The ongoing digital transformation of most industries and increasing use of advanced technologies are driving the growth of the technology industry. And the industry’s solid growth prospects are attracting great interest in tech stock by investors. Indeed, the tech-heavy Nasdaq Composite hit its all-time high of 14,649.11 on July 5.
Furthermore, the fledgling electric vehicle (EV) industry has been incentivizing tech companies to venture into this space. With major countries announcing their plans to phase out fossil-fuel-powered vehicles over the next couple of decades, multiple capital investments, and favorable policies, companies manufacturing products and services that facilitate EVs should grow significantly.
So, notwithstanding short-term headwinds created by a current semiconductor shortage, Wall Street expects the EV and ancillary industries to grow significantly. Wall Street analysts expect tech stocks Ideanomics, Inc. (IDEX – Get Rating) and CleanSpark, Inc. (CLSK – Get Rating), which have substantial exposure to the EV industry, to rally more than 160% in the coming months.
IDEX is focused on sustainability transformation by facilitating the adoption of commercial electric vehicles, associated energy consumption, and developing financial services and fintech products. The company operates in the United States, China, Ukraine, Malaysia, and the U.K.
On June 24, IDEX announced the acquisition of Solectrac Inc., a manufacturer and distributor of premium zero-emission electric tractors. The acquisition should allow IDEX to strengthen its position in the EV industry. Earlier in June, IDEX acquired U.S. Hybrid, a manufacturer and distributor of electric powertrain components and fuel cell engines.
On June 3, Twin Transit Authority (TTA) in Washington completed installation of WAVE’s (a subsidiary of IDEX) high-power wireless charging system for electric buses. This marks a new addition to IDEX’s growing list of transit fleet charging stations.
IDEX’s total revenues increased 8,553.2% year-over-year to $32.71 million in its fiscal first quarter, ended March 31. Its gross profit stood at $10.84 million, up 24,540.9% from the same period last year.
Analysts expect IDEX’s revenues to increase 382.8% year-over-year to $129.2 million in the current year. The company’s EPS is expected to improve 82.8%. Shares of IDEX have gained 73.9% over the past year, and 33.7% over the past six months.
The $7.00 median price target indicates a potential 163.2% upside from its last closing price of $2.66.
CLSK is a provider of diversified software and intelligent energy services worldwide. The company offers software and intelligent controls for microgrid and distributed energy resource management systems and strategy and design services. Its product line includes mPulse, Switchgear and mVSO software platforms. CLSK was added to the Russell 2000 ® Index on June 28.
On June 2, CLSK agreed with…
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