Top Small Cap Stocks To Own For 2016

Top Small Cap Stocks To Own For 2016: FuelCell Energy Inc.(FCEL)

FuelCell Energy, Inc., together with its subsidiaries, engages in the development, manufacturing, and sale of high temperature fuel cells for clean electric power generation primarily in South Korea, the United States, Germany, Canada, and Japan. The company offers proprietary carbonate Direct FuelCell Power Plants that electrochemically produce electricity from hydrocarbon fuels, such as natural gas and biogas. Its fuel cells operate on a range of hydrocarbon fuels, including natural gas, renewable biogas, propane, methanol, coal gas, and coal mine methane. The company also develops carbonate fuel cells, planar solid oxide fuel cell technology, and other fuel cell technologies. It provides its products to universities; manufacturers; mission critical institutions, such as correction facilities and government installations; hotels; and natural gas letdown stations, as well as to customers who use renewable biogas for fuel, including municipal water treatment facilities, br eweries, and food processors. The company was founded in 1969 and is headquartered in Danbury, Connecticut.

Advisors' Opinion:

• [By Jesse Solomon]

  Fuel cell stocks were all the rage earlier this year when Plug Power (PLUG)announced it got an order from Wal-Mart (WMT) to help power forklifts in some of its distribution center. Plug Power and FuelCell Energy (FCEL)have both skyrocketed this year, but are down 30% and 20%, respectively, this month. Both companies regularly report quarterly losses.

• [By Tyler Crowe]

  What's harder than developing new technology that could change the way we produce and consume energy? Getting someone to buy it. Even though there is a decent list of reasons why someone would buy power-generating fuel cells from manufacturer FuelCell Energy (NASDAQ: FCEL  ) , signing customers! up has not proved easy. 

• [By Ben Levisohn]

  Shares of FuelCell Energy (FCEL) have dropped nearly 6% today after releasing disappointing financial results. But were the numbers as bad as they looked?

  FuellCell Energy

  FuelCell Energy reported a profit of three-cents a share, meeting analysts forecasts, on sales of $43.2 million, below the Street consensus for $53.6 billion.

  Cowen’s Jeffrey Osborne and Thomas Boyes don’t think FuelCell Energy’s results were that bad:

  Product sales levels proved disappointing, at $43.2 million, a 20% reduction from the same quarter in 2013. Short-term cash and cash equivalent, however, totaled $113 million, approximately 16% of market cap.

  Total backlog marginally increased to $350.2 million from $342.8 million as of the end of last quarter, resulting from a sequential increase in utility service contracts. Gross margin of 9.2% is a notable year-over-year increase from 8.4%. Management will likely highlight the recent investment from NRG, with an equity stake and $40 million of committed capital for project financing, as well as its $350.2 million total backlog, which represents about 50% of the company’s current market capitalization.

  Shares of FuelCell Energy have fallen 5,6% to $2.52 at 12:48 p.m., while Ballard Power Systems (BLDP) has dropped 2.8% to $3.46 and Plug Power (PLUG) has declined 3.5% to $5.28.

source from Top Stocks For 2015:http://www.topstocksblog.com/top-small-cap-stocks-to-own-for-2016.html