FREYR Battery NYSE:FREY Stocks Rides High on EU Grant

FREYR Battery (NYSE:FREY), a prominent name in the energy storage industry, has been a major player in the spotlight due to some significant recent developments. The company, with a current market cap of $1.34 billion as of July 12, 2023, is experiencing a promising trajectory that has gained the attention of market analysts and investors alike.

One of the crucial turning points for FREYR Battery was when it was awarded a €100 million grant (approximately $112 million) from the European Union's Innovation Fund. The grant is aimed at supporting the development of the Giga Arctic project in Norway, an ambitious initiative under construction for over a year. This plant is designed to have a 29 GWh nameplate capacity, entirely powered by 100% renewable hydroelectricity. The EU's support for this project aligns with the regional efforts to promote localized production of battery solutions.

The potential annual production at the forthcoming Giga Arctic facility could significantly aid FREYR Battery’s customers in mitigating 80 million tons of CO2 emissions over the batteries’ lifetime. This aligns with the global push towards a greener future and marks an impressive stride in FREYR Battery's sustainability commitments.

FREYR's impressive first quarter results in May further solidified its position in the industry. The company reported Q1 GAAP EPS of -$0.09, surpassing estimates by $0.22. With a year-to-date increase of 17% in its shares, the company has been favorably rated by Wall Street analysts with four Strong Buy ratings, three Buys, and one Hold.

The company's stock experienced a noticeable surge, soaring by 22% on a particular Thursday, following an upgrade from Morgan Stanley to an Overweight rating. Morgan Stanley's analysts demonstrated confidence in the firm's ability to achieve key funding milestones and make meaningful progress on commercial tasks in the short term.

The shares of FREYR Battery, traded under the ticker symbol FREY on the New York Stock Exchange, reached a significant milestone on July 13, 2023, with the stock price standing at $9.80. This followed a previous close of $9.69. The figures attracted considerable attention from investors and market enthusiasts, given the company’s promise of growth.

The past achievements of FREYR Battery include a year high of $16.94, testifying to a promising growth trajectory. The company's increasing footprint in the electric vehicle and energy storage sectors makes it a sought-after investment. In recent times, there has been a 55% increase in the number of individuals adding FREYR Battery to their MarketBeat watchlist over the past 30 days.

FREYR Battery's recent rally is also backed by its breaking through the resistance at the 200-day moving average, a widely used tool by traders and analysts to determine long-term market trends. This development is suggestive of a long-term bullish trend for the company. Over the past four weeks, FREYR Battery's shares have seen an increase of 26.4%.

In terms of earnings estimate revisions, FREYR Battery's prospects seem even brighter. There has been one upward revision compared to none lower for the current fiscal year, and the consensus estimate has moved upwards as well. Considering these positive earnings estimate revisions and the bullish technical factors, FREYR Battery's shares are likely to see more gains in the near future.

The stability and support of FREYR Battery can be evaluated by examining its institutional ownership structure. Several institutions and funds currently hold positions in the company, with the latest changes in ownership reflecting ongoing interest and confidence in FREYR Battery’s future prospects.

While the recent pre-market trading on July 5th, 2023, saw a slight decline of 4.00% in the company’s stock, this setback is seen as a reminder of the market's volatility and the necessity for investors to exercise caution. However, with an impressive average rating score of 3.00 based on seven buy ratings and a consistent track record, the market’s confidence in FREYR Battery’s potential remains high.

The promising journey of FREYR Battery's shares, combined with their commitment to sustainability and groundbreaking technology, underscores their potential to make a significant impact in the clean energy world. As the world continues to move towards a greener future, FREYR Battery's efforts in developing eco-friendly lithium-ion battery cells for electric vehicles and energy storage systems are likely to be pivotal.