- Cowen analyst Gabe Daoud lowered the price target on Enovix Corp (NASDAQ:ENVX) to $29 from $32 and maintained an Outperform rating on the shares.
- Daoud notes its revenue funnel grew as management highlighted significant demand/interest with applications emerging across doorbells, GPS, and medical devices.
- Craig-Hallum analyst Anthony Stoss lowered the price target to $35 (171% upside) from $50 and maintained a Buy rating on the shares.
- Recently, Enovix reported fourth-quarter EPS loss of $(0.60), wider than $(0.15) in 4Q20.
- Operating losses totaled $(24.76) million for the quarter versus $(7.94) million in 4Q20.
- Net cash used in operating activities expanded to $51.71 million in FY21, from $20.05 million in FY20. The free cash outflow was $95.29 million.
- Adjusted EBITDA loss increased to $(20.3) million, compared to $(7.32) million a year ago.
- The company says it continues to experience more indications of demand than it can supply for several years. Enovix’s revenue funnel increased to $1.5 billion at the end of 4Q21, up from $1.3 billion at the end of 3Q21.
- The company held cash and cash equivalents of $385.42 million as of January 2, 2022
- FY22 Outlook: Enovix expects $6 million - $12 million of revenue, including product and nonrecurring engineering (NRE) revenue.
- It expects to use $190 million - $210 million of cash, with roughly 55% coming from capital expenditures.
- Price Action: ENVX shares are trading lower by 17.1% at $13.28 on the last check Friday.
