Fluence Energy, Inc. (NASDAQ: FLNC)

Sector: Utilities Industry: Utilities - Renewable CIK: 0001868941
Market Cap 2.37 Bn
P/B 6.10
P/E -45.59
P/S 0.93
ROIC (Qtr) -5.38
Div Yield % 0.00
Rev 1y % (Qtr) 154.42
Total Debt (Qtr) 391.25 Mn
Debt/Equity (Qtr) 1.01
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About

Fluence Energy, Inc., a Delaware corporation and a leading global provider of energy storage products and solutions, operates in the rapidly growing industry of renewables and storage. The company, which is publicly traded under the ticker symbol FLNC, was established in 2021 as a joint venture between Siemens Industry, Inc. and AES Grid Stability, LLC. Today, Fluence Energy is a prominent player in the energy storage market, providing a range of products and services designed to benefit grid stability, renewable energy integration, and peak shaving. Fluence...

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Investment thesis

Bull case

  • Strong tangible asset base of 2.18B provides 5.56x coverage of total debt 391.25M, indicating robust asset backing and low credit risk.
  • Robust tangible asset base of 2.18B provides 3.36x coverage of working capital 647.21M, indicating strong operational backing.
  • Cash reserves of 477.77M provide comfortable 20.03x coverage of tax obligations 23.85M, showing strong fiscal management.
  • Cash position of 477.77M represents healthy 0.74x of working capital 647.21M, demonstrating strong operational liquidity.
  • Robust R&D investment of 87.56M at 0.35x of SG&A 251.53M demonstrates strong commitment to innovation and future growth.

Bear case

  • Investment activities of (33.96M) provide weak support for R&D spending of 87.56M, which is -0.39x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating cash flow of (161.10M) provides insufficient coverage of deferred revenue obligations of 863.10M, which is -0.19x, raising concerns about future service delivery capabilities.
  • The company's operating cash flow of (161.10M) shows concerning coverage of stock compensation expenses of 19.56M, with a -8.24 ratio indicating potential earnings quality issues.
  • Free cash flow of (195.06M) provides weak coverage of capital expenditures of 33.96M, with a -5.74 ratio suggesting additional external financing needs for growth initiatives.
  • Operating cash flow of (161.10M) provides minimal -9.62x coverage of tax expenses of 16.74M, suggesting potential tax planning inefficiencies or unsustainable tax positions.

Product and Service Breakdown of Revenue (2025)

Geographical Breakdown of Revenue (2025)

Peer comparison

Companies in the Utilities - Renewable
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 CEG Constellation Energy Corp 98.92 Bn 153.61 4.71 9.04 Bn
2 ENLT Enlight Renewable Energy Ltd. 9.32 Bn 66.03 14.79 5.54 Bn
3 BEP Brookfield Renewable Partners L.P. 9.20 Bn -37.24 1.46 39.66 Bn
4 ORA Ormat Technologies, Inc. 5.64 Bn 146.14 14.39 2.75 Bn
5 CWEN Clearway Energy, Inc. 4.62 Bn 184.82 3.85 9.22 Bn
6 FLNC Fluence Energy, Inc. 2.37 Bn -45.59 0.93 0.39 Bn
7 RNW ReNew Energy Global plc 1.93 Bn 14.53 1.21 9.22 Bn
8 XIFR XPLR Infrastructure, LP 1.00 Bn -35.67 0.84 6.20 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 0.90 0.82
EV to Cash from Ops. EV/CFO -12.68 3.77
EV to Debt EV to Debt 5.22 -7.57
EV to EBIT EV/EBIT -70.57 18.11
EV to EBITDA EV/EBITDA -120.57 5.59
EV to Free Cash Flow [EV/FCF] EV/FCF -10.47 -9.43
EV to Market Cap EV to Market Cap 0.86 -1.15
EV to Revenue EV/Rev 0.80 -22.88
Price to Book Value [P/B] P/B 6.10 2.64
Price to Earnings [P/E] P/E -45.59 1.37
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -4.71
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 -0.74
Dividend per Basic Share Div per Share (Qtr) 0.00 0.32
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 12.62
Interest Coverage Int. cover (Qtr) -4.65 -4.73
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -57.48 -691.81
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) -24.37 37.74
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 0.15
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -6,133.57 -300.29
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -187.82 -47.88
EBIT Growth (1y) % EBIT 1y % (Qtr) -1,361.53 -76.46
EBT Growth (1y) % EBT 1y % (Qtr) -623.52 -85.90
EPS Growth (1y) % EPS 1y % (Qtr) 0.00 398.06
FCF Growth (1y) % FCF 1y % (Qtr) -13.09 1,637.76
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) -8.67 93.44
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 1.12 0.35
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.02
Cash Ratio Cash Ratio (Qtr) 0.36 1.83
Current Ratio Curr Ratio (Qtr) 1.48 2.29
Debt to Equity Ratio Debt/Equity (Qtr) 1.01 0.89
Interest Cover Ratio Int Coverage (Qtr) -4.65 -4.73
Times Interest Earned Times Interest Earned (Qtr) -4.65 -4.73
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 0.20 -241.05
EBIT Margin % EBIT Margin % (Qtr) -1.13 -107.41
EBT Margin % EBT Margin % (Qtr) -1.38 -407.45
Gross Margin % Gross Margin % (Qtr) 11.70 9.67
Net Profit Margin % Net Margin % (Qtr) -2.00 -408.25