NEW YORK (TheStreet) -- Arotech (ARTX) hit a one-year high of $5.92 as of 12:35 p.m. on Monday as the company, which manufactures and designs products for military and security markets, continued its surge from late last week.
On Thursday, the company reported a successful lab test of an iron flow battery for grid power storage. This new technology should help store grid power generated by renewable energy sources, and Arotech believes the technology could significantly reduce costs, improve performance and potentially increase efficiency to power grids that use environmentally-friendly renewable resources.
"We are very pleased with the results from lab tests on this new technology, which opens a huge new market for us," Chairman and CEO Robert S. Ehrlich said in a press release. "While flow batteries themselves are not new technologies, with over fifty flow batteries installed globally as at the end of last year, our design uses a patent-pending iron chemistry providing the highest ROI, with the lowest total lifecycle, capital and maintenance costs."
TheStreet Ratings team rates AROTECH CORP as a "hold" with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate AROTECH CORP (ARTX) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance. However, as a counter to these strengths, we find that the company's profit margins have been poor overall."