Previous Close | $13.20 |
AI Value | $50.79 |
Upside potential | +285% |
Energy Recovery, Inc. (ERII) is a leader in energy efficiency solutions, primarily serving the industrial fluid flow markets. The company specializes in pressure exchanger technology, which recovers and recycles energy from high-pressure fluid streams, significantly reducing energy consumption in desalination, oil & gas, and chemical processing industries. ERII's flagship product, the PX Pressure Exchanger, is widely adopted in seawater reverse osmosis (SWRO) desalination plants, where it can reduce energy consumption by up to 60%. The company holds a strong market position in desalination, with its technology deployed in over 20,000 installations globally. Competitive advantages include patented technology, long-term customer relationships, and a proven track record of cost savings for clients.
ERII holds over 100 patents globally for its pressure exchanger technology. The company continues to invest in R&D, with recent focus areas including the VorTeq system for hydraulic fracturing in oil & gas and new applications in chemical processing.
Energy Recovery presents an attractive investment opportunity due to its market-leading position in energy-efficient fluid handling technology, strong financial position, and growth potential in both core and emerging markets. The company's technology addresses critical needs in water and energy sectors, with visible long-term demand drivers. Primary risks include slower-than-expected adoption in new markets and potential competition. Current valuation appears reasonable given growth prospects and margin profile.
ERII 10-K filings (2022, 2023), Investor Presentations (2023), Bloomberg company overview, Desalination Industry Reports (2023)
Historical valuation data is not available at this time.