Neo Performance Materials Settles European Patent Dispute With Rhodia

An announcement from Neo Performance Materials Inc ( (TSE:NEO) ) is now available.

Neo Performance Materials has reached a settlement with Rhodia Opérations, a Solvay subsidiary, resolving long-running litigation over a series of European patents related to its automotive catalyst products. Under the agreement, Neo will pay €7.1 million in the first quarter of 2026, with all parties mutually releasing claims and withdrawing outstanding court proceedings, and the company emphasized that most of the patents involved have already expired and that the settlement has been largely provisioned for, meaning it does not expect any material impact on earnings or constraints on ongoing sales, thereby removing a legal overhang without altering its operational or competitive position in the automotive catalyst market.

The most recent analyst rating on (TSE:NEO) stock is a Hold with a C$15.50 price target. To see the full list of analyst forecasts on Neo Performance Materials Inc stock, see the TSE:NEO Stock Forecast page.

Spark’s Take on TSE:NEO Stock

According to Spark, TipRanks’ AI Analyst, TSE:NEO is a Neutral.

Neo Performance Materials Inc. has a mixed outlook. The most significant factor is the financial performance, which faces challenges in profitability and cash flow management. Technical analysis indicates bearish momentum, further weighing on the stock. Valuation metrics are unattractive, with a negative P/E ratio. However, the positive earnings call highlights strategic advancements and growth, providing some optimism. Overall, the stock score reflects these mixed signals, with financial and technical weaknesses being the most impactful.

To see Spark’s full report on TSE:NEO stock, click here.

More about Neo Performance Materials Inc

Neo Performance Materials is a Toronto-headquartered producer of advanced industrial materials that are key inputs for modern technologies aimed at improving efficiency and sustainability. Its portfolio includes magnetic powders, rare earth magnets and assemblies, specialty chemicals, metals, and alloys that are used in everyday products and net-zero focused applications. The company operates through three segments—Magnequench, Chemicals & Oxides, and Rare Metals—with manufacturing facilities in China, Germany, Canada, Estonia, Thailand, and the UK, and an R&D center in Singapore.

Average Trading Volume: 311,079

Technical Sentiment Signal: Buy

Current Market Cap: C$647.3M

Learn more about NEO stock on TipRanks’ Stock Analysis page.