OTLY - Oatly: Oat Milk Might Be Back
2024-05-02 02:16:53 ET
Summary
- Oatly is trading at its low 0.73x multiple to the low end of its 2024 revenue guidance range.
- The company's cash runway against its annualized first-quarter free cash burn sits at just under five quarters.
- Oatly's cash burn remains a core risk, but the company is making progress in reducing losses and improving gross margins.
Oatly's ( OTLY ) current $600 million market cap reflects consistent quarters of GAAP net losses and cash burn from operations set against a balance sheet with liquidity in decline. The oat milk company has developed a genuinely in-demand product, generating revenue of $199.16 million during its fiscal 2024 first quarter, up 1.8% over its year-ago comp and beating consensus estimates by $1.49 million with the company guiding for its full-year 2024 revenue to grow by 5% to 10% on a constant currency basis. This would imply revenue of at least $822 million for the full year 2024. OTLY is now trading for 0.73x times the low end of its guidance range, its lowest-ever multiple since it went public in the spring of 2021....
Oatly: Oat Milk Might Be Back