Why Shares of Capstone Turbine Corporation Popped Today

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Share of micro-turbine maker Capstone Turbine Corporation (NASDAQ: CPST  ) are up 13% today after receiving a new order.

So what: This morning, the company announced orders for two Capstone C800s and a Capstone C1000 for use in two Southern California hospitals. The deals total 2.6 MW and are expected to be commissioned in late 2014.  

Now what: This is really business as usual for Capstone and isn't reason to change your investment thesis today. The company still lost $12.9 million in 2013 and barely grew revenue at all, which isn't good for a company that's in an emerging market. This is a company I can't get excited about unti growth picks up significantly or it makes a profit, which both seem far off right now.

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Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On March 05, 2014, at 4:17 AM, stockanal45 wrote:

    "This is a company I can't get excited about unti growth picks up significantly or it makes a profit, which both seem far off right now."

    Totally wrong. CPST is projected to be profitable by early 2015. It's ignorant articles like this that makes Motley Fool the laughing stock of the financial industry.

  • Report this Comment On March 05, 2014, at 9:04 AM, tonyaa wrote:

    hey travis

    give it a break. your vendetta against cpst is so obvious .why don't u and your loser friends pick on fcel or plug or bldp.compare their rev$,margins,debt,backlog ,eps etc etc etc

    and see which one is the best co

    u will get excited about cpst very soon. i guess your BLINDED by your rage toward cpst.

    and u call your self an unbiased reporter?

    haha look in the mirror

    and give it break

    shame on u

  • Report this Comment On March 05, 2014, at 9:49 AM, delmar wrote:

    It's simple.

    When Travis says sell, BUY!

  • Report this Comment On March 05, 2014, at 10:04 AM, wardntx wrote:

    Thanks for the information you guys. I will heed your advice and consider Travis must have gotten burned by CPST. I personally think it is a good concept with possibility .

  • Report this Comment On March 05, 2014, at 12:35 PM, ingalonso10 wrote:

    Agree and if you see the short interest on 2/14/14 there is a 11.08 days to cover. When the news where out the SI will cover and the stock will squeeze.

  • Report this Comment On March 05, 2014, at 3:22 PM, FastMike wrote:

    Did anyone notice the action in this morning's pre-market. Nearly 700,000 shares traded and pre market high was $2.11?

    It opened at $2.05 and traded nearly 10 million shares in the first hour, more than four times its average daily volume? With a half hour to go, it has traded almost 17 million shares?

    This is quite odd, isn't it?

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10/1/2014 3:59 PM
CPST $1.02 Down -0.05 -4.67%
Capstone Turbine C… CAPS Rating: ***

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