NAT - Nordic American Tankers: Survival Coming Down To The Wire May Not Last Another Quarter

• Nordic American Tankers went from seeing record earnings during 2020 to fighting for their survival during 2021.
• Sadly this is now coming down to the wire and they may not last another quarter given their dangerous liquidity that is threatening their solvency.
• They once again saw negative operating cash flow during the second quarter of 2021 despite also seeing help from a working capital draw.
• They are now almost out of available cash due to a debt covenant with only $4.3m remaining, which is less than they burnt during the second quarter alone.
• Whilst this sounds bearish, due to the high volatility in their industry that could see their share price make sizable moves in either direction, I still only believe that a neutral rating is appropriate.

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