NNA - Navios Maritime Acquisition: A Short-Term Gamble With A Bleak Long-Term Future

• Quite a lot can change during just one year, with Navios Maritime Acquisition going from boom times during the first half of 2020 to now facing bankruptcy risks.
• They have suffered one of the worst downturns of the last few decades during the start of 2021 that has decimated their cash flow performance.
• Although the bigger issue is actually their crisis-level liquidity with massive upcoming debt maturities, which make their shares a gamble in the short-term.
• Even if looking past this hurdle, they still face a bleak long-term future since they have no realistic ability to deleverage and thus this issue will only keep arising again in the future.
• Whilst this sounds bearish, I am still maintaining my neutral rating since their share price could go either way in the short-term depending upon their debt refinancing.

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