SolarWindow Technologies Inc (OTCMKTS:WNDW) has been a roller coaster ride for investors this summer. The stock crashed in July after the company filed its latest 10-Q. The stock dropped 50% from the $4 level to $2 in the matter of three trading sessions only to bounce back hard to $3 a share. Now the stock is back to its pre-summer levels around $4 and investors are asking if the worst is behind the company and if a breakout is in store.First up, a little background on the company. SolarWindow Technologies Inc is the developer of proprietary, patent-pending, colored and transparent electricity-generating liquid coatings for glass and plastics for commercial and residential buildings. SolarWindow™ coatings are applied as liquids at room temperature and atmospheric pressure, ideal for low-cost, high-throughput manufacturing. When newly manufactured glass is coated with SolarWindow™ electricity-generating liquids and fabricated into a window, these windows can be installed on all sides of tall towers, generating electricity using natural; and artificial, low, shaded, and reflected light conditions.
The world flat glass market is estimated to be approximately 89 billion square feet with over 430 million square feet of windows installed in the US alone. There are an estimated five million tall towers and skyscrapers in the US, one of the company’s target markets. Notably, SolarWindow™ achieves an independently validated one-year financial payback when modeled for installation on a 50-story building.
In July, SolarWindow Technologies announced an ‘invisible’ system for transporting electricity within the company’s electricity-generating windows, currently under development for tall towers and skyscrapers, which consume nearly 40% of America’s electrical power. WNDW said that the "company’s SolarWindow™ generates electricity when its transparent organic coatings are applied in thin layers on to glass surfaces. The SolarWindow™ Intra-Connection System, announced today, moves electricity within these electricity-generating coatings to the company’s previously developed ‘invisible wires’. In turn, these ‘invisible wires’ transport electricity across the surface to the edge of the glass, where it’s connected to building electrical systems."
The latest from the company is that it has begun initial work on transparent electricity-generating veneers. These could be applied directly on to existing windows of homes and commercial buildings. SolarWindow envisions transparent flexible veneers that have an innovative ‘fastening system’ on one side and a transparent electricity-generating coating on the other. To convert an existing passive window into an electricity-generating active window with a SolarWindow™ veneer, installers would simply cut the veneers to size on location and attach the ‘fastening system’ to existing glass. Then, using a proprietary interconnection system, the electricity generated can be routed into the building’s electrical system or connected directly to fixtures for use.
When newly manufactured glass is coated with SolarWindow™ electricity-generating liquids and fabricated into a window, it has the potential of turning entire buildings into vertical power generators, reducing electricity costs by up to 50% per year. SolarWindow™ can provide a one-year financial payback while producing 50-times greater energy than rooftop solar when modeled for a 50-story building, according to the company’s independently validated Power & Financial Model. For the same modeled building, SolarWindow™ modules could provide the equivalent reductions in carbon dioxide emissions produced by as much as 770 acres of forest sequestering carbon dioxide.
Currently trading with a market cap of $107 million, WNDW has been a big winner for our subscribers this summer. We told our subscribers that the July selloff was a buying opportunity. As we said at the time:
Currently trading with a market cap of $62 million, shares of WNDW have corrected almost 50% in the matter of two trading days. We believe this is an overreaction by the market. No doubt Mr Rayat has participated in the latest funding for the company and ensuring that WNDW remains well-funded. That tells us that we could be getting close to some major developments from WNDW. For the skeptics and non-believers, we simply ask this – why would one investor put in over $30 million of his own money into WNDW? WNDW is like any other venture capital situation where revolutionary technologies take time and require lots of money. With the recent drop in price, WNDW is trading at less than two times the amount of money that has gone into funding the company. If you look at other similar type VC investments, multiples are usually around ten times the amount invested in the company. That’s why we believe the recent selloff is a buying opportunity for WNDW investors.
Most of our subscribers averaged $2.25 a share on their purchases. We recommend using a trailing stop to lock in profits in case WNDW undergoes another short attack. We will be updating our subscribers as soon as we know more. For the latest updates on WNDW, sign up below!
Disclosure: We have NO position in WNDW and have NOT been compensated for this article.
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