June 16, 2009
Capstone, (CPST) “the world’s leading clean technology manufacturer of microturbine energy systems.” Had a big move on June 11 when it, “announced that its C30 liquid fueled microturbine has been successfully integrated into a Ford S-Max people carrier in the United Kingdom.”
After a frenzy of trading in the wake of the announcement things have settled down for Capstone and it looks like it may be time to start averaging in, anticipating more stable and ongoing growth.
A-Power Energy Generation Systems (APWR) had a big consolidation on the release of financials today. It seems same quarter sales for the company went down a bit from last year. The following numbers were copied from the companies press release on the topic.
Financial Highlights
– Revenues were $31.2 million vs. $32.3 million in 1Q08
– Gross margin was 12.6% vs. 11.9% in 1Q08
– Cash flow from operations was $15.7 million vs. $2.8 million in 1Q08
– Cash on hand at March 31, 2009 was $60.6 million vs. $43.5 million at
December 31, 2008
– For the year 2009, A-Power raises its revenue guidance from $290
million to $320 million; and its net income guidance from $29 million
to $32 million
What I find interesting in the numbers is the fact that the profit went up. So why the precipitous drop? It looks like the stock was due for a pretty big correction after more than four months of runup. Now what we see is a company that is making operations more effecient with a good deal of cash on hand with a nicely consolidated shareprice, one to watch I think.
MTXX took a big hit after the FDA put them on notice. It looks like after such a preciptious fall that a number of the shorts might be looking to cover on this one making it an opportunity to get in on the squeeze. As with the aforementioned I’m thinking short time horizon as others jump in and start buying.
