Mar 03, 2022 (WallStreetPR via Comtex) -- Looking ahead over the next five years seems like an eternity for postulating portfolio management strategies when it comes to sector allocation. But we can hang our hat on certain key principles.
First off, where will see the biggest growth?
One can look toward a few key themes as top candidates: Metaverse, Genomics, DeFi, Edge Computing, and Robotics are clear winners. But the most obvious domain of growth dominance is probably Sustainable Energy. This includes carbon capture, energy storage, electric vehicles, grid restructuring, and smart infrastructure, as a start.
These technologies will come under increasing demand for investors as energy costs from traditional fossil fuels rise, which is likely now as investment dwindles in fossil fuel sources over the extended future time frame.
Why is Crude Oil at $110/bbl right now? It isn't because Russia invaded Ukraine. It's because energy production has become inelastic as investors see the end of the fossil fuel road in sight and are no longer willing to suffer the political or logistical burden of tying up large amounts of capital in projects that could take years to actualize only to languish in a future now known to be dominated by a new energy paradigm.
But over the short-term, that lack of fossil fuel production growth could continue to drive gasoline and oil prices through the roof, driving accelerating urgency to develop and deploy sustainable solutions even sooner than planned.
That's a perfect storm for flows into green tech plays - a group that has been clobbered over the past six months with the growth stock sector. Now, these plays are starting find fresh momentum, and investors may benefit from quick action before the horse leaves the barn altogether.
With that in mind, we take a look below at a handful of the most interesting sustainable green tech stocks out there with recent key catalysts in play.
CleanSpark Inc. /zigman2/quotes/200030751/composite CLSK +0.77% bills itself as a company involved in providing advanced energy software and control technology that enables a plug-and-play enterprise solution to modern energy challenges.
The company's services consist of intelligent energy monitoring and controls, Microgrid design and engineering, Microgrid consulting services, and turn-key Microgrid implementation services. The company's software allows energy users to obtain resiliency and economic optimization.
CleanSpark Inc. /zigman2/quotes/200030751/composite CLSK +0.77% recently announced announced that it has increased the starting salary of all existing entry-level positions in its mining operations to $19 per hour. The hourly pay of the Company is now more than that of similar positions at the biggest e-commerce or cloud-computing companies in the United States.
"We want to attract the A-players with great pay and benefits," says Matt Schultz, Chairman at CleanSpark. "Like the biggest tech giants, we want to be known for having strong talent that gets paid well."
"Our mining operations compensation plan is designed to show our employees how much we value their efforts," said Zurii Mershant-D'Ambra, Human Resources Manager at CleanSpark. "CleanSpark wants to set the precedence for mining tech salaries in the bitcoin mining industry."
And the stock has been acting well over recent days, up something like 30% in that time.
CleanSpark Inc. /zigman2/quotes/200030751/composite CLSK +0.77% managed to rope in revenues totaling $41.2M in overall sales during the company's most recently reported quarterly financial data — a figure that represents a rate of top line growth of 1726.8%, as compared to year-ago data in comparable terms. In addition, the company has a strong balance sheet, with cash levels exceeding current liabilities ($36.2M against $22.5M).
Eco Innovation Group /zigman2/quotes/209717851/composite ECOX +7.69% is included here despite being a traditional penny stock because it's trading at deep discount levels relative to its growing commercial activity, and it has an interesting IP thesis that could help it actually emerge as a key player set to uplist to a major exchange over time, presenting a big speculative opportunity for those willing to take a little extra risk.