Stem Energy is a stock being brought to the market thru a SPAC called STPK. Stem Energy is a market leader in AI-driven clean energy storage services. It was founded in 2009, and “generates revenue by providing customers with integrated energy storage systems, long term recurring software services and energy market participation through it’s propietary software platform, called Athena(it’s secret sauce, my take)which enables AI-automated systems operations. The company empowers it’s customers(30 of the Fortune 500 companies use Stem such as Amazon, Walmart, and UPS)and partners to optimize energy usage by automatically switching between battery power, onsite generation and grid power.”
The Biden administration, wants green energy solutions. The issue is, this would be wind and solar, however, what do you do when the wind don’t blow and the sun don’t shine? The answer is the energy can be stored in batteries and used when needed. Or to manage power outages. And with Athena software, it can help to avoid peak charges, manage grid connection costs, and monetize flexibility in markets. I believe it is saving it’s customers up to 30% on energy costs.
Stem has a strong balance sheet
$525 million net cash available for growth.
$0 Debt on balance sheet
Stem has 10-30% Hardware gross margins
Stem has 80% software gross margins, with a recurring SaaS model.
100% attach rate secured by 10-20 year contracts with monthly recurring cash flow.
As of jan. 17, 2021, 182 projects in process.
100% of 2021 Revenue in contract backlog.
Revenues in 2020 were $36,307,000, nearly double revenues in 2019 at $17,552,000.
On march 15, Stem’s guidance unchanged, including 4X annual revenue.
Stem’s TAM, is enormous, it’s storage solutions address a $1.2 trillion dollar opportunity for leading 500 Fortune companies, commercial and industrial customers, indepemdent power producers and renewable asset owners, among others.
Stem Co. currently has a 75% market share in the California commercial and industrial storage market, the largest energy storage market in the U.S… They are the company that is helping California which had so much blackout problems in the state last year. Stem has a first mover AI software platform, has operated globally with over 40 utilities and 16 million runtime hours across it’s customer base.
I live in Texas now, and Stem Inc. would for sure be a solution needed for our power grid problems.
Also, battery storage capacity is expected to increase 25X by 2030.
I am not a techie or a writer, but I am excited by this stock that will IPO thru STPK by the end of april. This is my first attempt to give something to the board of which I am so impressed.
Thanks to Saul and people on this site,