If you’re thrilled by Graphene and its potential to change the world around us, let us look at some promising stocks, in this arena it can be hard to tell, which company has something REAL to offer, something weighty with the ability to profit our investing perceptions.
As of now there is no way to invest in the commodity directly, however you have the worthwhile option of investing in stocks of companies that are resolutely investing in Graphene research and applications.
Dr Peter Blake the MD of Graphene Industries who is also researching the substance, at The Manchester University, where early development of the material took place. Blake believes initial Graphene applications will be, LCD or Organic LED displays, and solar panels that can roll onto your roof, flexible touch screens and new types of energy storage batteries.
What I’m advocating here is not another unique strategy, since Graphene companies’ stocks have collapsed, this indeed is a very scary time. But from what I understand Graphene companies’ stocks could well get more investor attention as more and more investors become aware of the potential of Graphene.
If this happens we could see prices spike dramatically again, and this scenario makes an impeccable case for the small investor. To invest at this point in time since the fundamentals have not changed at all.
One such company to watch at now is CVD Equipment Corporation (CVV) which is seriously into manufacturing and selling Graphene products the stock has suddenly shot up to something like 2000% in matter weeks. There seems to be a serious lack of competition, coupled with huge demand for its products.
For the impatient folks who want to grab a quick pie, and who can’t wait to get hold of a Graphene stock, at this instant is Northern Graphite Corp. CVE: NGC it is the only publicly traded company. And this is listed on Canadian Venture Exchange. Be forewarned this stock is notoriously ultra speculative and the company has been in the red over the last five years in a row.
Dr. Alex Cowie who edits the Australian Diggers and Drillers newsletter, in his famed Blood Vessel BatteryTeaser has been touting Syrah Resources SYR. This company had quite an impressive year owing to its graphite discoveries in Mozambique.
Graftech GTI that is controlled by Royce funds is another favorite in this arena teased over and over again, this is an advanced materials company that’s hugely funding graphite research and applications.
German based BASF, with over 350 production sites worldwide is another major chemical companies – that is into Graphene research since 2008 in partnership with Max Planck Institute.
(Unlisted) but this company was founded by Dr. Karl Coleman from Durham University; Durham Graphene Science is an R&D company specializing in Graphene synthesis, it uses one of its kind patented methods to manufacture Graphene.
Focus Graphite formerly (Focus Metals) is a public company, trading in the OTC market a mid-tier junior graphite a mine developer and Technology Company based in Ottawa, Canada. It aims to become a low cost producer of technology-grade graphite.
Grafoid is another aspirant to my list. It is yet to go public but if the rumors on some of the discussion boards are true. Then this medium sized Canadian graphene producer partly owned by a major mining company, will soon be floated on the exchanges. It has got strong backing, a unique method of environmentally friendly production and a very rosy future. With firm partnership deals in place already this is the best bet.
Samsung known more for its electronic gadgets, and smart phones, than for anything else. The South Korean Giant is heavily into research of the electrical properties of graphene and have several products in the pipeline. They are working on, Super durable smartphone screens, and laptop computers, that can be rolled up.
Oxford Instruments just look at the growth of this company it is well positioned to profit from the nanotechnology and graphene boom. The share price has already increased an inconceivable amount and currently shows no sign of reversing. Absolutely one to deliberate, but it is possible that most of the share price growth is factored in by now.
Update 20 Nov 2013:
Here’s an important update on the factual information I have, after doing some more research on the Graphene investment scenario. I thought it’s worth sharing with the keen Graphene investor.
Well, there are a couple of conspicuous problems that stand exposed as of now. Graphene in its current form is typically a man-made material and its price isn’t really tied to graphite, from which it’s sometimes made, (not always) in contrast to what the investment buzz wants us to believe.
Perhaps there is every indication that its pricing will come under pressure as the supply is likely to grow enormously over the coming years. As the real consumption rates are probably around 25%, about 60 tons of the miracle material was sold last year. With low consumption rates prices usually head lower.
For instance the actual price depression we witnessed for Multiwall Carbon Nanotubes dropped from $700 per kg in 2006 to about $100 per kg in 2009 with some forecasters giving a forward pricing as low as $50 per kg by 2014. The pricing pressures already witnessed in the past may well lead to as much as 85% shrinkage to your investment in a typical Graphene miner/producer.
While countries such as U.S.A, U.K, South Korea and China have filed thousands of patent applications in an attempt to lead the way on development. This could lead to patent wars, and these wars in the Tech Industry are always long winded, this could act as another deterrent.
Although Graphene holds the promise to be the rock-star, and game changing substance in the coming decades… as with all investments it’s quite important to comprehend your own risk tolerance. Happy Investing.
Disclosure: I don’t have any positions in any stocks mentioned herein, and no plans to initiate any in the near future as well.