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Borealis Foods (BRLS) AI Stock Analysis
Borealis Foods
(NASDAQ:BRLS)
BRLS scores near the bottom of the range, driven overwhelmingly by severe financial distress: large ongoing net losses, roughly $229 million of debt against deeply negative shareholders' equity, and accelerating cash burn that raises going-concern and dilution risk. Compounding this, the company faces two Nasdaq compliance notices, including a potential delisting deadline and a delayed quarterly filing. Valuation provides no support, with a negative P/E and no dividend. Modest offsets include improving gross margins, rapid growth in the K–12 school foodservice channel, and short-term price momentum above the 20- and 50-day moving averages — though the stock still trades below its 200-day average, leaving the longer-term trend negative.
Borealis Foods (BRLS) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $25.00M
- Dividend Yield
- ―
- Average Volume (3M)
- 799.84K
- Price to Earnings (P/E)
- -1.4
- Beta (1Y)
- -0.68
- Revenue Growth
- 14.96%
- EPS Growth
- 13.45%
- Country
- US
- Employees
- 140
- Sector
- Consumer Defensive
- Sector Strength
- 62
- Industry
- Packaged Foods
Borealis Foods Business Overview & Revenue Model
Company Description
Borealis Foods Inc. is an enterprise focused on the distribution of food products that are rich in plant-derived protein. The company's offerings feature Chef Woo, a meat alternative with a high protein content, and Ramen Express, which provides vege...
How the Company Makes Money
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Borealis Foods Financial Statement Overview
Summary
Financials are exceptionally weak across all three statements. The income statement (score 10) shows a TTM net loss of ~$35.3 million on ~$73.9 million of revenue (net margin ~-47.7%), with only modest improvement in gross margin to ~11.4% and no clear path to profitability. The balance sheet (score 5) is in critical condition, with ~$228.9 million of total debt against negative stockholders' equity of about -$227 million, raising serious solvency and going-concern questions. Cash flow (score 8) is persistently negative, with the 2025 annual figures showing a sharp acceleration in burn to -$66 million operating and free cash flow, implying ongoing funding needs and dilution risk.
Income Statement
10Very NegativeBalance Sheet
5Very NegativeCash Flow
8Very Negative| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 34.94M | 44.63M | 50.26M | 5.13M | 25.59M | 23.63M |
| Gross Profit | 7.79M | 18.06M | 24.78M | 5.13M | -8.07M | 9.78M |
| EBITDA | -10.45M | -11.22M | -18.08M | 995.25K | 564.79K | -7.74M |
| Net Income | -18.30M | -18.98M | -25.33M | -2.94M | -302.54K | -10.12M |
Balance Sheet | ||||||
| Total Assets | 50.95M | 52.57M | 60.01M | 65.79M | 179.62M | 177.49M |
| Cash, Cash Equivalents and Short-Term Investments | 479.86K | 63.86K | 652.97K | 7.62M | 680.79K | 1.12M |
| Total Debt | 26.19M | 27.08M | 32.28M | 66.85M | 1.50M | 0 |
| Total Liabilities | 73.65M | 71.80M | 60.70M | 87.13M | 2.50M | 235.05K |
| Stockholders Equity | -22.70M | -19.23M | -695.89K | -21.35M | 176.95M | 177.25M |
Cash Flow | ||||||
| Free Cash Flow | -5.39M | -6.67M | -9.04M | -22.47M | -5.49M | -27.99M |
| Operating Cash Flow | -5.35M | -6.60M | -7.07M | -18.01M | -2.11M | -6.78M |
| Investing Cash Flow | -39.99K | -65.74K | -1.91M | -4.47M | 0 | -21.21M |
| Financing Cash Flow | 5.68M | 6.08M | 9.47M | 24.94M | 1.66M | 27.52M |
Borealis Foods Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRLS, the sentiment is Positive. The current price of 1.10 is above the 20-day moving average (MA) of 1.07, below the 50-day MA of 1.21, and below the 200-day MA of 1.26, indicating a neutral trend. The MACD of -0.02 indicates Negative momentum. The RSI at 51.95 is Neutral, neither overbought nor oversold. The STOCH value of 66.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BRLS.
Borealis Foods Risk Analysis
Borealis Foods disclosed 27 risk factors in its most recent earnings report. Borealis Foods reported the most risks in the "Finance & Corporate" category.
Latest Risks Added
3 New RisksBorealis Foods Peers Comparison
Overall Rating
LSF55Neutral
WYHG52Neutral- BRLS43Neutral
NAII40Underperform
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| Sector * | 62Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% |
| LSF | 55Neutral | $28.43M | -6.49 | -11.36% | ― | 73.26% | -239.94% |
| WYHG | 52Neutral | $29.57M | 5.63 | 3.25% | ― | -11.94% | -13.59% |
| BRLS | 43Neutral | $24.47M | -1.37 | 114.30% | ― | 14.96% | 13.45% |
| NAII | 40Underperform | $6.71M | -0.31 | -33.23% | ― | 9.08% | -52.59% |
* Consumer Defensive Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| BRLS | Borealis Foods Inc. Class A | 1.17 | -2.50 | -68.17% | |
| BRID | Bridgford Foods | 5.33 | -2.35 | -30.60% | |
| NAII | Natural Alternatives International | 1.07 | -1.91 | -64.09% | |
| LSF | Laird Superfood, Inc. | 2.53 | -1.98 | -43.90% | |
| WYHG | Wing Yip Food Holdings Group Limited Sponsored ADR | 2.73 | -1.31 | -32.43% |
Borealis Foods Corporate Events
Borealis Foods Receives Nasdaq Notice for Late 10-Q Filing
NegativeBorealis Foods disclosed that on August 26, 2026, it received a deficiency notice from Nasdaq after failing to file its Quarterly Report on Form 10-Q for the period ended June 30, 2026 on time. The notice, which confirms non-compliance with Nasdaq Li...
Borealis Foods Expands Rapidly in U.S. K–12 Market
PositiveOn August 26, 2026, Borealis Foods announced significant expansion in the U.S. K–12 school foodservice market, reporting preliminary channel revenue growth of 110% for the six months ended June 30, 2026 versus the same period in 2025. Since ent...
Borealis Foods Receives Nasdaq Noncompliance Delisting Warning
NegativeOn July 2, 2026, Borealis Foods Inc. disclosed that it had received a notice from Nasdaq indicating the company no longer meets the $35 million Market Value of Listed Securities requirement for continued listing on The Nasdaq Capital Market and also...
Borealis Foods Shareholders Back Board and Auditor Choices
PositiveOn June 29, 2026, Borealis Foods Inc. held its 2026 annual meeting of shareholders, where 12,845,650 shares, representing 59.8% of outstanding common stock, were present in person via virtual attendance or by proxy, establishing a quorum for formal b...
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Sep 06, 2026