FuelCell Energy – new projects ahead

FuelCell Energy recently announced that, since launching business, it had produced over 10 million megawatts of clean electricity, saving over 1.5 million tons of carbon dioxide. Its basis for success is the SureSource platform. The company is now gradually fulfilling orders worth more than USD 1.3 billion. New bookings season the pot, as they are expected to lead to high margins.

With the coming Green Deal, orders from across Europe will soon supplement the company’s success in Korea, where absolute reliability earned FuelCell top grades. By the way, E.ON Business Solutions is one of FuelCell’s partners now. An approved capital raise via an at-the-market program, like in the case of Ballard Power, will also bring in fresh capital. Money I assume will be reinvested only when the stock rises, thus dampening dilution. Based on the decision made at the annual general meeting, the company can now increase the number of outstanding stock to 337.5 million shares.

Higher second-quarter results

FuelCell Energy [Nasdaq: FCEL] managed to complete the quarter ended April 30 at a revenue of USD 18.9 million, a remarkable 105-percent year-on-year increase. Net loss per share was USD 0.07, and USD 0.02 of that amount was the result of including in the balance sheet option rights granted to Orion Energy Partners, FuelCell’s biggest individual stockholder. Orion has provided FuelCell with more than USD 200 million.

read more in H2-international August 2020

Risk warning
Share trading can result in a total loss of your investment. Consider spreading the risk as a sensible precaution. The fuel cell companies mentioned in this article are small- and mid-cap businesses, which means their stocks may experience high volatility. The information in this article is based on publicly available sources, and the views and opinions expressed herein are those of the author only. They are not to be taken as a suggestion of what stocks to buy or sell and come without any explicit or implicit guarantee or warranty. The author focuses on mid-term and long-term prospects, not short-term gains, and may own shares in the company or the companies being analyzed.

Author: Sven Jösting, written June 13th, 2020

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