Recharge Your Portfolio With Altair
Life Beyond BatteriesAltair's fortunes aren't tied solely to its ability to bring a battery to market.
Spectrum Pharmaceuticals (SPPI) agreed to license Altair's RenaZorb, which is used to treat hyperphosphatemia, or high phosphorus levels in the blood, of end-state renal disease patients. RenaZorb, which uses Altair's lanthanum nanomaterial technology, is evidence of Altair's diverse product platform. The deal provides Altair with 100,000 shares of restricted Spectrum shares, the purchase of $200,000 worth of Altair shares by Spectrum, and undisclosed milestone payments based on future clinical and sales goals.
Altair notched $1.2 million in sales in 2004, a small amount to be sure, but the total was a marked improvement from the $73,000 in sales the company generated in 2003. That said, the company has a solid balance sheet and recently took advantage of its surge in market value to sell 5 million shares, bringing its total cash balance to $31 million with virtually no debt. This should be enough to allow Altair to bring a product to the market within the next few years.
There is a lot of hope built into Altair's stock at its current $200 million market cap. But with just 43 million shares outstanding and no analyst coverage, Altair's shares could rally meaningfully on good news and an increased media following, as its battery technology moves from a great idea to a marketable product.Based upon our conversations with sources familiar with the company, we wouldn't be surprised to hear a partnership announced within the next three months, which could push shares over the $5 mark and in front of institutional investors who ordinarily shy away from low-dollar stocks. Given the inherent risk with the stock, though, we would look to pare any losses near the $3.80-a-share level, or 9% below the stock's current quote.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV