Northland Capital Markets cut its price target for T1 Energy Inc. to $9.00 from $16.00, while maintaining its Outperform rating. The firm expects the company to meet its Q3 and full-year revenue targets but miss its EBITDA projections.
Northland cited a weak gross profit margin and negative EBITDA over the past 12 months. It also said T1 Energy is burning through cash and will need an estimated $200 million to $250 million to complete its G2 project.
The firm attributed the lower target to the expected EBITDA shortfall and broader multiple compression in the sector.