NNDM

What does Nano Dimension Ltd. do and how does it earn money?

Nano Dimension Ltd. wants to make it big by making very tiny things. Founded in 2012, this Israeli company specialises in the research and development of 3D printing electronics and micro additive manufacturing (printing on a micro scale).

The company’s proprietary flagship product, Dragonfly IV, 3D prints professional multilayer PCBs (printed circuit boards), RF antennas, sensors, conductive geometries, and moulded connected devices for rapid prototyping. 

The Dragonfly IV also comes with Flight software, which allows users to design electrical and mechanical features in 3D, then print them seamlessly.

Between 2018 and 2020, Nano Dimension earned revenue from the sale of 61 Dragonfly systems. The company has cited their lack of Dragonfly sales as a risk to the future of the company’s growth.

In an effort to accelerate the adoption of Dragonfly IV, Nano Dimension has three Customer Experience Centres (CECs) in the United States, Hong Kong and Israel. The CECs act as sales support centres and customer training facilities.

Is NNDM an ADR?

Yes, as Nano Dimension is an Israeli company, NNDM stocks are ADRs. These ADRs are listed on the NASDAQ.

What is an ADR?

An ADR is an American Depository Receipt. ADRs are equities that trade on American exchanges but represent stocks in a foreign corporation. ADRs make it easier for non-U.S. companies to access U.S. capital markets.

Is NNDM profitable?

Nano Dimension has not been profitable since they began in 2012. For FY2019, FY2020 and FY2021, net income sat at minus US$15m, US$8m and US$48m.

As of the end of FY2021, the company has accumulated a deficit of approximately US$108m. In their own words, “we are a development-stage company and have a limited operating history.”

In late 2020 and early 2021, Nano Dimension issued 168m more shares through eight equity offerings to increase its cash reserves. It now has US$1.38b on its books.

Is NNDM stock a buy?

Over the years, Nano Dimension’s financials have been inconsistent, with profits nowhere to be found. As a result, the NNDM stock price has fallen over 95% since its October 2015 high of above US$93 to a bit above US$3 in March 2022. In May 2020, the stock went under US$1.

However, negative sentiment may be turning around, in particular for larger, institutional investors willing to buy and hold for the long term.

In the final quarter of 2021, Cathie Wood’s Ark Autonomous Technology and Robotics ETF increased their position in NNDM by 5.03%. BlackRock also increased their holdings by 15.18%. Citadel Advisors increased their holdings by a huge 527.82%.

Does NNDM stock have a short interest?

Yes. The short interest is 8.88% of NNDM’s total shares.

Who owns NNDM stock?

Currently holding 7.75%, Cathie Wood’s Ark Investment Management is Nano Dimension’s biggest owner.

Other notable stockholders include BlackRock (2.22%), State Street Global Advisors (2.1%), Susquehanna International Group (1.15%) and Stern Yoi Limited Partnership (0.81%).

Chairman and CEO Yoav Stern also holds 1.05%.