Q: What is the business model with Hammond Power. Is this is green energy play and/or electrical green grid. What is the potential with the company in the next 10 years.
5i Research Answer:
HPS.A is primarily a manufacturer of transformers. It has seen a rapid demand for its products, driven by custom power units that serve renewable and data center applications. HPS.A is indirectly a green play due to the applications it's products have in areas like renewables and EV charging stations. While the ten year outlook is hard to comment on, we think it stands to benefit from secular tailwinds and has a long run-way for growth in the short to mid term.