What is happening with the stock of clean energy fuels?

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Clean Energy Fuels (NASDAQ: CLNE), a company known for collecting and transporting renewable natural gas produced from organic waste collected from dairy farms and related sources, has seen its inventory increase by about 15% over the past month (about 21 days of stock Exchange). This compares to the S&P 500 which gained 4% over the same period. Recent gains are driven by new contracts, including an agreement to build a hydrogen station and supply liquid hydrogen for Foothill Transit, a Southern California bus service. In addition, Clean Energy Fuels also won a contract to supply approximately 78 million gallons of liquefied natural gas to World Fuel Services for two container ships.

So, is the CLNE stock poised to grow? Based on our machine learning analysis of stock price trends over the past ten years, there is a 54% chance of an increase in CLNE stock in the next month. See our analysis on Clean energy fuels the risk of rising stocks for more details.

Five days: CLNE -1.9%, vs. S&P 500 4%; Underperformed market

(41% probability of event)

  • Clean energy stock decrease of -1.9% over a five day trading period ending 10/20/2021, versus the larger market (S & P500) which rose 4%.
  • A change of -1.9% or more over five trading days has an event probability of 41%, which has occurred 1021 times out of 2516 times over the past ten years.

Ten days: CLNE 14%, vs S&P 500 4%; Outperformed market

(11% probability of event)

  • Clean energy stock increased by 14% over a ten day trading period ending 10/20/2021, versus the larger market (S & P500) which rose 4%.
  • A change of 14% or more over ten trading days has an event probability of 11%, which has occurred 287 times out of 2,516 times in the past ten years.

21 days: CLNE 15%, vs S&P 500 4.3%; Outperformed market

(17% probability of event)

  • Clean energy stock increased by 15% over a twenty-one day trading period ending 10/20/2021, versus the larger market (S & P500) which rose 4%.
  • A change of 15% or more over twenty-one trading days has an event probability of 17%, which has occurred 424 out of 2516 times in the past ten years.

See our theme on Hydrogen saving stocks for an overview of US companies that sell hydrogen fuel cells, related renewable energy equipment, and supply hydrogen gas.

[8/17/2021] Is the stock of clean energy fuels a purchase?

Clean Energy Fuels (NASDAQ: CLNE), a company known for collecting and transporting renewable natural gas produced from animal waste collected from dairy farms and related sources, has seen its inventory drop by about 8% in the last five trading days and remains down around 5% compared to last month (21 trading days). In comparison, the S&P 500 rose about 1% over the past week. The recent drop follows the company’s mixed results in the second quarter of 2021 that were released in early August. While revenue increased 29% year-on-year to $ 79 million, thanks to higher delivery volumes, net losses widened due to some one-time charges. So is the title likely to continue correcting, or does a rally look more likely? According to machine learning engine Trefis, which analyzes historical data on stock prices, the CLNE stock has about the same chance of going up or down over the next month. See our dashboard analysis on Chances of increased CLNE action for more details.

Is CLNE stock now a buy for long-term investors? We think it’s worth a look. While Clean Energy Fuels’ performance over the past few years has been mixed, with the company showing little to no revenue growth, things are only likely to improve from here. There is a growing urgency to tackle climate change among governments and big business, and this should build on the strengths of Clean Energy Fuels. The company supplies conventional natural gas as well as renewable natural gas, which can be used to power heavy trucks and buses while efficiently producing negative greenhouse gas emissions. Clean Energy’s RNG sales are expected to increase thanks to more favorable regulations as well as deals with major energy companies such as Total and BP, and retail giant Amazon, which has a five-year contract for buy RNG from the company. Clean Energy is also investing in strengthening its RNG supply, with plans to increase RNG production to 100% of total supply, up from around 40% last year. Although the stock is trading at a relatively high 5.5x forward revenue, the company’s leadership position in the RNG space, considerable market opportunity, as well as potential regulatory tailwinds. could make the action interesting.

[6/1/2021] Why the stock of clean energy fuels has increased 3.5 times in the past year

Clean Energy Fuels (NASDAQ

NDAQ
: CLNE), a company best known for supplying natural gas, has seen its stock price rise more than 270% in the past 12 months, with the stock now trading at levels around $ 8 per share, although it remains down from the levels of around $ 18 seen in February. This compares to the S&P 500 which has risen by around 37% in the past 12 months. The rally comes despite weak financial performance, with the company seeing no growth between 2017 and 2019, with sales rising to levels of around $ 340 million, with sales falling to around $ 290 million in 2020. Clean Energy Fuels has also remained largely unprofitable during its 14 years as a state-owned company. However, the markets value the company much more, with its P / S multiple, based on sliding sales, dropping from 0.9x in 2017 to around 5.4x currently. So is the Clean Energy Fuels share always a buy? We believe so, for several reasons.

See our analysis on What is driving the rally of 270% of clean energy stocks? for an overview of the evolution of the main financial and valuation indicators of the CLNE.

Clean Energy Fuels is best known for its fueling network of more than 540 stations across the United States, engaged in the supply of compressed natural gas, liquefied natural gas and renewable natural gas. However, much of the increase in the company’s valuation likely stems from the focus on expanding its RNG business. RNG is produced when organic wastes from landfills, dairy farms, and other sources break down and release methane, which is then processed and purified. RNG is considered a clean fuel and is classified as carbon negative in states such as California, since its raw material such as dairy cow waste is a key source of greenhouse gas emissions, and by using it, it removes more carbon from the environment. than it produces. This makes the fuel very attractive from an environmental perspective and governments are incentivizing it through potentially lucrative revolving credits at the federal and state levels.

While around 40% of Clean Energy Fuels gas sold in 2020 came from RNG, it is aiming for 100% RNG blending at all of its service stations over the next five years. Large companies have also shown a great deal of interest in the GNR space, with Clean Energy Fuels having recently signed agreements to build renewable natural gas facilities and infrastructure with energy giants Total (NYSE: TOT) and BP. (NYSE: BP). While RNG is primarily used in the transportation sector, powering heavy vehicles, it could potentially be used for power generation and even as a feedstock for hydrogen production, giving it a massive addressable market.

The financial outlook for Clean Energy Fuels is also improving. Sales are expected to grow by around 10% each year over 2021 and 2022, according to consensus estimates, with the company also likely to break even in 2022. Now, although a revenue multiple ultimately of 5 times higher is somewhat high, the company’s leadership position in the renewable energy space of natural gas, considerable market potential, regulatory favorable winds under the Biden administration and the recent correction make the title worth the detour.

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