Wind Energy is hot, JUHL is a ‘JEWEL’ of an idea

There are a large number of companies that I follow on a regular basis.  I am always looking for that next company that will offer my members superior profits.  Some companies have great technology, some have great organizations, some have incredible potential and some have all three. I have been waiting for the right time to bring today’s company to my members….BECAUSE

I believe that today’s alert is a company that “has all three”: JUHL Wind, Inc. (JUHL)

As oil prices soar and global warming continues to be a concern, the demand for renewable energy is on the rise. Wind power is one of the world’s fastest growing energy sources, growing an average of 29% annually over the past five years according to the American Wind Energy Association (AWEA). It is only likely to get bigger as the U.S. Department of Energy calls for 20% wind power by 2030. Unlike other electricity sources, wind power requires no fuel and produces no pollution or waste. Best of all, it is inexhaustible. U.S. winds have the potential to generate more electricity in 15 years than all of Saudi Arabia’s oil, without being depleted according to the AWEA. Energy.Gov

JUHL is a revenue-producing, vertically-integrated, wind and solar company that is making significant inroads in this industry in the Midwest United States and Canada.

Through its subsidiaries, JUHL provides development, management, and consulting services to wind farm projects in the Midwestern United States and Canada.  Their specialty is what they call “Community-based” wind power generation and management.  It is similar in concept to the company a few weeks back that was building medium to small wind installations using a concept called “microgeneration”.  JUHL claims to have pioneered community-based wind farms, developing the currently accepted financial, operational and legal structure providing local ownership of medium-to-large scale wind farms.  JUHL states that each step of the process is a potential revenue stream for the company along with the continuing revenue from the sales of electricity to utility customers.

The company also produces and sells renewable energy products, such as remanufactured small wind turbines to consumers for on-site electricity generation; and solar-powered systems that allow small businesses and consumers to generate or store electrical power for on-site use or emergency backup.  This division just announced a million dollar deal for its wind turbines!  To read the full release:  CLICK HERE

Here is what impresses me about JUHL:

• JUHL has developed and is operating ELEVEN wind farms throughout the upper Midwest, producing approximately 117 megawatts of wind power.
  
• It has another SIXTEEN NEW wind farms in development, which will bring the total megawatts to approximately 517.
  
• That is enough to power 155,100 homes at any given time.
• They have developed multiple revenue streams
  
• JUHL Wind issued a revenue forecast of approximately $10,807,000 for the full year ending December 31, 2009, over a 700% INCREASE over 2008.
• Last Quarterly filing showed over $5MM in the bank and NO LONG TERM DEBT

I would suggest using these links to do your own due diligence:

JUHL Website -  Yahoo Finance -  JUHL’s 12-08 Investor Presentation

Here is some more information on Wind and Wind Power:

Wind Technology and the promise of clean, renewable energy is a very popular topic these days.

Did you know?

• 10 Megawatts (MW) of wind power can:

• • Power over 3,000 homes.
  • Over 20 years replaces 290,000 tons of coal or 920,000 barrels of oil.
• The average wind farm in the US is between 25-300 MW’s
• End users receive electricity through the already established utility power grid.
• That wind is currently the world’s fastest growing renewable source for power.

Source:  JUHL Investor Presentation 12-08, page 29

JUHL is trading at a three-month low and appears that it could be basing at around the $2.00 level.  JUHL closed at $1.97 on Friday which is a strong support level for the stock.  The MACD is neither bullish or bearish and the stochastics indicate the that stock is neither overbought or oversold.

While the story and the fundamentals of the company are strong, the stock has experienced some strong price swings recently.  While it is now trading at the bottom of those ranges, it posted a high of $2.60 in early August.  As traders know volatility can be our best friend.  With the stock sitting on what could be considered strong support, I believe that, with the right set of circumstances, JUHL could advance through resistance levels at $2.10, $2.25 on its way over the latest high of $2.50….maybe beyond?

There are many companies (some of whom we highlight) that offer great hope for America and its energy independence.  As I have seen in all my research, the “New-Energy Economy” has some great momentum and visibility behind it. I am impressed with what JUHL has accomplished so far and am looking forward to seeing how they can execute their lofty plans going forward.  In the meantime, I suggest that you do the due diligence on this one and put it on your radar list.

Good luck and good trading

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