Tuesday, December 29, 2009

Batteries will batter you

The hype around A 123 (AONE on the NASDAQ) has again pushed the stock up. This firm is a dead on arrival battery company if ever there was one. Who cares if GE and P&G are investors? Will the new jingle for A123 be "Ride my Tide" or "We bring dead batteries to life"? These mega large companies should stick to working together on dishwashers and detergent. My guess is around April when fools are exposed the hype around A 123's lithium ion batteries will die down, they will again show massive losses and hardly any gain in sales revenue except for the few demo vehicles that rich celebs parade their ugly mugs in to show off to the world.

A friend in Australia sent me an email about Panasonic selling a lithium battery system to load shift your purchase of electricity for your home from on peak periods to off peak periods. The system costs $15,000 and it will save you a dollar a day. Hi Panasonic yeah I like the idea of waiting 41 years for my payback on a system that needs replacement every eight years. Perhaps you can get Burn in Hell Madeoff as your celeb spokesperson.

This was posted today on tickerspy.com It is informative but I do not give stock advice just green exploration is my bag.

Electric cars have been the focus of recent battery hype, but don't discount the impact of a cell phone contract.
Mention Google (NASDAQ:
GOOG - News) in the same breath as any small-cap company and it is likely to send the latter soaring. Today's beneficiary is China BAK Battery (NASDAQ: CBAK - News), after Briefing.com said it is "hearing chatter" that CBAK's lithium polymer batteries will power the search giant's upcoming Nexus One smartphone. Until more official reports surface, investors can chalk the 10% spike up to speculation after a nearly three-month slump for the stock.
China BAK Battery is one of the
Energy Storage and Battery Technology Stocks Index's worst-performing components for the period, down by -45%. On a one-month basis, only Valence Technology (NASDAQ: VLNC - News) and C&D Technologies (NYSE: CHP - News) have done worse.
Watertown, Massachusetts-based A123 Systems (NASDAQ:
AONE - News) is experiencing a nice no-news pop on what has been a steady, albeit volatile upward trend since late November. The company, which received investor support from General Electric (NYSE: GE - News), Procter and Gamble (NYSE: PG - News), and Sequoia Capital, among others, is one of the most closely watched components of the 2009 IPOs Index.
A report by Bloomberg's William Mellor is helping boost Warren Buffett's electric car and battery play BYD (OTC:
BYDDF - News) today. Mellor noted that China's 10% average annual GDP growth since 1978 has helped, "turn a nation of bicyclists into a land of car-craving consumers." Given the country's recent focus on environmentalism, the trend bodes well for homegrown clean transportation player BYD, in which Berkshire Hathaway (NYSE: BRK-A - News, BRK-B - News) owns a 10% stake.
Elsewhere in the energy storage segment, Advanced Battery Technologies (NASDAQ:
ABAT - News), Ener1 (NASDAQ: HEV - News), and Maxwell Technologies (NASDAQ: MXWL - News) are all slipping by -5% or more today. Investors can expect similar volatility for some time in what remains a somewhat speculative industry.
As of this writing, the Energy Storage and Battery Stocks Index is one of
the 100 worst-performing tickerspy Indexes over the last month, up only 5.2%.
Investors can track the Energy Storage and Battery Stocks Index for performance trends and a suite of other metrics at tickerspy.com.
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