Desktop Metal ($DM)
Desktop Metal Investor Presentation
β’ 23% Insider ownership.
β’ 49% Institutional ownership.
β’ Adjusted EBITA breakeven by 2H 2024.
β’ Cost savings of $50M most of which will be realized Q1 2024.
β’ Laid off 20% of workforce due to economic climate.
β’Β Stock is heavily shorted, ~25% of float.
β’Β Possible short squeeze candidate.
β’ Company is making all the right moves. Wall Street thinks company will need to raise cash to stay afloat. Raising capital with debt or equity at this stock price is terrible. The same was said about Tesla during the Model 3 ramp.
β’Β This comapny will not raise capital. It will cut costs and focus on most profitable business segments. After Adjusted EBITDA break even company will continue to execute and become cash flow and then GAAP profitable. **FIREWORKS!!!
β’ $DM has the best one-of-one technology portfolio in Additive Manufacturing (AM). They have the wideest patent portfolio, the best worldwide distributuion, the best of the best customers (Tesla, SpaceX, ALL major auto manufacturers, U.S. millitary contractors (Sikorsky, etc.) and the U.S. millitary).
β’ $DM is following a cost curve decline that can be measured by the size of the printable deposit that is following a pattern similar to Moore's Law. The smaller the printed material, the more precise the print can be. The more precise the print, the more use cases become economically viable for mass 3D printing. As more production happens using 3D printing, the entire industry experiences the benefits of economies of scale.
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