Company Overview
Stabilis Solutions, Inc. operates as an energy transition company that delivers turnkey clean energy production, storage, transportation, and fueling solutions primarily utilizing liquefied natural gas (LNG) to various end markets within North America. The company functions within the Energy sector, specifically classified under the Oil & Gas Integrated industry, which implies a comprehensive operational model encompassing exploration, production, refining, and marketing of hydrocarbon resources. With a market capitalization of $89.08M, annual revenue of $68.25M, and an employee base of 85, the organization maintains a mid-cap profile typical of specialized energy service providers. These valuation and revenue figures indicate a company of significant but not dominant scale, suggesting it serves as a focused player in the LNG infrastructure space rather than a diversified major utility. The revenue figure of $68.25M reflects the total economic value generated from its core business activities over the trailing twelve months, while the market cap of $89.08M represents the aggregate market value of its outstanding shares.
Financial Health
The company reported revenue of $68.25M for the trailing twelve months, yet generated a net income of $-1,354,000 and an EBITDA of $4.85M. The substantial gap between the positive EBITDA of $4.85M and the negative net income of $-1,354,000 reveals a cost structure where non-operating expenses, such as interest payments or significant tax liabilities, are eroding operating profits. Free cash flow stands at $-523,750, indicating that the company's operational cash generation is insufficient to cover capital expenditures, which limits its immediate financial flexibility and ability to fund growth without external financing. The gross margin is 26.4%, suggesting that the company retains a moderate portion of revenue after direct costs, while the operating margin of -6.2% and profit margin of -2.0% indicate that overhead and non-operating costs are currently outweighing gross profitability. The balance sheet shows cash of $7.56M against total debt of $8.83M, resulting in a debt-to-equity ratio of 13.24, which characterizes the company as highly leveraged with liabilities significantly exceeding its equity base. The current ratio is 1.30, indicating that the company possesses $1.30 in current assets for every $1.00 of current liabilities, suggesting a relatively conservative stance on short-term liquidity despite the high leverage. Return on Equity is -2.0% and Return on Assets is -1.8%, metrics that reveal management is currently generating negative returns on both shareholder capital and the total asset base utilized to generate revenue.
Valuation Assessment
The trailing P/E ratio is N/A due to the lack of positive earnings, while the forward P/E is -79.83, implying that the market prices the stock based on future expectations of earnings recovery rather than historical profitability. The price-to-book ratio is 1.34, indicating that the market values the company at 34% above its book value, which may reflect intangible assets or growth potential not fully captured in the balance sheet. The price-to-sales ratio is 1.31 and the EV/EBITDA is 18.62; these alternative valuation metrics suggest that investors are willing to pay a premium relative to sales despite the negative earnings, potentially valuing the underlying LNG assets and future cash flow potential. The stock's 52-week high is $6.36 and the 52-week low is $3.21, placing the current trading price in a range that has experienced significant volatility over the past year. The beta is -0.24, a value that suggests the stock moves inversely to the broader market or exhibits very low volatility, which is an unusual characteristic for an energy stock and implies a unique risk profile relative to the sector.
Growth & Income
Revenue growth year-over-year is -23.3%, while earnings growth year-over-year is N/A, indicating that the company is currently contracting in terms of top-line sales and has not yet posted positive earnings growth to track against revenue changes. The absence of a positive earnings growth rate suggests that the decline in revenue has not been offset by cost reductions, resulting in a contraction of profitability alongside the revenue drop. As a non-dividend payer, the company does not distribute a dividend yield or a payout ratio, meaning it reinvests its earnings or seeks external capital to fund its operations and capital needs rather than returning cash to shareholders. The overall growth and income profile is characterized by a contraction in revenue and a lack of dividend income, reflecting a period of financial consolidation or strategic adjustment within the energy transition landscape.