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Lithium-Ion Battery Stocks

The Billion-Dollar Battery Backbone

Written by Nick Hodge
Posted November 4, 2009

Editor's Note: Rare Earth Metals (REEs), such as lithium (which has a recently updated article from Energy and Capital here...) are nothing short of crucial to the way we live. In fact without them, some of our most important modern technologies could never exist: rechargeable batteries, electric motors, photo optics, and solar cells, just to name a few.

They are so pivotal to modern circuitry that industry insiders came up with a nickname for REEs: 'technology metals.' And on January 1st, Denmark will relinquish its sovereign hold over Greenland's mineral rights, making Greenland's $273 billion rare earth resources private property. To learn about the single company in control of all of it, read the following new report.

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Fix your eyes for 5 seconds on the performance of these battery stocks:

Battery Stocks

Need I say more?

It's not even Thanksgiving yet. . . and some of these stocks have tripled since Easter.

The Billion-Dollar Battery Backbone

Here's why you need to be investing in the hottest sector on the market. . .

Clean Energy

In the past few years, the capacity of solar and wind energy has absolutely exploded. And related stocks have followed suit.

Here's the thing: The sun doesn't always shine. And the wind doesn't always blow.

But when the sun is shining. . . and the wind is blowing. . . we can't use all the electricity these sources produce.

Batteries have emerged as the solution to this problem. Utilities from Shenzhen to Seattle are increasingly using batteries to store this excess clean power so that it can be used at times of high demand.

And it's been estimated that if, over the next decade, just 1% of energy storage demand is met, the industry will be worth at least $600 billion — most of which will end up on the balance sheets of battery technology companies.

Hybrid Cars

It's now largely accepted that the future of personal transportation is electric.

The Prius and the Volt are already media whores. . . and interest is growing in the Nissan Leaf, Fisker, and Tesla.

As this happens, batteries will consistently be replacing internal combustion engines. And battery manufacturers stand to make a killing.

Surely you remember the recent mega-interest in the IPO of A123 Systems (NASDAQ: AONE), the MIT battery spin-off company. It surged nearly 40% in its first week of trading.

Smart investors see the writing on the wall.

The Stimulus

Like it or not, the federal government is doling out billions of your tax dollars to further the development of advanced batteries.

This "free" money — in the form of grants and tax breaks — is giving a boost to the companies that manufacture those batteries.

Just take a look at some of the awards given already:

  • Johnson Controls — $299.2 million for the production of nickel-cobalt-metal battery cells, packs, and battery separators.

  • A123 Systems — $249.1 million for the manufacturing of nano-iron phosphate cathode powder, electrode coatings, fabrication of battery cells and modules, and assembly of complete battery pack systems.

  • KD ABG MI, LLC — $161 million for the production of manganese oxide cathode/graphite lithium-ion batteries.

  • EnerDel, Inc. — $118.5 million for the production of lithium-ion cells and packs.

  • General Motors Corporation — $105.9 million for the production of high-volume battery packs for the GM Volt.

  • Saft America, Inc. — $95.5 million for the production of lithium-ion cells, modules, and battery packs for industrial and agricultural vehicles and defense application markets.

The list goes keeps going and going and going. . .

Charging Your Portfolio

Investors have surely taken notice of this trident battery bullishness.

As you saw above, some of these stocks have surged more than 300% — just since March.

But it's not too late to climb aboard the battery bandwagon.

In fact, I've just put together a new report that details the best battery stock you can own now — and for the next five years.

It's a small Chinese outfit that already counts revolutionizing the lithium-ion battery in its list of successes.

The first time I told readers about it, the stock quickly spiked nearly 600%.

But the stock is gearing up for another run, backed this time by none other than the Oracle himself.

The company is going to quickly corner the lithium-ion battery market. . . and it's a steal at its current price.

To read all about the stock — and how you can get in before the next 600% run — click here.

Call it like you see it,

Nick Hodge

Nick

P.S. This tiny $10 company is about to become largest, most profitable battery company in the world. But its future wasn't always so bright. To learn more about its rags-to-riches story. . . and how you can get in on the "riches" part, click here.

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