The hydrogen industry still waits for the Biden Administration to loosen restrictive 45V tax credit rules. Now, after about seven months, it's safe to say industry executives and even a few U.S. Senators are losing patience.
Air Products (APD) gains on its investments in high-return industrial gas projects and productivity measures amid headwinds from weakness in China and Europe.
In December 2023, the global hydrogen pipeline expanded by 35%, reaching 1,400 projects amid economic challenges. These projects could total as much as $570 billion in investment by 2030, indicating strong industry growth.
The new manufacturing facility by Air Products (APD) is set to start production by the end of 2025, with the addition of 30 full-time workers.
A December 2023 report indicates that the global hydrogen pipeline has increased by 35% through the year despite macroeconomic headwinds. The total number of projects stood at 1,400, representing an investment target of $570 billion through 2030.
The hydrogen industry is still waiting on the Biden-Harris Administration to loosen restrictive 45V tax credits. And from the looks of it, industry executives are quickly starting to run thin on patience.
As of June 14, 2024, two stocks in the materials sector could be flashing a real warning to investors who value momentum as a key criteria in their trading decisions.
While Air Products (APD) faces headwinds from weakness in China and Europe, it benefits from investments in high-return industrial gas projects, productivity measures and higher prices.
There's a great deal of opportunity in some of the best hydrogen stocks. They just need to get through a few roadblocks first.
Air Products and Chemicals, a major global producer and supplier of industrial gases and the largest supplier of hydrogen and helium globally, is now a $59 billion (by market cap) industrial gases giant. The company has increased its dividend for 42 consecutive years with a 10-year dividend growth rate of 9.5%. Air Products and Chemicals moved its revenue from $10.4 billion in FY 2014 to $12.6 billion in FY 2013, a compound annual growth rate of 2.2%.
Air Products and Chemicals is a good choice for investors seeking low volatility and robust dividend growth. The company has a strong record of delivering solid return on invested capital and has several high target IRR projects in its pipeline. APD is undervalued by around 10% and has a positive outlook due to favorable industry trends and a strong project backlog.
French oil and gas major TotalEnergies said on Friday it had signed a deal with U.S. industrial gases company Air Products and Chemicals for delivery of green hydrogen.