Post by
ridethewinners on May 18, 2023 10:38am
Some good points
Dumont, your comments make good sense. My guess is the runup was mostly as investors expected a faster adoption than NanoX was able to do. A combination of covid slowing or even stopping a lot of innovation, and the IRA completely upending the economics of building out new technology cost NanoX 2 years.
Those trends are done now. I think Canada made a mistake by having all the federal and provincial subsidies start next year because it just handcuffs the shovel ready projects. Still, we will get past the barrier soon enough, and I am expecting several new initiatives that wil be more transparent with this company. I think SN is more likely to be public about the progress of drilling fluids and foam insulation, and certainly Volta when it finally comes.
All the analysts seem to be staying with their forecasts, even Paradigm is not backing down. That likely means guidance from the company is consistent and optimistic. They are certainly frugal with the cash reserves, and not excessive with directors compensation. The more graphene they sell, the higher the overall margins, and that indicates a solid operational discipline to me.
I have trouble understanding the implied value of Volta as MRE was willing to sell their share for $10 mill. I have received an explanation from the company but I am still dubious. Until there is clarity on the financing and partners we will be in the penalty box I suspect.
Best of luck