(HOKU) - Fuel cell technologies - Over the past month, this year's estimates have increased 25%

Hoku Scientific has exceeded earnings estimates in four consecutive quarters and has reported a profit in six straight quarters. One analysts raised his numbers for this year. Over the past month, this year's estimates have increased 25%. The stock is a small cap, low-priced equity, so volatility will be high, but the fundamentals and growth prospects are excellent. Full Analysis Hoku Scientific, Inc. (HOKU) engages in the design, development, and manufacture of membrane electrode assemblies (MEAs) and non-fluorinated membranes for proton exchange membrane (PEM) fuel cells. It develops custom monomers and polymers for its Hoku membranes, the core technology of Hoku MEAs. Hoku MEAs and membranes are designed for use in the stationary and automotive markets. Since its inception, HOKU has focused its efforts on the design and development of fuel cell technologies, including its Hoku MEAs and Hoku Membranes. The products have all been developed internally by the research and development team leveraging both pre-existing publicly available technology and its own proprietary developments. Currently, HOKU derives substantially all of its revenue from Sanyo Electric Co., Ltd. and Nissan Motor Co., Ltd. through contracts related to testing and engineering services. The company pursued engineering service contracts in order to strategically fund the integration of its technology into its customers products. On August 10, 2005, the company completed its initial public offering of 3,500,000 shares of its common stock. According to Zacks Equity Research Analyst Jon Kolb, management anticipates that revenue in fiscal 2006 and 2007 will principally comprise service and license revenue from Nissan and the U.S. Navy. Sales to Japan accounted for substantially all of HOKU s revenue in fiscal 2004 and 2005, and for the nine months ended December 31, 2005. Dustin Shindo, chairman, president and chief executive officer of Hoku Scientific, said after its latest earnings report , "We are pleased to report our sixth consecutive profitable quarter, and the commencement of the demonstration phase of our U.S. Navy fuel cell contract. We are on-track to achieve the technical milestones in our Nissan fuel cell contract, and continue to work with Sanyo on joint testing of our fuel cell products." HOKU has exceeded earnings estimates in four consecutive quarters and has reported a profit in six straight quarters. One analysts raised his numbers for this year. Over the past month, this year's estimates have increased 25%. The stock is a small cap, low priced equity, so volatility will be high, but the fundamentals and growth prospects are excellent. Note: The Zacks Rank is a very sensitive indicator that can change frequently for an individual stock. This important indicator is updated daily on Zacks.com and is available to Zacks Premium subscribers. As such, it is prudent to check the site for the latest Zacks Rank on the stocks highlighted in this section. Simply click the link for the stock or enter the symbol in the ticker entry box in the upper left hand corner of the web site. Content Courtesy: Zacks Investment Research #1 Ranked Stocks Highlight Archive To truly take advantage of the Zacks Rank, you need to first understand how it works. That is why we created the free special report: Zacks Rank Guide: Harnessing the Power of Earnings Estimate Revisions. | Blog Home| VitalStocks Home