Please ensure Javascript is enabled for purposes of website accessibility
Free Article Join Over 1 Million Premium Members And Get More In-Depth Stock Guidance and Research

Here's Why Westport Innovations Stock Jumped 16% in 2 Days

By Jason Hall - Oct 7, 2015 at 11:56AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Westport's venture with Cummins just announced a near-zero NOx emissions engine. Mr. Market seems pleased.

What: Natural gas engine technology leader Westport Innovations Inc.'s ( WPRT -6.25% ) stock is up 9% today (Oct. 7), and more than 18% over the past two market days. 

So what: Westport's joint venture with Cummins, called Cummins Westport, just announced a near-zero NOx emissions version of its very popular ISL G natural gas engine, the ISL G NZ. This is a pretty big deal, since this new engine meets stringent long-term emissions standards for particulates like NOx, a major cause of urban air pollution. 

Cummins Westport will begin manufacturing the ISL G NZ in April 2016, and it will be available as a "first fit" (sold with new vehicles) engine, as well as a replacement for vehicles currently running the Cummins Westport ISL G natural gas engine. 

Now what: This is a big deal and a definite positive for Westport. The ISL G engine has been hugely successful, with major market share in the transit and waste-removal vehicle segments. But even with that past success, this lower-emissions version of that engine is not exactly a game changer.

Westport still faces the same cash-burn challenges, and the uncertainty of low oil prices weighing on the rate of adoption of natural gas engines, especially in heavy-duty trucking and automobiles. 

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis – even one of our own – helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Westport Fuel Systems Inc. Stock Quote
Westport Fuel Systems Inc.
$2.25 (-6.25%) $0.15

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 12/01/2021.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Our Most Popular Articles

Premium Investing Services

Invest better with the Motley Fool. Get stock recommendations, portfolio guidance, and more from the Motley Fool's premium services.