WallStSmart

ClearSign Combustion Corporation (CLIR)vsEnergy Recovery Inc (ERII)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Energy Recovery Inc generates 2620% more annual revenue ($136.63M vs $5.02M). ERII leads profitability with a 15.1% profit margin vs -111.7%. ERII earns a higher WallStSmart Score of 57/100 (C).

CLIR

Avoid

20

out of 100

Grade: F

Growth: 5.3Profit: 2.0Value: 5.0Quality: 6.5
Piotroski: 2/9Altman Z: -10.06

ERII

Buy

57

out of 100

Grade: C

Growth: 6.7Profit: 5.5Value: 4.7Quality: 9.0
Piotroski: 4/9Altman Z: 7.49
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CLIR.

ERIIUndervalued (+3.2%)

Margin of Safety

+3.2%

Fair Value

$15.95

Current Price

$8.90

$7.05 discount

UndervaluedFair: $15.95Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CLIR2 strengths · Avg: 9.0/10
Debt/EquityHealth
0.0210/10

Conservative balance sheet, low leverage

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

ERII5 strengths · Avg: 8.8/10
Debt/EquityHealth
0.0510/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
7.4910/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
20.3%8/10

Revenue surging 20.3% year-over-year

EPS GrowthGrowth
20.1%8/10

Earnings expanding 20.1% YoY

Areas to Watch

CLIR4 concerns · Avg: 3.0/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$22.41M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-73.6%2/10

ROE of -73.6% — below average capital efficiency

ERII3 concerns · Avg: 2.0/10
Market CapQuality
$454.63M3/10

Smaller company, higher risk/reward

PEG RatioValuation
3.332/10

Expensive relative to growth rate

Operating MarginProfitability
-103.3%1/10

Operating margin of -103.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : CLIR

The strongest argument for CLIR centers on Debt/Equity, Price/Book.

Bull Case : ERII

The strongest argument for ERII centers on Debt/Equity, Altman Z-Score, Price/Book. Profitability is solid with margins at 15.1% and operating margin at -103.3%. Revenue growth of 20.3% demonstrates continued momentum.

Bear Case : CLIR

The primary concerns for CLIR are EPS Growth, Market Cap, Piotroski F-Score.

Bear Case : ERII

The primary concerns for ERII are Market Cap, PEG Ratio, Operating Margin.

Key Dynamics to Monitor

CLIR profiles as a turnaround stock while ERII is a growth play — different risk/reward profiles.

CLIR carries more volatility with a beta of 1.34 — expect wider price swings.

ERII is growing revenue faster at 20.3% — sustainability is the question.

ERII generates stronger free cash flow (20M), providing more financial flexibility.

Bottom Line

ERII scores higher overall (57/100 vs 20/100), backed by strong 15.1% margins and 20.3% revenue growth. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

ClearSign Combustion Corporation

INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA

ClearSign Technologies Corporation designs and develops products and technologies to improve operational performance, energy efficiency, emission reduction, safety, and overall profitability of industrial and commercial systems in the United States and the People's Republic of China. The company is headquartered in Seattle, Washington.

Energy Recovery Inc

INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA

Energy Recovery, Inc. designs, manufactures and sells various solutions for the industrial fluid flow markets worldwide. The company is headquartered in San Leandro, California.

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