Graphene Stocks to Invest In
Investing in graphene stocks is an interesting investment opportunity because the material has so many uses. It’s a bit like investing in steel, but graphene is 200 times stronger than steel and 1,000 times lighter than paper. As a result, graphene is a wonder material that can be used in many ways, such as in anti-corrosion coating, flexible displays, solar panels and even DNA sequencing.
Of course, you might wonder why graphene isn’t everywhere if it’s so amazing. In the past, that has mostly been for one big reason: cost. Using traditional manufacturing methods, graphene could cost as much as $200,000 per ton to produce.
However, things are changing all the time, and researchers at Rice University have been developing a way to produce graphene from trash. Yes, banana peels, coffee grounds, you name it. As production costs fall, graphene could become the material of the future, meaning there is a lot of opportunity for investors to buy into the top graphene companies.
Best Graphene Stocks to Buy
If you believe graphene is the next big thing and want to invest now, here are the best stocks to buy:
- Applied Graphene Materials (OTC: APGMF)
- Haydale Graphene Industries (OTC: HDGHF)
- First Graphene (OTC: FGPHF)
- Aixtron (OTC: AIXXF)
- Versarien (OTC: VRSRF)
You may have noticed that all of our graphene stocks are over-the-counter (OTC). This means they may be speculative and less regulated. However, they are some of the best graphene stocks to buy right now.
No. 5 Applied Graphene Materials
AGM is a UK-based company that specializes in graphene production, specifically in the application of graphene nanoplatelet dispersions. Graphene dispersion delivers graphene particles in a liquid material that creates a stable and consistent compound. AGM also produces graphene paints that are less prone to corrosion.
AGM stock is currently trading at less than a quarter of the price of its most recent high when it sold for $1.09 per share in January 2021. With a market cap of $13.4 million, AGM is a small company. While it is has not been profitable in the past, its Q1 2022 revenue is up about 10% year-over-year (YOY). Although its cash reserves are declining, it could still see modest growth in its share price over the next year as graphene technologies continue to develop.
No. 4 Haydale Graphene Industries
Another UK-based company, Haydale Graphene Industries produces silicon carbide, graphene and composite solutions for the energy and infrastructure sectors. It aims to extend the lifecycle of assets with its products. It produces a variety of products, including composites, elastomers and silicon carbide whiskers.
Haydale has a market cap of about $14.5 million. Its stock is also trading at a fraction of what it was a few years ago, but its share price has increased by around 15% since February 2022. Its net income grew recently, increasing about 15% from 2020 to 2021. However, investors should be wary of its net income, profit margin and net change in cash. All of which were negative in some recent quarters. But as graphene manufacturing becomes easier, this could be one of the top graphene companies to watch.
No. 3 First Graphene
First Graphene is an Australian producer of graphene products, including PureGraph. These products are high-performing additives with a wide range of uses, including plastics, composites, rubbers and elastomers, cement and concrete and inks and coatings. Sectors that can benefit from its products include mining services, leisure equipment, textiles, automotive and construction.
First Graphene’s market cap is around $52 million. And its shares price has steadily declined from its January 2021 high. Although the company is not yet profitable, it increased its revenue YOY in every quarter of FY 2021. Still, its net income for Q4 2021 was -$1.24 million AUD. Even though this is still a loss, it’s an improvement from Q2 2021, where net income was -$2.12 million AUD. For now, we’ll keep an eye on First Graphene stock and see if it improves. This could be a stock to add to your list of graphene stocks to buy.
No. 2 Aixtron
Founded in 1983, Aixtron is one of the oldest companies on this list of graphene stocks. Its core business is in manufacturing metalorganic chemical vapor deposition equipment for clients in the semiconductor industry. However, its capabilities also allow it to integrate graphene and 2D materials into semiconductor devices. As an “old” company, at least in this space, some investors see Aixtron as a safer bet than newer pure graphene producers.
In contrast with other stocks on this list, AIXXF is trading below, but very close to, its August 2021 high. It had fallen to about $20 per share in December 2021, but is slowly approaching $30 per share again. Aixtron is worth around $3 billion and it pays a dividend. Plus, most of its fundamentals are in the green, including a 51% YOY increase in revenue and a 110% increase in net income in Q2 2022. It also has a 16.9% profit margin. As a result, its share price could continue to climb in the next 12 months, making it one of the top graphene companies.
Graphene Stocks to Buy No. 1 Versarien
Versarien is an advanced engineering materials group that leverages proprietary technology. It has nine different subsidiaries. Two of which include Versarien Graphene Limited and Cambridge Graphene Limited. The former is Versarien’s dedicated graphene manufacturing business. And its Cambridge subsidiary is a spin-off of Cambridge University. This subsidiary supplies novel graphene inks and develops graphene/2D materials technology and applications.
Despite having the appearance of a large company with all its subsidiaries, UK-based Versarien has a market cap of around $35 million. Its stock is trading under $0.20 per share after reaching nearly $1 at the beginning of 2021. While the company is currently not profitable, its fundamentals are in the green. Its revenue increased about 10% YOY in Q1 2022. Its profit margin is up 48.4%. And its net income is up 43%. Look for this graphene stock’s share price to improve along with its fundamentals.
The Bottom Line on the Best Graphene Stocks
All of the graphene companies listed above are somewhat of a bet on the future. If technology continues to develop at a steady rate, it could be the material of the future. With so many potential uses, the only thing holding it back is high production costs.
As always remember to do your research and due diligence before making any investment decisions. There is a wide world of investing opportunities for you to explore and this is just one of them…