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Why Nano Dimension Stock Fell 12.7% in March

By Keith Noonan - Updated Apr 3, 2021 at 10:35AM

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Even with a recent pullback, Nano Dimension's market capitalization has risen more than 35,000% over the last year.

What happened

Shares of Nano Dimension (NNDM -5.53%) slipped 12.7% in March, according to data from S&P Global Market Intelligence. The stock lost some ground amid a broader pullback for growth-dependent tech stocks last month, but the Israel-based 3D-printing specialist's share price did rise with its fourth quarter report in the middle of the month. 

NNDM Chart

NNDM data by YCharts

Nano Dimension published its fourth quarter results on March, posting revenue of $1.97 million in the period that was roughly in line with last year's performance. The company ended the fiscal year with $671 million in cash and bank deposits, and has been raising money by selling stock. Nano Dimension now has a market capitalization of roughly $2.1 billion -- up from its market cap of roughly $5.9 million one year ago.

A person in protective lab wear holding a chip.

Image source: Getty Images.

So what

Nano Dimension got caught up in the broader pullback for growth-dependent tech stocks last month, but it looks like momentum is picking up at the business, and its share price has risen roughly 1,050% over the last year. The stock has skyrocketed amid an increasingly favorable outlook for its DragonFly 3D-printing machines, which are being used for the additive manufacturing of semiconductors and other complex electronics components. 

Now what

Nano Dimension stock has lost some additional ground early in April's trading. The company's share price is down roughly 2.6% in the month so far. 

NNDM Chart

NNDM data by YCharts

Nano Dimension has faced weaker near-term demand due to the coronavirus pandemic, with companies and research institutions delaying new projects due to uncertainty, but it looks like demand for its 3D-printing technologies will ramp up substantially over the next decade. 

Nano Dimension CEO Yoav Stern stated in the fourth quarter conference call that the company is pursuing growth through internal development and considering potential mergers and acquisitions opportunities. Based on those comments, it's possible that the company will put some of the cash it's raised to purchase a business that can augment and expand its capabilities. It's also possible that a large semiconductor player could make a move to acquire Nano Dimension. 

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