AeroVironment Inc.  (AVAV)     Rate AVAV  -  Discuss AVAV  -  Add to Watch List        

James Altucher has written about two potential wind power plays in a recent Financial Times article. The two stocks are AeroVironment (AVAV) and Otter Tail (OTTR). Yes, strange names, but Altucher mentions that these stocks interest him in part because his: 

.... general approach when dealing with “hot topic of the day” type stocks is to look for back doors. Find stocks that have legitimate cash generating businesses, trade at cheap multiples and happen to be making serious moves in whatever the hot field is.

 AeroVironment and Otter Tail certainly fit this description since they both have ot

Filed under: Earnings reports, Ford Motor (F), Lockheed Martin (LMT), Technical Analysis, Delta Air Lines (DAL), Stocks to Buy

AeroVironment (NASDAQ: AVAV) is engaged in the design, development and production of unmanned aircraft systems and electric energy technologies for various industries and governmental agencies. The company's small aircraft are used by U.S. Department of Defense customers to deliver real-time reconnaissance, surveillance, and target acquisition to tactical operating units. Its electrical products include recharge systems for industrial vehicle batteries and power proc

The miltary contracts and probable FAA for unmanned planes is the growth story here. The battery technology business is growing at a smaller pace but there is even more opportunity with EV and hybrid cars. Keep an eye on wind technology for commercial and industrial buildings as another source of revenue. Also, this company was solid when it was private and has the benefit of Cal Tech brains behind its patents.