A growing number of investors appear to be beginning to understand the role that Superconductor Technologies, Inc. (NASDAQ: SCON)’s products play in curbing carbon emissions. These days, companies with technologies that help reduce greenhouse gas emissions are attracting great interest from investors who are eying the implementation of the historic Paris climate agreement.
Superconductor Technologies, Inc. (NASDAQ: SCON) is one of those companies with technologies designed to improve energy efficiency and reduce carbon emissions. The company’s products are widely used by utilities and governments in areas that involve expanding protection for electricity grid among others.
Superconductor has been seeing growing demand for its superconducting products as more customers begin to understand their value proposition over traditional methods of grid optimization and protection.
There is massive growth potential
The Paris climate deal that calls on governments around the world to accelerate the conversion from fossil fuel to green energy is seen as a great opportunity for Superconductor Technologies, Inc. (NASDAQ: SCON). Demand for the company’s superconductors is expected to spike as efforts to curb carbon emissions intensify. For example more governments and utilities will be looking for devices to help them lower the carbon emissions of their existing power grids as they work out ways to convert to green energy.
The G7 ministers meeting this week is expected to work out the details of Paris climate deal implementation. But as the ministers meet, there is a sense of urgency as NASA recently flagged April 2016 as the hottest April on records going back to the 19th century. The Paris climate agreement is all about trying to slow down global warming and solutions such as Superconductor’s devices that help achieve that target are expected to be in hot demand.
1Q2016 financials for Superconductor Technologies, Inc. (NASDAQ: SCON)
Superconductor Technologies, Inc. (NASDAQ: SCON) generated revenue of $89,000 in 1Q2016, better than $55,000 in the corresponding quarter a year ago and $27,000 in the prior quarter. The company’s EPS loss of $0.07 also improved from $0.10 a year ago.
Superconductor Technologies, Inc. (NASDAQ: SCON) closed 1Q2016 with cash and equivalents of $5.6 million.