Westport Fuel Systems Inc. (WPRT) AI Stock Analysis

Westport Fuel Systems Inc. specializes in engineering, manufacturing, and supplying alternative fuel systems and components for transportation applications worldwide. The company operates across two primary segments: Original Equipment Manufacturer (OEM) and Independent Aftermarket. Its offerings support fuels including liquefied petroleum gas (LPG), compressed natural gas (CNG), liquefied natural gas (LNG), renewable natural gas (RNG), and hydrogen across passenger cars and commercial trucks. Key proprietary innovations include the Westport High Pressure Direct Injection 2.0 system for diesel engines. Products are marketed under brands such as Cummins Westport, BRC Gas Equipment, Westport, OMVL, Prins, GFi Control systems, Emer, Zavoli, TA Gas Technology, Valtek, and AFS.

Westport saw revenue move from $312.4M in FY2021 to $331.8M in FY2023, before declining to $302.3M in FY2024 and falling 92.3% to $23.3M in FY2025. Its 5-year revenue CAGR from FY2020 to FY2025 was -37.9%. Operating margins contracted from -9.8% in FY2021 to -61.0% in FY2025, while net losses reached -$61.6M in FY2025. Over the trailing twelve months, revenue totaled $8.5M, with an operating margin of -203.2% and EPS of -$2.08. In the latest quarter ending June 30, 2026, quarterly revenue fell 78.3% year-over-year, while quarterly earnings grew 2.7%.

As of June 30, 2026, Westport held $23.9M in cash and short-term investments against total debt of $2.5M, resulting in net cash of $21.4M. Shareholders' equity stood at $52.3M against total assets of $85.0M, reflecting a debt-to-equity ratio of 0.05 and a current ratio of 1.14. In FY2025, operating cash flow was -$15.1M and free cash flow was -$17.8M, with capital expenditures totaling $2.7M. Over five years, the share count increased by 3.1%.

Westport trades at a forward P/E of 144.9x, substantially higher than the 14.1x median of its US-listed Consumer Cyclical peers. Its price-to-sales multiple is 4.0x compared to the peer median of 0.7x, while its EV-to-EBITDA stands at 1.0x versus the peer median of 11.1x. The company has an enterprise value of $16.8M on a market cap of $34.2M. Over the past year, the stock fell 14.3%, trailing the S&P 500 return of 16.8%. Over five years, the stock dropped 94.7%, while the S&P 500 gained 83.0%.

Wall Street coverage consists of 2 Strong Buy, 1 Buy, and 1 Hold ratings, with no Sell or Strong Sell recommendations. The mean price target is $3.66, representing an upside of 103.5% over the last close of $1.80 on October 16, 2026. For the fiscal year ending December 31, 2026, consensus estimates project revenue of $9.8M and an EPS of -$1.48. For the next fiscal year, 3 analysts estimate revenue of $10.7M and EPS of -$0.61. Westport beat EPS estimates in 2 of the last 4 quarters, and its next earnings date is November 9, 2026.

This page is an AI-written research summary of Westport Fuel Systems Inc. (WPRT). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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