Tecogen Inc.
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Range $7.5 – $7.5
Price Chart
About the company
Tecogen Inc. specializes in the design, manufacturing, sales, and ongoing support of industrial and commercial combined heat and power (CHP) systems. These energy solutions cater to a wide range of applications—residential, commercial, recreational, and industrial—both within the United States and internationally.
- CEO
- Abinand Rangesh
- IPO
- 2014
- Employees
- 120
- HQ
- North Billerica, MA, US
AI snapshot
Six angles, distilled from the data.
The stock remains in a long-term downtrend, trading below its 200-day average after a sharp reset from the 52-week high of 12.07. The setup is still repair mode, with price closer to the lower end of the yearly range than a sustained base.
Street sentiment is constructive but cautious: consensus is Buy, with an average target of 7.50 versus a sub-$3 last close. Northland’s May target raise to 7.50 reinforced the bullish case, but the stock still needs execution to close that gap.
The earnings profile is improving at the margin, with two straight beats after a mixed stretch. Next-year EPS is expected to improve from a 2026 loss of 0.253 to 0.15, so shareholders should watch whether revenue stabilization and margin discipline continue.
No notable discretionary insider buying or selling. Recent filings are dominated by award grants to executives and directors, which are compensation-related rather than a clear signal of conviction.
Profitability remains weak, but gross margin is holding at 36.2% even as operating margin sits at -37.4% and net margin at -42.3%. Revenue is still contracting 21.2% year over year, while the balance sheet carries $12.4 million of cash against $2.8 million of debt.
TGEN is a niche industrial energy-equipment name with a small-cap profile and high beta, so it trades more on execution than on broad sector multiples. The stock still screens inexpensive versus the $7.50 consensus target, but the valuation discount reflects persistent losses and uneven growth.
Similar companies
Peers in the same neighborhood.
- Market Cap
- $81.08M
- P/E
- -6.55
- Fwd P/E
- 21.39
- PEG
- 0.09
- P/S
- 2.62
- P/B
- 4.58
- EV/EBITDA
- -6.75
- Div Yield
- 0.00%
- Gross Margin
- 37.18%
- Op Margin
- -37.34%
- Net Margin
- -40.48%
- ROE
- -59.21%
- ROIC
- -47.69%
Latest fiscal year · YoY change
- Revenue
- $27.07M+19.7%
- Gross Profit
- $9.82M-0.5%
- Op Income
- $-7,131,518
- Net Income
- $-8,248,755-73.3%
- EPS
- $-0.30-57.9%
- OCF Growth
- -344.1%
- FCF Growth
- -433.6%
- 52W High
- $12.07
- 52W Low
- $1.92
- 50D MA
- $3.25
- 200D MA
- $4.07
- Beta
- 2.17
- RSI (14)
- 39
- Avg Volume
- 195.05K
Earnings call summaries
Pick a quarter — each call distilled into takeaways, results, and a bull vs bear read.
Tecogen said Q2 was pressured by lower product sales, but management argued the data center pipeline has expanded meaningfully and could start converting into projects soon.· August 13, 2026
- Q2 revenue fell to $5.8 million from $7.3 million, driven mainly by weaker product sales.
- Gross profit was $2.2 million and gross margin improved to 37.8% from 33.8%, helped by better product margin.
- Management said it hosted 12 product demonstrations in the last two months, including hyperscale and partner visits representing more than 8 gigawatts of capacity.
- Base business backlog is now above $8 million, with another $2 million to $3 million of projects expected to close over the next few months.
- The company is starting to build inventory to shorten lead times, while emphasizing cash-flow discipline and phased capacity risk management.
Total revenue was $5.8 million in Q2 2026, down 21% or $1.5 million from $7.3 million in Q2 2025. Gross profit was $2.2 million, down 11.9% from $2.5 million, while gross margin improved to 37.8% from 33.8%. Net loss widened to $2.2 million from $1.5 million, and adjusted EBITDA loss was $1.7 million versus $1.2 million last year. By segment, products revenue fell 64% to $1.1 million from $3.2 million, services revenue rose 10% to $4.4 million from $4.0 million, and energy production revenue rose 35% to $240 thousand from $170 thousand. Management did not provide formal quarterly or full-year numeric guidance, but said it expects revenue to increase in Q3, with product revenue and cash collections helped by a backlog above $8 million plus an additional $2 million to $3 million of expected project closings.
CEO Abinand Rangesh focused almost entirely on the data center opportunity, arguing that Tecogen has now reached a point where larger hyperscale and brand-name customers are engaging seriously. He said the company has moved from smaller reference projects toward larger names, and that the product demos have shown strong interest because the technology addresses power, water, noise, and emissions issues. His tone was optimistic and strategic, but he repeatedly framed the goal as maximizing value while managing the constraints of a small company, cash, and lead times.
CFO Roger Deschenes said Q2 revenue declined because of lower product segment sales, but service and energy production grew, partially offsetting the weakness. He highlighted gross margin improvement to 37.8% from 33.8%, with product gross margin rising to 48.5% from 29.3% due to price increases and mix, while service gross margin was held back by about $300 thousand of one-time costs at serviced energy sites; excluding those costs, service gross margin would have been 7% higher. He also noted operating expenses rose to $4.3 million from $3.9 million due to higher operating costs and manufacturing capacity expansion, though expenses were down about $400 thousand versus Q1.
Analysts pressed management on whether the 12 demos represented real momentum, whether larger customers were ready to scale, and how inventory build would affect cash. Rangesh said all 12 were different entities, 8 were potential direct end customers, and the rest were engineers or partners with influence; he also said the company is building inventory to reduce lead times and may start small and grow with larger customers. Questions about Vertiv were largely deflected because management said it wanted to avoid approvals until something more substantial closes, though Rangesh said the relationship is in a very good place and the MPA process is still progressing. Analysts also asked about retrofit versus new-build demand, and management said it is seeing both, with more opportunities now in existing data centers, expansions, and phased campus additions.
The bullish case from this call is that Tecogen appears to be moving from awareness to serious evaluation among larger data center players, with 12 demos and interest across more than 8 gigawatts of capacity. Management believes the product solves practical pain points around power constraints, water use, noise, and emissions, and said it is already seeing opportunities to build inventory ahead of orders and shorten lead times.
The bear case is that Q2 fundamentals were weak: revenue fell, product sales dropped sharply, and the net loss widened. Management still has not closed meaningful data center orders, some opportunities remain dependent on external timing factors, and the company may need to commit capital to inventory before orders are fully secured, which adds execution and cash-flow risk.
AI summary of the company's earnings call · Paraphrased · Not investment advice
- Free Float
- 59.9%
- Shares Outstanding
- 29.92M
- Float Shares
- 17.93M
of shares held by institutions
68 13F filers
Buy/sell ratio 0.00. Sells can include pre-scheduled 10b5-1 plan sales, not just discretionary selling.
Top institutional holders
Largest 13F positions, with quarter-over-quarter change.
| Holder | Shares | Δ Quarter |
|---|---|---|
| Portolan Capital Management, LLC | 1.55M | ▲ 1.11M |
| Vanguard Group Inc | 871.84K | ▲ 1.40K |
| Vanguard Capital Management LLC | 788.67K | ▲ 18.71K |
| Bard Associates Inc | 682.22K | ▼ 6.09K |
| Clear Harbor Asset Management, LLC | 650.00K | 0 |
| Herald Investment Management Ltd | 420.00K | 0 |
| Gratia Capital, LLC | 388.66K | ▲ 388.66K |
| Ubs Group AG | 363.05K | ▲ 43.21K |
| Meros Investment Management, LP | 353.49K | ▲ 61.78K |
| Palisades Investment Partners, LLC | 323.09K | ▼ 10.82K |
| Susquehanna International Group, Llp | 315.83K | ▲ 206.37K |
| Morgan Stanley | 301.69K | ▲ 224.96K |
Held by 27 ETFs
Biggest fund positions in TGEN by dollar value.
Recent insider transactions
Who's buying, who's selling, and how much.
| Date | Insider | Type | Shares |
|---|---|---|---|
| Jun 26, 26 | Lafaille Stephen | other | 29,013 |
| Jun 26, 26 | Whiting John Kimball IV | other | 19,342 |
| Jun 26, 26 | Panora Robert | other | 9,671 |
| Jun 26, 26 | Deschenes Roger P. | other | 29,013 |
| Jun 26, 26 | Rangesh Abinand | other | 174,081 |
| Jun 26, 26 | Whiting John Kimball IV | other | 19,342 |
| Jun 26, 26 | Lafaille Stephen | other | 29,013 |
| Jun 26, 26 | Deschenes Roger P. | other | 29,013 |
| Jun 26, 26 | Panora Robert | other | 26,041 |
| Jun 26, 26 | Panora Robert | other | 9,671 |
A “Sell” may be a pre-scheduled 10b5-1 plan sale rather than a discretionary decision — read insider selling with that in mind.
Our TGEN coverage
Recent articles, reports, and earnings notes.
Want a deeper read on TGEN?
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Headlines from third-party outlets — TickerSpark isn't affiliated with these sources.
AI analysis · Last refreshed September 30, 2026 · Live quote · Not investment advice
