At $10/share, Ideal Power, Inc. (Nasdaq: IPWR) is our top pick for 2022.

Ideal Power, Inc. is an Austin, TX-based provider of bi-directional power semiconductor devices targeting a $10B+ opportunity. Their patented Bi-Directional Bi-Polar Junction Transistor (B-TRAN) is a breakthrough technology that improves conduction losses by a factor of 5X vs. traditional legacy devices and will help manufacturers of battery energy storage systems perform with efficiencies never achieved before. B-TRAN’s breakthrough design provides a 75% reduction in components vs. currently installed bi-directional power switches and the end result is smaller, faster, much more efficient products that generate less waste heat, which in turn significantly reduces the need for costly and bulky thermal management systems. B-TRAN also has significant market potential in other major market applications including: electric vehicle (EV) components, EV charging stations, solid-state circuit breakers, UPS systems for data centers, and other industrial electric motor applications. 

Photo by Emmanuel Ikwuegbu on Unsplash

Ideal Power has 65 patents on their new, disruptive, super-efficient bi-directional power switching devices and have attracted an impressive list of collaboration and evaluation partners.

The specific names of these partners are withheld at this time for confidentiality purposes, but once commercial sales begin next year, Wall St. will become enthusiastic supporters of IPWR stock as these customers are announced. 

Here are the partners as disclosed in press releases from Ideal Power throughout 2021:

1) A top ten (10) global automobile manufacturer is evaluating B-TRAN for applications that will improve the drivetrain efficiency and driving range of its electric vehicles (EV's),

2) A provider of electric vehicle chargers is evaluating the critically important benefits of B-TRAN's greater efficiency, bi-directionality, smaller size, and reduced thermal management for its DC fast charger with a swappable battery system and a modular design for scaling of the solution.

3) A top ten (10) global provider of power conversion solutions to the solar industry is expanding its portfolio of power converter solutions. It is evaluating B-TRAN for its compelling advantages of bi-directionality within uninterruptible power supply (UPS) systems for data centers with the potential to seek applications in renewable energy, and EV's,

4) A manufacturer of solid-state circuit breakers is building 12kV DC breakers as part of the U.S Navy's ship electrification program; B-TRAN's efficiency benefits vs. conventional power switches is expected to result in lower cooling complexity and fewer components while delivering a reliable and safe shipboard DC power distribution system with extremely fast fault interruption, low fault currents, flexible programmable coordination, and mechanical isolation,

5) The same manufacturer of solid-state circuit breakers is building a 13.8kV AC breaker under a Dept. of Energy (DOE) grant for use in medium voltage power distribution and renewable energy/microgrid connection to the U. S. main power grid; these solid-state B-TRAN breakers are expected to limit fault energy by orders of magnitude compared to conventional mechanical breakers.

6) A Forbes 2021 Global 500 Leader in diverse power management markets will be evaluating B-TRAN for use in bi-directional direct current solid-state circuit breaker (SSCB) applications for solar and wind energy storage systems.

Our estimate is that commercialization of B-TRAN becomes a reality in late 2022 and IPWR stock well exceeds its current 52-week high of $24.95.