XTPL – German analysts recommend “BUY”
Shares of XTPL, a company developing on a global scale breakthrough nanoprinting technology, have been valued by analysts from GBC at over PLN 230. Analysts reserve the possibility of increasing the company’s valuation in the perspective of the first commercial contracts in the upcoming quarters.
GBC – one of the leading analyst firms in Germany – has issued a report on the commercial potential of XTPL, which also contains a recommendation on the company’s share price. According to the German analysts, shares of the company are worth PLN 230.80. Moreover, their calculations are not final: the report states that the rapidly approaching commercialization of XTPL-developed solutions may justify an upward revision of the valuation.
“XTPL is expanding at a high rate. After a period of intensive research and testing, the company is ready to commercialize mono printing heads and inks for the display sector. Strategic alliances and business expansion are planned in the US and Asia, i.e. regions saturated with potential clients. Therefore, using the discounted cash flow method, we estimate the value of XTPL shares at PLN 230.80 and, as a consequence, we issue a “buy” recommendation” explains Cosmin Filker, analyst and co-author of the GBC report.
GBC has significant experience in analyzing mid-cap companies (with a market capitalization of up to EUR 500 million) in Western markets. Among the several hundred companies they have reviewed are numerous hi-tech firms such as Mynaric, the producer of laser communication equipment established by employees of the German Space Agency.
“We expect the first sales of XTPL products to begin this year, and the dynamic of sales should significantly increase in 2020. This will make it possible to achieve positive EBIT as early as 2021,” Filker adds.
“The valuation by GBC, a respected German analyst firm, is confirmation of the potential resting in the ultra-precise printing technology we are developing. XTPL is a mature organization ready to commercialize its solutions. Since last month our shares have been listed on the main market of the WSE, and we’ve opened a subsidiary with its headquarters in Silicon Valley. Now we’re focusing our efforts on signing the first contracts with global industry players, “says dr. Filip Granek, CEO and co-founder of XTPL.
XTPL, engaged in global development of breakthrough nanoprinting technology, is presently in advanced talks concerning commercialization in the promising smart glass and display production markets. Our negotiation partners are leaders in their markets around the world, which means that success can lead to the broad implementation of our technology within particular sector. At the same time, XTPL is building value through such activities as expanding its IP portfolio. After the conclusion in December of R&D work, the Palo Alto-based patent law firm K&L Gates submitted another three patent applications for registration.
XTPL plans to offer two product lines based on the technology under development: printing heads and dedicated nanoinks. The company’s primary customers will come from the industrial sector – producers of equipment for the advanced electronics manufacturing. IDTechEx estimates the value of that market will reach a staggering USD 70 billion by 2026.