Over 200% upside potential and a revenue surprise? Steyr Motors, D-Wave, and naoo shares

naoo: Analysts expect the share to multiply

An interesting opportunity to enter or add to positions has arisen in the case of naoo AG. After a strong price increase, the shares of the Swiss technology company corrected by more than 30% within three days and were trading at EUR 12.50. That this price decline was clearly exaggerated became apparent as early as Friday afternoon. On Monday, despite a weak overall market, it rose by over 6%. Yesterday, the share price was back at EUR 15, but still well below the high of EUR 29 reached in February. Since then, the Company has reached significant milestones to get closer to its goal. The plan is to use local social media and AI-supported monetization to conquer the market. In Switzerland, the naoo app is already ranking high in the download charts and is also available in Germany. The stock has been listed on the Düsseldorf Stock Exchange since December and still offers significant potential – especially if Europe takes stronger action against US tech companies.

While platforms like Instagram, YouTube, TikTok, or X focus on global reach and tend to ignore the user's immediate environment due to their size, naoo focuses on the local environment. With regional strength, the technology company wants to grow and develop into a strong brand in the social media sector. Acquisitions are also expected to contribute to growth. For example, naoo acquired Kingfluencers AG in March. This is the largest influencer agency in Switzerland. Its clients include brand companies such as Nestlé, L'Oréal, Migros, Samsung, and UBS. The new subsidiary is growing strongly and has increased its revenue by an average of 30% per year over the past four years.

In the current year, naoo expects to generate around CHF 10 million in revenue. Analysts expect this figure to rise to around CHF 35 million next year and to break through the CHF 100 million mark by 2027. By then, the experts believe that naoo will already be able to generate an operating profit of over CHF 30 million. Therefore, they recommend naoo shares as a "Buy" with a target price of EUR 41.35. Yesterday, in an interview with GBC Research, naoo board member Karl Fleetwood also expressed optimism Link)

Steyr: Problems with BaFin?

A multiplication like the one at naoo may not be possible for Steyr Motors - at least not in the short term. However, 1,000% was possible within just a few days. But just as quickly, the stock retraced. The stock is currently trading at EUR 50, which is over 80% below the high but still 160% higher than a month ago. This illustrates the wild volatility surrounding defense-related stocks.

The wild price swings of the Steyr share, which briefly pushed the market capitalization above the EUR 2 billion mark and caused trading to be interrupted several times, could have consequences. There are rumors that BaFin is investigating whether there has been insider trading, market manipulation, or violations of ad hoc disclosure rules. Specifically, the investigation concerns the days from March 11 to March 14. The investigations likely also include Steyr's major shareholder, Mutares. The latter had taken advantage of the high prices and sold a block of shares at over EUR 300 per share.

D-Wave: Stock fights tech selloff

D-Wave Quantum's stock is also not for the faint of heart at the moment. Initially, the security of the quantum computing play more than doubled within a few days and hit an all-time high of USD 11.08 on March 17. Since then, however, it has been on a steep downward trend again. Last week alone, the stock lost over 10% of its value and was trading below USD 8 again. Yesterday, however, it successfully bucked the tech selloff.

The recent price decline could be an opportunity to enter the market. The experts at zacks.com see D-Wave as one of the interesting quantum stocks. The partnership with the Julich Supercomputing Centre could boost D-Wave's revenue to USD 10 million in the first quarter. Analysts, on the other hand, expect only USD 2.55 million. D-Wave's fourth-quarter new orders rose 502% to USD 18.3 million. This is a clear sign that the Company is making progress.

Analysts see over 200% upside potential for naoo. Operationally, the expansion is ongoing, and the stock could benefit from the disputes between the US and Europe. D-Wave is bucking the tech selloff. However, a lot of positives seem to be priced in already. In contrast, the spending spree at Steyr appears to be over for now.