"For many years I've followed where government cash goes, such as the clean energy market," says Neil George. In Stocks that Pay You, he eyes a battery technology play.
"Government investment in clean energy isn't new: It's been in the works for some time now. But now I'm looking at other segments of the government's spending on clean energy - this time, in battery technologies.
"Buried in the so-called stimulus program are billions upon billions of Federal tax and borrowed dollars that are not just being spent in contracts - but are actually being given away in grants to companies to improve battery technologies for everything from cars and other vehicles, to plenty of other uses.
"One company that I'm looking at -- Advanced Battery Technologies (NASDAQ: ABAT) -- is a US-China company, that is focused right at the sweet spot of the battery technologies that the government will be dumping billions into.
"The company -- with operations in the US and China -- has been developing new rechargeable polymer lithium-ion batteries for a widening variety of uses - with a particular focus on vehicles.
"A smaller company that has been around for more than just a few years, it is well capitalized with little to no long term debt.
"Margins are fat - in the 40% plus range - which, as sales continue to climb at similar rates, makes for a good return even without new government cash coming along.
"And just in case you were wondering, how much was the CEO paid last year? 77,500 dollars - and he hasn't taken a raise in the prior 4 years. Take a peek at this stock - I am."
