SES AI (US:SES) The Motley Fool·2025-12-02 13:00Company Overview - SES AI Corporation is focused on modernizing lithium batteries and has seen its stock price increase over 400% in the past year, currently trading under $2 per share with a market cap of under $700 million [1][3] - The company was founded in 2012 and went public in 2022 through a special purpose acquisition company [3] Industry Context - The lithium battery industry is poised for modernization and AI innovation, with applications in various sectors including automobiles and drones [2] - The total addressable market for lithium battery innovations could exceed $500 billion by 2032, indicating significant growth potential [14] Financial Performance - SES reported a revenue of $7.1 million in Q3 2025, with an upward revision of revenue guidance from $20 million to $25 million [10][11] - The company is experiencing a lower net loss and has engaged in share repurchases, which are positive indicators for long-term success [6] Strategic Moves - SES has acquired UZ Energy and formed a partnership with Hisun New Energy Materials, marking a significant turning point for the company [8] - The company has released its AI software, Molecular Universe, which accelerates battery material discovery and enhances its service platform [2] Growth Projections - The energy storage industry, a key area for SES, is projected to have a compound annual growth rate (CAGR) of 27% over the next five years [9] - If SES can maintain a CAGR of 20% for the next 20 years, a $25,000 investment today could grow to nearly $1 million by 2045 [9] Market Sentiment - The stock's dramatic rise is partly attributed to broader investor sentiment in the AI and electric vehicle sectors, although some analysts caution that the increase may be based on hype rather than financial fundamentals [12][13]