TE

Terrestrial Energy Inc.

IMSR·NASDAQ

$8.77

-8.6%
EnergyRegulated Electric

A developer of advanced nuclear power solutions, specifically small modular molten salt reactors (their “IMSR” technology)–designed to provide low-carbon, high-temperature industrial heat and electricity. It recently completed a business combination with HCM II Acquisition Corp.

At a Glance

Live Snapshot
Market Cap$725.44M
EPS-0.3900
P/E Ratio-22.49
Earnings Date08/13/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal · Driver · Risk

Signal

Medium confidence

Valuation multiple is compressed (P/E -22.5).

Valuation inputs: P/E -22.5, earnings yield N/A, momentum -8.6%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is soft (ROE -9.5%, ROIC -8.5%).

Profitability stack: net margin 0.0%, ROE -9.5%, ROIC -8.5%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile is elevated and scenario stress-testing is essential.

Risk factors: liabilities/assets +2.5%, momentum -8.6%, net margin 0.0%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Terrestrial Energy Inc. Market vs Earnings Trajectory

IMSR · NASDAQ

Loading price and EPS data...

TE

Terrestrial Energy Inc. Fair Value Envelope

IMSR · NASDAQ

Our analysis suggests that IMSR has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $8.77, this represents a potential HIDDEN relative to our calculated worth for Terrestrial Energy Inc..

Intrinsic Value
Current Price: $8.77
3Y+160.0%
5Y+160.0%
10Y+160.0%
3Y-100.0%
5Y-100.0%
10Y-100.0%
3Y+101.0%
5Y+101.0%
10Y+101.0%
3Y+80.0%
5Y+80.0%
10Y+80.0%
3Y+72.0%
5Y+72.0%
10Y+72.0%
3Y+3740.0%
5Y+3740.0%
10Y+3740.0%
TE

Terrestrial Energy Inc. Profit Bridge

IMSR · NASDAQ
Revenue0.00
Cost of Goods Sold (0.00)
Gross Profit0.00
Operating Expenses (25.20M)
Operating Income-25.20M
Interest Expense (4.34M)
Other Income/Expense-2.80M
Pretax Income-28.00M
Income Tax (17.95K)
Net Income-28.02M
Net Income
-28.02M

Profitability Analysis

0.00%
Gross Profit Margin
-100%
3Y-100.0%
5Y-100.0%
10Y-100.0%
0.00%
Operating Profit Margin
-100%
3Y-100.0%
5Y-100.0%
10Y-100.0%
0.00%
Net Profit Margin
-100%
3Y-100.0%
5Y-100.0%
10Y-100.0%
-9.48%
Return on Equity
-111%
3Y-104.0%
5Y-104.0%
10Y-104.0%
-9.25%
Return on Assets
-96%
3Y-95.0%
5Y-95.0%
10Y-95.0%
-8.47%
Return on Invested Capital
-96%
3Y-96.0%
5Y-96.0%
10Y-96.0%
I

Terrestrial Energy Inc. Cash Conversion Engine

IMSR · NASDAQ
Net Income-28.02M
Depreciation & Amortization1.16M
Stock-Based Compensation3.10M
Change in Working Capital5.46M
Others1.80M
Capital Expenditures-1.14M
Free Cash Flow-17.61M

Cash Flow Quality Analysis

FCF Conversion Rate

62.9%

Moderate conversion rate. Some gap between earnings and cash flow may warrant investigation into working capital or non-cash items.

CapEx Intensity

-6.9%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

-98.7%

Significant FCF decline raises concerns. Urgent review needed of operational performance and capital allocation.

Working Capital Impact

+$5.46M

Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.

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Terrestrial Energy Inc. Funding & Solvency Profile

IMSR · NASDAQ
Cash & Cash Equivalents76.95M
Net Receivables0.00
Inventory0.00
Other Current Assets1.78M
Total Current Assets277 M
Property, Plant & Equipment2.75M
Goodwill & Intangible Assets699.00K
Long-Term Investments14.90M
Other Non-Current Assets78.00K
Total Non-Current Assets18 M
Total Assets
295.17M

Financial Health Analysis

Current Ratio

54.82x

Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.

Debt-to-Equity Ratio

0.02x

Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.

Working Capital

272 M

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

94% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

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Terrestrial Energy Inc. Street Expectations Map

IMSR · NASDAQ

Wall Street analysts project that IMSR stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 13.50, with estimates ranging from a low of 12.00 to a high of 15.00.

Lowest Target
12.00
36.83%
Consensus Target
13.50
53.93%
Highest Target
15.00
71.04%

The consensus 1-year price target stands at 13.50, with estimates ranging from a low of 12.00 to a high of 15.00.

Analyst Consensus Analysis

Upside Potential

+53.9%

Substantial upside potential. Analysts see significant value gap, suggesting the stock may be materially undervalued at current levels.

Analyst Agreement

22.2% spread

Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Rare opportunity: Exceptional upside potential with strong analyst consensus creates a compelling setup. The combination of significant price target premium and tight agreement suggests high-conviction undervaluation that may attract institutional capital.

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Terrestrial Energy Inc. Insider Positioning

IMSR · NASDAQ

During the last 12 months, there has been no insider trading activity reported for IMSR.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

No buying activity

Top Sellers

No selling activity

Insider Activity Analysis

Net Insider Sentiment

Neutral

No insider trading activity reported. This could indicate blackout periods, lack of conviction, or regulatory restrictions.

Insider Participation

No Activity

No insider trading activity reported from any insiders in the past year.

No Dividend Yield Data

IMSR has not reported any dividend yield values in the available annual periods.

 

imsr Dividend History

IMSR
10Y CAGR +0%
Latest $0
Annual $0
Stable dividend payments
Last Period: +0%