A new fleet of electrification is coming and it is set to take over the transportation industry overnight with big name manufacturers such as GM, Ford, and Isuzu all onboard. The company leading this transition promises 25% – 50% improvements in MPG and 20%-30% reductions in CO2 emissions. In an effort to participate in the greenhouse reduction standards set by the EPA, many municipals across America are also adopting this company’s solution of fitting their fleets and trucks with this transition technology.
On the last day of 2020, I saw a huge dip made a recommendation to scoop up the stock for a swing trade.
This stock since then had dropped some more and has gone into consolidating range, meaning it is now moving sideways, between $20.00 and $22.50. I thought it had found a bottom when I made the recommendation back then – I admit, sometimes the excitement of a stock’s potential gets the best of me.
You might be wondering at this point what that stock is, or if I had it hidden somewhere in the title or even the caption. Well, you guessed it right. XL Fleet, is the stock and it trades on the NYSE under the ticker XL.
Going off technical analysis alone, I will tell you this is a great buy right now for a swing, but I’ll be remiss if I tell you this is only good for swing trading. This stock has all the greenlights checking off for me as a long-term investment pick. It is a future-looking company with a really great past, founded by MIT alumni and “green energy veterans.” It belongs to the category of companies that exists to take part in addressing a significant global problem of CO2 emissions – a problem which is recognized globally and tied to federal and global regulations. In short, XL Fleet is guaranteed a market for its solutions.
But sometimes, all you need to buy into or invest in a company is a good, worthy mission. Simple and short, this really does it for me:
“the company was on a mission to provide simple, sustainable electrification solutions to the commercial fleet market – a previously untapped space with a large number of vehicles with low mileage and high emissions.”
And if you need more, here’s the chart from which I draw my technical analysis off – including my annotations and drawings in it as well.
[finviz ticker=XL]
As always, with everything I write I need to share my disclaimer: remember, this is not a trading advice. Just information to supplement your own research. And, as always, invest only with money you are comfortable risking!
Good luck!
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