Tuesday, April 8, 2014

Will the Recent CLNE Agreement with GE Benefit the Former?



Clean Energy Fuels Corp. (CLNE) is a company that provides natural gas and oil products to its customers all across United States and Canada. The company has been in business sine the last 13 years and is providing compressed natural gas (CNG) as well as liquefied natural gas (LNG) to its customers.
Recently, the company has decided to strike a deal with the General Electric Company in order to help the other companies finance their purchases of the trucks that run on natural gas or fuels. As soon as the deal stroke, shares of the company rose by 4.5% in the stock market. Through this agreement, the sales of the Clean Energy Fuels Corp. will directly increase, as the truck fleet operators will be signing contracts with the former for using its natural gas and other products.


As soon as the news broke, the demand for its stocks rose, and the CLNE share price also rose. The current CLNE stock price is $9.03. The company has also struck such deals in the past and earned huge profits. Therefore the investors are predicting that such a deal will directly enhance the sales of the company as well as dividends per share.

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