Hello everyone!
Want to start off by stating this isn’t financial advice and I am not an advisor. Secondly, please do your own DD as well on this.
I would like to talk about Hyzon(HYZN). They currently have earnings coming up PM 11/12. However this DD will be for a slightly bullish take on earnings and a more bullish take for a long play.
What is HYZN?
Hyzon is in the business of creating hydrogen fuel cell commercial vehicles, such as, busses and heavy duty trucks. They are currently operating in Europe, Singapore, Australia, and China.
I currently hold a small position in HYZN.
What exactly is a hydrogen fuel cell?
A fuel cell uses a chemical energy to cleany produce in this case it would be hydrogen and it would only produce electricity, water and heat.
Bullish case:
With the new infrastructure structure EV we’re a big focus on trying to make EV more accessible nationwide.
President Biden during his speech a couple weeks back had mentioned that they wanted to establish ELectric busses. With HYNZ already being established it the following countries I see them able to work with the US government and other entities to provided the transportation.
Hydrogen has been shown to be more efficient and a cleaner source of fuel versus the alternative.
Other countries are currently working on new technology that will be able to using hydrogen more eco Friendly and cheaper.
With the cost of wind and solar power becoming cheaper this could be used for creating electrolysers which in turn will lower the cost of supplying hydrogen.
As of November 10th VYZN and Tc energy announce modular hydrogen production hub development agreement. Which will be across North America which could lead to VYZN making its entry into the North American market.
Bearish case:
They are currently being sued for misrepresentation of its customer contract and serveraly embellishing its deal and partnerships with customers. They also could not deliver the stated vehicles on the given timeline although delivery had started in Brisbane Australia.
Currently the production of most hydrogen comes from the burning of fossil fuels.
The technology to be able to use other means to produce hydrogen cleanly and efficiently are still in the works.
As of right now it does not seem they are making vehicles for the common people like other EV companies. Mainly focusing on commercial vehicles which can limit the market for them.
Please feel free to add anything or ask questions so I can look up the answer to. I will also try to follow to courts case that is agaisnt them.
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