NEW BULLISH Plays
POWR - Powersecure Intl $7.62
PowerSecure International, Inc. (PowerSecure) is a provider of Energy and Smart Grid Solutions and Energy Services to utilities, commercial, institutional and industrial customers and oil and natural gas producers. The Company operates through its wholly owned subsidiaries, Southern Flow Companies, Inc., WaterSecure Holdings, Inc. Its Utility Infrastructure business, which is an extension of its Interactive Distributed Generation business, provides utilities with regulatory consulting and rate design services, and power system engineering and construction services. The Company Energy Efficiency business is focused on providing lighting solutions. The Company operates in two segments: Energy and Smart Grid Solutions, and Energy Services.
Why We Like It:
This is an earnings lottery play. POWR will report earnings on March 11th. They have already preannounced the backlog will be better than previously expected. The stock is currently $7.62 and the $7.50 March call is only 60-cents. I believe the company will announced decent earnings and move sharply higher. The chart already shows upside pressure building. A positive number could generate some additional short covering. With the cheap option already in the month it will not take much of a move to get a nice return.
BUY POWR with a stop at $7.30.
BUY MARCH $7.50 CALL (POWR 10C0750) Open interest = 455, ask=$.60
Entry on March 03 at $xx.xx
Change since picked: + 0.00
Earnings Date 03/11/10 (confirmed)
Average Daily Volume: 78K
Listed on March 2nd, 2010