More on the "Stock Of The Week:" Going Off The Grid For Alt-Energy Gains
forbes.com
Here's a snippet, but I strongly urge anyone interested to read the entire article or watch the video.
John Dobosz, 09.29.05, 6:00 AM ET
Kenneth Reid, editor of Spear's Security Industry Analyst, recommends buying shares of Distributed Energy Systems. The Wallingford, Conn.-based company creates and delivers a variety of products for the alternative and decentralized energy markets.
Distributed Energy’s (nasdaq: DESC - news - people ) Northern Power Systems subsidiary makes and markets on-site power generation products that run on combustion, batteries and renewable energy sources. It also sells utility-grade wind turbines. Another Distributed Energy subsidiary, Proton Energy Systems, develops technology for use in hydrogen production and other fuel cell applications.
Admittedly, this is no investment for adherents of Benjamin Graham. For the 12-month period ending June 30, 2005, the $283 million (market capitalization) company generated revenue of just $37.9 million and produced a net loss of $19 million. Encouragingly, however, the $12.2 million in sales in the most recent quarter is a jump of 182% from the previous year's quarter. Distributed Energy burned through $18 million of cash in its operations over the past year, and it has another $45.8 million of cash on the books. |
