New Fortress Energy Stock Crashes Again—What’s Fueling the Freefall?

Another brutal day for New Fortress Energy shareholders as the stock tanks—again. Here's why the bleeding won't stop.

The bearish avalanche

Market forces are hammering NFE like a crypto whale dumping altcoins. No recovery in sight—just a race to the bottom.

Liquidity crisis or just bad optics?

Wall Street's favorite punching bag keeps taking hits. Analysts slash targets while retail investors get steamrolled—classic hedge fund buffet.

Another 'strategic pivot' likely means more shareholder pain ahead. Remember: in energy markets, the house always wins.

Image source: Getty Images.

New Fortress stock sinks on 10-Q delay

With its filing today, New Fortress said that it believed it was prudent to delay its 10-Q report due to the status of negotiations to secure additional sources of credit support for one of the company's debt instruments. The filing said that developments on that front could affect its long-term debt and related items on its quarterly report. New Fortress also said that it needed more time to complete its unaudited results in the interim and have a public accounting firm complete a review of the interim report.

New Fortress Energy faces some big challenges

While it's not clear when New Fortress's quarterly report will be ready, the company did share that revenue from terminal operations in Q2 and across the first half of the year were down significantly compared to the respective prior-year periods. The energy specialist attributed the sales declines to the discontinuation of a power project in Puerto Rico, the sale of the company's Jamaican business, and softer cargo sales. Operating expenses across the first half of the year were also up significantly as a result of goodwill and asset impairments.

In July, New Fortress had seemingly been on track to secure a 15-year, $20 billion liquefied natural gas contract with Puerto Rico that WOULD have provided substantial cash flows and helped the company to better manage its debt situation. The deal wound up hitting regulatory roadblocks, and Puerto Rico's negotiators ceased talks with the company after it refused to make concessions. Struggling with its debt load, New Fortress could really use a large new contract and source of capital.