Clean Energy Fuels (CLNE)This company, formerly known as Pickens Fuels, was founded by oil legend T. Boone Pickens. Though he made his fortune in crude oil, he's become much more bullish on natural gas in recent years, especially as a transportation fuel source. He currently controls about 4.7 million shares (or 7%) of the company, so he's got an obvious agenda. And his vision has not yet delivered the shareholder returns he had hoped. Even though Clean Energy Fuels is the largest operator of natural gas filling stations (with almost 250 at last count), bottom-line results haven't added up. The company has never generated positive free cash flow and has had to repeatedly sell more stock to raise capital in order to extend the filling station network.
Yet that network of filling stations may have finally reached critical mass. The company is expected to book quarterly GAAP profits by the middle of next year. Fuel sales shot up 60% in 2010 (to $212 million) and should top $350 million by next year. At a $500 million run rate, the company thinks it would generate solid levels of profitability.
Of course, more natural-gas-fueled cars on the road would instantly change the company's trajectory. And help may be on the way. Honda (HMC) already sells a natural-gas-powered Civic; GM (GM) is launching a line of pick-up trucks powered by CNG (compressed natural gas), and Ford's (F) Transit Connect minivan will soon be available in a similar configuration. European automakers, including Fiat, already sell natural-gas-powered cars in their home region.
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