Judging from the company it's keeping Green Automotive Co. (OTCMKTS:GACR) may have just made its way into the upper echelon of small cap stock opportunities. The electric car company joins Elite Pharmaceuticals Inc. (OTCBB:ELTP), Amarantus Bioscience Holdings, Inc. (OTCBB:AMBS), and only three other companies as Wall-Street.com's "Best 6 Stocks" for January of 2014. As one of the top information resources for investors - particularly in terms of information regarding small and micro cap stocks - being named among the site's top pick is an accolade for AMBS, ELTP, and GACR. Even more impressive is that Green Automotive Co. was the only consumer-goods name among those six. Amarantus Bioscience Holdings and Elite Pharmaceuticals are biotechnology names... an industry that can and often does attract a lot of attention just by the nature of the business. The other three names making the "Best 6" list were an energy explorer, a power-management technology manufacturer, and prescription/medical food producer. For an electric car manufacturer to make the list speaks quite highly of GACR.
Then again, Green Automotive Company can hardly be called "just another electric car company", if one wants to do it justice. It's the first organization that's truly sought to aggregate all elements of the e-car business under one roof in an effort not only to improve efficiency and reach, but to flat-out build a better car.
Specifically, GACR is the combination of three distinct but related divisions. One of those divisions is Liberty Electric Cars, which doesn't sell battery-powered vehicles, but rather, services EVs that are already on the road ... a providing a much needed service that is just as important to the EV movement as charging stations will be. Liberty doesn't just fix e-cars though. This division's collective know-how led to Liberty being selected to participate in a couple of e-car design initiatives being undertaken (and sponsored) by groups that can take such an initiative all the way through to the commercialization of the effort.
Newport Coachworks designs and manufacturers electric powered shuttle buses, which is, frankly, where Green Automotive Company can and likely will not only make its biggest impact in the electric vehicle world, but provide the most opportunity for GACR shareholders. See, larger vehicles that run constantly are huge fuel-burners, and electric versions of these buses will create an immediate and significant cost savings for operators.
Nevertheless, Green Automotive Co. recognizes that the sheer number of personal-use drivers means passenger cars are a market that can't be ignored. So, rather than ignore this obvious opportunity, GACR has taken the route opposite that of Tesla and has chosen to become a dealer of several third-party electric vehicles via its GoinGreen division. It offers a variety of e-cars and e-trucks now, including the popular Mia minivan and an electric delivery truck. GACR also sells the G-Wiz, which is the best-selling electric car over the past ten-year period.
Point being, isn't aiming for a niche or an aspect of the electric car business. It's looking to carve out a big piece of it in several ways. While it usually pays to focus on one thing so you can do it very well, in this particular case - when the market has many facets and many marketable price points - the "wide net" approach (where success in one division can help create attention for other divisions) is actually the wiser and more fruitful approach.
What the breakdown of the divisions nor the "Best 6" honor from Wall-Street.com honor doesn't illustrate is how GACR is just now starting to hit a self-sustaining critical mass. Last quarter's revenue was a record-breaking $1.0 million, up more than 1000% from the year ago figure as its buses and a handful of other projects started to drive revenue after several quarters' worth of planning and retooling. Now that the ball's rolling though, that top line is not only going to stay big, but get bigger. What's not been included yet in the revenue total are sales of the new Mia and sales of the new Jolly 2000 electric vehicle. Likewise, sales of the new EV Green Automotive Co. is helping to design won't likely be realized until 2015, though preliminary sketches and design standards suggest it's going to be on par with Tesla's vehicles.
Bottom line? A lot of things are coming together right now for Green Automotive, and for GACR shareholders... things that the market may not even realize yet. The Wall-Street.com accolade is a sign that investors are finally starting to recognize it though, so those mulling a position may want to step in sooner than later.
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