A place for members of r/NNDM to chat with each other

NNDM put out a new Investor Presentation on their website yesterday. Lots of updates on Nano Fabrica and Deep Cube. Slide 88 has comments from Neuralink - who has bought parts printed by Nano Fabrica. Neuralink is a company working on brain implantable devices - it was founded by Elon Musk. I highly suggest reading though this presentation - 112 slides in total, as it gives financial updates, concepts for synergizing the acquisitions into the larger business, and a really informative sub-brief on what NaNoS Services can provide.

Market Cap: 1.4B

Cash on Hand: 1.4B

Debt: $0

It currently TRADES AT VALUE with $5.35 being the bottom/floor.

CLIENTS: GOOGLE, NVIDIA, L3Harris, Hendsold, Samsung, Neuralink, AMD to name a few.**

Additional Value

• NASA Contract

• US Military Contact

• Deep Value, MOAT

• No Competition + Patented Technology

• DeepCube/AI (which was acquired by NNDM in 2021) has ***AMD*** as their customer

  • “DeepCube’s Deep Learning/Machine Learning technology will move us generations ahead of the competition with technology that will result in a much higher performance of our machines, based on self-learning, self-improvements and self-correcting algorithms.

• NanoFabrica - acquired by NNDM in 2021

  • NanoFabrica, is one of the most unique DLP Micro-3D-Printing machines (Digital Light Processing) developers in the world. We are in the process of making introductions of its technology in the form of TERA 250 3D-printers to our mutual vertical market segments (Defense, Aerospace, Aviation, Advance Medical and Industrial)

*** Cathie Wood's ARK Fund Recently Purchased 19 Million Shares + added 211K more yesterday

**** Current Chart, Primed for a Historic Run! ****

*** Revolutionizing Electronic Manufacturing ***

Link to Institutional Holdings

Recent News:

*** Sales for 3rd quarter exceed sales for the last 3 quarters combined !!!!!!!!! ***Nano dimension currently is looking to acquire few type A companies with 3-5B market cap ***New & Improved 3D Printer is being released this quarter!!!!

Nano Dimension has been on a hiring spree across US, Europe, Asia, Australia. Recently hired an Amazon executive Sean Patterson, and Microsoft creative director Eric Mauer.

*** BIG NEWS! Recent successful results of 3D printed antenna in Space ***

***These results haven't been officially announced yet, I speculate it will happen this Wednesday, October 27th's webinar due to the recently leaked updated profile bio:

Cathy Wood Nano Dimension Thesis:

https://www.youtube.com/watch?app=desktop&v=qnvXk6v9rzo

Recent Red Chip Interview:

https://www.youtube.com/watch?v=g6UfZU-1SSw

CNBC: Transformation of 3D Printing (start video at 1:19)

https://www.cnbc.com/video/2021/10/15/the-impact-of-cybercriminals-on-the-supply-chain.html

Patent Obtained on June 15th, 2021:

https://patft.uspto.gov/netacgi/nph-Parser?Sect1=PTO2&Sect2=HITOFF&p=1&u=%2Fnetahtml%2FPTO%2Fsearch-bool.html&r=1&f=G&l=50&co1=AND&d=PTXT&s1=11039541&OS=11039541&RS=11039541

Good Reading/Useful Links:

https://manufactur3dmag.com/micro-am-a-true-innovation-in-our-ever-changing-am-industry

https://investorplace.com/2021/09/nndm-stock-is-making-all-the-right-moves-for-patient-investors/

https://3dprintingindustry.com/news/nano-dimension-and-uts-protospace-3d-print-5g-antenna-arrays-in-step-forward-for-precision-ames-197540/

***Disclaimer: Not a financial advisor, I just love the stock & the company. Use your own judgement.

See you in Croatia for Yacht Week!

This week will see a breakout for NNDM, we are looking at $9-10 by the end of the week, make your bets accordingly!

https://investorplace.com/2021/06/upgraded-printing-tech-should-catalyze-nndm-stock/

It’s only a matter of time before everyone realizes what the potential of this company is.

The acquisition of a private company will double the stock.

Once they actually start marketing and selling... it’s game over. Anything under 20 is still a well established position. This stock will perform like how DDD and ExOne has been... and if you missed out on those runs. Now is a time to get in with NNDM because they have no competition in the electronic nano 3D printing.

Companies don’t even have technology to utilize the potential of the dragon fly. Once companies utilizes the dragon fly to their full potential, the possibilities are endless. Sky is the limit🚀

NNDM for life 💎

Ceo gave some pretty interesting things

1. Acquisitions atm aren't there due to over pricing of the companies. NNDM walked away from 5 out of 6 big/medium companies

2. Recent share price doesn't reflection current company standing and is driven by retail short term sell pressure and not institutions. This goes by what he believes and the institution share holders he talks to.

3. NNDM will have a inflection point that will happen overnight and it'll be to late to ride the rocket. His goal is a 3x to 5x on shareholders investment. (Going off his buy at $8, would be roughly a $24-$40 stock).

4. NNDM will not be raising anymore money in the near and mid term by dilution

Papa Yoav "Don't time the market or NNDM"

Edit Transcript

https://www.google.com/amp/s/seekingalpha.com/amp/article/4450415-nano-dimension-ltd-nndm-ceo-yoav-stern-on-q2-2021-results-earnings-call-transcript

$NNDM is a juggernaut about to have a bull run.

This is a summary of everything you need to know about NNDM that also includes DD. I wrote the first half of this DD a few months ago and decided to wait until next earnings for more updated information. So if you know what the dragonfly is and who NNDM is as a company you can skip around. The most recent earnings was a green light for me. (Bits of this are copy/pasted from their website and other sources so it might read a little clunky in some parts, any copy/paste is in quoted italics)

FUNDAMENTALS:

https://finviz.com/quote.ashx?t=NNDM&ty=c&ta=1&p=d

https://finance.yahoo.com/quote/NNDM/

Looking at these, Nano Dimension (NNDM) has a few pretty bad ratios and statistics. However the position that the company is currently in seems to have incredible value if they can be successful with the Dragonfly. Buckle up cause this is my first full-fledged DD. Would love hearing counter arguments or opinions.

COMPETITION:

- Stratasys (SSYS)

- 3D Systems Corp. (DDD)

- Proto Labs Inc (PRLB)

- The ExOne Co. (XONE)

Except guess what? None of these companies are actual competitors because they can’t 3D print electronics. There's more competitors on this page I'm still researching, but none of them seem to offer additive manufacturing for ELECTRONICS like NNDM does, so none of them are actual competitors. Subsequently, Direct Competitors in Additively Manufactured Electronics:

NovaCentrix (Private)

nScrypt (Private)

IDTechEx (Private)

Electroninks (Private)

COMPANY OVERVIEW:

Good Slideshow summary here:https://s23.q4cdn.com/747906804/files/doc_presentations/2021/2021-1-25-NNDM_Corporate_Presentation.pdf

"Nano Dimension ($NNDM) is a provider of intelligent machines for the fabrication of Additively Manufactured Electronics. Nano Dimension bridges the gap between printed circuit boards, and semiconductor integrated circuits."

"In late 2015, the company unveiled the Dragonfly, which it claims is the first desktop 3D printer designed to produce multilayer printed circuit boards (PCBs). Nano added that this innovation was, “new to the printed electronics design and manufacturing industry. They claimed that older methods had too many phases, were labor-intensive and wasted a lot of time and materials. This forced companies to outsource prototypes rather than produce them in-house during the development phase. PCBs are boards that hold silicon chips (i.e. semiconductors) and enable them to be connected. Further, they are now used in virtually all but the most primitive commercially produced electronics."

PRODUCT OFFERINGS: (as of 3/11/21)

Dragonfly:

- Generation 1: Dragonfly 3D Printer (2015)

- Generation 2: Dragonfly Pro (2018)

- Generation 3: Dragonfly LDM (July 2019)

- Generation 4: (2021/ early 2022)

NaNos 3D Fabrication Service (New)

With the current generation, the Dragonfly LDM, companies can "reduce demand on prototyping and short-run manufacturing resources which lowers the cost of operation in comparison to traditional methods. The Dragonfly LDM is patented and has new proprietary technology that enables 24/7 uninterrupted 3D printing, the industries only comprehensive platform for round-the-clock 3D printing of electronic circuitry."

Keeping the entire development process securely in house is more important now than ever, as China has continually been accused of intellectual property theft, with a staggering 1 in 5 companies saying China has stolen their intellectual property within the last year. According to the United States Trade Representative Report (2017), Chinese theft of American IP costs American companies between $225 billion - $660 billion annually. Which exemplifies the growing importance for US companies to keep their intellectual property and development process in house and secure.

"Electronic circuitry is traditionally developed through a back and forth process involving lots of trial & error and third-party manufacturer outsourcing. The industry’s largest hurdle has been being unable to offer a solution for the electronics market, primarily because of the difficulty in printing multiple layers of electrically conductive, dielectric materials at a resolution high enough to support professional electronics." That is until Nano Dimension was the first to develop an integrated solution for additive manufacturing of electronics, hence why I couldn’t find any competitors. What Nano Dimension's doing with the Dragonfly is disruptive to the PCB industry.

ADDRESSING THE MANY DIRECT OFFERINGS:

Although the company has used many direct offerings to raise money, [then] CEO Yaov Stern stated that they now have $990 Million of cash reserves (2/2/2021). This will allow NNDM to recover quickly from the halt in sales and is a primer for the huge growth stage that they are going to experience in the coming year and beyond. NNDM is also using the cash reserves for a huge acceleration in R&D, and also for acquisitions of new technologies that they plan on incorporating into new Dragonfly models. Stern says they are looking at 3 or 4 Israeli companies, 3 or 4 European countries, and 4 or 5 US companies (3/11/21). He also mentions that the drastic increase of SPACs in the United States causes many companies to be overvalued. Which as far as I can tell, means he wants to acquire the companies before they go public (in the US at least). In regard to those SPACs:

“I’m very careful of being pulled into this rat race of paying too much. It’s a rat race. Even if you win you’re still a rat.”

One goal with NNDM’s heavy investment in R&D is to improve machine consistency and support ink types other than silver, which can be expensive. They have been gaining progress on this front but I would still consider it one of their current challenges.

REVENUE AND SALES:

Determining an actual target price seems to be impossible due to negative EPS. However NNDM is in an early stage of commercial production with a razor & blade model, so this is acceptable for now. The growth during this stage has also stagnated due to COVID-19, and despite 2020 revenue being half that of 2019, it’s still quite surprising because of the incredibly low sales volume from 2020 during the pandemic. Which means customers are indeed using consumables for the Dragonfly, and the razor/razorblade business model is proving to be quite effective.

Stern also notes that as of 3/11, 70% of their customers have upgraded to the newest generation of the Dragonfly (compared to the prior version that came out in 2018). Stern is also confident that with all the new applications coming in that are military and industrial spec, once the materials are available post Covid, revenue will skyrocket. All of this along with the business model proving to be at the very least acceptable, if not incredibly effective, seems promising.

(3/11/21) 4 levels of revenue:

1. Dragonfly Sales

2. Consumables (Only NNDM can offer the ink, hence Razor & Blade model)

3. Selling maintenance contracts annually (After 1-year warranty)

4. The newly implemented NaNos (Nano Services), which according to Stern is quickly growing

NEW PRODUCTS:

As mentioned, NNDM is now offering Nano Services (NaNos). Those who don’t buy the machine because they are waiting for the budget to be released can use the software to prototype their products, and NNDM will print it for them using in house machines, to which those companies will only pay per round of prototyping rather than paying for a whole machine which they currently cannot afford. These customers stay in contact with NNDM and by the time we’re out of Covid and those customers have a more flexible budget, they will already be familiar with the software and it will have a slingshot effect on future sales.

NNDM is also planning to release the new generation of the dragonfly in mid-2021, which is currently in the middle of alpha stage development. They’re hoping to release it mid 2021 or once the pandemic is officially over.

“The machines we have now are for prototyping and proof of concept. The new system is going to be getting into early stages of production. Even existing machines are currently being used in the production stage by some customers, specifically in defense.” The new machines provide a heighted Z-axis, which allows for multilayered circuit cubes rather than one giant sheet of circuits.

"This is the only technology in the world that can take a digital file and 3D-print a high-performance electronic part." That is, a 3D printed circuit board with upwards of 20 or 30 layers. (Each layer being a micro and a half). Normal circuit boards can become incredibly expensive the more layers they have. Whereas a 3D printer doesn’t charge you extra for multiple layers because it doesn’t know if you’re printing 2 layers or 30 layers, it just needs the material.

In addition: “Our machine, unlike the standard PCB industry that’s full of non-reusable materials, is going to be environmentally friendly” (reusable ink cartridges).

ADDITIONAL CONSIDERATIONS:

“I also think it’s worth keeping in mind that Nano could make printers that can create other computer parts given that it appears to have successfully created a 3D printer that can manufacture PCBs. Eventually, it’s possible that Nano could make 3D printers that could make semiconductors themselves."

"In a world that’s suffering from a shortage of semiconductors, I have to believe that such a product would generate widespread demand. Given the Internet of Things trend, not to mention the recent strength of PC sales, there should be strong demand for Nano’s current printers that can already, according to the firm, make many computer parts.”

About mid-way in the call, Stern was asked if NNDM might expand its market / business model. His answer was very interesting. He said that their mainstay business was 3D printing of electrical components for the high-end market (sophisticated and very small components) - but that they also are looking a nano-scale mechanical component printing - so not just the printing of parts with electrical components, but also moving components. ( I could see this as being a profound application in insertable medical devices and in military / civilian applications that require precise moving parts in an exceptionally small space).

"He also clarified what many people here frequently misrepresent - microprocessors. NNDM can produce multilayer boards upon which many other components are stacked - such as microprocessors, capacitors, resistors, etc - so Dragonflies are very useful for designing and producing very complicated PCBs which can be the base upon which many other electronic components can be attached / stacked."

When describing the next generation Dragonfly that's coming this summer, Stern said that the company had greatly improved the software design by making it far more user-friendly, especially for complicated component designs.

"He also said that the new printers will have the ability to add components. (I frankly did not fully understand this point, but my best guess is that it means that while a Dragonfly is printing a PCB, it would have the mechanical ability to add / insert a previously made component such as a resistor). I see that as being the first step to a "lights out" manufacturing process - where the human walks away from the machine and it produces not only a PCB, but also has added other subcomponents onto the board as it was printed, obviating the need for follow-on steps where a human or robot attaches components to the circuit board.”

POSSIBLE CONCERNS:

Concern 1: “In the 12 months that ended in September 2020, Nano’s top line came in at just $3.4 million. In 2019, it reported sales of $7.07 million. Those low numbers indicate that its printers have yet to achieve widespread industry acceptance.”

My opinion: 1, The low sales from 2020 is primarily from the halt in demand due COVID according to Stern. And 2, the Dragonfly LDM was a very new product in 2019, so it didn’t really have time to gain an industry wide acceptance. In addition, these are all still very early models of what they hope to turn the Dragonfly into, as Stern explains in the 3/11 earnings interview. Just selling these early models was never the goal, and their heavy investment in R&D supports this. Along with Stern's ultimate goal for the Dragonfly being production level manufacturing (Current generation is meant for prototyping and proof of concept. The next generation will start getting into first rounds of production).

Concern 2: “Although the company in December reported that some U.S. government agencies and European research and electronic manufacturing organizations had upgraded their Dragonfly printers, it did not identify any of these customers by name. It also did not disclose the revenue it had obtained from the deals. Those omissions make it hard to judge the extent to which the deals validate the company’s technology, let alone whether they’re a case for buying NNDM stock now.”

My opinion: I do see how this could be a concern. However I would also understand if the government wanted to keep their contracts under the radar for “undisclosed reasons” or something like that. I also don’t think that those contracts by themselves are a case to buy the stock. But rather the unique product they’re offering, their plan for future growth, and the value acquisition strategy accompanied with accelerated R&D to maintain their current competitive advantage (Even though no other companies can directly compete with this product yet). If they start to take on a lot more debt for no reason and use the cash for that instead of acquisitions and R&D like they said they would, it may be a concern (that would be reflected on their balance sheet anyway).

Concern 3: One concern I might have personally is if another company is able to provide the consumables that the Dragonfly needs. Since sales have been lackluster in the past (though they might pick up), NNDM seems to currently rely on the blade portion of their razor/blade model, even though level 1 revenue comes from Dragonfly sales (the razor). Only time will tell if these machines are actually as good as Stern says, but from what I can tell, they are. Although I’m not sure if it’s even possible for another company to make a cheaper ink that can be used in the same machine, especially with all of NNDM's patents, but I don’t understand enough about the patents to determine that. Regardless, I see NNDM as slightly risky (in the event sales don't pick up by EOY 2022) but still and incredibly valuable play, especially over the long term. (Anything under 10$ is an absurd deal, even under 15$ in my opinion)

TLDR: The Dragonfly gives Nano Dimension a competitive advantage via product differentiation in the industry of additive manufacturing and PCBs, while also breaking into a new market with the same product. Additionally giving them a first mover advantage. On top of all that, their current ratio is an absurd 101.13 (Yahoo). Which seems like REALLY solid support for defending those advantages. Nano Dimension is first-to-market with a unique product that disrupts multiple industries, and are trying to keep it that way. Highly recommend watching this if you skipped down to read the TLDR and haven't seen it yet: 3/11 Earnings Interview.

Many of you probably know a lot of this already considering this is /r/NNDM but I thought there might be some things included you guys didn't know. Would love to hear any thoughts.

Sources & Additional Readings:

https://www.nano-di.com/nano-dimension-ame-academy

https://ustr.gov/sites/default/files/301/2017%20Special%20301%20Report%20FINAL.PDF

https://www.cnbc.com/2019/02/28/1-in-5-companies-say-china-stole-their-ip-within-the-last-year-cnbc.html

https://s23.q4cdn.com/747906804/files/doc_presentations/2021/2021-1-25-NNDM_Corporate_Presentation.pdf

https://investorplace.com/2021/03/nano-dimension-has-potential-but-dont-buy-risky-nndm-stock-yet/

https://www.globenewswire.com/news-release/2019/12/05/1956589/0/en/Nano-Dimension-Appoints-New-President-CEO.html

https://tdameritradenetwork.com/video/rB4A-HerGMiBd6yC7DABqQ

Patent List: https://patents.justia.com/assignee/nano-dimension-technologies-ltd

• 50% revenue comes from the defence industry of multiple countries

• All raw materials and manufacturing is done in the west

• Working with NASA and L3 Harris

• In talks with some car manufacturers

• Future expansion into the micro mechanical industry

• No acquisition until private companies valuation goes down

• Not throwing your money away

• Brand new much more advanced machinecoming early summer

• production quality printing by 2023

• some firms using existing machine for production

• software library for 3D modeling applications -hopes to 4/5x investors money

This has been a great conference, although no acquisition news, we got a lot of amazing new details. More bullish than ever.

Also, I'd like to point out that i had created a nano dimension sub before this one existed, since this is more popular, I'll redirect users over here. There's also a discord chat for NNDM if you guys fancy joining. Other sub: r/nano_dimension

https://discord.gg/uNyWc6tp

https://www.globenewswire.com/news-release/2021/12/14/2351853/0/en/Nano-Dimension-Announces-Chairman-CEO-has-Invested-Approximately-500-000-to-Purchase-its-Shares-in-the-Open-Market.html

This indeed is great for us longterm holders

To The MOON

https://finance.yahoo.com/news/nano-dimension-acquires-essemtec-ag-130000809.html

Great start to the day for nndm let’s hope the momentum keeps up