Topic: How To Invest

Hi Patrick: Could you please give me your take on FuelCell Energy? Would it be a good IPO to purchase? Thank you.

Article Excerpt

FuelCell Energy, $1.69, symbol FCEL on Nasdaq (Shares outstanding: 227.4 million; Market cap: $402.2 million; www.fuelcellenergy.com), develops and produces fuel cells for power generation. A fuel cell is a device that uses hydrogen as a fuel, combined with oxygen from air, to produce electricity without combustion or harmful emissions. The hydrogen comes from a fossil fuel, such as natural gas or propane. It can also be produced by passing an electric current through water. Hydrogen can be stored or transported by pipeline, but it’s highly explosive. Fuel cells have no moving parts, make little noise, and have only heat and water as by-products when fuelled by pure hydrogen. They were first used in the U.S. space program, where they powered electronics in the Gemini and Apollo spacecraft. Later, they provided electricity and water for the space shuttles. Fuel cells have a lot of theoretical promise, but they face a number of practical barriers. These include high cost, compared to other…