NOTEWORTHY NEW ENERGY BETS

Ten Clean Energy Stocks for 2011: Buying Opportunities
Tom Konrad, March 29, 2011 (Alt Energy Stocks)

"The geothermal and demand response stocks in my annual portfolio of ten clean energy stocks for 2011 have fallen significantly since the start of the year, making this an excellent time to buy…I've been publishing [a list yearly since 2007]…For 2008-10, my list outperformed my clean energy benchmark. This year so far looks like it is going to break my streak, but…I now think four of my picks are screaming buys.

"…I try to follow a contrarian strategy of focusing on sectors with relatively mature technology and relatively little investor attention. This year, I put particular emphasis on the established smart grid technology, Demand Response, as well as one of the most economical but least talked about forms of renewable electricity, geothermal power…I still like their prospects, and the reduced stock prices have me buying the demand response companies, and expanding my positions in the geothermal power stocks…"

click thru to the interactive chart

"I'm quite puzzled at the poor performance of demand response companies EnerNOC (ENOC) and Comverge (COMV) so far this year. Demand response companies make money by helping utilities reduce electricity loads…[A] landmark [regulatory] ruling…will require utilities to pay demand response companies as much as electricity generators are paid…[It] should open up many new opportunities…Both companies had negative earnings surprises for the fourth quarter…I've purchased shares in both Comverge and EnerNOC since the favorable FERC rulings, and have been pleased to be able to do it at lower, rather than higher, prices…"

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"The 35% decline in Ram Power Corp. (RAMPF.PK) is partly explained by large cost overruns in the company's flagship San Jacinto-Tizate project in Nicaragua…[but] recent news for the Nicaraguan project has been good…Nevada Geothermal Power (NGLPF.OB) has also seen a decline since the start of the year, but the most significant news was NGP's purchase of geothermal assets in California…I'm still optimistic about geothermal power in 2011…I've maintained my already large position in Nevada Geothermal, and added to my positions in Ram Power, US Geothermal (HTM), and Magma Energy Corp. (MGMXF.PK)…

"I've been frustrated with the high valuations of most clean energy companies for well over a year, so it's nice to see several of them coming down to prices where I'm comfortable buying. If that means that my annual list of ten clean energy stocks does not beat its industry benchmark this year, I'll consider it well worth it…The year is still young, and these stocks seem very cheap to me. Although they're currently trailing my clean energy benchmark (PBW) by 7%, there are still three quarters to reverse that trend."