WESTLAKE VILLAGE, Calif. - Energy Vault Holdings, Inc. (NYSE: NRGV), an energy storage solutions company, has been notified by the New York Stock Exchange (NYSE) that it is not in compliance with the exchange's minimum stock price requirement. The company's stock has been trading below $1.00 for a consecutive 30-day period, prompting the notice of non-compliance.
The NYSE rules provide Energy Vault a six-month period following the September 13, 2024 notice to regain compliance. The company has until September 27 to inform the NYSE of its intent to address the stock price deficiency. Energy Vault is considering various options to resolve the issue, which may require stockholder approval at its next annual meeting.
During the six-month cure period, Energy Vault's common stock will continue to be listed and traded on the NYSE, assuming compliance with other listing standards is maintained. If Energy Vault's actions to increase the stock price are successful and the price remains above $1.00 for at least 30 trading days, the company will be considered to have regained compliance.
Energy Vault specializes in utility-scale energy storage solutions, including proprietary gravity-based storage, battery storage, and green hydrogen energy storage technologies. Their energy management system software and integration platform support these solutions, aiming to reduce energy costs and ensure power reliability for utilities, independent power producers, and industrial energy users.
The company's announcement also contains forward-looking statements regarding its plans to regain compliance with NYSE listing standards. Energy Vault's future operational and financial performance may be influenced by a variety of factors, including market acceptance, supplier availability, and global market conditions.
This news is based on a press release statement from Energy Vault Holdings, Inc.
In other recent news, Energy Vault Inc. reported significant progress during its second quarter 2024 earnings call. The energy storage solutions company unveiled new deals in Australia and the US, and a developed pipeline valued at $2.8 billion with a backlog of $264 million. Despite a negative adjusted EBITDA of $15.8 million, Energy Vault maintained its full-year revenue guidance of $50 million to $100 million and reported a Q2 revenue of $3.8 million.
The company confirmed new energy storage projects in Australia, the US, Italy, and Brazil, with a 100-megawatt hybrid project in Sardinia, Italy, slated for completion in 2025. It also plans regional expansion in Brazil with a project co-located at a Petrobras site.
These recent developments show Energy Vault's strategic focus on delivering predictable and recurring revenue, with the company transitioning towards owning and operating projects for long-term returns. Revenue projections for the next two years range between $500 million and $700 million. CEO Robert Piconi highlighted the importance of converting pipeline projects to bookings for future revenue. The company's unique technology and solution-based approach provide a competitive advantage in the energy storage market.
InvestingPro Insights
As Energy Vault Holdings, Inc. (NYSE: NRGV) navigates through its current stock price challenges, investors are closely monitoring the company's financial health and market performance. According to InvestingPro data, Energy Vault has a market capitalization of approximately $121.89 million, which reflects the company's size in the competitive energy storage market. Despite the recent stock price woes, the company has shown significant revenue growth over the last twelve months as of Q2 2024, with an increase of 97.21%. However, it's important to note that this growth is juxtaposed with a quarterly revenue decline of -90.5% in Q2 2024, indicating potential volatility in the company's earnings.
The financial metrics reveal that Energy Vault is currently trading near its 52-week low, with the price at the previous close standing at $0.81. This aligns with the InvestingPro Tip highlighting that the stock has experienced a significant price drop over the past year. Moreover, the company's price volatility is evident, with a 6-month price total return of -57.37% and a year-to-date return of -65.24%. Investors should be aware that the company's gross profit margins are relatively weak at 4.73%, as per the last twelve months as of Q2 2024, which could be a contributing factor to the stock's underperformance.
For those interested in Energy Vault's future prospects, the company does not pay a dividend, as indicated by one of the InvestingPro Tips. This could influence the investment decisions of those seeking regular income from their holdings. Additionally, the company is not expected to be profitable this year, and with a negative P/E ratio of -1.44, it suggests that investors are not anticipating earnings growth in the near term. These insights, among others, can be further explored with additional InvestingPro Tips available for Energy Vault, providing a deeper analysis for investors looking to make informed decisions.
For more detailed analysis and further InvestingPro Tips on Energy Vault Holdings, Inc., interested readers can visit InvestingPro.
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