Quantum Fuel Systems Technologies Worldwide Inc. (NASDAQ: QTWW)(E*)

Financial status indicator if delinquent: Issuer missed regulatory filing deadline.

Quantum Fuel Systems Technologies Worldwide Inc. (QTWW) is a fully integrated alternative energy company, and a player in the development and production of propulsion systems, energy storage technologies, and alternative fuel vehicles. The Company’s portfolio of technologies include electronic controls, hybrid electric drive systems, hydrogen storage and metering systems, and alternative fuel technologies that enable fuel efficient, low emission hybrid, plug-in electric hybrid, fuel cell and alternative fuel vehicles. On January 16, 2008, the Company completed a series of transactions that resulted in the disposal of substantially all the assets of the Tecstar Automotive Group business segment. Prior to the disposal, the Tecstar Automotive Group business segment comprised all of the business activities of Tecstar Automotive Group Inc. and its subsidiaries. On January 4, 2008, QTWW acquired a 24.9% ownership interest in asola Advanced and Automotive Solar Systems GmbH.

Source: Reuters.com, SEC Filings.

Financial Summary

QTWW is delinquent in their filing of regulatory Form 10-Q and has filed an NT 10-Q (notification of inability to timely file Form 10-Q).

Source: Reuters.com, SEC Filings.

Analyst Consensus

This is the consensus forecast amongst 1 polled investment analysts. Against the Quantum Fuel Systems Technologies Worldwide Inc company.

The one analyst offering a 12 month price target expects QTWW share price to rise to 1.25 in the next year from the last price of 1.07.

Source: www.ft.com

No consensus estimates analysis data available.

Source: http://www.reuters.com/finance/stocks/financialHighlights?symbol=QTWW.W

Investment Highlights

QTWW yesterday announced that it has entered into a letter of intent with Fisker Automotive that outlines the terms of a production and licensing agreement for the Fisker Karma Program. Under the supply arrangement, QTWW will be the exclusive supplier of the Q-DriveTM hybrid control systems including the hybrid controller and QTWW’s proprietary hybrid control software, the inverters and QTWW’s proprietary motor control software, on-board charger and control systems, the DC-DC converter and the solar roof module, subject to the Company meeting the required price, performance, quality and delivery specifications.

The Company would also receive a royalty payment on each Karma Program sold that incorporates QTWW’s Q Drive. The definitive supply agreement, once finalized, is subject to approval by the Department of Energy. The supply agreement will also provide QTWW with the opportunity to supply components and systems for future Fisker Automotive vehicle programs, upon QTWW meeting the automaker’s performance, cost and delivery requirements. The Q-Drive control and software system has evolved over five years of innovation and development at QTWW.

QTWW’s Q-Drive system takes full advantage of the performance potential of electric drive systems while achieving high fuel mileage and low emissions through its integrated plug-in hybrid electric design. Benefits of the Company’s drive system include optimized fuel efficiency and superior performance, unchanged gas station infrastructure, and convenient battery recharging with any 110-volt outlet, 220/240-volt fast-charging, or using QTWW’s solar energy powered re-charging station. The Company is continuing its integration of QTWW’s Q-Drive system, under a funded development program with Fisker Automotive, into a unique chassis that will enable optimizing the performance and vehicle dynamics for the Fisker Karma. Additional efforts are anticipated for QTWW to complete the development, testing and validation of the integrated Q-Drive system to meet all automotive industry, safety and emissions standards to be able to put the Fisker high-performance luxury sedan into the hands of consumers.

QTWW earlier this week announced that it has entered into a professional services agreement with the City of Los Angeles Department of Water and Power (”LADWP”) as a “qualified supplier,” one of 12 companies selected among 109 bid participants. The agreement sets forth the terms by which LADWP would procure the materials and services necessary for solar power projects, as part of Los Angeles’ mandated Renewable Portfolio Standard (RPS), which targets 20% of the energy for the City from renewable energy sources by 2010, and 35% of the energy from renewable energy sources by 2020. The board of directors of LADWP passed a resolution authorizing the agreement with QTWW, and the other 11 qualified suppliers, for the procurement of materials and professional services for the initial three year effort in support of the RPS, at a maximum cost of $455 Million, with the goal of installing 200 MW of solar capacity by 2012. The LADWP will issue individual Task Order Proposals to the qualified suppliers for competitive procurement of solar photovoltaic modules, all associated materials, tools and equipment, and for professional services which include solar power system design and solar power system related training for LADWP personnel, for LADWP facilities and other Los Angeles City properties located in, but not limited to, areas throughout California, Nevada, Arizona and Utah.

Source: http://www.qtww.com/

Technical Analysis

Source: http://stockcharts.com

QTWW is below its 50 day moving average. This bearish sign is even more significant because the moving average is also trending lower.

QTWW has been relatively stable recently. This is evidenced by the width of its Bollinger Bands which are tighter than normal. Additionally, QTWW is trading below its lower Bollinger Band. Relative to recent price action, the stock is currently overextended to the downside and due for either a pause or retracement.

The MACD for QTWW currently indicates a strong bearish signal for two reasons. First, the MACD is below the signal line, a 9day moving average. Second, the MACD is below the critical level of 0, which implies that the underlying moving averages are trending lower.

Comparative Analysis

Source: Thomson Financial

Insider Trading Activity

Source: Yahoo Finance

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