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NanoXplore Inc T.GRA

Alternate Symbol(s):  NNXPF

NanoXplore Inc. is a Canada-based graphene company. It is a manufacturer and supplier of high-volume graphene powder for use in transportation and industrial markets. It provides standard and custom graphene-enhanced plastic and composite products to various customers in transportation, packaging, electronics, and other industrial sectors. Its Advanced materials, plastics and composite products segment provides standard and custom graphene-enhanced plastic and composite products to various customers in transportation, packaging, electronics, and other industrial sectors. Its Battery cells segment provides silicon-graphene-enhanced Li-ion battery for the Electric Vehicle and grid storage markets. Its products include GrapheneBlack powder and graphene-enhanced masterbatch pellets using its extrusion capabilities that support various polymers. GrapheneBlack powder is suitable for a range of applications, it is especially useful for improving the properties of plastics and polymers.


TSX:GRA - Post by User

Post by ridethewinnerson Jan 23, 2022 12:32pm
151 Views
Post# 34349954

Reasons to buy

Reasons to buyI am long the stock and comfortable with that, but revenues and quarterlies are not a reason for ownership (yet). There are big barriers to entry for adoption of graphene, which is a good firewall for GRA once they start, but it takes a while to get them rolling. SN has been clear that revenue increases are a year way, I think we should believe him. 
THe EPA permit, the size and complexity of the customer relationships they have disclosed, and the possibility of battery volumes make this a company I am willing to be patient for. I will add to my position as we get more clarity, and I am fine to do this at higher prices.
I saw a few comments on the thread about battery revenues, but they are far away, and fraught with peril. That is a very competitive game, and SN had some good comments about not wanting to align too closely with an OEM as it depresses margins. With technology changing so fast in the battery world, the SN comments make perfect sensee, very high margins are needed as the risk of competing technologies is serious. 
Lastly, I understand the issues Ford and others have with unpermitted graphene, that may or may not be graphene at all. The problem is that to replace the unlicensed product with graphene black will likely involve a lot of safety testing, retooling, long term contracts and negotiations that will not be instant. It is possible that regulators will give them some time to adjust to the new reality. The auto supply chains are so disrupted now that more of this is unlikely, and the OEM's have a LOT of political clout. 
GRA is in a good position, but revenues are a long way from justifying the prices we all want to see. SN has been very realostic about guidance and the reality of the business model he is building. Management is always where great companies start, and so far I have no reason to doubt the decisions he has made. More communication would be nice, I do think an IR position is needed, but I am sure it will come in due course.
Best of luck
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