NexGen Energy (NXE) AI Stock Analysis

• Market Cap: C$3.53B
• Dividend Yield: N/A
• Average Volume (3M): 1.81M
• Price to Earnings (P/E): 27.3
• Beta (1Y): 1.70
• Revenue Growth: N/A
• EPS Growth: -197.27%
• Country: CA
• Employees: 133
• Sector: Energy
• Sector Strength: 53
• Industry: Uranium
• EPS (TTM): -0.14
• Shares Outstanding: 569,088,500
• 10 Day Avg. Volume: 1,737,802
• 30 Day Avg. Volume: 1,810,858
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -104.60
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$13.39
• Price Target Upside: 116.01% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 7

NexGen Energy's overall stock score reflects its financial challenges, with zero revenue and ongoing losses significantly impacting its attractiveness. Despite a strong balance sheet, the company faces persistent cash flow issues. However, positive corporate developments, including regulatory progress and exploration expansion, offer potential upside and strategic positioning in the uranium sector. Technical indicators suggest a bearish momentum, and the valuation appears unattractive, given the negative earnings situation.

NexGen Energy Business Overview & Revenue Model

Company Description

NexGen Energy Ltd., an exploration and development stage company, engages in the acquisition, exploration, and evaluation and development of uranium properties in Canada. Its principal asset is the Rook I project comprising 32 contiguous mineral claims totaling an area of 35,065 hectares located in the southwestern Athabasca Basin of Saskatchewan. The company is headquartered in Vancouver, Canada.

How the Company Makes Money

NexGen Energy generates revenue primarily through the development and potential future sale of uranium extracted from its mining projects. While the company is still in the exploration and development phase, its revenue model is based on the successful extraction and commercialization of uranium resources. Key revenue streams are expected to include the sale of uranium to nuclear power plants and other entities requiring uranium for energy production. Significant factors contributing to its earnings include the successful development of its Rook I project, the global demand for nuclear energy, and partnerships with industry stakeholders that facilitate the advancement and commercialization of its uranium assets.

NexGen Energy Financial Statement Overview

Summary

NexGen Energy shows significant challenges with zero revenue and consistent losses, impacting its income statement. However, a strong balance sheet with good equity and liquidity provides some stability. Cash flow issues persist, reflecting operational and capital expenditure challenges.

Income Statement

NexGen Energy has reported zero revenue for the Trailing-Twelve-Months, indicating no operational income. The consistent negative EBIT and EBITDA suggest ongoing operational losses. The net profit margin is negative, further reflecting profitability challenges. The company shows no revenue growth, which is concerning for future prospects.

Balance Sheet

The balance sheet shows a strong equity position with an equity ratio of approximately 71% in the TTM, indicating financial stability and low leverage. Although the debt-to-equity ratio is moderate, reflecting some reliance on debt for financing, the company maintains a substantial cash position, enhancing its liquidity.

Cash Flow

The operating cash flow is negative, suggesting operational cash burn. Despite significant financing inflows, the free cash flow remains negative, indicating challenges in covering capital expenditures. The operating cash flow to net income ratio is negative, highlighting cash flow management issues.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-1.08M	-1.80M	-1.81M	-2.13M	-2.28M	-2.38M
	EBIT
-17.50M	-82.93M	-59.86M	-125.36M	-113.79M	-1.92M
	EBITDA
-79.23M	-83.72M	-58.04M	-119.71M	-97.88M	-1.20M
	Net Income Common Stockholders
-77.56M	80.82M	-60.27M	-126.95M	-114.49M	-16.55M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.12M	290.74M	140.22M	211.12M	74.02M	52.12M
	Total Assets
1.12M	1.01B	554.56M	546.56M	357.39M	313.53M
	Total Debt
0.00	160.42M	82.48M	75.18M	230.88M	122.23M
	Net Debt
-1.12M	-130.32M	-51.96M	-126.62M	156.86M	70.11M
	Total Liabilities
17.50K	187.41M	99.14M	85.22M	238.14M	127.18M
	Stockholders Equity
1.10M	820.02M	417.88M	433.61M	94.25M	164.70M
Cash Flow		Free Cash Flow
-187.66M	-168.42M	-20.53M	-63.70M	-28.86M	-70.49M
	Operating Cash Flow
-24.09M	-52.62M	-20.18M	-16.79M	-10.62M	-12.81M
	Investing Cash Flow
-130.68M	-160.14M	-68.05M	-46.71M	-18.24M	-57.68M
	Financing Cash Flow
349.18M	368.89M	19.86M	191.35M	51.23M	-1.41M

NexGen Energy Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:NXE, the sentiment is Negative. The current price of 6.2 is below the 20-day moving average (MA) of 6.47, below the 50-day MA of 7.20, and below the 200-day MA of 9.00, indicating a bearish trend. The MACD of -0.25 indicates Negative momentum. The RSI at 41.58 is Neutral, neither overbought nor oversold. The STOCH value of 73.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:NXE.

NexGen Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UUUU	62 Neutral	$864.09M	―	-10.58%	―	105.95%	-143.66%
Sector *	55 Neutral	$7.05B	3.47	-6.10%	6.00%	-0.44%	-51.04%
NXE	45 Neutral	C$3.53B	27.25	-7.77%	―	―	-197.27%
PTU	31 Underperform	C$13.82M	―	-160.61%	―	―	15.98%
LAM	28 Underperform	C$142.30M	―	-6.64%	―	―	-34.39%

NexGen Energy Corporate Events

NexGen Energy Advances Rook I Project with CNSC Hearing Dates

NexGen Energy has announced the Canadian Nuclear Safety Commission’s proposed hearing dates for its Rook I Project, marking a significant step in the project’s regulatory process. With provincial and federal approvals in place and local community endorsements, the announcement is pivotal for NexGen’s operations and its positioning in the uranium mining industry, potentially offering long-term benefits to Saskatchewan and beyond.

NexGen Energy to Host 2024 Year-End Conference Call with Key Project Updates

NexGen Energy announced it will host its 2024 year-end conference call on March 5, 2025, where key executives will provide updates on the Rook I Project, including federal approvals, project development, and market dynamics. This call will offer insights into NexGen’s strategic positioning and operational progress, reflecting its commitment to leading the uranium mining industry with sustainable practices and robust economic performance.

NexGen Energy Expands Exploration Program at Patterson Corridor East

NexGen Energy Ltd. has announced the start of an expanded 43,000-meter drill program at Patterson Corridor East (PCE) in the Athabasca Basin, Saskatchewan, for 2025. This program aims to explore the extents and growth of the uranium mineralization discovered in early 2024, with a significant increase from the previous year’s program. The focus is on testing the mineralized footprint, investigating high-grade zones, and identifying additional mineralization. The expansion reflects NexGen’s strategic focus on addressing the global uranium demand and supply gap. The company is well-funded with over $800 million in cash and liquid assets, ensuring the ongoing development of the Rook I Project and PCE exploration efforts.