U.S. markets open in 4 hours 30 minutes

Newborn Acquisition Corp. (NBAC)

NasdaqCM - NasdaqCM Real Time Price. Currency in USD
Add to watchlist
12.91+0.36 (+2.87%)
At close: 4:00PM EST
Full screen
Trade prices are not sourced from all markets
Gain actionable insight from technical analysis on financial instruments, to help optimize your trading strategies
Chart Events
Bearishpattern detected
Price Crosses Moving Average

Price Crosses Moving Average

Previous Close12.55
Open13.50
Bid12.70 x 1400
Ask15.53 x 4000
Day's Range12.58 - 13.50
52 Week Range9.70 - 22.74
Volume152,539
Avg. Volume528,886
Market Cap96.309M
Beta (5Y Monthly)N/A
PE Ratio (TTM)N/A
EPS (TTM)N/A
Earnings DateN/A
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target EstN/A
Fair Value is the appropriate price for the shares of a company, based on its earnings and growth rate also interpreted as when P/E Ratio = Growth Rate. Estimated return represents the projected annual return you might expect after purchasing shares in the company and holding them over the default time horizon of 5 years, based on the EPS growth rate that we have projected.
Fair Value
XX.XX
Overvalued
Research that delivers an independent perspective, consistent methodology and actionable insight
Related Research
View more
  • Why EV Charger Nuvve Is Poised to Rise After the Merger
    InvestorPlace

    Why EV Charger Nuvve Is Poised to Rise After the Merger

    Newborn Acquisition Corp (NASDAQ:NBAC) is a SPAC (special purpose acquisition company) that will merge with EV charger Nuvve Corp. Once that happens and the symbol changes to NVVE, expect to see NBAC stock (actually NVVE stock) move significantly higher. Source: Shutterstock I went over the basic reasons for this in my last article on Dec. 16. showing what NBAC stock is worth. I concluded that after the merger the combined company will be worth $31 per share. That was more than 100% higher than the price at the time when NBAC stock was at $14.37. However, since then the stock has risen to $19.10 on Jan. 26. I now believe that NVVE/NBAC stock is worth $34.50, or 81% higher than the recent price.InvestorPlace - Stock Market News, Stock Advice & Trading Tips In effect, NBAC stock has risen 33% since my last article. But it is still worth considerably more. Here is how I came up with the $34.50 price target. The Sales Multiple One of the main reasons for this is because other charging company stocks that act as comps are still highly valued. For example, Blink (NASDAQ:BLNK) and Switchback Energy (NYSE:SBE), which plans on merging with EV charging company ChargePoint, have much higher valuations. 7 Safe Stocks to Buy for Solid Returns in Tumultuous Times On page 24 of the Newborn Acquisition Corp slide presentation, Nuvve lays out the economics of the merger transaction. Once the merger closes, there will be 20.2 million shares outstanding. Therefore, on a pro forma merger basis, the market cap for NBAC stock is now $387.8 million (i.e., $19.10 share price as of Jan. 26 times 20.2 million shares). Moreover, since the merger raises $70 million, the pro forma enterprise value will be $318 million (i.e., $388 million minus $70 million). Nuvve projects on page 26 of the slide presentation it will make $32.3 million in revenue in 2021. By 2022, Nuvve forecasts revenue almost three times that at $94.3 million. Therefore, its enterprise value-to-sales multiple is only 9.9 times (i.e., $318 million divided by $32.3 million). But this is way below the same metric of its comps. Comparing the Valuation Blink has an enterprise value-to-sales ratio of 434 times, according to the Yahoo Finance statistics tab. Moreover, for 2021, Blink has a $1.95 billion enterprise value and it expects to make 2021 revenue of $11 million, according to Yahoo’s analysis tab. Therefore, its enterprise value-to-sales multiple for 2021 is 177 times. That is more than 17.8 times higher than the 9.9 multiple for Nuvve Corp. In addition, ChargePoint has a very high enterprise value-to-sales multiple, even for 2021. I estimate that it trades right now at 59 times enterprise value-to-sales. This is six times higher than the 9.9 multiple for NBAC/NVVE. On page 33 of ChargePoint’s presentation, Switchback Energy says the combined company will have 304.9 million shares outstanding once the merger closes. This gives it a pro forma market capitalization of $12.348 billion at the SBE stock trading price of $40.50 on Jan. 26. After deducting $648 million in net cash on the pro forma balance sheet, the enterprise value is $11.7 billion. Since ChargePoint estimates, on page 31 of its presentation, that its 2021 revenue will be $198 million, the enterprise value-to-sales multiple is 59 times. This is seen by dividing $11.7 billion by $198 million. What NBAC Stock Is Worth So Blink is at 177 times enterprise value-to-sales, and ChargePoint (SBE stock) is at 59 times, but NVVE/NBAC stock is at just 9.9 times 2021 sales. That is quite a difference. My estimate that NBAC stock could easily double from here is clearly applicable. But even if we forget the Blink ratio as an outlier and only use ChargePoint, and if we discount it by two-thirds (for its Nuvve’s smaller size), the target ratio would be 19.6 times. This is seen by multiplying the 59 enterprise value-to-sales multiple by 33%. Therefore, even taking into its smaller size, NBAC stock should be 19.6 times enterprise value-to-sales. That is still 98.5% higher than its 9.9 multiple. This implies that Nuvve’s pro forma enterprise value should be $631 million (i.e., $318 million times 1.985). Adding back the $70 million in cash gives it a pro forma market value of $701 million. Therefore, comparing NBAC’s pro forma market value right now of $388 million with its $701 million target value implies a potential gain of 80.7%. This implies that NBAC stock should be trading at $34.50 per share. Not a bad return for most investors in NBAC stock. On the date of publication, Mark R. Hake holds a long position in Newborn Acquisition (NBAC) stock and Switchback Energy (SBE) stock. Mark Hake writes articles on personal investing at mrhake.medium.com and runs the Total Yield Value Guide which you can review here. More From InvestorPlace Why Everyone Is Investing in 5G All WRONG Top Stock Picker Reveals His Next 1,000% Winner It doesn’t matter if you have $500 in savings or $5 million. Do this now. The post Why EV Charger Nuvve Is Poised to Rise After the Merger appeared first on InvestorPlace.

  • NBAC Stock: 14 Things to Know Ahead of the Nuvve SPAC Merger
    InvestorPlace

    NBAC Stock: 14 Things to Know Ahead of the Nuvve SPAC Merger

    Earlier in November, electric vehicle charging play Nuvve announced it was coming public via a special purpose acquisition company. Now, it looks like investors are ready to dive in. Shares of the SPAC, Newborn Acquisition (NASDAQ:NBAC), are surging higher by more than 50%. So what do you need to know about NBAC stock? And why is it so hot ahead of the Nuvve SPAC merger? Source: Shutterstock With those questions in mind, here are 14 things investors should know about NBAC stock now. Newborn Acquisition launched its initial public offering in February 2020. At the time, it raised $50 million by selling 5 million shares at $10 each. Investors should note that Newborn Acquisition is a Chinese SPAC. When it came public, it said it wanted to focus on businesses in either the U.S. or Asia. Importantly for NBAC stock, the blank-check company is incorporated in the Cayman Islands. Perhaps the biggest news for shareholders came a few weeks ago. Newborn Acquisition announced it would bring Nuvve, an EV charging company, public. Unlike rivals Blink Charging (NASDAQ:BLNK) and ChargePoint (NYSE:SBE), Nuvve offers vehicle-to-grid solutions. This means that when cars are plugged in and not in use, they can contribute back into the grid. Also importantly, many industry experts think this will help boost consumer adoption while also helping the power grid manage the growing presence of EVs. There is also interest in V2G solutions to help power commercial and municipal EV fleets. Nuvve currently has found success in the European market, where V2G solutions are popular. When it comes public, Nuvve will trade on the Nasdaq Exchange. It will then trade under the ticker NVVE. Additionally, the combined company could have an enterprise value as high as $130 million. InvestorPlace - Stock Market News, Stock Advice & Trading Tips What You Need to Know About NBAC Stock Broadly, investors have been very interested in electric vehicle stocks and all sorts of adjacent plays. This has taken Nuvve rivals Blink Charging and ChargePoint to new heights. Will Nuvve and NBAC stock continue to benefit from the same catalysts? It looks likely, especially as there is no real news driving Newborn Acquisition up in the market today. Investors should also know about a recent announcement from the company. Last week, Nuvve and Newborn Acquisition shared an exciting development. Nuvve and Lion Electric are forming a V2G partnership. What does that mean? Well, Canada-based Lion Electric focuses on developing heavy-duty electric vehicles like all-electric school buses. Now, it wants to work with Nuvve to make sure its fleets incorporate V2G solutions as a standard feature. Why does that matter? Well, a large part of the thesis for NBAC stock is that Nuvve will shine in the realm of electric vehicle fleets. As it looks for new customers ahead of the Nuvve SPAC merger, it is important that it is gaining some fans in Canada. Just how meaningful the Lion Electric deal will be remains to be seen, but it is certainly a reason for optimism. Keep an eye on NBAC stock. It is joining other EV SPAC peers like CIIG Merger (NASDAQ:CIIC) in massive gains this week. On the date of publication, Sarah Smith did not have (either directly or indirectly) any positions in the securities mentioned in this article.  Sarah Smith is a Web Content Producer for InvestorPlace.com.  More From InvestorPlace Why Everyone Is Investing in 5G All WRONG Top Stock Picker Reveals His Next 1,000% Winner Radical New Battery Could Dismantle Oil Markets The post NBAC Stock: 14 Things to Know Ahead of the Nuvve SPAC Merger appeared first on InvestorPlace.