NOVONIX Ltd Sponsored ADR (NVX) AI Stock Analysis

• Market Cap: $201.59M
• Dividend Yield: N/A
• Average Volume (3M): 158.34K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.86
• Revenue Growth: -14.27%
• EPS Growth: -28.56%
• Country: US
• Employees: 210
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): -0.60
• Shares Outstanding: 166,390,910
• 10 Day Avg. Volume: 133,772
• 30 Day Avg. Volume: 158,337
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 35.60
• Enterprise Value/Gross Profit: -21.91
• Enterprise Value/Ebitda: -3.13
• 1Y Price Target: $1.50
• Price Target Upside: 18.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: $1.50 ▲(18.11% Upside)

The overall stock score for NOVONIX Ltd is primarily impacted by its weak financial performance, characterized by ongoing operational losses and negative cash flows. Technical analysis provides a neutral outlook, with no strong momentum signals. Valuation metrics are unfavorable due to negative earnings and the absence of dividends, further weighing down the score.

Positive Factors

Strategic Partnerships

Strategic partnerships enhance NOVONIX's market reach and innovation capabilities, providing a durable competitive advantage in the battery industry.

Product Innovation

NOVONIX's emphasis on innovative battery materials positions it well to capitalize on growing demand for efficient energy storage solutions.

Global Market Reach

Serving a global market allows NOVONIX to leverage diverse revenue streams and mitigate regional economic fluctuations, supporting long-term growth.

Negative Factors

Negative Cash Flow

Persistent negative cash flow suggests difficulties in sustaining operations and funding growth, potentially impacting long-term financial stability.

Operational Losses

Continued operational losses highlight the need for improved cost management and profitability to ensure long-term viability.

Revenue Decline

Declining revenue growth reflects challenges in market expansion and competitive positioning, necessitating strategic adjustments for sustained growth.

NOVONIX Ltd Sponsored ADR Business Overview & Revenue Model

Company Description

Novonix Limited develops and supplies battery materials, equipment, and services to the lithium-ion battery market in North America. It operates through three segments: Graphite Exploration and Mining, Battery Technology, and Battery Materials. The Graphite Exploration and Mining segment explores for graphite in Australia. The Battery Technology segment develops battery cell testing equipment and batteries, and consulting services. The Battery Materials segment develops and manufactures battery anode materials. The company is also involved in the investment and battery testing activities. Novonix Limited has strategic alliance with Harper International Corporation to develop specialized furnace technology that would enhance Novonix's synthetic graphite manufacturing process; and partnership with Emera Technologies to develop and manufacture energy storage systems for community microgrids. The company was formerly known as Graphitecorp Limited and changed its name to Novonix Limited in July 2017. Novonix Limited was incorporated in 2012 and is headquartered in Brisbane, Australia.

How the Company Makes Money

NOVONIX Ltd generates revenue through multiple streams primarily associated with the lithium-ion battery supply chain. The company's key revenue sources include the sale of high-purity synthetic graphite anode materials, which are critical components for lithium-ion batteries used in electric vehicles, consumer electronics, and energy storage systems. Additionally, NOVONIX offers battery testing services and technology solutions that provide significant value to manufacturers seeking to optimize battery performance and lifespan. The company's strategic partnerships with industry leaders and ongoing investment in research and development further bolster its revenue potential by fostering innovation and expanding its market reach.

NOVONIX Ltd Sponsored ADR Financial Statement Overview

Summary

NOVONIX Ltd faces considerable financial challenges, with ongoing operational losses and negative cash flows indicating struggling performance. While the balance sheet shows moderate leverage, the overall financial health requires attention to improve profitability and liquidity. Strategic initiatives to enhance revenue growth and cost efficiency are essential to stabilize the company's financial outlook.

Income Statement

NOVONIX Ltd has faced significant challenges in its profitability, with a negative EBITDA and net income indicating ongoing operational losses. The gross profit margin is positive, but the net profit margin is negative due to high operating expenses. Revenue growth is inconsistent, showing a decline from the previous year. These factors suggest financial instability and a need for improved cost management.

Balance Sheet

The balance sheet shows a moderate debt-to-equity ratio, indicating some leverage but not excessive. The equity ratio is relatively strong, suggesting reliance on equity financing. However, declining stockholders' equity and total assets indicate potential financial strain. The company's financial position is relatively stable but needs improvement in asset and equity management.

Cash Flow

The company has negative operating and free cash flow, indicating challenges in generating cash from operations. The free cash flow growth rate is negative, reflecting financial difficulties. The operating cash flow to net income ratio is unfavorable, suggesting issues in converting income into cash. Overall, cash flow management needs significant improvement.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	5.85M	12.13M	―	6.10M	5.23M
Gross Profit	4.08M	9.32M	-20.63M	4.38M	-3.28M
EBITDA	-66.61M	-38.86M	-33.28M	-43.26M	-12.04M
Net Income	-74.82M	-46.25M	-38.08M	-51.86M	-18.08M
Balance Sheet
Total Assets	226.10M	263.34M	189.59M	302.98M	202.86M
Cash, Cash Equivalents and Short-Term Investments	42.56M	78.63M	73.93M	142.74M	136.66M
Total Debt	70.42M	68.22M	31.34M	42.31M	20.01M
Total Liabilities	88.51M	83.74M	38.20M	51.85M	24.68M
Stockholders Equity	137.59M	183.94M	151.39M	251.13M	178.18M
Cash Flow
Free Cash Flow	-70.32M	-55.42M	-29.65M	-113.02M	-25.66M
Operating Cash Flow	-40.42M	-36.23M	-12.89M	-29.23M	-6.09M
Investing Cash Flow	-18.17M	-12.04M	-16.10M	-106.80M	-19.68M
Financing Cash Flow	25.21M	44.16M	―	180.69M	103.77M

NOVONIX Ltd Sponsored ADR Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.27
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NVX, the sentiment is Negative. The current price of 1.27 is below the 20-day moving average (MA) of 1.33, below the 50-day MA of 1.31, and below the 200-day MA of 1.36, indicating a bearish trend. The MACD of >-0.01 indicates Positive momentum. The RSI at 46.40 is Neutral, neither overbought nor oversold. The STOCH value of 8.33 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NVX.

NOVONIX Ltd Sponsored ADR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	63 Neutral	$10.84B	15.52	7.40%	2.00%	2.86%	-14.57%
SLDP	58 Neutral	$667.13M	―	-22.60%	―	14.82%	-19.27%
MVST	54 Neutral	$920.75M	―	-33.65%	―	20.84%	24.84%
ENVX	50 Neutral	$1.57B	―	-68.46%	―	60.04%	52.49%
NVX	47 Neutral	$201.59M	―	-45.13%	―	-14.27%	-28.56%
FCEL	46 Neutral	$208.63M	―	-29.51%	―	78.82%	-20.81%
GWH	43 Neutral	$20.81M	―	-207.48%	―	-16.98%	2.43%