Energy Recovery Inc (NASDAQ: ERII)’s stock price has gone decline by -0.25 in comparison to its previous close of 12.21, however, the company has experienced a -3.94% decrease in its stock price over the last five trading days. seekingalpha.com reported 2025-05-31 that Crack spreads have rebounded, supporting CVR Energy’s margins and cash flow, especially with low gasoline inventories and favorable OPEC+ production dynamics. The costly Coffeyville refinery turnaround is nearly complete, with no major maintenance expected until 2027, positioning CVR for stronger H2 results. CVR’s improved cash flow outlook should enable debt reduction and a likely dividend resumption in early 2026, with its UAN stake providing additional value.
Is It Worth Investing in Energy Recovery Inc (NASDAQ: ERII) Right Now?
The price-to-earnings ratio for Energy Recovery Inc (NASDAQ: ERII) is 33.42x, which is above its average ratio. Moreover, the 36-month beta value for ERII is 1.02. Analysts have varying opinions on the stock, with 2 analysts rating it as a “buy,” 0 as “overweight,” 1 as “hold,” and 0 as “sell.”
The public float for ERII is 52.49M and currently, short sellers hold a 1.85% of that float. On June 19, 2025, ERII’s average trading volume was 499.10K shares.
ERII’s Market Performance
ERII stock saw a decrease of -3.94% in the past week, with a monthly decline of -6.88% and a quarterly a decrease of -26.89%. The volatility ratio for the week is 1.14%, and the volatility levels for the last 30 days are 1.25% for Energy Recovery Inc (ERII). The simple moving average for the last 20 days is -2.64% for ERII’s stock, with a simple moving average of -21.50% for the last 200 days.
Analysts’ Opinion of ERII
Many brokerage firms have already submitted their reports for ERII stocks, with B. Riley Securities repeating the rating for ERII by listing it as a “Neutral.” The predicted price for ERII in the upcoming period, according to B. Riley Securities is $12.50 based on the research report published on May 08, 2025 of the current year 2025.
Seaport Research Partners, on the other hand, stated in their research note that they expect to see ERII reach a price target of $22. The rating they have provided for ERII stocks is “Buy” according to the report published on December 05th, 2024.
Raymond James gave a rating of “Strong Buy” to ERII, setting the target price at $21 in the report published on July 09th of the previous year.
ERII Trading at -10.18% from the 50-Day Moving Average
After a stumble in the market that brought ERII to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -39.91% of loss for the given period.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ERII starting from Hanstveit Arve, who sale 30,000 shares at the price of $12.68 back on Jun 12 ’25. After this action, Hanstveit Arve now owns 655,220 shares of Energy Recovery Inc, valued at $380,400 using the latest closing price.
Hanstveit Arve, the Director of Energy Recovery Inc, sale 20,000 shares at $12.75 during a trade that took place back on Jun 11 ’25, which means that Hanstveit Arve is holding 685,220 shares at $255,000 based on the most recent closing price.
Stock Fundamentals for ERII
Current profitability levels for the company are sitting at:
- 0.13 for the present operating margin
- 0.67 for the gross margin
The net margin for Energy Recovery Inc stands at 0.15. The total capital return value is set at 0.09. Equity return is now at value 10.35, with 9.13 for asset returns.
Based on Energy Recovery Inc (ERII), the company’s capital structure generated 0.05 points at debt to capital in total, while cash flow to debt ratio is standing at 2.22.
Currently, EBITDA for the company is 31.55 million with net debt to EBITDA at -1.39. When we switch over and look at the enterprise to sales, we see a ratio of 4.44. The receivables turnover for the company is 4.35for trailing twelve months and the total asset turnover is 0.63. The liquidity ratio also appears to be rather interesting for investors as it stands at 8.39.
Conclusion
To wrap up, the performance of Energy Recovery Inc (ERII) has been bad in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
