Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Major Momentum Coming On Energy Conversion Devices, Inc. (NasdaqGS: ENER)

|Includes: Energy Conversion Devices, Inc. (ENER)

Alternate energy continues to be on the forefront of the political scene. While money continues to flow into these stocks, one company appears to be lagging the group in a major way and due for a major jump. I am issuing an extreme positive bias on on Energy Conversion Devices, Inc. (NasdaqGS: ENER).

Energy Conversion Devices, Inc. is showing signs of a major breakout on the horizon. Below I will explain reason this will move to a $15.00 per share level shortly. ENER currently trades just below $11.00.

ENER is hovering just off the 52 week lows as oil has soared back over $80 per barrel. Alternate energy and oil stocks are near or at 52 week highs. In general, alternate energy stocks rocket higher in sync with oil. As oil becomes more expensive, big and small business and consumers switch to alternate energy as it becomes cheaper in comparison. While oil has soared and most alternate energy stocks have jumped with it, ENER remains at the lows.

Another factor that has to be taken into account with ENER is the high short position. ENER has over 30% of its shares shorted. This is extremely high and with oils continued momentum, ENER will eventually have a major squeeze in the share price.

Last but not least must be the amount of cash and growth potential of ENER. After just announcing restructuring of the company, management looks to blow away the lowered expectations. In addition, ENER has a large amount of cash with which to restructure and get on the major growth path.

I expect sales to grow quickly after the restructuring. At these levels with the huge short position, this stock should jump significantly to the $15.00 level. I have issued an extreme positive bias on Energy Conversion Devices, Inc. (NasdaqGS: ENER).

Gareth Soloway
Chief Market Strategist
InTheMoneyStocks.com