As the world faces an increasing onslaught of new threats from biological and chemical weapons, viru...
Ormat: Geothermal Breakout?
09/14/2016 8:00 am EST
Our latest featured breakout stock engages in the geothermal and recovered energy power business worldwide; the stock recently hit a 7-year high, explains Leo Fasciocco, editor Ticker Tape Digest
With annual revenues of $645 million, Ormat Technologies (ORA) builds and operates geothermal and recovered energy-based power plants and sells electricity.
The product unit makes equipment for geothermal and recovered energy-based electricity generation. It includes fossil fuel powered turbo-generators and heavy duty direct-current generators.
ORA also provides services relating to the engineering, procurement, construction, operation, and maintenance of geothermal and recovered energy-based power plants.
This year, analysts are forecasting a strong 36% jump in net to $2 a share from $1.47 a year ago. The stock sells with a price-to-earnings ratio of 25.
The largest fund buyer recently was the American Century Utilities Investor Fund which purchased 228,269 shares as a new position.
ORA's 12-month performance shows the stock appreciating 47% versus a 12% gain for the stock market.
Technically, the stock has had a breakout from a six-week flat base. The stock's momentum indicator is strongly bullish and the accumulation-distribution line compliments the price action.
We see ORA as more of a trading play due to an expected slowdown in earning growth next year. We are targeting the stock for a move to $60 off of the recent breakout. A protective stop can be placed bear $48.
By Leo Fasciocco, Editor of Ticker Tape Digest
Related Articles on STOCKS
Hologic (HOLX), a leading provider of mammography equipment and diagnostic services for obstetrician...
International Game Technology PLC (IGT) designs, manufactures, and markets electronic gaming equipme...
Stefanie Kammerman, the Stock Whisperer, to tell you the Whisper of the Week: GLD and SLV in my week...