NEO Battery Materials Ltd (NBM) AI Stock Analysis

• Market Cap: C$90.56M
• Dividend Yield: N/A
• Average Volume (3M): 83.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.88
• Revenue Growth: N/A
• EPS Growth: -98.97%
• Country: CA
• Employees: N/A
• Sector: Basic Materials
• Sector Strength: 59
• Industry: Industrial Materials
• EPS (TTM): -0.04
• Shares Outstanding: 119,157,750
• 10 Day Avg. Volume: 50,319
• 30 Day Avg. Volume: 83,091
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• Price to Cash Flow (P/CF): -72.90
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

NEO Battery Materials Ltd's overall stock score reflects significant financial challenges, with no revenue and consistent losses. Technical indicators show mixed signals, suggesting potential near-term weakness but a positive long-term trend. The valuation is unfavorable due to a negative P/E ratio and no dividend yield. However, strategic corporate events, including new product developments and partnerships, provide a positive outlook for future growth.

NEO Battery Materials Ltd Business Overview & Revenue Model

Company Description

NEO Battery Materials Ltd (NBM) is a Canadian-based company focusing on the development and commercialization of advanced materials for lithium-ion batteries. The company operates in the clean technology and renewable energy sectors, providing innovative solutions to enhance battery performance, efficiency, and sustainability. NBM specializes in silicon anode materials, which are designed to significantly increase the energy capacity and cycle life of batteries used in electric vehicles, consumer electronics, and energy storage systems.

How the Company Makes Money

NEO Battery Materials Ltd primarily generates revenue through the sale of its proprietary silicon anode materials to battery manufacturers and technology companies involved in the production of lithium-ion batteries. The company develops and licenses its technology, providing customized silicon anode solutions that meet the specific needs of its clients. Additionally, NBM may enter into strategic partnerships and joint ventures with key players in the battery and renewable energy industries to enhance its product offerings and expand market reach. Revenue streams also include potential government grants and funding for research and development initiatives aimed at advancing battery technology.

NEO Battery Materials Ltd Financial Statement Overview

Summary

NEO Battery Materials Ltd is facing significant challenges in revenue generation and profitability, as indicated by its income statement. While the balance sheet shows low leverage, the company's decreasing assets and reliance on equity financing raise concerns about future growth potential. The negative cash flows highlight operational inefficiencies, with a consistent need for external financing. Overall, the financial health of the company is weak, and there are substantial risks to future sustainability without significant changes in operational and financial strategies.

Income Statement

NEO Battery Materials Ltd has not generated any revenue in the TTM (Trailing-Twelve-Months) or previous years, which is a significant concern for income stability. The company has consistently reported negative EBIT, EBITDA, and net income, indicating a lack of profitability and operational efficiency. The negative gross profit further highlights the challenges in managing production costs.

Balance Sheet

The company has shown a stable stockholders' equity position with a positive equity ratio, indicating a relatively low level of leverage compared to assets. The debt-to-equity ratio remains manageable due to low total debt levels. However, the company's assets have been decreasing, and there is a consistent reliance on equity financing, which might limit future financial flexibility.

Cash Flow

The cash flow statement reflects negative operating cash flows, which suggests operational inefficiencies and a lack of cash-generating capacity. There is consistent negative free cash flow, indicating that the company is not able to cover its capital expenditures and operational costs from its cash flows. Despite this, the company has managed to secure financing, although this may not be sustainable long-term.

Breakdown
TTM	Mar 2024	Mar 2023	Mar 2022	Mar 2021	Mar 2020
Income Statement		Total Revenue
0.00	0.00	0.00	0.00	0.00	0.00
	Gross Profit
-285.75K	-206.97K	-112.50K	-72.00K	-59.77K	-58.89K
	EBIT
-4.83M	-3.33M	-1.96M	-2.05M	-1.49M	-1.07M
	EBITDA
-4.53M	-2.98M	-1.82M	-1.91M	-1.44M	-979.71K
	Net Income Common Stockholders
-4.49M	-2.84M	-1.61M	-2.08M	-1.66M	-1.09M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
759.24K	941.98K	1.63M	1.26M	638.30K	219.28K
	Total Assets
2.49M	2.95M	3.13M	1.67M	746.37K	389.12K
	Total Debt
177.66K	215.75K	177.86K	12.17K	1.37M	141.85K
	Net Debt
-581.58K	-726.23K	-1.45M	-1.24M	747.58K	-59.70K
	Total Liabilities
668.22K	725.43K	179.24K	178.29K	1.58M	306.46K
	Stockholders Equity
1.83M	2.06M	1.89M	1.50M	-834.53K	82.66K
Cash Flow		Free Cash Flow
-2.25M	-2.88M	-2.26M	-1.67M	-760.43K	-1.15M
	Operating Cash Flow
-2.10M	-2.52M	-1.77M	-1.50M	-759.08K	-1.15M
	Investing Cash Flow
-1.85M	-2.07M	-1.16M	-177.46K	-1.34K	0.00
	Financing Cash Flow
1.11M	3.90M	3.31M	2.30M	1.18M	1.06M

NEO Battery Materials Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.76
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:NBM, the sentiment is Negative. The current price of 0.76 is above the 20-day moving average (MA) of 0.76, below the 50-day MA of 0.83, and above the 200-day MA of 0.48, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 46.53 is Neutral, neither overbought nor oversold. The STOCH value of 27.50 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:NBM.

NEO Battery Materials Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SGML	50 Neutral	$1.84B	―	-38.77%	―	72.76%	38.06%
CRE	49 Neutral	$107.84M	69.72	2.13%	―	―	―
Sector *	47 Neutral	$2.66B	-3.11	-22.17%	3.33%	3.66%	-28.13%
FMC	47 Neutral	C$16.68M	―	-724.49%	―	―	-30.65%
NBM	46 Neutral	C$90.56M	―	-151.63%	―	―	-98.97%
AVL	42 Neutral	C$17.04M	―	-5.00%	―	―	-1118.18%
LAC	42 Neutral	$847.31M	―	-4.13%	―	―	―

NEO Battery Materials Ltd Corporate Events

NEO Battery Materials Unveils High-Retention Silicon Anode Prototype

NEO Battery Materials Ltd has introduced the NBMSiDE® P-300N, an advanced silicon anode prototype that boasts the highest capacity retention achieved to date. This mass-producible product is designed to improve battery stability while keeping production costs low. The P-300N is undergoing long-term performance testing and is expected to be a competitive solution for a wide range of applications. The company is scaling up for commercialization, aiming to produce near-commercial battery cells with global partners, leveraging the P-300N’s adaptability to existing manufacturing processes.

NEO Battery Materials Grants Incentive Stock Options to Leadership

NEO Battery Materials Ltd. has announced the granting of incentive stock options to certain directors and officers, allowing them to acquire a total of 510,000 common shares under the company’s 10% rolling stock option plan. This strategic move is likely to enhance the company’s operational dynamics by aligning the interests of its leadership with long-term shareholder value, potentially strengthening its position in the competitive battery materials industry.

NEO Battery Materials Collaborates with Rockwell Automation for Enhanced Production

NEO Battery Materials Ltd. has announced a collaboration with Rockwell Automation to integrate advanced automation solutions in its upcoming silicon anode manufacturing plant in Windsor, Ontario. This partnership aims to improve production efficiency, quality control, and scalability, which will streamline NEO’s manufacturing capabilities and optimize resource use. The collaboration is a strategic move to enable large-scale, commercial production and to support NEO’s plans for future expansion in the United States. Rockwell’s involvement will enhance decision-making through digital tools and real-time monitoring, ultimately contributing to higher efficiencies and growth for both companies.

NEO Battery Materials Expands Silicon Anode Production to 20 Tons Annually

NEO Battery Materials Ltd. is scaling up its silicon anode production to 20 tons per year to address the growing demand from downstream partners and initiate mass-producibility testing. This expansion is expected to support increased customer requirements and optimize manufacturing processes to ensure quality, performance, and cost control. Additionally, the company’s high-performance P-300 series shows strong commercial potential, and NEO has received a Notice of Allowance from the Korean Intellectual Property Office for a relevant patent.

NEO Battery Materials Advances Silicon Anode Plant in Windsor

NEO Battery Materials Ltd. announced progress in the commercialization of Canada’s first advanced silicon anode manufacturing facility in Windsor, Ontario. The company has initiated a Phase I Environmental Site Assessment to ensure the site’s suitability and is in discussions to select contractors for the plant construction. This facility aims to produce 5,000 tons of silicon anode materials annually, reducing reliance on imported materials, fostering battery technology innovation, and supporting regional economic development.

NEO Battery Materials to Build Canada’s First Silicon Anode Plant in Windsor

NEO Battery Materials Ltd. has announced plans to establish Canada’s first advanced silicon anode manufacturing facility on an 8-acre site in Windsor, Ontario. The facility, which will require an initial investment of CAD 69 million and a total of CAD 120 million over eight years, is expected to produce 5,000 tons of silicon anodes annually and create over 100 skilled jobs. By securing a long-term lease with favorable terms and tax incentives, NEO aims to reduce reliance on imported materials and bolster the battery supply chain in Ontario and North America, highlighting the region’s supportive infrastructure and business environment.

NEO Battery Materials Launches High-Capacity Silicon Anode, Eyes Space Industry Expansion

NEO Battery Materials Ltd. has announced the launch of NBMSiDE® P-300, a new high-performance silicon anode product that significantly improves battery capacity while reducing material usage. This breakthrough positions NEO as a potential leader in the industry by enhancing battery efficiency and expanding its market reach into the space and eVTOL sectors. The company is optimizing P-300 for pilot production, seeking patent protection, and focusing on commercialization with notable improvements over traditional graphite anodes, marking a significant move in the battery technology landscape.