This ASX chip stock is expecting inaugural revenues in 2026!

Which will be the next ASX chip stock to do what Weebit Nano and BrainChip have done? Nanoveu is a company confident that it will be it.

This is a bold call to make considering it only acquired its EMASS technology less than 12 months ago. But a lot of the R&D work had been done – or at least more of it than the purchase price would suggest. And the company has made genuine progress in 2025 meaning investors can be confident 2026 will be the year of inaugural revenues.

Recap of Nanoveu (ASX:NVU) and Emass

Last October, Nanoveu bought a company called EMASS (Embedded A.I. Systems Pte Ltd) that was developing System-on-a-Chip, or SoC, to enable Edge computing and edge AI (ECS-DoT). This may not sound evolutionary in the sense that it is the only company pursuing this space.

But the difference is EMASS’ chips have 20x the power efficiency of comparable chips and could handle 13 million AI parameter simultaneously (at once) at over 10 trillion AI operations per second per watt. Moreover, they could work with just 0.1mW of power consumption.

Therefore, ECS-DoT could be a godsend for any device needing AI inference at the edge (i.e. AI inference done on the device rather than in a data centre). The market for Edge AI applications is expected to reach $270bn by 2030, representing a 33.3% CAGR over the rest of the decade.

Specific applications for ECS-DoT could include robotic surgeries, autonomous vehicles, AR/VR conversion from videos, medical imaging, IoT devices like smart watches and medical implants. These could be just the tip of the iceberg. We will admit some of these are already in existence today so you might be forgiven for thinking ECS-DoT would be a ‘nice to have’ rather than a ‘need to have’.

But as devices and chips keep shrinking in size while being expected to consume large amounts of data, solution like ECS-DoT will be needed. And that’s before you consider what isn’t possible now that could be in the future. One example could be live biometric data from medical patients.

Nanoveu is on track to be the next ASX chip stock to make revenues

When Nanoveu bought EMASS, ECS-DoT has already undergone extensive testing. And the goal is to seal commercial deals similar to Weebit Nano (ASX:WBT), involving companies (most likely semiconductor fabs or OEMs) to license the chips and integrate them into their respective technologies.

Nanoveu has taken several strides to this goal through various collaborations, most pertinently with the Centre of Nanoelectronics and Devices (CND) at the American University in Cairo. These have led to further development of the chip including their scaling down and further research into their potential (one specific area has been drones).

In Q4 of 2024, EMASS and CND will undertake a multi-project wafer fabrication. A full production tape-out is anticipated in Q1 2026. All the while, NVU will engage with OEMs to get evaluations going for potential design-ins in wearables and drones, among other IoT applications.

NVU expects to be able to generate revenues in 2026, potentially preceded by non-recurring engineering fees from customers to help them with the design and integration of ECS-DoT in their respective applications. This could make it the next ASX chip stock to make revenue and would take its current ~$57.9m valuation more in line with companies like Weebit and BrainChip.

Our friends at Pitt Street Research have derived a value of A$0.19 per share, a hefty premium to the current share price. This could be realised through re-rating as the company continues to progress, or through M&A. Consider that the company we think is EMASS’ closest competitor (Kinara) was bought for US$307/A$482m. We believe this depicts what the industry is willing to pay for the right technology.

Conclusion

Nanoveu is likely to be the next ASX chip stock to generate revenue, and to do so in 2026. If so, it would lead to a major re-rating of the company.

Nanoveu is a client of Pitt Street Research. Pitt Street directors own shares.

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