Companies that burn cash at a rapid pace can run into serious trouble if they fail to secure funding. Without a clear path to profitability, these businesses risk dilution, mounting debt, or even bankruptcy.

Negative cash flow can lead to trouble, but StockStory helps you identify the businesses that stand a chance of making it through. That said, here are three cash-burning companies that don’t make the cut and some better opportunities instead.

fuboTV (FUBO)

Trailing 12-Month Free Cash Flow Margin: -9.4%

Originally launched as a soccer streaming platform, fuboTV (NYSE: FUBO) is a video streaming service specializing in live sports, news, and entertainment content.

Why Does FUBO Worry Us?

1. Uptick in domestic subscribers indicates the company’s underlying demand is healthy
2. Suboptimal cost structure is highlighted by its history of operating margin losses
3. Negative free cash flow raises questions about the return timeline for its investments

fuboTV is trading at $8.71 per share, or 1,888.7x forward P/E. Read our free research report to see why you should think twice about including FUBO in your portfolio.

Sabre (SABR)

Trailing 12-Month Free Cash Flow Margin: -9.4%

Originally a division of American Airlines, Sabre (NASDAQ: SABR) is a technology provider for the global travel and tourism industry.

Why Do We Avoid SABR?

1. Performance surrounding its total bookings has lagged its peers
2. Cash burn makes us question whether it can achieve sustainable long-term growth
3. 7× net-debt-to-EBITDA ratio makes lenders less willing to extend additional capital, potentially necessitating dilutive equity offerings

Sabre’s stock price of $1.76 implies a valuation ratio of 6.9x forward EV-to-EBITDA. Dive into our free research report to see why there are better opportunities than SABR.

3D Systems (DDD)

Trailing 12-Month Free Cash Flow Margin: -18.2%

Founded by the inventor of stereolithography, 3D Systems (NYSE: DDD) engineers, manufactures, and sells 3D printers and other related products to the aerospace, automotive, healthcare, and consumer goods industries.

Why Do We Pass on DDD?

1. Customers postponed purchases of its products and services this cycle as its revenue declined by 7.3% annually over the last five years
2. Diminishing returns on capital from an already low starting point show that neither management’s prior nor current bets are going as planned
3. Limited cash reserves may force the company to seek unfavorable financing terms that could dilute shareholders

At $3.15 per share, 3D Systems trades at 1.2x forward price-to-sales. Check out our free in-depth research report to learn more about why DDD doesn’t pass our bar.

Stocks We Like More

ALSO WORTH WATCHING: Top 5 Momentum Stocks. The best time to own a great stock is when the market is finally noticing it. These aren’t just high-quality businesses. Something is happening with them right now. Elite fundamentals meet near-term momentum — both boxes checked at the same time.

Find out which stocks our AI platform is flagging this week. See this week’s Strong Momentum stocks — FREE. Get Our Strong Momentum Stocks for Free HERE.

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,326% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today.