Overall Score

Bargaining Power Of Suppliers

Supplier power is moderate because LIQT’s gross margin remains thin at 9.1%, leaving limited room to absorb input-cost pressure.

The company’s current ratio of 4.37 suggests it has enough liquidity to manage supplier terms without immediate stress.

Bargaining Power Of Buyers

Buyer power is elevated because LIQT operates with weak profitability and a net profit margin of -63.2%, limiting pricing flexibility.

A low price-to-sales ratio of 0.37 implies the market expects constrained pricing power and modest demand leverage.

Threat Of New Entrants

Barriers to entry appear moderate given LIQT’s small scale and limited market capitalization of about $5.7M.

However, the company’s established working capital base and existing operating footprint provide some protection against new entrants.

Threat Of Substitutes

Substitute risk remains moderate because LIQT’s weak margins and low returns suggest customers can compare alternatives on price.

The company’s niche positioning may still reduce direct substitution pressure in some end markets.

Rivalry Among Existing Competitors

Competitive rivalry is moderate to high because LIQT’s operating margin is -55.9%, indicating a difficult pricing environment.

Low enterprise value to sales of 0.74 suggests the market sees limited differentiation and intense competition.