Thursday, July 24, 2014
Is Chart Industries Finally Charting a Higher Course
Since peaking in October, Chart Industries (NASDAQ: GTLS ) has traded in a downward trajectory. The promise of liquefied natural gas, or LNG, demand hasn't paid off as expected, leading to a large sell-off in the stock. At the current price of $80, the stock trades at a similar level to when it first crossed $70 all the way back at the start of 2012. Similar situations in the market offer a level of intrigue considering the market is now less interested in a once-hot stock potentially offering a bargain. The investor has to dig into the story to derive whether the problem is the company or the market.
Chart Industries is mainly seen as a manufacturer of LNG equipment, but the company has recently been hit by declines in the smaller medical division. Mainly though, the company continues to face the struggles of a domestic LNG market that hasn't expanded fast enough and has also hit shares of Clean Energy Fuels (NASDAQ: CLNE ) and Westport Innovations (NASDAQ: WPRT ) . The group in general fell on tough times to start 2014, but the good news is that Chart Industries has one key metric that sets it apart from the group.
Read the full article here.
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