5-Star Stocks Poised to Pop: Clean Energy (CLNE)

5-Star Stocks Poised to Pop: Clean Energy

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By Brian D. Pacampara
May 12, 2009 | Comments (4)

Recs

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Based on the aggregated intelligence of 130,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, alternative-fuel provider Clean Energy Fuels (Nasdaq: CLNE), which provides natural gas as vehicle fuel, has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Clean Energy's business and see what CAPS investors are saying about the stock right now.

Clean Energy facts

Headquarters (founded)	Seal Beach, Calif. (2001)
Market Cap	$445.11 million
Industry	Oil and Gas Refining and Marketing
Trailing-12-Month Revenue	$129.8 million
Management	Co-Founder/CEO Andrew Littlefair CFO Richard Wheeler
Compound Annual Revenue Growth (over last three years)	15.8%
Competitors	Exterran Holdings (NYSE: EXH) Exxon Mobil (NYSE: XOM)
CAPS members bullish on CLNE also bullish on	Chesapeake Energy (NYSE: CHK) General Electric (NYSE: GE)
CAPS members bearish on CLNE also bearish on	Citigroup (NYSE: C) Starbucks (Nasdaq: SBUX)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS.

Over on CAPS, fully 805 of the 830 members who have rated Clean Energy -- some 97% -- believe the stock will outperform the S&P 500 going forward. These bulls include All-Stars cwkraj and Seansonfire.

In March, cwkraj tapped Clean Energy as a natural, billionaire-backed selection:

Natural gas is Americas most abundant, natural fuel. [T. Boone Pickens] is pushing the heck out of it … AT&T just switched 8,000 cars to natural gas. It seems like [Clean Energy] signs or re-signs a new contract at least once a month. What's not to like, besides current oil prices but guess what they will rise again too!

In a more recent pitch from last week, Seansonfire also keeps it clean:

[Clean Energy] is the future of energy in our country. It is a spectacular oil play as it is an oil supplement, as well as the prices of natural gas trade along side oil. As I am bullish on oil going into the summer … this is a great pick up.

Reasons I like it:

1) California is already adopting this technology as an alternative source of fuel to gas. (Many other environmentally responsible states will do this in the future.)

2) Growth potential is enormous

3) Obama wants to move our energy infrastructure away from oil, and [compressed natural gas / liquefied natural gas] is the natural next best choice.

What do you think about Clean Energy, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 130,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Closed for 15 months – opening 10 days only! Get notified ahead of time as our expert portfolio manager invests $1 MILLION in the best opportunities from across The Motley Fool’s premium investment services. This is the first open since August 2008, by invitation only. Enter email below.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Chesapeake and Starbucks are Motley Fool Inside Value picks. Starbucks is also a Stock Advisor selection, and the Fool owns shares of it. The Fool's disclosure policy always gets a perfect score.

Comments from our Foolish Readers

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Report this Comment On May 12, 2009, at 11:48 AM, tomdotstar wrote:

I love the idea of CLNE, but that's a long way away from the reality. This is supposed to be a growth stock in a rapidly expanding environment. I look at the revenues, the number of "gallons" sold, and the overall growth. They've abstained from giving guidance, and they still look a long way away from break even. When will these guys actually make money?
Report this Comment On May 12, 2009, at 1:16 PM, bricks79 wrote:

I own some CLNE as a speculative play. The government is not moving towards natural gas at this point and we now have excess supply in the U.S. Declines in price and drilling may create an opportunity in the future but not now. CLNE needs significantly larger scale to be profitable. I see the stock moving sideways and have a stop loss on it near current price.
Report this Comment On May 12, 2009, at 1:53 PM, Sabiers wrote:

As usual a few dedicated individuals create technical solutions without great public accord. See the article reporting the local Sacramento, California company, Clean Energy Systems, Inc., in the Sacramento Bee newspaper, May 1, 2000. Hydrocarbon combustion with zero carbon dioxide release to the atmosphere has been demonstrated for years. It just needs the public to permit the sequestration of liquid carbon dioxide deep into the Earth's crust.
Report this Comment On May 15, 2009, at 12:15 PM, jbrofft wrote:

I invested in Clean Energy two years ago, becaues it just made long term investing sense. America has been tied to OPEC oil pricing whims for too long. Natural gas is abundent in America & it's much more environmentally friendly. So what's the issue? This company & it's platform is very sound & will continue to catch on as an alternative fuel. It's a no brainer & I plan to buy a few thousand more shares at today's price. I see this stock at $20.00/share by years end !!
Clean Energy is making it easy for the investor to make money in today's & tomorrow's environment.

GE	$15.86		+0.53	+3.46%
General Electric C…		CAPS Rating:

XOM	$72.85		+0.69	+0.96%
ExxonMobil Corp		CAPS Rating:

SBUX	$21.10		-0.02	-0.09%
Starbucks Corp		CAPS Rating:

EXH	$23.08		+1.37	+6.29%
Exterran Holdings,…		CAPS Rating:

CLNE	$12.92		+0.49	+3.94%
Clean Energy Fuels…		CAPS Rating:

5-Star Stocks Poised to Pop: Clean Energy

23

Closed for 15 months – opening 10 days only! Get notified ahead of time as our expert portfolio manager invests $1 MILLION in the best opportunities from across The Motley Fool’s premium investment services. This is the first open since August 2008, by invitation only. Enter email below.

Comments from our Foolish Readers

Report this Comment On May 12, 2009, at 11:48 AM, tomdotstar wrote:

Report this Comment On May 12, 2009, at 1:16 PM, bricks79 wrote:

Report this Comment On May 12, 2009, at 1:53 PM, Sabiers wrote:

Report this Comment On May 15, 2009, at 12:15 PM, jbrofft wrote:

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