adamkaz
Stem, Inc. (NYSE:STEM) faces a crunch in liquidity even as demand for utility-scale energy storage booms, with cash and equivalents at $114 million at the end of its fiscal 2023 fourth quarter. The direction of liquidity
Stem's Liquidity Angst And Cash Flow In 2024
Summary
- Stem, Inc. is facing a liquidity crunch despite growing demand for utility-scale energy storage.
- The company is set to generate $50 million in operating cash flow in 2024 with contracted annual recurring revenue set to reach $115 million exiting 2024 at minimum.
- With the commons trading for 0.62x the midpoint of its 2024 revenue guidance range, Stem, Inc. is set for a possible valuation boost when the Fed starts cutting interest rates.
The equity market is a powerful mechanism as daily fluctuations in price get aggregated to incredible wealth creation or destruction over the long term. Pacifica Yield aims to pursue long-term wealth creation with a focus on undervalued yet high-growth companies, high-dividend tickers, REITs, and green energy firms.
Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.