LiqTech International Inc. Common Stock (LIQT)

FairStock Score: 41/100 — MIXED

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for a business whose earnings power is visible and whose price offers a margin of safety. LiqTech is a 92-employee industrial selling silicon carbide ceramic filtration systems and membranes for liquid and gas purification. The reported numbers do not yet show earning power. In fiscal Q2 2026, the quarter ended 2026-06-30, revenue was $4.4M and net income was -$3.0M. In fiscal Q2 2025, the quarter ended 2025-06-30, revenue was $5.0M and net income was -$2.2M, so sales fell and the loss widened. Full-year results tell the same story: FY2025 revenue was $16.5M with a -$8.5M net loss, FY2024 revenue was $14.6M with a -$10.3M net loss, and FY2023 revenue was $18.0M with a -$8.6M net loss. FairStock categorizes it as no Lynch category because it lost money in each of the last four years. The cash burn is severe: trailing free cash flow was -$8.8M, a -63.6% FCF yield against a $13.8M market cap. At the $0.42 close on 2026-10-13, FairStock's P/B is 0.53, which looks asset-cheap, but negative ROE of -49.63% and ROCE of -15.47% show those assets are not producing returns. Debt/equity of 0.31 is not alarming, yet Altman Z of -2.44 and Piotroski 3/9 point to fragility. A proprietary ceramic membrane could create sticky niche demand, but I see no evidence of a durable moat in the revenue trend. Until cash flow inflects and profits appear, this is speculation, not value.

In plain English: LiqTech makes filtering systems and ceramic membranes used to clean liquids and gases. The business looks weak: in fiscal Q2 2026, the quarter ended 2026-06-30, it had $4.4M in sales and lost $3.0M, and it has not made a yearly profit in the last four years. At $0.42 a share on 2026-10-13, the price is low compared with what its books say its net assets are worth, but because it is losing money and burning cash, the stock does not clearly look cheap.

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Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer