374Water, Inc.
$3.46
+8.6E+2%374Water, Inc. focuses on providing a technology that addresses environmental pollution challenges. It develops a waste stream treatment system based on supercritical water oxidation technology. The company's AirSCWO systems are used to treat various hazardous and non-hazardous waste streams. Its clients include channel partners, such as engineering-procurement and construction companies, technology integrators, waste service providers, operations service providers, and NGOs; and end-users, which include utilities, industrial manufacturing facilities, waste management and environmental remediation companies, agricultural companies, and governmental entities. The company is based in Durham, North Carolina.
At a Glance
Live SnapshotIntrinsic Alpha Methodology
Thesis Lenses
Signal
Medium confidenceValuation multiple is compressed (P/E -37.4).
Valuation inputs: P/E -37.4, earnings yield N/A, momentum +861.1%.
If multiples stay elevated while momentum fades, downside repricing risk rises.
Driver
High confidenceReturn profile is soft (ROE -80.3%, ROIC -78.8%).
Profitability stack: net margin -27.9%, ROE -80.3%, ROIC -78.8%.
Quality deterioration often appears in margins before it shows up in headline EPS.
Risk
High confidenceRisk profile is balanced but has notable pressure points to monitor.
Risk factors: liabilities/assets +19.3%, momentum +861.1%, net margin -27.9%.
Higher leverage with weak momentum and thin margins can amplify drawdown severity.
374Water, Inc. Market vs Earnings Trajectory
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374Water, Inc. Fair Value Envelope
374Water, Inc. Profit Bridge
Profitability Analysis
Gross Margin
Negative gross margin indicates the company is losing money on each sale—unsustainable long-term.
Operating Margin
Operating losses indicate the core business is unprofitable. Requires restructuring or revenue growth.
Net Profit Margin
Net losses indicate the company is burning cash. Sustainability depends on path to profitability.
Profitability Insight
High margin compression: Large gap between gross and net margins suggests operational inefficiencies or heavy debt burden. Focus on expense management and deleveraging.
374Water, Inc. Cash Conversion Engine
Cash Flow Quality Analysis
FCF Conversion Rate
Strong cash conversion. Most reported earnings translate into actual cash flow, suggesting solid fundamentals.
CapEx Intensity
Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.
FCF Growth Trend
Significant FCF decline raises concerns. Urgent review needed of operational performance and capital allocation.
Working Capital Impact
Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.
Cash Flow Quality Insight
Working capital strain: Significant cash tied up in operations. Monitor receivables collection, inventory turns, and payment terms to optimize cash conversion cycle.
374Water, Inc. Funding & Solvency Profile
Financial Health Analysis
Current Ratio
Acceptable liquidity, but monitor closely. Current assets just barely cover current liabilities.
Debt-to-Equity Ratio
Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.
Working Capital
Strong working capital position provides significant operational flexibility and financial cushion.
Asset Composition
Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.
Financial Health Insight
Conservative with tight liquidity: Low debt is positive, but current ratio warrants attention. Consider whether the company is efficiently deploying its equity capital.
374Water, Inc. Street Expectations Map
No Target Data
No analyst price targets available for scwo.
374Water, Inc. Insider Positioning
During the last 12 months, insiders have purchased $2.64M and sold $1.93M worth of SCWO shares, resulting in $707K of net buying activity.
3 Months
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3-6 Months
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6-9 Months
6.0M
2.56M
3.7M
1.74M
+828K
+$828K
9-12 Months
278.3K
72.99K
474.1K
193.43K
-120K
-$120K
Top Buyers
Jones Stephen J
Director, Officer: Interim Ceo
$1.67M
Russell Kline
Officer: Chief Financial Officer
$312K
Melkote Rajesh Ramaswamy
Officer: Chief Technology Officer
$300K
Meyers Brad Ian
Officer: Chief Operating Officer
$300K
Pawloski James
Director
$51K
Top Sellers
Nagar Yaacov
10 Percent Owner
$1.93M
Insider Activity Analysis
Net Insider Sentiment
Moderately bullish with $707K net buying. Insiders show cautious optimism through measured share purchases.
Buy/Sell Ratio
Positive buy/sell ratio. Buying exceeds or matches selling, indicating net positive insider sentiment.
Insider Participation
5 insider buyers vs. 1 sellers. Broad-based buying across management team suggests widespread confidence.
Insider Activity Insight
Broad-based insider buying: When multiple insiders independently decide to purchase shares, it often reflects genuine confidence rather than coordinated optics. This pattern deserves attention, especially if buying followed a price decline.
No Dividend Yield Data
SCWO has not reported any dividend yield values in the available annual periods.
scwo Dividend History
Learning Layer
Related Guides
Build conviction on SCWO by pairing this stock hub with focused valuation guides.
Research Paths
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.