May 30, 2018 - 2:20pm EST by
2018 2019
Price: 2.90 EPS 0 0
Shares Out. (in M): 28 P/E 0 0
Market Cap (in $M): 82 P/FCF 0 0
Net Debt (in $M): 8 EBIT 0 0
TEV ($): 90 TEV/EBIT 0 0

Sign up for free guest access to view investment idea with a 45 days delay.

  • Fraud Life
  • craig hallum special
  • Flag for removal



Fiverocks first brought this to our attention and his Sep 23, 2013 well worth the read.


CUI offers small funds and family offices the chance to participate in an attractive disruptive  technology In the energy  market with a growing backlog with big name customers.


The fact that delays have occurred depressed the stock price but it appears to be finally at an inflection point. If so, we believe the company has a long runway marketing their technology throughout the US and rest of the world.




What has us excited is a replacement for a chromatograph costing $250,000 with a $50,000 product!


The GasPTS is placed on line to monitor  and analyze the gas mixture of methane and other products with biomethane, one of the most interesting applications today. A recent UK workshop was attended by representatives of all the largest pipeline and distribution operators and exhibited the “real time” monitoring of the quality of the natural gas at a much more cost effective price than any other technology while offering a maintenance free performance . Recent contract awards included analytical probes for a leading North American petrochemical company and natural gas major. This order follows placement of their probes in many Gulf Coast ethylene plants. Customers relate that they have had difficulty obtaining reliable samples for many years and are thus far are impressed with the reliability of the GasPTS. Many years of R and D and dozens of patents have created a unique product that measures energy content and quality of gas as well. Again, at 20% of the price of competitive products- better and cheaper.  Markets include all pipelines worldwide as well as gas turbines.




It should be noted that products are sold as stand- alone analyzers or as a part of a turnkey solution encompassing engineering services, VE sample probes and plant  fabrication of an energy package which have been sold to several leading power and energy customers including gas operators ,refining, mid- stream transport as well as petrochemical facilities.


An important opportunity for the GasPT analyzer is the French biomethane injection market. The EU has set some challenging targets for renewables with well over 1000  biomethane injection sites envisioned in France alone over next few years. France’s ENGIE recently closed a single source tender and it intends to move forward with a build out of biomethane terminals, with a potential market of  100,000 units.  England may have a appetite for over 30,000  GasPTs. The biogas industry in Europe is booming which includes distribution and transmission networks- and most important, quality compliance monitoring for the raw biomethane.




The major contract for the GasPTs which has been delayed by Italian politics  is the Snam Rete Gas contract with a total of 3300 fully funded units but with a total  potential of 7000 re-metering project across a 33k pipeline system. With the Italian election done and a new government emerges,


the resumption of this important contract is expected.


It is important to point out that CUI is dealing with some world class customers- Exxon, GE, BP, Tokyo Gas, PPG, Owens-Corning, Energy Transfer among others. Clients also include Engie –a $40 billion market cap and one of Europe’s largest energy companies with 150k employees and PetroChina China’s largest oil producer with 50 km of pipelines .


Another potentially exciting aspect of the company is the ICE block- designed to save data centers millions of dollars in operating expenses and capex. The block  employs peak shaving principals to free up redundant capacity supply. By studying  times of power usage and using battery technology, it can save and transfer power. Recently CUI booked a $2.9 million order for fourth quarter delivery.




First quarter reported sales of $22 million compared to $17.8 with a $(0.11) compared to $(0.18). Backlog was $43.8 million vs $32.8 million .Company believes second half of year will be cash flow positive.


I do not hold a position with the issuer such as employment, directorship, or consultancy.
I and/or others I advise do not hold a material investment in the issuer's securities.


1.Repeated contract wins in US and Europe for energy grids

2. New contracts for data centers

    show   sort by    
      Back to top