Buy Signal on PowerCell (PCELL-SE)
Powercell Sweden is a SEK 12.7bn market cap, active in the clean energy sector. It is engaged in the development, manufacture and sales of power systems with fuel cell and reformer technology. Its systems work both fossil and renewable fuels and convert them to hydrogen, which drives the power cells. Powercell products include Fuel Cell Stack, designed to work in the auxiliary power unit (APU) environment on reformate gas or hydrogen and varying from 1 to 6 kW; and PowerPac, a complete electric power-generating unit operating in the range between 1 and 3 kW, which uses low sulfur road diesel. The possible applications of its products include telecommunication, transport, power supply to buildings, and military.
Powercell enjoys current interest for the promising hydrogen theme. Revenues are expected to double in 2021 at SEK 208m, still small figures in comparison with the market cap. However, there is not so much actors in Hydrogen equipments and Powercell may benefit from significant contacts with large company in the coming months.
Short term catalyst: Hydrogen theme ramping up.
This signal looks consistent with the Bullish Trend in the clean energy theme.