Breaking news drives Nel ASA share: What are BioNTech and Kleos Space up to?

Kleos Space: Will the stock still take off in 2022?

While BioNTech and Nel have already moved well away from the low for the year, Kleos Space is still waiting for the countermovement. But this could be imminent. A SpaceX rocket is to be launched this year. On board: The fourth satellite cluster from Kleos Space. The cluster has passed all tests and is on its way to Elon Musk's SpaceX. Full commissioning will then take place by mid-2023. Three satellite clusters are already in space and are expected to be in formation this month. Accordingly, Kleos Space can start generating revenue. As a result, the shares of the specialist for space-based high-frequency reconnaissance could soon take off. The Company hopes to receive orders from the US government in the future. Initial test projects are already underway. According to analysts, Kleos Space should multiply its sales in the coming years.

Analysts at First Berlin expect Kleos to increase sales from EUR 2.20 million in the current year to EUR 12.50 in the coming year. In 2024, this figure should then already be EUR 20.20 million. Then, a net profit of at least EUR 2 million should be achieved for the first time. With a current market capitalization of AUD 40 million, the price/earnings ratio for 2024 is just over 13. Not too much for a company in an industry of the future. Therefore, First Berlin recommends Kleos shares as a buy with a price target of AUD 1.60 (to the full report more-ir.de/d/25391.pdf).

Nel: Bringing GM on board

Nel's stock is still a few years away from a price-to-earnings ratio. Operating performance has disappointed this year. Nevertheless, Jefferies analysts consider the Norwegian company's stock the "Top Pick" in the hydrogen sector. They say the current order backlog makes it easy to plan for sales development until mid-2024. They, therefore, recommend Nel shares as a buy with a target price of NOK 19. But this is not the only thing Nel shareholders can be happy about. The Company is also making progress strategically. For example, the Norwegians announced a cooperation with General Motors (GM) yesterday. By combining GM's fuel cell expertise with Nel's hydrogen know-how, the partners aim to significantly reduce green hydrogen production costs.

By combining GM's extensive fuel cell expertise and Nel's decades of knowledge in electrolyzers, the two companies aim to develop more competitive sources of renewable hydrogen. "General Motors is one of the world leaders in hydrogen fuel cell propulsion with more than 50 years of experience," said Nel CEO Håkon Volldal. "We believe this collaboration will give us a competitive advantage in industrializing the production of our PEM electrolyzers and further improving the efficiency of our technology." GM management also has high hopes for the partnership. For example, GM's fuel cell expertise is expected to help Nel scale. GM would receive payments for development work and the transfer of intellectual property. In addition, royalty payments are planned after successful product development, he said.

BioNTech: Expand into Asia

The BioNTech share has also performed well in recent weeks, with the share now trading at EUR 160 again. UBS believes that the share price potential has been exhausted for the time being. Although BioNTech published strong figures for the third quarter, sales and profits in the coming year are difficult to plan. Therefore, the analysts rate the shares of the Mainz-based company as "neutral" with a price target of USD 168.

Operationally, meanwhile, BioNTech continues to go full throttle. The Mainz-based company has purchased a GMP-certified production facility in Singapore from pharmaceutical giant Novartis. The fully integrated mRNA production facility is expected to be operational by the end of 2023. In addition to mRNA for vaccines, it will also be able to produce oncology therapies in ready-to-fill batches. "The acquisition will allow us to accelerate the build-out of a state-of-the-art mRNA manufacturing facility, providing faster capacity for potential clinical trials and commercial delivery of our mRNA vaccines and therapeutics in the region. Over the coming months, we will work closely with all parties involved to ensure a smooth handover of the facility and prepare for the start of production," said Sierk Poetting, chief operating officer of BioNTech. The new manufacturing facility will also serve as the regional headquarters.

Kleos Space's stock could take off this year. BioNTech has numerous trial results coming up in the next year. Nel needs to continue to grow into its high valuation.