Clean Energy Technologies, Inc. (NASDAQ:CETY), a company specializing in natural gas distribution, has received a notice from Nasdaq regarding non-compliance with the minimum bid price requirement. On Monday (NASDAQ:MNDY), the firm was informed that its common stock had been trading below the $1.00 minimum bid price for the past 30 consecutive business days, violating Nasdaq's Listing Rule 5550(a)(2).
The company's stock will continue to be listed and trade on the Nasdaq Capital Market under the ticker "CETY" for the time being. Nasdaq has provided Clean Energy Technologies with 180 calendar days, until May 5, 2025, to meet the minimum bid price criterion.
To regain compliance, the company's common stock must maintain a closing bid price of at least $1.00 for at least 10 consecutive business days.
If compliance is not achieved by the given deadline, the company may be eligible for an additional 180-day grace period, provided it meets all other initial listing standards for The Nasdaq Capital Market, with the exception of the bid price requirement. The company would also need to inform Nasdaq of its plans to rectify the bid price shortfall.
Clean Energy Technologies has stated its intention to closely monitor its stock's closing bid price and to evaluate all possible measures to address the deficiency and regain compliance with Nasdaq's continued listing standards. This announcement is based on a recent SEC filing by the company.
In other recent news, Clean Energy Technologies, Inc. has made significant strides in the renewable energy and technology sectors. The company recently announced its intention to venture into the Cryptocurrency Mining and Artificial Intelligence Datacenter sectors, signing a Memorandum of Understanding with True North Computation, Inc. This move is in response to increasing market demand and is expected to bring substantial value to customers in these new markets.
Another major development involves the company's affiliate, Vermont Renewable Gas, LLC (VRG), which has been awarded a $1 million grant from the United States Department of Agriculture (USDA) under the Rural Energy for America Program (REAP).
This funding will support the completion of the VRG – Lyndon 2.2-megawatt renewable energy facility in Vermont, which is expected to be fully operational within 12 months.
The facility will utilize Clean Energy Technologies' HTAP Biomass Reactor technology to convert waste biomass into renewable fuel gas and BioChar fertilizer, producing over 18,000 MWh of electricity and 1,500 tons of BioChar annually.
These developments are part of Clean Energy Technologies' broader strategy to integrate biomass solutions into its business, enhancing its heat recovery offerings and driving growth.
These are recent developments in the company's ongoing commitment to expanding its clean energy solutions portfolio and contributing to the biomass renewable energy sector.
InvestingPro Insights
Clean Energy Technologies' (CETY) recent Nasdaq non-compliance notice comes amid a challenging financial landscape for the company. According to InvestingPro data, CETY's revenue for the last twelve months as of Q2 2024 stood at $13.55 million, with a substantial revenue growth of 296.83% over the same period. However, this growth hasn't translated into profitability, as the company reported an operating income of -$3.39 million and is not profitable over the last twelve months.
InvestingPro Tips highlight that CETY suffers from weak gross profit margins, which is reflected in the data showing a gross profit margin of just 7.94% for the last twelve months. This low margin could be a contributing factor to the company's struggle to maintain a stock price above the Nasdaq's minimum requirement.
On a more positive note, CETY has shown strong short-term performance, with InvestingPro Tips indicating significant returns over the last week and month. The 1-week price total return stands at an impressive 31.17%, while the 1-month return is 20.96%. These recent gains could potentially help the company in its efforts to regain compliance with Nasdaq's listing requirements.
For investors considering CETY's future prospects, it's worth noting that InvestingPro offers 5 additional tips for this stock, providing a more comprehensive analysis of the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.