NI
NiSource Inc.
stock NYSE

Sector: Mining/Antimony
Let me start with a new headline from earlier today: “Slovak parliament dismisses environment minister Taraba.”
Spring back to May 22, Military Metals files their NI 43-101 for their flagship 100% owned Trojarova project, inferring **6.5 Mt at 1.02% Sb and 1.06 g/t Au for 67 kt of antimony and 222 koz of gold.** Pretty huge.
Less than a week later, they received an “unscheduled review and final decision” from the Ministry of Environment that their exploration permit for Trojarova has been cancelled. It was quoted as being unexpected, without appropriate justification, inconsistent with Slovakias own laws and the strategic importance to the European Commission.
The timing was certainly suspicious, especially when you consider: antimony is listed within the EU critical raw minerals act, Trojarova is specifically named as one of two major antimony sources in Europe, and Slovakia’s PM Fico is pro-russian at a time where European strategic defence autonomy is becoming increasingly paramount.
However, Slovakia’s government has been in turmoil for some months. A minexforum quote from August suggests: “The Slovak government is facing internal strife, with Environment Minister Tomáš Taraba under pressure from his own party and opposition. In a bid to bolster his political standing, Taraba has leveraged the cancellation as a way to position himself as an eco-friendly leader, despite previously supporting the project … Antimony is crucial for military applications and high-tech industries, and the Trojarova project was expected to supply up to 30% of Europe’s demand.”
Military Metals previously began the appeals process and from September 25 was reported to be “actively engaging with representatives from the Slovak government … During these discussions, the company presented the project’s current legal status and its strategic relevance, highlighting the need for responsible mining practices that address environmental and community concerns from the outset.”
So to circle up from the top, the Environment Minister, Taraba, who was head when a wrench was thrown in this project, is out. Fico’s coalition is in jeopardy. Could this be a catalyst to reverse course on Trojarova? MILIF/MILI is sitting at 52 week lows after dropping over 60% from pre-cancellation levels.

Last Oct-Dec, I full ported and[ called $SEZL at $50-80](https://www.reddit.com/r/wallstreetbets/comments/1orfs7w/dd_subprime_split_purchases_sezl/). It has since peaked at $180 and is now trading at around $110 - my thesis points all came true.

As fintech/BNPL is popular to hate on, feel free to counter my points in the comments.

$KLAR is fundamentally mis-priced at $12.50/sh and will be re-rated to **$20-25 around release of Q4 earnings (Feb 2027) as my base case, and bear case re-rating will take place around Q1 earnings (May 2027).** Price action in the next month might be dog poop though.
# Five main THESIS POINTS, and some RISKS at end of page.
**1. Growth is great, valuation is quite depressed.**
Revenue growing 25-30% YoY, TMD growing at 35-45% YoY. In Q2, adjusted operating income reached 91M & 27M GAAP OI, 9M GAAP NI.
P/S of 1.1, and 2027 EPS multiple of around 15-25 depending on what model you look at.
$AFRM, the closest competitor to $KLAR, was trading at the same P/S when they were burning 200M cash per quarter in 2022. $KLAR is already at breakeven with double the revenue (compared to AFRM back then), and in the acceleration stage of US penetration.
(LIKELY) $2B cash coming in from Google/Pricerunner lawsuit which already settled in Klarna's favour (ofc Google appealed, could be $1-3B payout upon appeal). Market cap of 4.7B currently.

**2. Focus on Fair Financing in November 2025,** which is basically longer-term APR loans on higher ticket items like dishwashers, laundry machine etc.
This follows the same path as Affirm's loan issuance style, and carries MUCH higher margins than the standard BNPL model Klarna runs. Affirm has 8% take rate doing mostly this type of loan - Klarna is currently at 2.85%, because they are still ramping up on FF.

Fair Financing makes up 13% of GMV as of Q2, growing at 82% YoY. As this loan issuance grows rapidly so will TMD, OI, and profitability.

**3. US Expansion being a key driver of higher margins** \- launch of JPM & Apple are some of the largest signings this year, and they are driving usage aggressively in US (37% YoY rev growth in USA, at 36% of total revenue). Note that US is responsible for 36% of total rev DESPITE only being 22% of GMV (as of Q2). Expecting continual 35-40% rev growth in US (consistent with Affirm's growth rates).

**4. Flywheel of 120M active users and other financial products** \- they have fee credit cards, debit cards, chequing/savings accounts, etc. which serve as additional, higher margin line of revenue & even with weak penetration of total active users, generates incremental revenue growth as more users are introduced to these products. They have around 6.5M Klarna Card users, generating interchange, APR & monthly fees. Not a major contributor to growth but still likely 10M rev/qtr, along with stickier all-in-one finance product.

**5. Open Market Insider Buys:** CEO $10M of shares, Chairman of the Board (Michael Moritz, Sequoia) 50M of shares, both at $14 range. No reason for them to add to large existing positions unless belief of severe valuation disconnect relative to what THE INSIDERS SEE happening. Moritz bought in March 2026, CEO bought in Aug 2026 after large earnings drop.
# Risks

**Rate Hikes:** 1-2 rate hikes will not meaningfully affect bottom line. Short-term duration loan length, using consumer deposits, and selling loans insulates them from much of this shock

**Poor execution:** Execution has been great in 2026 so far - guidance adjustment (3% less GMV & revenue) due to weak Germany general consumer spending as of 2026 (thx war & oil prices). Macro, not execution caused slight guidance adjustment. This is also assuming Germany stays soft.

**CFO/CMO departure:** US-focused executives needed for better capital markets communication & US-focus marketing strategy focus. Not a negative IMO, old CFO was making clown slides on their quarterly earnings.

**Profitability**: yes i want to see scaling of GAAP NI, will improve starting Q4. Q3 is an "investment" Q as stated by mgmt, highest SBC of year and investment into launch of Apple/JPM integration.

**Positions:** 50K in 2028/01 10C/12.5C/15C leaps that are underwater.

SI stands for SUPER IDOL DE XIAO RONG , DONG NI DE TIAN MAI~

The interesting number in this defense delivery is fourteen. LX Pantos said on September 8 that it secured overflight clearances from fourteen countries while transporting air-to-air missiles from France to South Korea for Korea Aerospace Industries. The shipment supports the Republic of Korea's Marine Attack Helicopter program. It traveled on a dedicated cargo charter from Châteauroux to Incheon, followed by a road movement to Pohang, according to the company's account.
That sequence is a reminder that procurement does not end when equipment leaves a supplier. The transport operator had to coordinate air and ground movement, approvals and the handling requirements for a sensitive shipment. The aircraft and defense equipment moving through these supply chains depend on electrical systems that use copper. Long-term supply also includes proposed mining projects, whose planned output needs to remain distinct from metal already produced. Gunnison Copper ($GCUMF) has a preliminary plan for open-pit mining, heap leaching and onsite LME Grade A copper cathodes over 21 years; that plan is not assured. LX Pantos identifies the European contractor only as company M, so there is no reason to guess its identity. The announcement reports a completed logistics job, while giving neither the shipment's value nor a quantity that would establish the scale of the wider program.
For a supply-chain story, the useful result is the completed handoff across several transport stages. It says something concrete about delivery coordination without answering unrelated questions about weapon performance or future orders.
Qualified Person
Dr. Roland Goodgame, Senior VP of Project Development of the Company is a Qualified Person as defined by NI 43-101. Dr. Goodgame has reviewed and approved the technical information contained in this report.
Cautionary Note Regarding Forward-Looking Information
This report contains "forward-looking information" concerning anticipated developments and events that may occur in the future. Forward looking information contained in this report includes, but is not limited to, statements with respect to: (i) the intention to deploy the Nuton® technology at the Johnson Camp mine and future production therefrom; (ii) the continued funding of the stage 2 work program by Nuton; (iii) the details and expected results of the stage two work program; (iv) future production and production capacity from the Company's mineral projects; (v) the results of the preliminary economic assessment on the Gunnison Project; (vi) the exploration and development of the Company's mineral projects; (vii) the details and timelines associated with the Company’s PFS work program; (viii) the expected results of the Company’s PFS work program; and (ix) eligibility for future tax credits.
In certain cases, forward-looking information can be identified by the use of words such as "plans", "expects" or "does not expect", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might", "occur" or "be achieved" suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Forward-looking information contained in this report is based on certain factors and assumptions regarding, among other things, Nuton will continue to fund the stage 2 work program, the availability of financing to continue as a going concern and implement the Company's operational plans, , the estimation of mineral resources, the realization of resource estimates, copper and other metal prices, the timing and amount of future development expenditures, the estimation of initial and sustaining capital requirements, the estimation of labour and operating costs (including the price of acid), the availability of labour, material and acid supply, receipt of and compliance with necessary regulatory approvals and permits, the estimation of insurance coverage, and assumptions with respect to currency fluctuations, environmental risks, title disputes or claims, and other similar matters. While the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.
Forward looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking information. Such factors include risks related to the Company not obtaining adequate financing to continue operations, Nuton failing to continue to fund the stage 2 work program, the breach of debt covenants, risks inherent in the construction and operation of mineral deposits, including risks relating to changes in project parameters as plans continue to be redefined including the possibility that mining operations may not be sustained at the Gunnison Copper Project, risks related to the delay in approval of work plans, variations in mineral resources and reserves, grade or recovery rates, risks relating to the ability to access infrastructure, risks relating to changes in copper and other commodity prices and the worldwide demand for and supply of copper and related products, risks related to increased competition in the market for copper and related products, risks related to current global financial conditions, risks related to current global financial conditions on the Company's business, uncertainties inherent in the estimation of mineral resources, access and supply risks, risks related to the ability to access acid supply on commercially reasonable terms, reliance on key personnel, operational risks inherent in the conduct of mining activities, including the risk of accidents, labour disputes, increases in capital and operating costs and the risk of delays or increased costs that might be encountered during the construction or mining process, regulatory risks including the risk that permits may not be obtained in a timely fashion or at all, financing, capitalization and liquidity risks, risks related to disputes concerning property titles and interests, environmental risks and the additional risks identified in the "Risk Factors" section of the Company's reports and filings with applicable Canadian securities regulators.