Tritium DCFC Ltd (DCFCQ)

[WeTheMarket]

Due diligence info on Tritium (DCRN) from Reddit
https://www.reddit.com/r/SPACs/comments/qupeda/dcrn_tritium_charging/?utm_source=share&utm_medium=ios_app&utm_name=iossmf

DCRN is merging with Tritium Charging. If you read my old post, you know Im a big fan of NVVE and PTRA. But I added this name to my portfolio and I will explain the mainly reasons.

-Tritium is the “only pure play DC fast charging infrastructure OEM upon merger closing”. In other words, this is the only company in the market who sell hardware for the electric charging stations. This mean for me that DCRN could Works as kind of “ETF” for electric charging stations, because you bet on sector development instead a single company. So, its like a hedge if NVVE doesnt perform as I expect (and is crushed by his competitors)

- Tritium and ChargePoint Partner for Fast Charging Across the U.S.

https://www.chargepoint.com/about/news/tritium-and-chargepoint-partner-fast-charging-across-us/

-Fast-Charger Maker Tritium Is Seeing a Boom in U.S. Orders

https://www.bnnbloomberg.ca/fast-charger-maker-tritium-is-seeing-a-boom-in-u-s-orders-1.1676252

High powered partners!

Check out @Shell's fantastic exhibit at this year's @MOVE_Event conference, featuring a beautifully branded Tritium PK350 fast charger. pic.twitter.com/f0cfRs0XEQ

— Tritium® (@TritiumCharging) November 10, 2021

-Roth Capital initiated coverage with $18 price target

-Seaport Global initiated coverage with a Buy rating and $17 price target

-D.A. Davidson Companies initiated coverage with a Buy rating and $16 price target

-Fox Advisors initiated coverage with an Overweight rating and $13 price target

-Looks cheap vs peer



-Several partnerships and diverse Blue-Chip customer base

-Is not a pre-revenue company, they already have his products on Street. Actual revenue 59M in 2021, with 1B projected in 2025.

-Positive Free Cash Flow projected by 2023

- 75% of Asia Pacific DC fast charging market share, 20% of European DC fast charging market share and 15% of United States DC fast charging market share. (DC charging has much greater speed than conventional)

- $PLTR Palantir invested 15M in PIPE

https://www.prnewswire.com/news-releases/tritium-and-decarbonization-plus-acquisition-corporation-ii-announce-agreement-for-pipe-financing-by-palantir-technologies-inc-to-support-business-combination-301342166.html

-At current price of 10,33 $DCRN has les than 3% máximum loss, barely trading above its Net Asset Value.

-Traded volume setting a new record day after day. But we are not seeing record high prices because a lot of arbitrage hedge funds jumped on DCRN when was below 10. Once they sell his position, I think could easily run to 15. (Look what happened to $GGPI)

This was very shortly post regarding all the catalyst and news around Tritium Charging. I stopped being a hevay SPAC investor, but this has a beautiful risk/reward if you taking into account the NAV and how hot is the charging sector, for more information I truly recommend see:

$DCRN ➡️ @Tritium IP highlights
Valuation at 1.4b
Free cash flow 2023
Will trade under $DCFC (DC fast charge 🧐)
24% for $DCRN share holders
No pipe
IP - https://t.co/aSQn5nriVL pic.twitter.com/dAloTNNo0r

— The EV Guy (@The_EVGuy) May 26, 2021

https://www.sec.gov/Archives/edgar/data/0001836154/000119312521172906/d174609dex993.htm

DISCLOSURE: Long with 2000 shares

DISCLAIMER: I am not a financial advisor. Do your own due diligence