NEW YORK (TheStreet) -- Shares of Clean Diesel Technologies (CDTI) are soaring 23.41% to $2.53 in Tuesday's afternoon trading session after the global vehicle emissions control system provider released initial vehicle test results for Spinel, its proprietary clean emissions exhaust technology.
"These encouraging initial results from rigorous FTP testing demonstrate the significant potential of our Spinel technology," CEO Chris Harris said.
The test, which was conducted at an independent test facility using the industry standard Federal Test Procedure (FTP) on a 2014 General Motors (GM) Buick, showed that a Spinel underfloor catalyst with a 97% less platinum group metal (PGM) achieved emissions control performance equivalent to the original equipment manufactures (OEM) catalyst.
PGM reduction could lead to a double-digit dollar cost savings per vehicle, the company noted.
"In addition, analysis of the post-test catalysts have provided insights into further improvements, reinforcing the possibility that Spinel eventually might be able to eliminate PGMs altogether," Harris stated.
Separately, TheStreet Ratings team rates CLEAN DIESEL TECHNOLOGIES as a Sell with a ratings score of D-. TheStreet Ratings Team has this to say about their recommendation:
"We rate CLEAN DIESEL TECHNOLOGIES (CDTI) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, generally high debt management risk, disappointing return on equity, poor profit margins and weak operating cash flow."