Ocean Power Technologies, Inc. (NASDAQ:OPTT)

CAPS Rating: 1 out of 5

The Company develops and commercializes proprietary systems that generate electricity by harnessing the renewable energy of ocean waves.

Recs

2
Player Avatar rudolphsteiner (< 20) Submitted: 6/22/2008 10:30:41 AM : Outperform Start Price: $10.53 OPTT Score: -137.19

This is speculative, but longer term I expect this company to do well, and actually start turning a profit. They have lots of cash to work through in the meantime thanks to their (apparently overvalued) IPO. I think $10, which is a 50% discount from the IPO, is a good price, but investors hate companies that are losing money, so it may drop further. There is little doubt in my mind that wave power will succeed in the long run, and OPTT is one of the most experienced at actually generating power with their technology thanks to US navy contracts, and they are in the midst of developing a demonstration project off the coast of Spain. Good news over the next year or two should float this stock higher, bad news and it could sink into the abyss. No news and the stock will also sink.

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