Movers and SHAKERS
Capstone Turbine (CPST)
CPST reports strong unaudited 4Q and 2021 results
Capstone Turbine Corp is the producer of low-emission microturbine systems.The company develops, manufactures, markets and services microturbine technology solutions for use in stationary distributed power generation applications. Capstone Turbine's products include onboard generation for hybrid electric vehicles; conversion of oil field and biomass waste gases into electricity; combined heat, power, and chilling solutions; capacity addition; and standby power.
Michael Heim, Senior Research Analyst, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Gross bookings rising. Bookings in the 4Q were $12.7m, up 53% y-o-y and 21% q-o-q. Growth rates are significantly above our model's assumed growth rate of 20%. A six-pronged program to grow revenues (realignment of the salesforce, refocus on customer satisfaction, etc.) appears to be paying benefits. The book-to-bill ratio increased to 1.5:1 from 0.9:1 in the previous quarter. CPST announced 12 new orders during the quarter in nine different countries. Recent electric utility reliability issues combined with a new environmentally conscience administration lead us to believe higher-than-forecasted growth rates could continue.
Cash position rising at a faster rate than expected. Total cash on hand rose to $49.5m up from $32.0m at the end of the third quarter. The rise reflects a $14.5m stock offering and the receipt of $5.0 million (less $0.3m in legal) from a law suit against a parts supplier. The numbers imply that operating cash flow was near break-even on a normalized basis absent any large change in working capital ...
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