I’m starting to sound like a broken record. But, when you come across an idea that makes sense, you have to stick with it. Long- time readers of this column know about my affinity for investment themes, particularly the eye care industry, the pet care industry, and the alternative energy industry. With the price of oil hanging steadily around the $60 per barrel mark, the stock market is hot for anything energy related–traditional or non- traditional.
There really are some great companies in this market sector. Some are still at an early stage of development, and some are generating solid growth. Specifically, there is a lot of interest now in the solar energy market. All you have to do is look at some of the stocks in this niche market sector to know that investors are interested.
Evergreen Solar (NASDAQ/ESLR) is a company at an early stage of development, but its stock is doing great. Carmanah Technologies (TSXV/CMH) is a small Canadian company that’s growing by leaps and bounds, selling, of all things, solar powered bus shelters for city commuters. It isn’t sexy, but, then again, it doesn’t have to be. A good idea is a good idea.
One of the hottest stocks on the market, which is starting to get Wall Street’s attention, is DayStar Technologies (NASDAQ/SC/DSTI). This stock is currently experiencing a lot of price momentum, and, to be frank, it’s a trader’s dream stock. So far, the company hasn’t generated any revenues, but enthusiasm is high for its sales potential in the solar panel industry.
Based in Halfmoon, New York, the company has developed a thin-film, “copper-indium-gallium-selenide” solar cell for the direct conversion of sunlight into electricity. The company is also developing a new manufacturing process for solar cells, in the hopes of significantly reducing the cost of these cells for consumers.
For the right price, I’d love to have a solar panel on my roof. Slowly, but surely, day in and day out, I can only imagine how much I could reduce my electricity bill with a few solar panels operating all day.
Alternative energy, including, in particular, solar energy, is an investment theme based on future expectations. The stock market, however, wants to be involved in this industry right now. If you are a player, perhaps you would like to be in it, too. One thing’s for certain, enthusiasm for stocks in this industry isn’t going away.