NRGV - Energy Vault: Why The Continued Dip Of The Commons?
2024-02-01 06:03:19 ET
Summary
- Energy Vault has seen its revenue ramp up significantly on the adoption of its energy storage solutions.
- The company is now trading for 0.3x its booked orders of $843 million as of the end of its most recent quarter.
- A short-term liquidity balance of $132.2 million is set against a quarterly cash burn rate of $95.4 million to materially slim NRGV's cash runway.
Energy Vault (NRGV) held promise when it went public on the NYSE via a blank check company in the winter of 2022. However, the reality since then, like many climate economy tickers, has been marred by aggressive interest rate hikes that have collapsed investor risk sentiment and turned portfolios sour on unprofitable renewable energy tickers. Current shareholders should be cognizant of NRGV's falling liquidity base which when aggregated with continued near-term cash burn could push the ticker below the NYSE's $1 minimum listing requirement. Hence, my outlook on the ticker has changed for the worse since I last covered it....
Energy Vault: Why The Continued Dip Of The Commons?