cash flow

Like many analysts on Wall Street, the strategist agrees that “cash flow is insufficient to fight the AI capex arms race.”

Higher rates drove up interest payments and squeezed cash flow further.

Chief Executive James Litinsky said MP has key agreements with the Pentagon commencing in the current quarter, which is improving the company’s visibility into cash flow as it speeds up magnet production in the U.S.

But paying early for future tax savings wouldn’t be worth it if that sacrifices cash flow or liquidity now, he said.

Check how much debt those borrowers are carrying relative to their equity and cash flow, and when their debt comes due.