Clean Energy Fuels -17% as Ray Jay downgrades, citing 'excessive euphoria'

|About: Clean Energy Fuels Corp. (CLNE)|By:, SA News Editor

Clean Energy Fuels (CLNE -17.7%) plunges after Raymond James downgrades shares to Underperform from Market Perform, as analyst Pavel Molchanov believes shares reflect "excessive euphoria" over the company's partnership with Total.

Shares have nearly doubled since May 10, when TOT acquired a 25% stake in CLNE and agreed to provide as much as $100M in credit support, and Molchanov says the rally has pushed CLNE's valuation to levels well above its peers, even assuming the U.S. Congress revives the tax credit for natural gas fuels - which the analyst says is far from certain.

Molchanov also thinks CLNE's main business of supplying compressed natural gas to municipal bus fleets faces increasing headwinds from the adoption of electric buses.

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