Two Ways to Play SGBX

                        PRIME SERIES                  

·      Hot target markets with strong demand as both commercial and residential housing stocks in short supply following economic impacts of pandemic, business interruption.

·      Proprietary modular construction process saves time, labor and materials costs, enhancing profit margins in real estate development projects.

·      Proposed sale of key land investment could capture significant returns, secure capital for future real estate development projects.   

·      Milestones expected in development projects could provide valuation catalysts in near-term.

·      Spin-off of development subsidiary gives investors an alternative to exploit undervalued stock.

Safe & Green Holdings (SGBX:  Nasdaq) delivers exactly what its name suggests  -  high quality, environmentally sound buildings and components.  The Company exploits repurposed and recycled materials and completes manufacturing in controlled and efficient central location.  Minimal assembly work on location reduces site disruption and saves as much as 50% of construction time.  The arrangement makes it possible to offer more durable and lower cost buildings compared to conventional construction methods.    

The Company’s ‘Safe and Green’ modular buildings and components have been certified by The ICC Evaluation Services as meeting the International Building Code and Residential Code as well as stringent building standards in California and Florida.  The Company could be the first modular building producer to receive such certification, a status which could give Safe & Green a clear competitive advantage in the construction market. Additionally, structures that incorporate the Company’s modular design with recycled materials can potentially earn points for LEED certification (Leadership in Energy and Environmental Design). 

Its Own Best Customer

Safe & Green sells its products directly to third parties such as construction companies, architects, and builders, among others developing real estate for commercial or residential use.  Most recently, the Company sold an additional thirty-eight modular structures to an unnamed customer, which has deployed units from an earlier order across multiple states in the U.S.  The follow-on order is valued at $2.5 million, representing approximately $65,000 per unit.

The Other Fusion

Mention ‘fusion’ and most people will first think you are talking about a new restaurant.  Only a few techy types who read scientific journals will pick up on a cutting-edge technology for power generation.  Fusion is a type of nuclear reaction, but unlike the nuclear power already in use wherein atoms are broken apart, through fusion reaction energy is created by smashing together two atoms at high speed.  Triggering such atom collisions requires tremendous heat.  Thus far, scientists have had difficulty finding a heat process that generates more energy from the fusion reaction than it takes to spark it.  The challenge is called ‘energy gain.’

It is not like mankind does not already have a perfect fusion example to use as a model.  Fusion reactions can be found naturally in the core of stars.  Indeed, at the core of our own Sun hydrogen atoms combine to make heavier elements like helium with the resulting power bathes Earth and its neighboring planets in light and heat.  Duplicating that in a controlled process is proving a tough nut to crack.

Toast for the New Year!

 

May your troubles be less and your blessings be more, 

and nothing but happiness come through your door

The Associates at Crystal Equity Research

Greetings of the Season!

 

May the light of the holiday season shine in your life all the year through!

The Associates at Crystal Equity Research