• Solid Power (SLDP) shows strong technical momentum, hitting a new 52-week high on July 21.
• The stock has a 100% technical “Buy” signal via Barchart.
• Shares have doubled in the year to date and are up over 265% in the past three months.
• Fundamentals show modest revenue and earnings growth, but analyst sentiment is mixed, with most major advisory services rating it a “Hold.”

Today’s Featured Stock:

Valued at $724 million, Solid Power (SLDP) is a developer of all-solid-state rechargeable battery cells for electric vehicles and mobile power markets.  

What I’m Watching:

I found today’s Chart of the Day by using Barchart’s powerful screening functions. I sorted for stocks with the highest technical buy signals, superior current momentum in both strength and direction, and a Trend Seeker “buy” signal. I then used Barchart’s Flipcharts feature to review the charts for consistent price appreciation. SLDP checks those boxes. Since the Trend Seeker signaled a buy on May 7, the stock has gained 236.67%.

SLDP Price vs. Daily Moving Averages:

Barchart Technical Indicators for Solid Power:

Editor’s Note: The technical indicators below are updated live during the session every 20 minutes and can therefore change each day as the market fluctuates. The indicator numbers shown below therefore may not match what you see live on the Barchart.com website when you read this report. These technical indicators form the Barchart Opinion on a particular stock.

Solid Power shares hit a new 52-week high on July 21, touching $4.30 in intraday trading.

• SLDP has a 100% technical “Buy” signal.
• The stock recently traded at $4, above its 50-day moving average of $2.07.
• Solid Power has a Weighted Alpha of +80.05.
• The stock has gained 95.8% over the past year.
• SLDP has its Trend Seeker “Buy” signal intact.
• Solid Power is trading above its 20, 50 and 100-day moving averages.
• The stock made 14 new highs and gained 123.1% in the last month.
• Relative Strength Index is at 83.03%.
• The technical support level is $3.60.

Don’t Forget the Fundamentals:

• $724 million market capitalization.
• Revenue is projected to grow 4.28% this year and another 15.24% next year.
• Earnings are estimated to increase 9.26% this year but decrease 2.04% next year.

Analyst and Investor Sentiment on Solid Power:

I don’t buy stocks because everyone else is buying, but I do realize that if major firms and investors are dumping a stock, it’s hard to make money swimming against the tide.

It looks like Wall Street analysts are split, but some major advisory sites aren’t.

• The Wall Street analysts tracked by Barchart issued one “Moderate Buy” and one “Strong Sell” opinion on the stock.
• Value Line gives the company its average rating.
• CFRA’s MarketScope rates the stock a “Hold.”
• Morningstar thinks the stock is fairly valued.
• 4,000 investors monitor the stock on Seeking Alpha, which rates the stock a “Hold.”

The Bottom Line:

Solid Power currently has momentum and is hitting new highs. Wall Street analysts think it has room to appreciate but some major advisory services think it has peaked.

I caution that SLDP is volatile and speculative — use strict risk management and stop-loss strategies.

Today’s Chart of the Day was written by Jim Van Meerten. Read previous editions of the daily newsletter here.

Additional disclosure: The Barchart of the Day highlights stocks that are experiencing exceptional current price appreciation. They are not intended to be buy recommendations as these stocks are extremely volatile and speculative. Should you decide to add one of these stocks to your investment portfolio it is highly suggested you follow a predetermined diversification and moving stop loss discipline that is consistent with your personal investment risk tolerance.