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Borealis Foods (BRLS)
NASDAQ:BRLS
US Market
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Borealis Foods (BRLS) AI Stock Analysis

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BRLS

Borealis Foods

(NASDAQ:BRLS)

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Neutral 44 (OpenAI - 5.2)
Rating:44Neutral
Price Target:
$1.50
▼(-5.66% Downside)
Action:Reiterated
Date:07/02/26
The score is primarily weighed down by weak financial performance—large ongoing losses, negative equity, and heavy leverage—plus corporate-event risk tied to filing delays, prior default/forbearance dynamics, and potential dilution. Technicals provide some near-term momentum support, but valuation remains constrained by negative earnings and no dividend yield data.
Positive Factors
Revenue growth and improving gross margin
A substantial revenue increase in 2025 coupled with a return to positive gross profit and ~11.7% gross margin indicates product-market traction and unit economics improving. These trends suggest the business can scale revenue while preserving product margins, a durable precursor to potential operating leverage as volumes grow.
Negative Factors
Negative equity and heavy leverage
Negative equity indicates accumulated losses have eroded shareholder capital, leaving a debt-heavy capital structure. This limits financial flexibility, raises solvency risk, and constrains ability to invest organically or withstand shocks, making reliance on external financing a durable structural vulnerability.
Read all positive and negative factors
Positive Factors
Negative Factors
Revenue growth and improving gross margin
A substantial revenue increase in 2025 coupled with a return to positive gross profit and ~11.7% gross margin indicates product-market traction and unit economics improving. These trends suggest the business can scale revenue while preserving product margins, a durable precursor to potential operating leverage as volumes grow.
Read all positive factors

Borealis Foods (BRLS) vs. SPDR S&P 500 ETF (SPY)

Borealis Foods Business Overview & Revenue Model

Company Description
Borealis Foods Inc. is an enterprise focused on the distribution of food products that are rich in plant-derived protein. The company's offerings feature Chef Woo, a meat alternative with a high protein content, and Ramen Express, which provides v...
How the Company Makes Money
null...

Borealis Foods Financial Statement Overview

Summary
Despite a dramatic TTM revenue increase, profitability remains deeply negative (low gross margin ~11% and net margin about -48%) with large operating losses. The balance sheet is highly stressed with negative stockholders’ equity and heavy debt, limiting financial flexibility. Cash flow is still slightly negative (improving vs prior year), but the business is not yet self-funding.
Income Statement
8
Very Negative
Balance Sheet
5
Very Negative
Cash Flow
7
Very Negative
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue7.39B30.08M27.67M0.0025.59M13.63M
Gross Profit841.50M3.51M2.19M0.00-8.07M-212.99K
EBITDA-1.68B-11.22M-18.08M-2.77M564.79K-7.74M
Net Income-3.53B-18.98M-25.33M-2.94M-26.28M-10.12M
Balance Sheet
Total Assets50.95B52.57B60.01M22.04M64.77M57.38M
Cash, Cash Equivalents and Short-Term Investments479.86M63.86M652.97K93.11K5.15M2.91M
Total Debt22.89B23.14B32.28M3.99M41.18M13.19M
Total Liabilities73.65B71.80B60.70M7.49M60.13M29.30M
Stockholders Equity-22.70B-19.23B-695.89K14.56M4.64M28.08M
Cash Flow
Free Cash Flow-128.14M-6.60B-17.06M-22.47M-2.11M-27.99M
Operating Cash Flow-128.10M-6.60B-15.09M-18.01M-2.11M-6.78M
Investing Cash Flow-39.99K-65.74M-1.91M-4.47M0.00-21.21M
Financing Cash Flow544.01M6.08B10.03M24.94M1.66M27.52M

Borealis Foods Technical Analysis

Technical Analysis Sentiment
Positive
Last Price1.59
Price Trends
50DMA
1.39
Positive
100DMA
1.43
Positive
200DMA
1.89
Negative
Market Momentum
MACD
0.01
Negative
RSI
59.30
Neutral
STOCH
85.39
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRLS, the sentiment is Positive. The current price of 1.59 is above the 20-day moving average (MA) of 1.44, above the 50-day MA of 1.39, and below the 200-day MA of 1.89, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 59.30 is Neutral, neither overbought nor oversold. The STOCH value of 85.39 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BRLS.

Borealis Foods Risk Analysis

Borealis Foods disclosed 27 risk factors in its most recent earnings report. Borealis Foods reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Borealis Foods Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$20.33B14.63-3.31%3.23%1.93%-12.26%
60
Neutral
$10.96M8.793795.06%-8.74%-33.18%
58
Neutral
$53.70M-27.98-5.35%15.84%-45.39%
44
Neutral
$34.13M-1.87164.41%14.96%13.45%
44
Neutral
$15.00M-1.01-17.43%12.37%-69.61%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BRLS
Borealis Foods
1.59
-2.01
-55.83%
BRID
Bridgford Foods
6.56
-1.37
-17.28%
NAII
Natural Alternatives International
2.39
-0.82
-25.55%
BTOG
Bit Origin
1.24
-8.89
-87.76%
LSF
Laird Superfood
4.88
-1.51
-23.63%
WYHG
Wing Yip Food Holdings Group Limited Sponsored ADR
4.26
-1.22
-22.26%

Borealis Foods Corporate Events

Executive/Board ChangesShareholder Meetings
Borealis Foods Shareholders Back Board and Auditor Choices
Positive
Jun 30, 2026
On June 29, 2026, Borealis Foods Inc. held its 2026 annual meeting of shareholders, where 12,845,650 shares, representing 59.8% of outstanding common stock, were present in person via virtual attendance or by proxy, establishing a quorum for forma...
Private Placements and FinancingRegulatory Filings and Compliance
Borealis Foods Issues Convertible Note to Major Shareholder
Neutral
Jun 4, 2026
On May 29, 2026, Borealis Foods Inc. issued a $3 million senior unsecured convertible promissory note to its largest shareholder, OXUS CAPITAL PTE LTD., bearing 10% annual interest and maturing on the earlier of August 29, 2026 or acceleration aft...
Delistings and Listing ChangesRegulatory Filings and Compliance
Borealis Foods Receives Nasdaq Notice for Filing Delays
Negative
May 27, 2026
Borealis Foods Inc., a food technology company developing innovative, nutritious and affordable food products, has its common shares and warrants listed on the Nasdaq Capital Market under the tickers BRLS and BRLSW. The Toronto-based firm operates...
Regulatory Filings and ComplianceShareholder Meetings
Borealis Foods Schedules 2026 Virtual Annual Shareholder Meeting
Neutral
May 15, 2026
Borealis Foods Inc. has scheduled its 2026 Annual Meeting of Shareholders for June 29, 2026, to be held in a virtual-only format at 12:30 p.m. Eastern, after not holding an annual meeting during the fiscal year ended December 31, 2025. Shareholder...
Executive/Board ChangesPrivate Placements and FinancingRegulatory Filings and Compliance
Borealis Foods Announces Board Changes and New Appointments
Neutral
May 14, 2026
On May 11, 2026, Borealis Foods announced the resignation of director Shiv Khemka from its board and key committees, clarifying that his departure did not stem from any disagreement over the company’s operations, policies or practices. On th...
Business Operations and StrategyExecutive/Board ChangesPrivate Placements and FinancingRegulatory Filings and Compliance
Borealis Foods Secures New Oxus Loan, Reshapes Governance
Neutral
May 1, 2026
On April 27, 2026, Borealis Foods’ subsidiaries entered into a $17 million secured term loan with major shareholder and former SPAC sponsor Oxus Capital, using the proceeds to fully repay about $16.2 million owed under a prior Frontwell Capi...
Business Operations and StrategyExecutive/Board ChangesPrivate Placements and Financing
Borealis Foods Secures New Term Loan, Restructures Debt
Negative
Apr 28, 2026
On April 27-28, 2026, Borealis Foods refinanced its debt by securing a $17 million term loan facility from major shareholder Oxus Capital, using the proceeds to fully repay its existing credit agreement with Frontwell Capital Partners and terminat...
Delistings and Listing ChangesFinancial DisclosuresRegulatory Filings and Compliance
Borealis Foods Receives Nasdaq Notice Over Late 10-K
Negative
Apr 23, 2026
Borealis Foods disclosed that on April 17, 2026 it received a deficiency notice from Nasdaq after failing to timely file its Annual Report on Form 10-K for the year ended Dec. 31, 2025, as required under Listing Rule 5250(c)(1). The notice does no...
Business Operations and StrategyFinancial DisclosuresPrivate Placements and FinancingRegulatory Filings and Compliance
Borealis Foods Faces Default Notice Amid Forbearance Uncertainty
Negative
Apr 17, 2026
On March 27, 2026, Borealis Foods and its subsidiaries entered into a Forbearance and Amendment Agreement with lender Frontwell Capital Partners after prior events of default under an August 2023 credit agreement. As part of that deal, the company...
Business Operations and StrategyExecutive/Board ChangesFinancial DisclosuresLegal ProceedingsPrivate Placements and FinancingRegulatory Filings and Compliance
Borealis Foods Enters Forbearance and Appoints Restructuring Officer
Negative
Apr 2, 2026
On March 27, 2026, Borealis Foods entered into a forbearance and amendment agreement with Frontwell Capital after multiple events of default under its August 2023 credit facility, including failures to maintain required excess availability, overad...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 02, 2026