NextDecade falls after Morgan Stanley cuts rating, price target

Shares of NextDecade fell 6.3% to $7.18 after Morgan Stanley downgraded its rating to "Equal-weight" from "Overweight" and reduced the price target from $15 to $10. The brokerage noted that while the final investment decision on Train 4 of the Rio Grande LNG project provided clarity, the updated financial outlook was disappointing, with expected annual cash flow now at about $1 billion, lower than previous estimates. High financing costs and lower implied sales rates for Trains 4 and 5 also contributed to the negative outlook, leading to a year-to-date decline of approximately 7% in the stock.