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Liquidmetal Technologies (LQMT) Risk Analysis
Risk Overview Q2, 2026
Source: the company's latest filing for the period ended Jun 30, 2026, filed Aug 06, 2026
Risk Change Over Time
- Manufacturing - Risk 1Our current anticipation that the Joint Venture Company will have full manufacturing capabilities in 2026 could be incorrect and may adversely affect our future results
The development of our Joint Venture Company manufacturing facility in Hangzhou, China is subject to a variety of risks, including delays in obtaining necessary permits and approvals, unforeseen engineering or environmental problems, geo-political issues, changes in Chinese laws, regulations, or government policies affecting foreign investment, labor disputes, shortages of materials and skilled labor, cost overruns, failure of our joint venture partner to make required capital contributions, and other factors beyond our control. In the event of a delay in the development of the manufacturing facility, or if the development is unsuccessful, we may not achieve our anticipated manufacturing capabilities in 2026, which could impair our ability to meet customer demand and could have a material adverse effect on our business, financial condition, and results of operations.
Risk Highlights Q2, 2026
Risk Word Cloud
Risk Factors Full Breakdown - Total Risks 35
- Share Price & Shareholder Rights - Risk 1The existence of minority shareholders in our Liquidmetal Golf subsidiary creates potential for conflicts of interest.
We directly own 79% of the outstanding capital stock of Liquidmetal Golf, our subsidiary that has the exclusive right to commercialize our technology in the golf market. The remaining 21% of the Liquidmetal Golf stock is owned by approximately 95 shareholders of record. As a result, conflicts of interest may develop between us and the minority shareholders of Liquidmetal Golf. To the extent that our officers and directors are also officers or directors of Liquidmetal Golf, matters may arise that place the fiduciary duties of these individuals in conflicting positions.
- Share Price & Shareholder Rights - Risk 2Our executive officers, directors and insiders and entities affiliated with them hold a significant percentage of our common stock, and these shareholders may take actions that may be adverse to your interests.
As of December 31, 2025, our executive officers, directors and insiders and entities affiliated with them, in the aggregate, beneficially owned approximately 26.3% of our common stock. As a result, these shareholders, acting together, will be able to significantly influence all matters requiring shareholder approval, including the election and removal of directors and approval of significant corporate transactions such as mergers, consolidations and sales of assets. They also could dictate the management of our business and affairs. This concentration of ownership could have the effect of delaying, deferring or preventing a change in control or impeding a merger or consolidation, takeover or other business combination, which could cause the market price of our common stock to fall or prevent you from receiving a premium in such a transaction.
- Share Price & Shareholder Rights - Risk 3Our stock price has experienced volatility and may continue to experience volatility.
During 2025, the highest bid price for our common stock was $0.16 per share, while the lowest bid price during that period was $0.04 per share. The trading price of our common stock could continue to fluctuate widely due to: - limited current liquidity and the possible need to raise additional capital;- quarter-to-quarter variations in results of operations;- announcements of technological innovations by us or our potential competitors;- changes in or our failure to meet the expectations of securities analysts;- new products offered by us or our competitors;- announcements of strategic relationships or strategic partnerships;- future sales of common stock, or securities convertible into or exercisable for common stock;- adverse judgments or settlements obligating us to pay damages;- future issuances of common stock in connection with acquisitions or other transactions;- acts of war, terrorism, or natural disasters;- low trading volume in our stock;- developments relating to patents or property rights;- government regulatory changes; or - other events or factors that may be beyond our control. In addition, the securities markets in general have experienced extreme price and trading volume volatility in the past. The trading prices of securities of many companies at our stage of growth have fluctuated broadly, often for reasons unrelated to the operating performance of the specific companies. These general market and industry factors may adversely affect the trading price of our common stock, regardless of our actual operating performance. If our stock price is volatile, we could face securities class action litigation, which could result in substantial costs and a diversion of management's attention and resources and could cause our stock price to fall.
- Share Price & Shareholder Rights - Risk 4Future sales of our common stock could depress our stock price.
Sales of a large number of shares of our common stock, or the availability of a large number of shares for sale, could adversely affect the market price of our common stock and could impair our ability to raise funds in additional stock offerings. In the event that we propose to register additional shares of common stock under the Securities Act of 1933 for our own account, certain shareholders are entitled to receive notice of that registration and to include their shares in the registration, subject to limitations described in the agreements granting these rights.
- Share Price & Shareholder Rights - Risk 5A limited public trading market exists for our common stock, which makes it more difficult for our shareholders to sell their common stock in the public markets.
Our common stock is currently traded under the symbol "LQMT" and currently trades at a low volume, based on quotations on the "Over-the-Counter" exchanges, meaning that the number of persons interested in purchasing our common stock at or near bid prices at any given time may be relatively small or non-existent. This situation is attributable to a number of factors, including the fact that we are a small company which is still relatively unknown to stock analysts, stock brokers, institutional investors, and others in the investment community that generate or influence sales volume, and that even if we came to the attention of such persons, they tend to be risk-averse and might be reluctant to follow an unproven company such as ours or purchase or recommend the purchase of our stock until such time as we became more viable. Additionally, many brokerage firms may not be willing to effect transactions in our securities. As a consequence, there may be periods of several days or more when trading activity in our stock is minimal or non-existent, as compared to a seasoned issuer which has a large and steady volume of trading activity that will generally support continuous sales without an adverse effect on share price. We cannot give you any assurance that a broader or more active public trading market for our common stock will develop or be sustained, or that trading levels will be sustained.
- Share Price & Shareholder Rights - Risk 6Antitakeover provisions of our certificate of incorporation and bylaws and provisions of applicable corporate law could delay or prevent a change of control that you may favor.
Provisions in our certificate of incorporation, our bylaws, and Delaware law could make it more difficult for a third party to acquire us, even if doing so would be beneficial to our shareholders. These provisions could discourage potential takeover attempts and could adversely affect the market price of our shares. Because of these provisions, you might not be able to receive a premium on your investment in such a transaction. These provisions: - authorize our board of directors, without shareholder approval, to issue up to 10,000,000 shares of "blank check" preferred stock that could be issued by our board of directors to increase the number of outstanding shares and prevent a takeover attempt;- limit shareholders' ability to call a special meeting of our shareholders; and - establish advance notice requirements to nominate directors for election to our board of directors or to propose matters that can be acted on by shareholders at shareholder meetings. The provisions described above, as well as other provisions in our certificate of incorporation, our bylaws, and Delaware law could delay or make more difficult transactions involving a change in control of us or our management.
See a full breakdown of risk according to category and subcategory. The list starts with the category with the most risk. Click on subcategories to read relevant extracts from the most recent report.
