ERII (Energy Recovery) Cyclically Adjusted PS Ratio: (As of Aug. 07, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
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Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
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Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

ERII Energy Recovery Inc ERII
66 GF Score
Price $8.67
GF Value $13.42
Valuation Significantly Undervalued
! 6 Warning Signs
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What is Energy Recovery Cyclically Adjusted PS Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


Energy Recovery  (NAS:ERII) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Energy Recovery Cyclically Adjusted PS Ratio Related Terms


Energy Recovery Cyclically Adjusted PS Ratio Historical Data

* Premium members only.

The historical data trend for Energy Recovery's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Energy Recovery Cyclically Adjusted PS Ratio Chart

Energy Recovery Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 17.78 14.63 12.07 8.28 6.89

Energy Recovery Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.95 8.20 6.89 5.07 4.50

ERII vs ZONE, ARQ, FTEK: Cyclically Adjusted PS Ratio Comparison

For the Pollution & Treatment Controls subindustry, Energy Recovery's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Energy Recovery Cyclically Adjusted PS Ratio vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Energy Recovery's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Energy Recovery's Cyclically Adjusted PS Ratio falls into.


ERII
66GF Score
Energy Recovery Inc ERII
Cyclically Adjusted PS Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Energy Recovery Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Energy Recovery's Cyclically Adjusted Revenue per Share for the quarter that ended in Jun. 2026 is calculated as:

For example, Energy Recovery's adjusted Revenue per Share data for the three months ended in Jun. 2026 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Jun. 2026 (Change)*Current CPI (Jun. 2026)
=0.233/333.9520*333.9520
=0.233

Current CPI (Jun. 2026) = 333.9520.

Energy Recovery Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201609 0.212 241.428 0.293
201612 0.256 241.432 0.354
201703 0.218 243.801 0.299
201706 0.196 244.955 0.267
201709 0.251 246.819 0.340
201712 0.378 246.524 0.512
201803 0.205 249.554 0.274
201806 0.314 251.989 0.416
201809 0.336 252.439 0.444
201812 0.253 251.233 0.336
201903 0.290 254.202 0.381
201906 0.343 256.143 0.447
201909 0.386 256.759 0.502
201912 0.280 256.974 0.364
202003 0.336 258.115 0.435
202006 0.342 257.797 0.443
202009 0.485 260.280 0.622
202012 0.462 260.474 0.592
202103 0.494 264.877 0.623
202106 0.349 271.696 0.429
202109 0.354 274.310 0.431
202112 0.574 278.802 0.688
202203 0.559 287.504 0.649
202206 0.361 296.311 0.407
202209 0.531 296.808 0.597
202212 0.736 296.797 0.828
202303 0.238 301.836 0.263
202306 0.368 305.109 0.403
202309 0.639 307.789 0.693
202312 0.992 306.746 1.080
202403 0.212 312.332 0.227
202406 0.474 314.175 0.504
202409 0.662 315.301 0.701
202412 1.136 315.605 1.202
202503 0.147 319.799 0.154
202506 0.515 322.561 0.533
202509 0.599 324.800 0.616
202512 1.231 324.054 1.269
202603 0.184 330.213 0.186
202606 0.233 333.952 0.233

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

Is Energy Recovery (ERII) Overvalued in 2026?

Based on GuruFocus' analysis, Energy Recovery stock appears to be undervalued. The current stock price of $8.67 is trading 35.4% below its estimated GF Value™ of $13.42. GuruFocus considers Energy Recovery to be Significantly Undervalued.

Key valuation signals for ERII:

  • Cyclically Adjusted PS Ratio:
  • GF Value™: $13.42 vs. price of $8.67 (35.4% below fair value)
  • GF Score™: 66/100 with 6 warning signs

No single metric tells the full story. See the ERII stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Energy Recovery Business Description

Other Exchanges 5E2:Germany
Address 1717 Doolittle Drive, San Leandro, CA, USA, 94577
Energy Recovery Inc designs and manufactures energy-saving technologies. The firm uses its proprietary pressure exchanger technology to help customers in multiple industries improve their operations and lower their emissions. Using its proprietary technology, it offers energy recovery devices, including pressure exchangers, pumps, and turbochargers, mainly used for seawater desalination and wastewater treatment. Additionally, the company is involved in the development of emerging technologies, such as the PX G1300 used in industrial and commercial refrigeration applications. The firm's reportable operating segments are: Water, which generates maximum revenue, and Emerging Technologies. Geographically, it generates maximum revenue from the Middle East, and the rest from other markets.
66GF Score

Get the complete analysis for ERII

Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$8.67
Price
$13.42
GF Value