Neo Performance Materials Inc T.NEO

Hope western governments have this stock on a list.

[throwaway11]

It's strange to watch how this trades. I'm aware why the fundamentals have suffered recently, but this company is in a critical position for the west for a very large number of reasons that I think are obvious to everyone here. The way it trades given this fact is very strange to me.

[Kanatainvestor]

I believe the reason the stock is getting crushed is the fact that some EV makers like Tesla are trying to move from rare earth metals magnets, meanwhile other magnet customers such those making wind turbines are also being hit hard due to the increase in interest rates which increasingly inflated the cost of many wind projects. You can see the damage in the prices of renewable energy stocks, they

[blindpig]

The former CEO commented on this a few times and more or less dismissed the idea.  Using cheaper ferrite magnets may save money, but with a significant performance loss.  Maybe for some lower end EV's it could be possible, but performance and range is still mostly important.  In the overall cost of an EV how significant is the cost of the RE magnets??  NEO's net working

[Kanatainvestor]

Blindpig, I largely agree with you, hence my concluding comment that those looking to invest long term should look into the stock at these levels. However, as indicated there is a cyclical component to this around this short term pressures in the renewable energy space, and ab ongoing industrial slowdown in both China and the EU. In terms of rare earth and magnets, I can’t speak to what extent

[Possibleidiot01]

Now people can't complain you only post about NBLY:)

[Kanatainvestor]

I will add one more thing, here is a line from a Stifel (November 2022) research note: "Neo's share price has been plagued by geopolitical issues given roughly 80% of its production capacity is located in China and 36% of TTM sales occurred in that region." Many people think NEO is away to play rare earth metals outside of China, but the company business is still very closely tied