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TOMI Environmental Solutions (TOMZ)
NASDAQ:TOMZ
US Market
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TOMI Environmental Solutions (TOMZ) AI Stock Analysis

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TOMZ

TOMI Environmental Solutions

(NASDAQ:TOMZ)

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Neutral 47 (OpenAI - 5.2)
Rating:47Neutral
Price Target:
$1.50
▼(-2.60% Downside)
Action:Reiterated
Date:08/17/26
The score is held down primarily by weak financial performance—ongoing losses, persistent negative operating/free cash flow, and elevated/leverage-trending balance-sheet risk. Technicals are also soft (below key moving averages with negative MACD). These are partially offset by the earnings call’s improved operating trajectory and reaffirmed revenue guidance with growing backlog/pipeline, but listing-risk and leadership-transition events remain additional negatives.
Positive Factors
Revenue and Pipeline Growth
Strong quarterly growth, rising backlog and a sizable commercial pipeline improve revenue visibility. If management converts advanced-stage opportunities, TOMI could build a larger customer base and establish a more durable operating scale.
Negative Factors
Persistent Unprofitability
TOMI has not yet converted its gross profit into sustainable earnings, with multi-year operating and net losses. Continued losses constrain reinvestment and mean future growth must be funded before the business reaches durable profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue and Pipeline Growth
Strong quarterly growth, rising backlog and a sizable commercial pipeline improve revenue visibility. If management converts advanced-stage opportunities, TOMI could build a larger customer base and establish a more durable operating scale.
Read all positive factors

TOMI Environmental Solutions (TOMZ) vs. SPDR S&P 500 ETF (SPY)

TOMI Environmental Solutions Business Overview & Revenue Model

Company Description
TOMI Environmental Solutions, Inc. is a company dedicated to controlling infectious diseases and decontaminating bacteria, offering sophisticated environmental solutions for sanitizing indoor surfaces globally and across the United States. Central...
How the Company Makes Money
TOMI primarily makes money by selling and supporting its SteraMist iHP-based disinfection and decontamination solutions. Revenue is generated from (1) product sales of SteraMist equipment and related components used to deliver iHP in facilities an...

TOMI Environmental Solutions Earnings Call Summary

Earnings Call Date:Aug 14, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Nov 06, 2026
Earnings Call Sentiment Positive
The call communicated strong operational momentum: triple-quarter growth, large YoY revenue gains (+118%), product/applicator adoption surging, backlog and a $35M pipeline, improved gross profit and tighter operating expenses, plus regulatory and IP wins. Key risks remain — modest cash on hand, ongoing net losses, transaction-related costs, dependence on regulatory milestones (510(k), FCN, international registrations), and an uncertain $10M financing linked to the Carbonium Core merger — but management has increased working capital, secured capital access tools, and reaffirmed guidance of at least $12M for 2026. On balance, positive execution progress and pipeline visibility outweigh the outstanding financial and execution risks.
Positive Updates
Revenue Acceleration
Total revenue of $2.25M in Q2 2026, up 118% year-over-year (from $1.03M) and 36% sequentially versus Q1 2026 ($1.65M).
Negative Updates
Still Not Profitable — Net Loss Persisting
Despite meaningful improvement, company remains unprofitable with a Q2 net loss of ~$382K and six-month net loss of ~$1.19M; path to sustainable profitability depends on executing pipeline and hitting guidance.
Read all updates
Q2-2026 Updates
Negative
Revenue Acceleration
Total revenue of $2.25M in Q2 2026, up 118% year-over-year (from $1.03M) and 36% sequentially versus Q1 2026 ($1.65M).
Read all positive updates
Company Guidance
Management reaffirmed full‑year 2026 revenue guidance of at least $12.0 million, citing strong Q2 momentum — revenue $2.25M (+118% YoY, +36% sequential), product revenue $1.86M (+42% sequential, +185% YoY) and service revenue $389K (+13% sequential, +3% YoY) — supported by a backlog that grew from $1.6M at last year‑end to $1.7M at Q1, $2.2M at quarter‑end and $2.6M post‑quarter; booked orders and expected completions before year‑end exceed $6.2M, the integrated project pipeline is $4.3M across 13 projects, and the total commercial pipeline is ~ $35M (≈ $8.6M in advanced stages expected to close in 2026). Operational and margin metrics include Q2 gross profit $1.39M (gross margin 61.7%), applicator sales YTD ≈ $400K (~1,100% YoY), BIT Solution sales > $700K in H1, total operating expenses $1.63M (‑10% YoY), operating loss ≈ $244K (improved 78% YoY), net loss ≈ $382K ($0.05/sh, improved 69% YoY), cash $322K (up from $88K), working capital $1.82M (from $1.02M), shareholders’ equity $1.43M (from $589K), ~ $18.1M remaining ELOC capacity, and noted transaction items of ≈ $300K in Q2 related to the pending Carbonium Core merger (which includes a $10M minimum financing condition) and a post‑quarter note amendment lowering conversion price to $1.50.

TOMI Environmental Solutions Financial Statement Overview

Summary
Financial quality is very weak despite solid gross margins (~62% TTM). The company shows persistent operating and net losses (TTM net margin ~-17%), consistently negative operating cash flow and free cash flow (including very large TTM cash burn), and rising leverage (TTM debt-to-equity ~2.17; 2025 ~5.82), which increases funding and dilution risk.
Income Statement
18
Very Negative
Balance Sheet
28
Negative
Cash Flow
12
Very Negative
BreakdownTTMMar 2026Mar 2025Mar 2024Dec 2022Dec 2021
Income Statement
Total Revenue2.25B5.64M7.74M7.35M8.34M7.75M
Gross Profit1.39B3.08M3.56M4.29M5.06M4.59M
EBITDA-245.94M-2.80M-3.63M-2.96M-2.53M-4.01M
Net Income-385.37M-3.75M-4.48M-3.40M-2.88M-4.44M
Balance Sheet
Total Assets8.38M7.03M9.69M13.36M15.50M16.27M
Cash, Cash Equivalents and Short-Term Investments321.90K87.78K664.88K2.34M3.87M5.32M
Total Debt3.39M3.43M3.00M3.06M861.41K953.19K
Total Liabilities6.95M6.45M5.59M5.00M4.05M2.68M
Stockholders Equity1.43M588.50K4.10M8.36M11.45M13.60M
Cash Flow
Free Cash Flow-1.30B-1.33M-1.55M-3.82M-1.48M-4.46M
Operating Cash Flow-1.30B-1.20M-1.44M-3.60M-1.23M-3.82M
Investing Cash Flow-87.96K-135.58K-261.53K-216.69K-241.45K-639.37K
Financing Cash Flow1.87M755.13K27.50K2.29M25.00K4.58M

TOMI Environmental Solutions Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.54
Price Trends
50DMA
2.06
Negative
100DMA
2.11
Negative
200DMA
2.18
Negative
Market Momentum
MACD
-0.08
Negative
RSI
43.82
Neutral
STOCH
42.53
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TOMZ, the sentiment is Negative. The current price of 1.54 is below the 20-day moving average (MA) of 1.72, below the 50-day MA of 2.06, and below the 200-day MA of 2.18, indicating a neutral trend. The MACD of -0.08 indicates Negative momentum. The RSI at 43.82 is Neutral, neither overbought nor oversold. The STOCH value of 42.53 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TOMZ.

TOMI Environmental Solutions Risk Analysis

TOMI Environmental Solutions disclosed 37 risk factors in its most recent earnings report. TOMI Environmental Solutions reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

TOMI Environmental Solutions Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
53
Neutral
$44.02M-12.46-8.88%8.89%-6.47%
52
Neutral
$31.79M-4.79-58.08%82.74%17.79%
51
Neutral
$44.30M-1.98-401.94%
47
Neutral
$14.33M-3.37-315.76%11.42%13.68%
45
Neutral
$17.20M-0.64-79.34%-0.17%37.55%
44
Neutral
$12.23M77.671.01%-13.77%-78.34%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TOMZ
TOMI Environmental Solutions
1.74
-0.66
-27.50%
CLWT
Euro Tech Holdings Company
1.60
0.36
29.03%
FTEK
Fuel Tech
1.40
-1.24
-46.97%
CLIR
ClearSign Combustion
4.40
-1.03
-18.94%
LIQT
LiqTech International
0.54
-1.45
-72.86%
SCWO
374Water
2.49
0.14
5.96%

TOMI Environmental Solutions Corporate Events

Regulatory Filings and ComplianceShareholder MeetingsStock Split
TOMI Environmental Executes 1-for-3 Reverse Stock Split
Neutral
Jul 20, 2026
On June 4, 2026, TOMI Environmental Solutions’ majority shareholders approved via written consent the execution of one or more reverse stock splits of its common and Series A preferred stock at ratios between 1-for-3 and 1-for-6, with the bo...
Business Operations and StrategyStock Split
TOMI Environmental Announces One-for-Three Reverse Stock Split
Neutral
Jul 17, 2026
On July 20, 2026, TOMI Environmental Solutions will implement a one-for-three reverse stock split of its common and Series A preferred voting shares, with trading in the split-adjusted common stock beginning that same day and no change to the tota...
Business Operations and StrategyRegulatory Filings and ComplianceShareholder MeetingsStock Split
TOMI Environmental Shareholders Approve Reverse Stock Split Flexibility
Neutral
Jun 10, 2026
On May 19, 2026, TOMI Environmental Solutions received written consent from majority shareholders holding its common and Series A preferred stock, and on June 4, 2026, they approved removing a prior 19.99% issuance cap tied to a November 5, 2025 p...
Delistings and Listing ChangesRegulatory Filings and Compliance
TOMI Environmental Faces Nasdaq Delisting, Plans Appeal
Negative
May 20, 2026
On November 21, 2025, Nasdaq notified TOMI Environmental Solutions that its common stock had traded below the $1.00 minimum bid price for 30 consecutive business days and that the company failed to meet the $2.5 million stockholders’ equity ...
Executive/Board Changes
TOMI Environmental Appoints Interim CFO Amid Leadership Transition
Negative
May 19, 2026
On May 16, 2026, TOMI Environmental Solutions, Inc. appointed Niroshan Srirathan as interim chief financial officer, with an annual base salary of $180,000, following his recent role as controller and a 14-year career in international finance and ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 17, 2026