Nanoco Group

LN: NANO1

£33.8m market cap

11.8p last close

Nanoco is a global leader in the development and manufacture of cadmium-free quantum dots and other nanomaterials. Its platform includes c 700 patents and specialist manufacturing lines. Focus applications are advanced electronics, displays, lighting and bio-imaging.

Investment summary

Although Nanoco’s major US client will not progress to volume production in the foreseeable future, commissioning work continues on the new production capacity, which is scheduled to complete by December. Once that is completed, the facility will be able to produce high-quality infra-red nanomaterials for use in a number of electronics applications. It could therefore be used to service future demand from the US customer or potential new customers in the electronics or display industries with which Nanoco is in the early stages of discussion. The current market capitalisation appears to assign little value to these assets at a time when there appears to be renewed market interest in quantum dots.

Y/E Jul
Revenue (£m)
EBITDA (£m)
PBT (£m)
EPS (p)
P/E (x)
P/CF (x)
2018A 3.3 (6.2) (7.1) (2.63) N/A N/A
2019A 7.1 (3.8) (5.0) (1.75) N/A N/A
2020E 3.5 (6.0) (6.7) (2.36) N/A N/A
2021E N/A N/A N/A N/A N/A N/A
Last updated on 21/10/2019
Industry outlook

Although Nanoco’s major US client will not progress to volume production in the foreseeable future, commissioning work continues on the new production capacity, which is scheduled to complete by December. Once that is completed, the facility will be able to produce high quality nanomaterials for use in a number of electronics applications. It could therefore be used to service future demand from the US customer or potential new customers with whom Nanoco is in the early stages of discussion.

Last updated on 21/10/2019
Sector
TMT
Share price graph
Balance sheet
Forecast net cash (£m) 0.2
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual 2.6 1.3 (67.2)
Relative* 4.6 4.7 (68.0)
52-week high/low 55.0p/8.5p
*% relative to local index
Key management
Michael Edelman CEO
Brian Tenner CFO

Content on Nanoco Group