Is Redwood Materials profitable?
Because Redwood Materials is a privately held company, it's not required to submit regulatory filings like publicly traded companies. With the scant amount of information about the company's financials available, it's unclear whether it's profitable yet. With regard to the top of the income statement, it's possible that the company is generating revenue after it acquired Redux Recycling in 2023. Located in Germany, Redux is a lithium-ion battery recycling company that helps Redwood Materials in its pursuit of expanding its European operations.
Alternatives to Redwood Materials stock
Although people committed to buying Redwood Materials stock may be discouraged to find that this opportunity is unavailable since it's still a privately held company, there are other investment options to pique their interest.
1. Ford
People interested in Redwood Materials can gain indirect exposure to the company by picking up shares of Ford, which made a $50 million investment in Redwood Materials in 2021.
According to Ford and Redwood Materials, the companies "plan to work together on the best approach to collect and disassemble end-of-life batteries from Ford's electric vehicles for recycling and remanufacturing to help reduce the cost associated with battery repairs and raw materials to manufacture all-new batteries."
2. LanzaTech
Instead of batteries, LanzaTech (LNZA -2.27%) focuses on the recycling of carbon. As of 2024, LanzaTech operated seven commercial facilities where it captures carbon emissions and converts them into ethanol. After repurposing the emissions, LanzaTech provides the recycled carbon to companies that use the material in a variety of products, ranging from aviation fuel to apparel.
Illustrating how LanzaTech's recycled carbon products are in demand, the company has inked agreements with several prominent partners, such as leading apparel companies like Zara (owned by Spanish company Industria de Diseño Textil SA) and H&M (HNNMY +0.55%). Besides clothing businesses, LanzaTech has partnered with chemicals company Dow (DOW +1.09%) and airline Virgin Atlantic (SPCE -16.26%).
3. PureCycle Technologies
Instead of carbon, PureCycle Technologies (PCT +0.66%) is dedicated to the recycling of plastics. In 2023, PureCycle Technologies began operations at its flagship polypropylene facility in Ironton, Ohio. Achieving several milestones through 2024, PureCycle Technologies is working toward ramping up operations to its annual production capacity of 107 million pounds of ultra-pure recycled (UPR) resin. By August of 2025, PureCycle had a deal with the Cleveland Browns NFL team to be a main provider of all stadium cups.
How to buy stocks similar to Redwood Materials
Investors who want to buy one of these Ikea alternatives can purchase shares in any brokerage account. Here's a step-by-step guide on how to invest in stocks like Redwood Materials:
- Open your brokerage account: Log in to your brokerage account where you handle your investments.
- Search for the stock: Enter the ticker or company name into the search bar to bring up the stock's trading page.
- Decide how many shares to buy: Consider your investment goals and how much of your portfolio you want to allocate to this stock.
- Select order type: Choose between a market order to buy at the current price or a limit order to specify the maximum price you're willing to pay.
- Submit your order: Confirm the details and submit your buy order.
- Review your purchase: Check your portfolio to ensure your order was filled as expected and adjust your investment strategy accordingly.
