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Energy Recovery, Inc. (ERII) Stock Grade

ERII · Industrials

B
Grade updated: July 18, 2026
Computed by the GradeMyInvestments scoring model from revenue growth, profitability, balance-sheet strength, and analyst targets.
Market Cap
$725.8M
P/E Ratio
31.6
Revenue Growth (YoY)
-7.1%
Net Margin
17.1%
Return on Equity
11.1%
Dividend Yield
None

About Energy Recovery, Inc.'s fundamentals

Energy Recovery Inc. is a $725.8 million industrial company in the pollution and treatment controls sector with a solid net profit margin of 17.1%, though recent performance shows revenue declining 7.1% year-over-year. The company trades at a P/E ratio of 31.6 with an 11.1% return on equity, and does not currently pay a dividend. While the company maintains reasonable profitability relative to sales, the combination of declining revenues and a relatively elevated valuation multiple relative to returns warrants consideration of near-term operational momentum.

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