In a research report released today, Oppenheimer analyst Colin Rusch initiated coverage on shares of Capstone Turbine Corporation (NASDAQ:CPST), with a Perform rating, while no price target was provided.
Rusch wrote, “CPST has successfully created a joint venture for project finance of microturbine installations. We expect this solution to not only facilitate some transactions, but also enable many new sites for installations. We also believe the company is actively working to improve its sales distribution channel and incentive programs to focus distributors on selling CPST products. Last, we believe the introduction of its new C200 and C1000 products have the opportunity to drive significant sales growth and profitability due to the appropriate size of the product and cost advantages the product design offers. We believe the company could achieve 30% GM at $40M in revenue per quarter and 35%+ GM with a quarterly revenue of $50M.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Colin Rusch has a total average return of 13.3% and a 50% success rate. Rusch has a 27.3% average return when recommending CPST, and is ranked #298 out of 3847 analysts.
Out of the 3 analysts polled by TipRanks, 2 rate Capstone Turbine stock a Hold, while 1 rates the stock a Buy. With a return potential of 371%, the stock’s consensus target price stands at $9.33.