GEVO: Attempting To Capture The Short Jet Fuel Market

Ronald Ferrie3.73K FollowersFollow5ShareSavePlay(13min)CommentsSummaryGevo, Inc. is rated Strong Buy, leveraging ethanol and carbon sequestration to address a looming jet fuel supply gap.Recent withdrawal from DOE financing for the ATJ-30 North Star project shifts focus to private funding, with existing assets de-risking the investment.Intermediate EBITDA growth is supported by production expansion and third-party CO2 sequestration, with potential to reach $110m by 2028.North Star project could add $150m incremental EBITDA, but political and operational risks remain material for GEVO’s outlook. Ljupco/iStock via Getty Images Thesis It is not often we find a renewable product offering that is actually attempting to solve a near-term market problem. Solving environmental issues is a noble task but does not always align with the day-to-dayThis article was written byRonald Ferrie3.73K FollowersFollowI am a Licensed Professional Engineer who works in the Nuclear Power industry. I use my professional working knowledge of the power/energy industries to aid in evaluating potential equities worthy of long-term investment. I invest in income producing equities and rental real estate properties for cash flow and long-term appreciation. My articles are to serve as a platform for presenting the underlying fundamentals and long-term potential of each equity/business.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in GEVO over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.