Eos Energy Enterprises, Inc. (NASDAQ:EOSE) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Eos Energy Enterprises, Inc. designs, manufactures, and markets zinc-based energy storage solutions for utility-scale, microgrid, and commercial and industrial (C&I) applications in the United States. The US$568m market-cap company's loss lessened since it announced a US$230m loss in the full financial year, compared to the latest trailing-twelve-month loss of US$125m, as it approaches breakeven. The most pressing concern for investors is Eos Energy Enterprises' path to profitability – when will it breakeven? We've put together a brief outline of industry analyst expectations for the company, its year of breakeven and its implied growth rate.

Eos Energy Enterprises is bordering on breakeven, according to the 6 American Electrical analysts. They expect the company to post a final loss in 2025, before turning a profit of US$48m in 2026. Therefore, the company is expected to breakeven roughly 2 years from now. What rate will the company have to grow year-on-year in order to breakeven on this date? Using a line of best fit, we calculated an average annual growth rate of 64%, which signals high confidence from analysts. If this rate turns out to be too aggressive, the company may become profitable much later than analysts predict.

We're not going to go through company-specific developments for Eos Energy Enterprises given that this is a high-level summary, but, keep in mind that by and large a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

One thing we would like to bring into light with Eos Energy Enterprises is it currently has negative equity on its balance sheet. This can sometimes arise from accounting methods used to deal with accumulated losses from prior years, which are viewed as liabilities carried forward until it cancels out in the future. These losses tend to occur only on paper, however, in other cases it can be forewarning.

Next Steps:

There are too many aspects of Eos Energy Enterprises to cover in one brief article, but the key fundamentals for the company can all be found in one place – Eos Energy Enterprises' company page on Simply Wall St. We've also put together a list of important aspects you should further research:

1. Historical Track Record: What has Eos Energy Enterprises' performance been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Eos Energy Enterprises' board and the CEO's background.
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.