NextDecade Corporation (NEXT) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

NextDecade Corporation (NEXT) Energy Operations & Outlook

NextDecade Corporation, an energy company founded in 2010, is focused on the development of the Rio Grande LNG terminal in Texas, which will liquefy and export natural gas while integrating carbon capture and storage technologies. The company aims to capitalize on the growing global demand for LNG and sustainable energy solutions.

What Is the Investment Thesis for NEXT?

NextDecade Corporation presents a notable research candidate based on the increasing global demand for LNG and the growing emphasis on carbon capture and storage. The Rio Grande LNG project is a key value driver, potentially generating significant revenue upon completion. The integration of CCS technology enhances the project's sustainability profile, attracting environmentally conscious investors. However, the company's success depends on securing financing, completing the terminal on schedule, and managing operational risks. With a beta of 1.69, the stock exhibits higher volatility compared to the market. The company's focus on sustainable energy solutions and strategic location could drive long-term growth, but investors should carefully consider the risks associated with project execution and market fluctuations.

Based on FMP financials and quantitative analysis

NEXT Key Highlights

NextDecade Corporation is focused on the development of the Rio Grande LNG terminal in the Port of Brownsville, Texas.

• The company is integrating carbon capture and storage (CCS) technology into its LNG operations.
• NextDecade aims to capitalize on the increasing global demand for LNG.
• The company's CCS project targets CO2 emissions from the terminal and other industrial sources.
• NextDecade Corporation employs 237 individuals and is headquartered in Houston, Texas.

Who Are NEXT's Competitors?

NEXT is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are NEXT's Key Strengths?

Strategic location of the Rio Grande LNG terminal.

• Integration of carbon capture and storage technology.
• Experienced management team.
• Focus on sustainable energy solutions.

What Are NEXT's Weaknesses?

Reliance on a single project (Rio Grande LNG).

• High capital expenditure requirements.
• Dependence on securing financing.
• Limited operating history.

What Could Drive NEXT Stock Higher?

Final Investment Decision (FID) on Rio Grande LNG terminal.

• Securing long-term LNG supply contracts.
• Advancing carbon capture and storage (CCS) projects.
• Completion of construction phases for the Rio Grande LNG terminal.
• Government support and regulatory approvals for LNG exports.

What Are the Key Risks for NEXT?

Financial-distress signal — its Altman Z-Score of -0.16 sits in the distress zone (elevated bankruptcy risk).

• Weak fundamentals — a Piotroski F-Score of 1/9 flags soft profitability, leverage or efficiency.
• Insider selling — insiders were net sellers of roughly $2.1M recently.
• Fluctuations in global LNG prices impacting profitability.
• Delays in project development and construction timelines.
• Increased competition from other LNG export facilities.
• Changes in environmental regulations affecting CCS projects.
• Securing sufficient financing for project development.

What Are the Growth Opportunities for NEXT?

• Expansion of LNG Export Capacity: The global demand for LNG is projected to increase significantly in the coming years. NextDecade can capitalize on this trend by expanding the capacity of its Rio Grande LNG terminal. This expansion would involve adding new liquefaction trains and storage facilities, increasing the company's export capabilities. The market for LNG is estimated to reach $64.2 billion by 2028, presenting a substantial growth opportunity for NextDecade.
• Development of Additional Carbon Capture Projects: With growing concerns about climate change, the demand for carbon capture and storage solutions is increasing. NextDecade can leverage its expertise in CCS technology to develop additional projects at the Rio Grande LNG terminal and with third-party industrial facilities. The carbon capture market is projected to reach $4.9 billion by 2027, offering a significant growth avenue for the company.
• Strategic Partnerships and Acquisitions: NextDecade can pursue strategic partnerships and acquisitions to expand its operations and market reach. Collaborating with other energy companies or acquiring complementary businesses can provide access to new technologies, resources, and markets. These partnerships can also help NextDecade secure financing and reduce project risks. The company can explore opportunities to partner with companies specializing in renewable energy or carbon capture technologies.
• Geographic Expansion into New Markets: NextDecade can expand its operations into new geographic markets to diversify its revenue streams and reduce its reliance on a single region. This expansion could involve developing new LNG terminals or carbon capture projects in other countries. The company can target regions with growing energy demand and supportive regulatory environments. Expanding into new markets would require careful planning and execution, but it could significantly enhance NextDecade's long-term growth prospects.
• Technological Innovation and Efficiency Improvements: NextDecade can invest in technological innovation and efficiency improvements to reduce its operating costs and enhance its competitiveness. This could involve developing new liquefaction technologies, optimizing its carbon capture processes, or implementing advanced data analytics to improve its operational efficiency. By embracing innovation, NextDecade can gain a competitive advantage and enhance its profitability. The company can also explore opportunities to collaborate with research institutions and technology providers.

What Are NEXT's Competitive Advantages?

• Strategic location of the Rio Grande LNG terminal in the Port of Brownsville.
• Integration of carbon capture and storage technology into LNG operations.
• Long-term contracts with LNG buyers.
• Expertise in developing and operating LNG facilities.

What Does NEXT Do?

NextDecade Corporation, established in 2010, is an energy company focused on the development of liquefied natural gas (LNG) and carbon capture and storage (CCS) projects. The company's core project is the Rio Grande LNG terminal, located in the Port of Brownsville in southern Texas. This facility is designed to liquefy and export natural gas to meet growing global demand. The Rio Grande LNG project also incorporates a CCS project, aiming to capture and store CO2 emissions from the terminal and other industrial sources. This initiative aligns with the increasing focus on reducing carbon emissions in the energy sector. NextDecade's strategy involves leveraging its strategic location and technological capabilities to become a key player in the global LNG market while promoting sustainable energy practices. The company is based in Houston, Texas, and manages its operations with a team of 237 employees.

What Products and Services Does NEXT Offer?

• Develop liquefied natural gas (LNG) projects.
• Operate the Rio Grande LNG terminal in Texas.
• Capture and store CO2 emissions from LNG operations.
• Develop carbon capture and storage (CCS) projects with third-party facilities.
• Liquefy natural gas for export to global markets.
• Provide sustainable energy solutions through CCS technology.
• Engage in the sale of liquefied natural gas (LNG).

How Does NEXT Make Money?

• Generate revenue through the sale of LNG to international customers.
• Develop and operate LNG liquefaction and export facilities.
• Offer carbon capture and storage services to industrial clients.
• Monetize carbon credits generated from CCS projects.

What Industry Does NEXT Operate In?

NextDecade Corporation operates within the oil and gas industry, specifically focusing on LNG production and carbon capture. The global LNG market is experiencing growth, driven by increasing demand for cleaner energy sources. The industry is also facing pressure to reduce carbon emissions, leading to the development of CCS technologies. Competitors include established LNG producers and companies specializing in carbon capture solutions. NextDecade aims to differentiate itself through its integrated LNG and CCS project, positioning itself as a sustainable energy provider in a competitive landscape.

Who Are NEXT's Key Customers?

• International energy companies seeking to import LNG.
• Utilities and power generators requiring natural gas.
• Industrial facilities looking to reduce their carbon emissions.
• Countries aiming to diversify their energy sources.

Key Financial Metrics

Return on assets is -2.4%, showing how much profit it generates from its asset base. A current ratio of 0.37 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is -21.1%, the inverse of the P/E and a quick read on earnings relative to price.

NextDecade Corporation (NEXT) Valuation Context

Valued at $1.79B, NEXT is classified as a small-cap stock. Relative to its peer group, NEXT's quantitative score of 22/100 is below the peer average of 65/100.

Company Profile

NextDecade Corporation operates in the Engineering & Construction industry within the Industrials sector. It is headquartered in Houston, US. The company is led by CEO Matthew K. Schatzman. NEXT has traded publicly since 2015.

NextDecade Corporation's Piotroski F-Score is 1/9, a 9-point checklist of profitability, leverage and efficiency — flagging fundamental weakness worth scrutiny. Its Altman Z-Score of -0.16 places it in the distress zone, a signal of elevated financial risk.

NextDecade Corporation has beaten Wall Street's EPS estimate in 4 of its last 8 reported quarters — more hits than misses. Reported results have landed about 36.0% below estimates on average.

Wall Street analysts project NextDecade Corporation revenue of about $315.6M for fiscal 2026, with EPS near $-2.17.

Over the past six months, NextDecade Corporation insiders filed 6 SEC Form 4 transactions — 3 sales and 3 purchases. On net that is roughly 216K shares disposed (about $2.1M), a signal worth weighing alongside the fundamentals.

NEXT Financials

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NEXT Analyst Consensus

NEXT MoonshotScore

What Investors Ask About NextDecade Corporation (NEXT) — Energy

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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