.
Significant Order from Fortune 500 Company
A major order was received for 26 burners from a Fortune 500 petrochemical company on the U.S. Gulf Coast.
Strategic Partnership with Zeeco
ClearSign and Zeeco are working on a joint branding initiative to promote ClearSign's process burner technology, expanding marketing and sales reach.
Successful Third-Party Testing of Boiler Burners
Third-party study found that a boiler fitted with ClearSign burner consumed 4% less energy than industry-standard burners, providing significant cost savings and CO2 reductions.
Lowlights
Suspension of China Operations
ClearSign made the decision to suspend operations in China due to delayed progress, resulting in a one-time accrual estimate of $394,000.
Delayed Start of California Refinery Burners
The start-up of burners shipped to a California refinery has been delayed until mid-2025, impacting expected revenue timing.
Company Guidance
During the ClearSign Technologies Q3 2024 earnings call, the executives provided several key metrics and guidance. The company reported a record quarterly revenue of approximately $1.9 million, a significant increase from $85,000 in the same period in 2023, driven mainly by a large order of process burners for a California refinery. Year-to-date revenues by the end of September 2024 reached $3 million, marking a $1.9 million increase over the previous year, also setting a company record. The gross profit margin improved by 11% year-over-year, rising to 33%. Despite a one-time $394,000 accrual estimate due to the suspension of China operations, the net loss decreased by 2.5%, amounting to a $104,000 improvement compared to the previous year. The company ended the quarter with a cash balance of approximately $14.5 million, with net cash used in operations amounting to $1.4 million. Looking forward, the company emphasized its growing order pipeline, including a notable 26-burner order for a Fortune 500 petrochemical company on the U.S. Gulf Coast, and the potential impact of new partnerships, particularly with Zeeco, on future revenue growth.ClearSign Combustion Corporate Events
Business Operations and StrategyFinancial Disclosures
ClearSign Combustion Reports Record Q3 2024 Revenue
Positive
Nov 21, 2024
ClearSign Technologies reported a record quarterly revenue of $1.85 million for Q3 2024, driven by a significant order of process burners for a California refinery. The company is expanding its sales channels and has announced new burner orders for power generation and petrochemical projects. ClearSign’s technologies, focused on decarbonization and efficiency, continue to validate their performance through third-party testing and customer installations.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.