With the increased focus on climate change among consumers and business alike, the demand for recyclable goods and clean energy products is on the rise. While the solar energy sector saw a mild decline in 2016, owing to cheaper imports, the trend is expected to reverse in 2017.
Ecoark Holdings Inc. (OTCQX:EARK) is a well-diversified company, working in the clean energy sector. The company mainly serves corporate clients in managing their resources in an environmentally responsible manner.
The company announced early this morning that it received a new U.S. patent by the United States Patent and Trademark Office through its subsidiary Magnolia Solar Inc. The new patent is titled: "Multijunction Solar Cell Employing Extended Heterojunction and Step Graded Antireflection Structures and Methods of constructing the same." This patent will help the company in fortifying its already robust product portfolio.
The outlook for Ecoark Holdings is bright as it has a strong pipeline of close to 15 patent applications. These applications are currently at various stages of review at the U.S. Patent Office. Many of these applications are related to nanostructured Antireflection Coating technologies and flexible photovoltaics technologies.
These technologies are useful for designing more efficient solar products, which are currently experiencing increasing demand. While Ecoark Holdings deals in a wide range of technology solutions for corporate clients, solar technology products are a major part of its portfolio.
Ecoark Holdings is also in the midst of a financial consolidation. In 2016, the company completed a $17-million equity offering, which provided it with sufficient funds to carry out its development plans.
The company also acquired Sable Polymer Solutions to boost its recyclable products business through its subsidiary Pioneer Products.
Ecoark Holdings has four active subsidiaries including Magnolia Solar. The other three are Zest Labs, Eco3d and Pioneer Products. Magnolia Solar is engaged in solar technology related products. The company recently entered into a service partnership with Sunworks Inc. to boost its portfolio with innovative solar products suited for large-scale, retail clients.
Sunworks is a leading provider of solar power solutions.
Through this new collaboration, Ecoark Holdings will be able to use Sunworks as its key service provider for large scale solar installations for its retail clients. The initiative will help the company in augmenting its revenue stream, which may help provide a boost to its stock price.
With that said, shares of EARK have so far been unimpressive over the past 12 months, as the share price has slid by about 75% during this time period.
Coming into this current year, shares have continued their decline. It’s anyone’s guess what will turn this ship around, but with recent developments likely to add to the bottom line, perhaps the share price decline may be in its last stages.
