Industrial power innovation - remains close to the heart of our investment sector focus this year and even before, starting with the selection of AEHR as a way to play (participate) in the overall growth of EV's, inverters, and global pressure to accelerate the departure from ICE (internal combustion engines).

Freepik

Given that there were several 'alternative energy' approaches (and still are a couple), and certainly many scrapping small (almost start-up like) companies trying to succeed as 'end user' vendors of the technology, we decided it best to focus on the companies somewhat agnostic to who wins EV marketability, or elsewhere, while honing in on the supplier(s) to the absolutely most likely, with some speculative issues also 'sprinkled', as I like to say.

Here I'm talking primarily about Silicon Carbide, who uses it or will use it. In fact let me emphasize, as I have on occasion, who 'will' use it in inverters. I've noted before that it was coming to high-speed trains (like France's TGV or the amazingly smooth Deutschebahn German ICE's... been on both a few times).

Cutting to the chase, this is going to get stronger especially as travelers tend to gravitate to 'ground-based' transit when possible. That's partially resulting from the same trend that pushes EV's.... I'm referring to extreme weather that also increasingly delays flights, or makes turbulent conditions really difficult. It isn't necessary to focus on Avionics, but again trains and cleaner vehicles (of course dismissing the argument about how it takes energy to make energy). I am simply focusing on who likely benefits, not the politics of the whole issue.

ON is the largest customer (as far as we know) of AHER. And their charts are mostly moving in-sync if you noticed. The ON CEO mentioned rail and added that they're working with Archer Aviation, which recently ran higher too. We'd only mentioned ACHR coincident with an initial United Airlines deal, funding essentially 'sorts of' air taxi plans such for initially commuting from Newark to Manhattan, and Chicago O'Hare to the loop.

I am less skeptical but the stock isn't typically cheap. Today's USAF contract may be odd, but put it in-play... probably goes back up to 8-10 or so, but it's already in the high 6's. Either avoid altogether or (as it jump more) it becomes another for a little speculation on dips via options not common, at least that's my view (or similarly for other risky ones at times). It's potentially 'too' active.

In-sum: 

I purposely avoided chatting about the S&P or market backdrop to a point of exhausting all bullish or bearish cases, as everyone does it and we all know this is market gingerly moving into August, which feature...turbulence.

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