Facebook
Twitter
LinkedIn
Instagram
Youtube

ClearVue Technologies Limited, favourable regulation and policy directions provide a boost

Team Veye | 02 Mar 2021 ASX - CPV
ClearVue Technologies Limited, favourable regulation and policy directions provide a boost

ClearVue Technologies Limited (ASX: CPV)

Smart building materials company ClearVue Technologies Limited (ASX: CPV) (ClearVue or the Company) on 25 February 2021 provided its Consolidated Interim Financial Report for the half year ended 31 December 2020 and the following market update since its last Quarterly Update (announced 29 January 2021).

Market Update

Highlights

  • Glazing of PV IGUs at Murdoch University Greenhouse Completed
  • ClearVue PV IGU’s delivered for Greenhouse in Japan
  • Progress continues on Jinmao relationship and villa in Hebei province China
  • ATCO Mining Hut (‘Donga’) Trial at Murdoch University
  • New Research Program in Quantum Dots.

(Chart source: TradingView)

Operational Update

During the December quarter, ClearVue remained focussed on sales and marketing activities in Australia, Northern Europe and North America - with a particular emphasis on the United States of America and New York City due to favourable regulation and policy directions.

Its focus on the US market has increased in the last few months as the Biden government has a clear and stated intention to focus on the US responding to the climate crisis and has also released a stated plan to make an accelerated USD $2 trillion investment over the next four years including into a wide range of activities intended to reduce the carbon footprint of US building stock 50% by 2035. A part of this plan includes upgrades to 4 million buildings and to weatherise 2 million homes over those four years including a mandate to install more efficient windows into residential and buildings.

In addition, the US Federal Solar Investment Tax Credit (ITC) was extended at the end of December 2020 such that the US’ 26% investment tax credit for solar systems will now continue during 2021 and through 2022, dropping to 22% in 2023 and dropping further to 10%* in 2024. The ITC reduces the total cost of a US solar photovoltaic installation project including the balance of system costs such as inverters, batteries, wiring and installation and may be available for certain US projects utilising ClearVue’s PV IGUs. (Data Source – Company Reports)

 

Veye’s Take

The Company is increasing its focus on the US market as the Biden government has cleared its intention to focus on the US response to the climate crisis. US has also released a stated plan to make an accelerated USD $2 trillion investment over the next four years including a wide range of activities intended to reduce the carbon footprint of US building stock 50% by 2035 which is likely to benefit CPV. Further, the extension of the Investment Tax Credit reduces the total cost of a US solar photovoltaic installation project. As earlier reviewed, ever since it broke out of the upper trendline at the end of August, the stock has not looked back. It has been comfortably crossing its resistances. It is moving in a "Higher High" formation on a price chart. Positive crossover on MACD and positive divergence on RSI are indicating strong upside momentum in the near term. Managing to clear the daily resistance at $0.54, can have the potential of growing significant strength in the medium to long term. “Buy” was given to “ClearVue Technologies Limited” at the price of $0.125 on 8 May 2020 and at $0.255 on 21 September 2020. It has already given a return of 276% in less than ten months and also grew by about more than 84% less than six months till now. Veye maintains a "Hold" on “ClearVue Technologies Limited” at the current price of $0.47

Disclaimer

Veye Pty Ltd(ABN 58 623 120 865), holds (AFSL No. 523157 ). All information provided by Veye Pty Ltd through its website, reports, and newsletters is general financial product advice only and should not be considered a personal recommendation to buy or sell any asset or security. Before acting on the advice, you should consider whether it’s appropriate to you, in light of your objectives, financial situation, or needs. You should look at the Product Disclosure Statement or other offer document associated with the security or product before making a decision on acquiring the security or product. You can refer to our Terms & Conditions and Financial Services Guide for more information. Any recommendation contained herein may not be suitable for all investors as it does not take into account your personal financial needs or investment objectives. Although Veye takes the utmost care to ensure accuracy of the content and that the information is gathered and processed from reliable resources, we strongly recommend that you seek professional advice from your financial advisor or stockbroker before making any investment decision based on any of our recommendations. All the information we share represents our views on the date of publishing as stocks are subject to real time changes and therefore may change without notice. Please remember that investments can go up and down and past performance is not necessarily indicative of future returns. We request our readers not to interpret our reports as direct recommendations. To the extent permitted by law, Veye Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss, or data corruption) (as mentioned on the website www.veye.com.au), and confirms that the employees and/or associates of Veye Pty Ltd do not hold positions in any of the financial products covered on the website on the date of publishing this report. Veye Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services.