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Capstone Turbine Corporation (NASDAQ:CPST) develops, manufactures, markets, and services turbine generator sets and related parts for use in stationary distributed power generation applications. Its stationary distributed power generation applications include cogeneration combined heat and power ((CHP)), integrated ((CHP)), resource recovery, and secure power, as well as combined cooling, heat, and power; and its products are used as battery charging generators for hybrid electric vehicle applications.

It is scheduled to report its Q4 2012 results on June 14, 2012, after the market closes.

Recent EPS Actuals vs. Estimates

The company has failed to meet analysts' estimates in the last two quarters. In the last quarter it reported ($0.03) loss per share, failing to meet analyst estimates of ($0.02) loss.

The consensus EPS is ($0.02) loss based on 5 analysts' estimates, up from ($0.04) loss a year ago. Revenue estimates are $29.93M, up from $22.76M a year ago. The median target price by analysts for the stock is $2.00.

Average recommendation: Buy

Source: Marketwatch

Analyst Upgrades and Downgrades

  • On Feb 10, 2012, the company was upgraded from Accumulate to Buy at Ardour Capital.

Key Metrics

  • Market Cap: 265.92M
  • 52-week trading range: 0.85 - 1.75
  • Price/Sales: 2.57
  • Price/Book: 6.38
  • PEG Ratio: -0.29
  • Total Debt: 13.51M
  • Annual dividend yield: N/A
  • Return on Equity: -95.13%
  • Return on Assets: -24.56%

Latest Developments

  • On Apr 17, 2012, Capstone Turbine Corp announced that it continues to expand its presence in the Eagle Ford Shale Play with the sale of 30 more C65 microturbines. Capstone distributor Horizon Power Systems (Pumps & Service) secured this follow-on order to support multiple users' growing power needs.
  • On Apr 9, 2012, Capstone Turbine Corp announced that it received orders totaling approximately 10 megawatts from two oil and gas producers in the Eagle Ford shale play.
  • On Feb 29, 2012, Capstone Turbine Corp announced that it has entered into a definitive agreement with institutional investors to sell an aggregate of 22,550,000 units at a negotiated price of $1.
  • On Feb 27, 2012, Capstone Turbine Corp announced that it received an order for the first C1000 Power Package from an oil & gas producer in Southern California. The C1000, sold by Capstone distributor Regatta Solutions, based in San Juan Capistrano, Calif.
  • On Feb 2, 2012, Capstone Turbine Corp announced it received a follow-on order for 31 C65 microturbines from a oil & gas producer in the Eagle Ford shale play already operating a fleet of 71 C65 units.
  • On Dec 27, 2011, Capstone Turbine Corporation announced that it has received an order for a C1000 and C200 for use at a Nigerian pharmaceutical company. The order comes on the heels of a meeting with a delegation of the Nigerian government and business leaders led by the United States Ambassador to Nigeria on December 14th to discuss how expanding the number of Capstone microturbines in Nigeria can grow the country's economy.
  • On Dec 21, 2011, Capstone Turbine Corporation announced that it has received a three-megawatt order from another oil & gas producer in the Eagle Ford shale play. Capstone distributor Horizon Power Systems (Pumps & Service), which secured the order with the new exploration and production company, expects the customer will continue to order additional C1000 Power Packages to meet their power generation needs in 2012 after the installation and commissioning of the first three systems scheduled to be completed in the next 90 days.
  • On Dec 19, 2011, Capstone Turbine Corporation announced that recently it has received orders totaling 4.2 megawatts from multiple oil & gas producers operating in the Marcellus play, including a follow-on order from a independent producer already operating a fleet of more than 50 Capstone microturbines.

Technical Insight

Above are the weekly and daily charts for CPST. It is currently trading below 21-, 50- and 200-week and day moving averages. However, it seems to have a strong support at around $0.92. It also seems to be forming a triangle on daily chart and might break out of it soon. Earnings release may well be the catalyst here.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.