$10 is the ceiling for many alternative energy investors, especially considering that the industry is young and full of opportunity at the bottom. However, ignoring some of the higher-end bargains could result in missed opportunities, particularly when it comes to companies like Hydrogenics Corp (NASDAQ: HYGS).
Hydrogenics Corp. is a developer of hydrogen energy technology. It creates hydrogen generators, fuel cell systems, and fueling stations. It is based in Mississauga, Canada, and is considered a worldwide leader in hydrogen fuel research and development.
The company has generated fluctuating revenue growth in the last five years, with 2017 being its best on record since going public. It reported $62.45 million (CAD) in revenue in 2017 but dropped -29.65% to report $43.93 million in 2018.
This year, revenue performance is picking up. Analysts expect that the company will report a figure close to $10.50 million for the second quarter, which would be a 38% year over year increase. If this happens, stock is expected to move higher. Even if the company misses the consensus, it will only work to make stock more affordable in the meantime. The earnings call will be held on August 12.
Clean fuels are the future of the energy industry, and Hydrogenics already enjoys an enviable position with technologies that are ready to be deployed on a large scale. While today’s fiscal performance won’t impress mainstream investors, the long-term potential is high, making this an excellent alternative pick to consider in August.
- 1 Year Price Growth: 77%
- YTD Price Growth: 80%
- 3 Month Price Growth: 22%
All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.