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NOVONIX Ltd Sponsored ADR (NVX)
NASDAQ:NVX

NOVONIX Ltd Sponsored ADR (NVX) AI Stock Analysis

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NVX

NOVONIX Ltd Sponsored ADR

(NASDAQ:NVX)

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Neutral 41 (OpenAI - 4o)
Rating:41Neutral
Price Target:
$1.00
▼(-0.99% Downside)
NOVONIX Ltd's stock score is primarily impacted by its poor financial performance, with significant operational losses and negative cash flows. The technical analysis indicates a bearish trend, and the valuation metrics are unattractive due to a negative P/E ratio and no dividend yield. These factors collectively suggest a challenging outlook for the stock.
Positive Factors
Strategic Initiatives
The focus on scaling production capacity and enhancing battery testing services positions NOVONIX to capitalize on growing demand in the energy storage sector, potentially strengthening its market position.
Partnerships and Collaborations
Strong partnerships with industry leaders like Panasonic and PowerCo enhance NOVONIX's credibility and market reach, supporting long-term growth and innovation in battery technology.
Funding and Financial Resources
Securing additional funding strengthens NOVONIX's financial resources, enabling further investment in R&D and operational expansion, which is crucial for sustaining competitive advantage in the battery materials industry.
Negative Factors
Operational Losses
Persistent operational losses indicate financial instability, which could hinder NOVONIX's ability to invest in growth initiatives and maintain competitive positioning in the long term.
Negative Cash Flow
Negative cash flow reflects challenges in generating cash from operations, potentially limiting NOVONIX's ability to fund new projects and meet financial obligations, impacting long-term sustainability.
Termination of Offtake Agreement
The loss of a significant offtake agreement with Stellantis could impact NOVONIX's revenue and market confidence, challenging its growth strategy and necessitating the search for new partnerships.

NOVONIX Ltd Sponsored ADR (NVX) vs. SPDR S&P 500 ETF (SPY)

NOVONIX Ltd Sponsored ADR Business Overview & Revenue Model

Company DescriptionNovonix 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 MoneyNOVONIX generates revenue through multiple key streams, including the sale of high-purity graphite materials and battery testing services. The company leverages its proprietary technologies to produce superior battery materials that meet the increasing demand for electric vehicle batteries and energy storage systems. Additionally, NOVONIX has established strategic partnerships with leading companies in the automotive and energy sectors, which contribute to its revenue growth through collaborative projects and long-term supply agreements. The company's focus on research and development also positions it to capitalize on emerging trends in energy storage, further enhancing its revenue potential.

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
22
Negative
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
35
Negative
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
30
Negative
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.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.85M12.13M6.10M5.23M
Gross Profit4.08M9.32M-20.63M4.38M-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 Assets226.10M263.34M189.59M302.98M202.86M
Cash, Cash Equivalents and Short-Term Investments42.56M78.63M73.93M142.74M136.66M
Total Debt70.42M68.22M31.34M41.41M20.01M
Total Liabilities88.51M83.74M38.20M51.85M24.68M
Stockholders Equity137.59M183.94M151.39M251.13M178.18M
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 Flow25.21M44.16M180.69M103.77M

NOVONIX Ltd Sponsored ADR Technical Analysis

Technical Analysis Sentiment
Negative
Last Price1.01
Price Trends
50DMA
1.49
Negative
100DMA
1.40
Negative
200DMA
1.29
Negative
Market Momentum
MACD
-0.09
Negative
RSI
36.96
Neutral
STOCH
6.35
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 1.01 is below the 20-day moving average (MA) of 1.08, below the 50-day MA of 1.49, and below the 200-day MA of 1.29, indicating a bearish trend. The MACD of -0.09 indicates Negative momentum. The RSI at 36.96 is Neutral, neither overbought nor oversold. The STOCH value of 6.35 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 Risk Analysis

NOVONIX Ltd Sponsored ADR disclosed 1 risk factors in its most recent earnings report. NOVONIX Ltd Sponsored ADR reported the most risks in the "Legal & Regulatory" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

NOVONIX Ltd Sponsored ADR Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
55
Neutral
$1.67B-9.54-68.95%45.98%44.14%
51
Neutral
$3.19B-1.05-95.42%2.53%-2.83%
45
Neutral
$403.82M-0.92-29.51%78.82%-20.81%
42
Neutral
$38.45M-0.38-265.36%-3.53%24.37%
41
Neutral
$228.40M-2.04-45.13%-14.27%-28.56%
26
Underperform
$34.07M-0.9061.78%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
NVX
NOVONIX Ltd Sponsored ADR
1.01
-0.66
-39.52%
FCEL
Fuelcell Energy
8.47
-1.35
-13.75%
PLUG
Plug Power
2.29
0.07
3.15%
GWH
ESS Tech
1.96
-2.82
-59.00%
ENVX
Enovix
7.74
-0.38
-4.68%
SDST
Stardust Power
3.47
-45.33
-92.89%

NOVONIX Ltd Sponsored ADR Corporate Events

NOVONIX Ltd Announces Cessation of Performance Rights
Dec 8, 2025

On December 8, 2025, NOVONIX Ltd announced the cessation of 77,345 performance rights due to unmet conditions, effective December 3, 2025. This cessation reflects a lapse in employee performance rights, impacting the company’s issued capital and potentially influencing stakeholder perceptions of its operational efficiency.

NOVONIX Issues Performance Rights to Key Management
Dec 4, 2025

On December 4, 2025, NOVONIX Limited announced the issuance of 1,208,596 unquoted performance rights under an employee incentive scheme. These securities, which are not intended to be quoted on the ASX, were issued to key management personnel, including Dwayne Johnson. This move is part of NOVONIX’s strategy to incentivize its management team, potentially impacting the company’s operational focus and aligning management interests with long-term shareholder value.

NOVONIX Announces Cessation of Performance Rights
Dec 3, 2025

On December 3, 2025, NOVONIX Limited, a company involved in the energy sector, announced the cessation of 644,729 performance rights due to unmet conditions. This cessation reflects a lapse in conditional rights, impacting the company’s equity structure but not involving any financial consideration.

NOVONIX Unveils Strategic Initiatives in November 2025 Investor Presentation
Dec 2, 2025

On November 27, 2025, NOVONIX Limited released an investor presentation detailing its strategic initiatives and operational progress. The presentation highlighted the company’s focus on scaling production capacity and enhancing its battery testing equipment and research services. NOVONIX aims to localize the battery supply chain and contribute to cleaner energy solutions, positioning itself as a key player in the industry. The announcement underscores NOVONIX’s commitment to innovation and growth, which could have significant implications for stakeholders and the broader market.

NOVONIX Ltd Issues New Securities Following Employee Incentive Conversion
Nov 18, 2025

On November 19, 2025, NOVONIX Ltd announced the issuance of 7,534 ordinary fully paid securities on the Australian Securities Exchange (ASX) as a result of the conversion of performance rights. This move is part of an employee incentive scheme and reflects the company’s ongoing efforts to enhance its capital structure and incentivize its workforce. The newly issued securities will rank equally with existing shares, reinforcing NOVONIX’s commitment to aligning employee interests with those of its shareholders.

NOVONIX Faces Setback as Stellantis Terminates Offtake Agreement
Nov 4, 2025

On November 4, 2025, NOVONIX Limited announced the termination of its offtake agreement with FCA US LLC, a subsidiary of Stellantis NV, due to disagreements over battery cell product specifications and production milestones. Despite this setback, NOVONIX remains committed to its partnerships with Panasonic and PowerCo and continues to provide samples to other potential customers. The company’s Riverside facility is set to become a major production site for synthetic graphite, with plans for a second plant to meet growing demand, aiming for a total production capacity of over 50,000 tonnes per year.

NOVONIX Ltd Issues New Securities Following Performance Rights Conversion
Nov 4, 2025

On November 4, 2025, NOVONIX Ltd announced the issuance of 5,482 ordinary fully paid securities on the Australian Securities Exchange (ASX) as a result of the conversion of performance rights. This move is part of the company’s employee incentive scheme, reflecting its commitment to rewarding performance and potentially strengthening its market position by aligning employee interests with shareholder value.

NOVONIX Ltd Announces Change in Substantial Holding
Nov 3, 2025

NOVONIX Ltd, a company involved in the energy sector, announced a change in substantial holding as of October 31, 2025. YA II PN, Ltd., a substantial holder, reduced its voting power from 7.91% to 6.80% by disposing of 9,288,631 fully paid ordinary shares. This change in shareholding could impact the company’s market dynamics and influence shareholder decisions.

NOVONIX Secures Additional $38 Million Funding Tranche
Oct 28, 2025

On October 28, 2025, NOVONIX Limited announced the drawdown of an additional tranche of US$40 million in convertible debentures, netting US$38 million after a 5% discount. This funding, part of a previously established agreement with Yorkville Advisors Global, LP, was approved by shareholders in September 2025. The move is expected to bolster NOVONIX’s financial resources, enhancing its operations and market positioning in the battery technology industry.

NOVONIX Announces Change in Substantial Holding
Oct 27, 2025

On October 27, 2025, NOVONIX Limited, a company involved in the energy sector, announced a change in substantial holding. YA II PN, Ltd. reduced its voting power in NOVONIX from 9.213% to 7.91% through the disposal of shares on October 21 and 22, 2025. This change in holdings reflects a shift in investor interest and could impact the company’s market dynamics and stakeholder relationships.

NOVONIX Ltd Issues New Performance Rights Under Employee Incentive Scheme
Oct 23, 2025

On October 23, 2025, NOVONIX Ltd announced the issuance of 247,278 performance rights under its employee incentive scheme, which are not intended to be quoted on the ASX. This move is part of the company’s strategy to incentivize its workforce, potentially impacting its operational efficiency and market positioning by aligning employee interests with corporate goals.

NOVONIX Ltd Announces Change in Substantial Holding
Oct 20, 2025

On October 16, 2025, NOVONIX Ltd announced a change in substantial holding, with YA II PN, Ltd. adjusting its voting power in the company. The changes, which occurred on October 14 and 15, 2025, involved the disposal and conversion of shares, resulting in an increase in voting power from 11.03% to 11.23%. This adjustment reflects strategic financial maneuvers that could impact NOVONIX’s market positioning and stakeholder interests.

NOVONIX Announces Change in Substantial Holding
Oct 20, 2025

NOVONIX Ltd, a company involved in the energy sector, recently announced a change in substantial holding. YA II PN, Ltd. reduced its voting power in NOVONIX from 11.23% to 9.21% through the disposal of shares on October 16 and 17, 2025. This change may impact the company’s shareholder dynamics and influence its market positioning.

NOVONIX Gains New Substantial Holder with YA II PN, Ltd.
Oct 16, 2025

On October 15, 2025, NOVONIX Limited, a company focused on the development and supply of advanced battery materials, announced a significant operational milestone. YA II PN, Ltd. became a substantial holder in NOVONIX, acquiring an 11.03% voting power with 87,358,939 fully paid ordinary shares as of October 13, 2025. This development could potentially strengthen NOVONIX’s market position by enhancing its shareholder base and possibly influencing future strategic decisions.

NOVONIX Limited Announces New Share Issuance Following Debenture Conversion
Oct 15, 2025

On October 15, 2025, NOVONIX Limited announced the issuance of 48,044,482 ordinary fully paid shares on the Australian Securities Exchange (ASX) following the conversion of convertible debentures. This move is part of the company’s strategy to strengthen its capital structure and enhance its market position in the battery materials industry. The newly issued shares are expected to rank equally with existing shares, potentially increasing liquidity and investor interest.

NOVONIX Announces New Share Issuance Following Debenture Conversion
Oct 14, 2025

On October 13, 2025, NOVONIX Limited announced the issuance of 68,059,769 new ordinary shares on the Australian Securities Exchange (ASX) following the conversion of convertible debentures. This move is part of the company’s strategy to strengthen its capital base and enhance its market position in the competitive battery materials industry. The newly issued shares are expected to rank equally with existing shares, reflecting NOVONIX’s commitment to maintaining shareholder value and supporting its growth initiatives.

NOVONIX Limited Issues New Securities Following Option Conversions
Oct 10, 2025

On October 10, 2025, NOVONIX Limited announced the issuance of 2,478 ordinary fully paid securities as a result of options being exercised or convertible securities being converted. These securities were issued under an employee incentive scheme and will be quoted on the ASX. This move reflects NOVONIX’s ongoing efforts to incentivize its workforce and align employee interests with company growth, potentially enhancing its industry positioning and stakeholder value.

NOVONIX Announces Quotation of New Securities on ASX
Oct 9, 2025

On October 9, 2025, NOVONIX Limited announced the quotation of 29,213,548 ordinary fully paid securities on the Australian Securities Exchange (ASX). These securities were issued as a result of the conversion of convertible debentures. This move is part of NOVONIX’s strategy to strengthen its capital base and enhance its market presence, potentially impacting its operational capacity and stakeholder value positively.

NOVONIX Ltd Issues New Securities Following Debenture Conversion
Oct 8, 2025

On October 8, 2025, NOVONIX Ltd announced the issuance of 9,114,822 ordinary fully paid securities on the Australian Securities Exchange (ASX) as a result of converting convertible debentures. This move is part of the company’s strategy to strengthen its capital structure and enhance its market position in the energy storage industry. The newly quoted securities are expected to rank equally with existing securities, potentially increasing investor confidence and stakeholder interest in NOVONIX’s growth trajectory.

NOVONIX Limited Issues New Securities Following Debenture Conversion
Oct 6, 2025

On October 7, 2025, NOVONIX Limited announced the issuance of 9,105,213 ordinary fully paid securities on the Australian Securities Exchange (ASX). This issuance results from the conversion of convertible debentures, reflecting the company’s strategic move to strengthen its capital structure. The newly issued securities will rank equally with existing shares, potentially impacting the company’s market positioning by increasing its equity base and providing additional resources for future growth initiatives.

NOVONIX Limited Announces New Securities Quotation on ASX
Oct 1, 2025

On October 1, 2025, NOVONIX Limited announced the quotation of 14,749 ordinary fully paid securities on the Australian Securities Exchange (ASX). These securities were issued as a result of the conversion of performance rights under an employee incentive scheme. This move is part of NOVONIX’s strategy to enhance its capital structure and support its growth in the battery technology sector, potentially strengthening its market position and providing value to stakeholders.

NOVONIX Ltd Issues New Securities Following Convertible Debenture Conversion
Sep 30, 2025

On September 30, 2025, NOVONIX Ltd announced the issuance of 7,310,610 ordinary fully paid securities on the ASX as a result of converting convertible debentures. This move is part of the company’s strategy to strengthen its capital structure and potentially improve its market position in the battery technology industry. The securities are intended to be quoted on the ASX, reflecting NOVONIX’s ongoing efforts to expand its financial and operational capabilities.

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: Dec 02, 2025