I’m looking to get into the clean energy sector and one company that looks promising is Stem Inc. (STEM). They are very near their 52 week low and analysts project their stock to triple in value in a year. They are a very young company and haven’t turned a profit yet and I believe their Q4 earnings were a bit disappointing but their overall revenue growth is exceptional, they recently were awarded a hefty contract (I believe they already have $4B in contracts lined up), and obviously the EV market is going to continue to grow so they will likely have more and more opportunities to grow as well.
What I like: They are a leader in an emerging market. Their main product (Athena software) is significantly better than their competitor’s. They are experiencing rapid growth thus far.
What I don’t like: Very short history so hard to get a read on.
I don’t know much about this sector though so I’m looking for any significant red flags. Is this a solid company in a good position or is the market too volatile to tell? Would I be better off just going with an ETF like ICLN?
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