Laser Focus World is an industry bedrock—first published in 1965 and still going strong. We publish original articles about cutting-edge advances in lasers, optics, photonics, sensors, and quantum technologies, as well as test and measurement, and the shift currently underway to usher in the photonic integrated circuits, optical interconnects, and copackaged electronics and photonics to deliver the speed and efficiency essential for data centers of the future.

Our 80,000 qualified print subscribers—and 130,000 12-month engaged online audience—trust us to dive in and provide original journalism you won’t find elsewhere covering key emerging areas such as laser-driven inertial confinement fusion, lasers in space, integrated photonics, chipscale lasers, LiDAR, metasurfaces, high-energy laser weaponry, photonic crystals, and quantum computing/sensors/communications. We cover the innovations driving these markets.

Laser Focus World is part of Endeavor Business Media, a division of EndeavorB2B.

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Editorial Advisory Board

  • Professor Andrea M. Armani, University of Southern California
  • Ruti Ben-Shlomi, Ph.D., LightSolver
  • James Butler, Ph.D., Hamamatsu
  • Natalie Fardian-Melamed, Ph.D., Columbia University
  • Justin Sigley, Ph.D., AmeriCOM
  • Professor Birgit Stiller, Max Planck Institute for the Science of Light, and Leibniz University of Hannover
  • Professor Stephen Sweeney, University of Glasgow
  • Mohan Wang, Ph.D., University of Oxford
  • Professor Xuchen Wang, Harbin Engineering University
  • Professor Stefan Witte, Delft University of Technology

3 Cash-Burning Stocks We’re Skeptical Of

HCAT Cover Image

Rapid spending isn’t always a sign of progress. Some cash-burning businesses fail to convert investments into meaningful competitive advantages, leaving them vulnerable.

Negative cash flow can lead to trouble, but StockStory helps you identify the businesses that stand a chance of making it through. That said, here are three cash-burning companies to steer clear of and a few better alternatives.

Health Catalyst (HCAT)

Trailing 12-Month Free Cash Flow Margin: -8.1%

Built on its "Health Catalyst Flywheel" methodology that emphasizes measurable outcomes, Health Catalyst (NASDAQ: HCAT) provides data and analytics technology and services that help healthcare organizations manage their data and drive measurable clinical, financial, and operational improvements.

Why Is HCAT Risky?

  1. Muted 5.4% annual revenue growth over the last two years shows its demand lagged behind its software peers
  2. Competitive market means the company must spend more on sales and marketing to stand out even if the return on investment is low
  3. Depletion of cash reserves could lead to a fundraising event that triggers shareholder dilution

At $3.03 per share, Health Catalyst trades at 0.7x forward price-to-sales. Read our free research report to see why you should think twice about including HCAT in your portfolio.

The Honest Company (HNST)

Trailing 12-Month Free Cash Flow Margin: -1.5%

Co-founded by actress Jessica Alba, The Honest Company (NASDAQ: HNST) sells diapers and wipes, skin care products, and household cleaning products.

Why Are We Out on HNST?

  1. Revenue base of $389.8 million puts it at a disadvantage compared to larger competitors exhibiting economies of scale
  2. Free cash flow margin dropped by 6.6 percentage points over the last year, implying the company became more capital intensive as competition picked up
  3. Negative returns on capital show management lost money while trying to expand the business

The Honest Company’s stock price of $3.66 implies a valuation ratio of 14.2x forward EV-to-EBITDA. To fully understand why you should be careful with HNST, check out our full research report (it’s free for active Edge members).

Applied Digital (APLD)

Trailing 12-Month Free Cash Flow Margin: -456%

Pivoting from its origins in cryptocurrency mining to become a key player in the AI infrastructure boom, Applied Digital (NASDAQ: APLD) designs and operates specialized data centers that provide high-performance computing infrastructure for artificial intelligence and blockchain applications.

Why Does APLD Give Us Pause?

  1. Earnings per share fell by 83.8% annually over the last two years while its revenue grew, showing its incremental sales were much less profitable
  2. 54.3 percentage point decline in its free cash flow margin over the last five years reflects the company’s increased investments to defend its market position
  3. Short cash runway increases the probability of a capital raise that dilutes existing shareholders

Applied Digital is trading at $36.20 per share, or 94.5x forward EV-to-EBITDA. Check out our free in-depth research report to learn more about why APLD doesn’t pass our bar.

Stocks We Like More

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today for free. Find your next big winner with StockStory today. Find your next big winner with StockStory today

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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