February 2019


Stock I'm watching this month:-

WBT - Weebit Nano Ltd

Sector: Information Technology
Market Cap: 39.8 Million
Price/Earnings: N/A
Price/Book: 10.42
Return On Equity: N/A
Return On Assets: N/A
Debt/Equity: 0%

Reasons to watch: WBT is a purely speculative stock. It is a story stock because it is a company which has not started to generate cashflow yet. In fact, it is still in the R&D and productisation phase. It will most probably start to generate cashflow (if ever), in 2 to 3 years time. WBT is developing the next generation of memory technology, called ReRAM. The current memory technology is reaching its peak and would need the next step of upgrades to cater for the coming boom of AI and IOT. With the success of its R&D program so far, WBT is well positioned to benefit from the coming AI and IOT boom. The Chinese semiconductor industry is growing rapidly, with revenues expecting to reach US$129 billion by 2020. WBT just need to have a small piece of that pie for it to be profitable.

Risk: WBT has not started to make money and no one knows if it ever will. There are other companies competing in the space of the next generation memory technology.

Sentiment: Hold
Disclosure: Held
Current Price: $0.025
My Strike Price: $0.015 (Morningstar Fair Value Estimate: $0.03)



Disclaimer: This does not constitute any financial advice or stock recommendations. As always, Do Your Own Research.


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