March 7 , 2006
The Oil Cloud's Silver Lining
Fellow Investor,
Oil prices holding steady around $60. Spikes to $70 – perhaps even beyond.
Almost no one expected it just five years ago. Yet the writing truly was on the wall.
The industry – battered by years of lean profits – had slashed exploration budgets. Much of the world’s thirst for crude was being slaked by a few mega-fields, which even then were showing signs of decline.
Yet we motored along like the days of easy-oil would last forever.
But nothing does. And now we’re in a real bind.
9/11 was indeed a flash point. The world changed that day – or at least our perception of it. Half the globe a danger zone, and oil a trump card in the fight between terror and civilization.
But those worries mask the real problem.
Saudi oil fields are “compromised” – there’s less easy-oil there than once thought. Mexico’s mega-field is sputtering – exports to the U.S. could soon drop by 10%.
And all around the world, the picture is the same.
We’re still finding fossil fuels. But we’re drilling deeper and further offshore. Much of the new capacity is coming from unconventional sources. And almost all of it is more costly to get and refine.
That’s why we’ve been making
a killing in energy stocks
Any company that can actually deliver the goods – the fuels that keep the world humming – has been a great investment of late.
We’ve all heard the clamor in Washington over “windfall profits” of the big oil companies.
Well, “windfall profits” in the energy patch translate into great investing profits for me and you.
In fact, at ChangeWave Investing, we’ve already made a ton of money from this sector, including:
…53% in Knightsbridge Tankers
…99% in Suncor Energy
…21% in Enterra Energy Trust
…63% in Williams Coal Seam Gas Royalty Trust
…62% in Parallel Petroleum
…64% in Petroquest Energy
…52% in ATP Oil & Gas
…158% in Matrix Services
…64% in Sasol
…84% in Meridian Resources,
among others.
We also hold a couple “oil sands” stocks right now. One has doubled; one has tripled; and they’ll both at least double again from here – over the near-term.
Join us at ChangeWave Investing for the full details.
But lately, Wall Street’s “smart money” has been turning its attention to another class of energy stocks, which had long been an afterthought.
Now today, high fossil fuel prices, plus technological breakthroughs have combined to make these the next big thing in energy.
Welcome to the Clean Power ChangeWave
I’ve got one word for you, my friend, and it’s not “plastics.”
Think SOLAR. Solar Power is the next big thing in energy.
- Recently, the California Solar Initiative was approved – providing $2.8 billion in incentives toward solar development over the next 11 years.
- Energy-gobbling China launched an initiative, which could result in up to 100 gigawatts (GW) of renewable energy by 2020.
- In Germany, excess solar power can be sold back to utilities at a 15% premium. And that has created a huge run on solar photovoltaics – there are worldwide shortages.
Imagine! Just two years ago solar-power companies struggled to turn any profit. Now – thanks to our energy-crisis wake-up call -- the world can't get enough renewable energy. And solar is leading the way!
We’re right at the point where
this thing shoots straight UP
In just a moment, I’ll give you my take on three stocks that’ll double your money by this time next year.
But first, let me give you a hint of what you’ll be missing if you don’t act now.
Solar power – modules, system components and installation – was a small $4.7 billion market in 2003.
But according to research firm Clean Edge, it will grow to $39.2 billion by 2014. So you see, this is the time to own solar power stocks. And frankly, I think that $39.2 billion may be on the low side.
After all, consumers around the world are getting hit with a triple whammy.
Pushed by China and India, energy demand is soaring. Easy-to-get fossil fuels are in rapid decline. And prices threaten to soar out-of-sight.
Germany is already making a move to solar in a big way. So is Japan. Plus China. And now California – one of the world’s biggest economies in its own right.
Plus, more and more states in the U.S. are jumping on the Clean Power wave.
For example, Pennsylvania Governor Ed Rendell signed a new law, requiring 860 megawatts of solar power in that state by 2020.
And consumers are doing their part, too. When you hit Americans in the wallet – and we’ve been walloped hard -- they sit up and take notice.
Home solar panel demand is soaring – government subsidies and credits can absorb half the typical $25,000 cost. There is already a waiting list for panels in California. And orders are spiking in states as diverse as Arizona, Massachusetts, New Jersey, Vermont and Washington.
At ChangeWave Investing, we’ve been riding this Clean Power ChangeWave for nearly a year now – Energy Conversion Devices is up about 115% for us already.
But that’s just an appetizer for the feast of profits yet to come.
I’ve got a new white paper, detailing the opportunity, called Make Your Fortune in Solar Power. See how you can read and print in online, by following any of the links provided.
As you’ll see, we are investing in the entire “food chain” of solar power stocks. And we’re going to DOUBLE our money – to start.
Stock #1: Low costs command market share
Thanks to proprietary technology, this Massachusetts-based firm is in a position to dominate market share.
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You see, it manufactures solar products with its low-cost String Ribbon wafer technology, which cuts costly silicon in its cells by 35%. And the next generation improvement will move that number to 50%.
So I’m not one bit surprised that Q2 sales beat the Street’s expectations, up 123.7% year-over-year to $10.7 million.
But the best is yet to come. In solar, cost counts – in a big way. And that’s why this firm has locked up lucrative long-term contracts with two of the big names in the solar game.
Here at home, management announced a definitive agreement with PowerLight of California for a minimum of $70 million in photovoltaic modules over the next four years.
And that number could reach $170 million – something we think is a foregone conclusion, thanks to the strength of this market.
But that big score pales in comparison to its partnership with Germany’s Q-Cells AG – Europe’s ninth fastest-growing business in 2005.
Together, the two are teaming up to build Europe’s biggest 30-megawatt solar wafer, cell and manufacturing plant. It’s a huge deal -- one that’s not priced into the stock… yet.
After all, there’s no better market for solar products right now than Germany.
That’s because Germany consumed more than 40% of all photovoltaics in 2005 and will keep the honor as world's largest generator of solar energy for some time. Get this: Germany's target is for renewable sources to make up at least 20% of the country's overall energy requirement by 2020.
So Germany’s taking the lead. But others – as evidenced by commitments around the globe, from China to California – are now following.
The economics demand it. And those same economics can double your money by this time next year – at least.
Get your online copy of Make Your Fortune in Solar Power now.
Stock #2: A double-play money-doubler
My next recommendation is a double play -- both on solar and on China's insatiable hunger for energy.
The company is among the world's top 10 makers of photovoltaic cells – and, once again, owns a huge cost-to-performance advantage over most competitors.
In plain English, they manufacture inexpensive cells – on a large scale – which convert sun energy to electrical power very efficiently.
In fact, studies show that its technology boosts power conversion up to 30%-40%.
Pretty amazing numbers. And management is taking full advantage. They have increased manufacturing capacity twelvefold in less than three years – and plan to double capacity again by the end of this year.
At last report, revenues were up 187.6% year-over-year – with an impressive net margin
of 14.7%. And annual sales have grown to $85 million from just $3 million two years earlier.
But management ain’t resting on its laurels.
Industry watchdog DigiTimes reports that the company will invest another $20 million in R&D during the next two years. The goal? To further improve the energy conversion efficiency of solar cells.
And here’s the kicker.
This is a China-based company – one you can easily buy right on the NYSE. So it’s right in the middle of what will become the hottest growth market for Clean Energy.
That’s why the firm plans to increase its domestic sales from 20% of its total now to 50% in five years. It’s low-hanging fruit that these guys will pick with ease!
With this stock you get it all: Good value… innovative technology… fast growth… all in the world’s hottest market.
Get full details in Make Your Fortune in Solar Power. Simply click here to accept your risk-free trial subscription to ChangeWave Investing now.
Love it, or it costs you nothing
I wish we were sitting face-to-face.
You’d catch my enthusiasm for the next big thing in energy. And, I hope, you’d also catch my enthusiasm for the ChangeWave way of investing.
We have 6,000 men and women, embedded in all of today’s most important industries – from technology to energy and healthcare. They make up our ChangeWave Research Alliance – and typically give us a proven heads-up on opportunity and risk, months ahead of the crowd.
That’s the ChangeWave Advantage – one you can put to work for you right now. At no risk.
Your trial subscription is entirely risk-free.
If you’re not thrilled with my service, simply cancel anytime in the first ninety days – anytime, first day or last of that period – and it costs you nothing.
Stock #3: Solar and a whole lot more
Solar power is one “off-the-grid” option – one of several alternatives now blossoming in a very big way.
So here’s the next, logical way to play the Clean Power ChangeWave.
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With soaring demand for off-grid or "distributed energy," there is a fortune to be installing and maintaining renewable energy systems.
And that's just what this company does -- create and install distributed power systems for businesses that need, or want, direct control of their energy systems.
The company and its subsidiaries work with a wide array of technologies, including renewables (like solar), combustion and batteries. And they also develop, manufacture and install utility-grade wind turbines.
Service is soup-to-nuts – from engineering and construction to ongoing maintenance. And the client roster is equally as wide.
In fact, the group has installed more than 850 systems in 45 countries on all seven continents in a wide range of industries and applications, including:
- Commercial/institutional facilities (office buildings, hotels, hospitals)
- Distributed generation (electric utilities, power parks, environmental engineering)
- Manufacturing (food and beverage, pharmaceutical, plastics, semiconductor)
- Industrial infrastructure (transportation, pipeline, telecommunications)
- Remote installations (military, geophysical, isolated community)
And here’s a bit of irony, for you. One key growth area for the company is in offshore oil-drilling platforms.
I got a chuckle out of that. But this business – and the investing profits to be had if you get in now – are no laughing matter.
This company delivers a REAL economic alternative to traditional, utility-delivered power.
And now’s the perfect time to be in this space.
Thanks to the Energy Policy Act of 2005 – and $800 million in no-interest bonds for "clean" energy distribution projects – this firm’s key clean-power subsidiary’s revenues have nearly doubled year-over-year.
And by our calculations, that growth alone is enough to get us to our money-doubling stock price.
But here’s another wild card: Another subsidiary, which is a big intellectual player in the burgeoning fuel cell market.
This firm holds 35 U.S. patents and three European patents – plus had another 121 patent filings at last report. And the technology works -- very well. Its fuel cell systems combine its hydrogen generation technology with a fuel cell power generator for uniquely pollution-free energy storage.
With an angle on virtually ever aspect of the distributed energy field, it’s no wonder this company is growing like a weed.
Its last quarterly report showed revenues nearly tripling year-over-year.
This is the inflection point, my friend. That brief moment in time when you can seize an undeniable opportunity – before it really blasts off.
Get the full story in Make Your Fortune in Solar Power. Go here to accept your risk-free trial subscription to ChangeWave Investing now.
It’s my pleasure to welcome you aboard
My readers and I feast on change.
Not small changes, but humongous ones. Big events that change the landscape of our lives.
Three years ago, the digitalization of consumer entertainment was a really big deal – we banked 87% and 120% gains in Lexar and SanDisk, respectively.
About a year after that, generic drugmakers rode a wave of patent expiration to soaring profits – and we earned 74% and 161% from Aceto and Eon Labs, respectively.
We’re still riding the huge move into satellite radio, with 400%+ gains in Sirius Satellite radio, so far.
But right now – and for at least several years to come – the biggest investing opportunity, by far, is in energy stocks. We've already made a fortune, but there are still millions to be made from the next big thing in energy.
Sincerely,
Tobin Smith
ChangeWave Investing
P.S. Remember, you risk nothing by accepting this trial subscription now.
If you’re not 100% delighted, just cancel anytime in the first ninety days – even the very last day of that period if you wish – and it costs you nothing.