Investment Thesis
NextDecade is a pre-revenue, capital-intensive development-stage company facing imminent solvency and liquidity crises. With zero revenue generation, negative stockholders' equity of -$30.7M, and a cash burn rate of $1.3B annually, the company cannot sustain operations without significant capital injection or debt restructuring.
Strengths
- Net losses improved 28.7% year-over-year, demonstrating operational progress toward profitability
- Maintains $143.1M cash reserve providing short-term liquidity buffer
- Substantial asset base of $13.2B reflects significant project infrastructure investment
Risks
- Zero revenue with -$195.0M annual net loss and -$110.8M operating cash flow indicates fundamentally unsustainable current operations
- Negative stockholders' equity (-$30.7M) combined with $10.9B liabilities and $9.4B long-term debt creates acute insolvency and refinancing risk
- Critical liquidity crisis: current ratio of 0.40x, negative interest coverage of -0.7x, and -$1.3B free cash flow burn rate exhausts cash reserves in ~1.3 years without revenue
Key Metrics to Watch
- Quarterly cash runway and operating cash flow trajectory toward sustainability
- Revenue generation milestones and timeline to profitability
- Debt covenant compliance and refinancing or restructuring announcements
- Stockholders' equity path to positive territory
- Capital expenditure timing and efficiency relative to project development stage
Financial Metrics
Revenue
0.0
Net Income
-195.0M
EPS (Diluted)
$-0.51
Free Cash Flow
-1.3B
Total Assets
13.2B
Cash
143.1M
Profitability Ratios
Gross Margin
N/A
Operating Margin
N/A
Net Margin
N/A
ROE
N/A
ROA
-1.5%
FCF Margin
N/A
Balance Sheet & Liquidity
Current Ratio
0.40x
Quick Ratio
0.40x
Debt/Equity
N/A
Debt/Assets
82.2%
Interest Coverage
-0.70x
Long-term Debt
9.4B
Disclaimer: This analysis is generated by AI based on publicly available SEC EDGAR filings.
It does not include stock price data and should not be considered financial advice.
All fundamental data is sourced from SEC public domain filings.
Always conduct your own research before making investment decisions.
Data Source: SEC EDGAR |
Analysis Date: 2026-05-06T19:43:40.982081 |
Data as of: 2026-03-31 |
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