U.S. crude prices fell for the fifth straight day Tuesday, but we remain committed to our lone oil-and-gas stock in Coterra Energy . West Texas Intermediate has been moving lower since its early April peak, with Tuesday bringing the U.S. oil benchmark to its lowest settle since Feb. 5, at $73.25 a barrel. Some of the declines may be because the geopolitical risk premium factored into the commodity is fading amid hopes for a cease-fire in the war in Gaza. More recently, Organization of the Petroleum Exporting Countries and its partners, collectively known as OPEC+, indicated over the weekend that some of its production cuts will begin to be phased out later this year, which Goldman Sachs called a “bearish surprise” for the market. There are also some concerns about a slowing U.S. economy contributing to the decline, given demand for oil is closely tied to economic activity. The drop in oil prices has implications for the economy and stocks overall. While a material slowing of the economy — basically, a hard-landing scenario — certainly would not be a great backdrop for the market, some slowing is exactly what investors want to see. As we’ve become painfully aware over the past few years, energy represents a major, unavoidable input cost for both the average consumer and companies paying for transportation and electricity. Elevated oil prices have, as a result, pressured discretionary spending and corporate margins. For that reason, any relief in energy prices will have the opposite effect — freeing up more money for consumers to spend away from the gas pump. Corporations, meanwhile, can see a boost to profit margins as their costs to make and ship products comes down. Throw in the potential for lower interest rates beginning as soon as later this year, and it all amounts to a pretty positive setup for equities. We’re looking for that sweet spot in economic growth that allows the Fed to cut interest rates while keeping unemployment low. If we get that, then we should see lower oil prices and sustained buying power along with a healthy environment for business investments. That’s goldilocks for the economy and the stock market, aside from the energy sector. CTRA YTD mountain Coterra’s year-to-date stock performance. And yet we still see reason to stick with Coterra Energy. In fact, one of the key reasons we like the company so much — its roughly equal exposure to oil and natural gas — has been on display lately. While oil has been pulling back, natural gas prices have rebounded from their steep sell-off to start the year, climbing about 23% over the past month. Coterra has the ability to shift production resources between oil and nat gas, based on whichever commodity offers the more favorable economics. In the first quarter of this year , that meant more of a focus on oil. Another reason to stick with Coterra: Deal activity has continued in the energy complex, the most recent of which being ConocoPhillips agreeing to buy Marathon Oil in a $17 billion all-stock transaction . To be sure, we don’t invest in companies based on takeover probabilities, but the industrywide trend toward consolidation — sparked by Exxon Mobil ‘s takeover of ex-Club name Pioneer Natural Resources in the fall —is hard to ignore. Indeed, analysts at Citigroup published a research note Tuesday exploring potential takeover targets for Devon Energy, another ex-Club oil stock. Coterra was among the three names analysts mentioned alongside Ovintiv and Permian Resources . Admittedly, the analysts don’t believe any of the three companies have a high chance of being bought by Devon or, in the case of Coterra, probably a merger of equals. Still, the note supports the idea that more deals could be announced in the future, which generally should be supportive of Coterra’s valuation multiple as competition declines. The bottom line: When we initially took on exposure to the energy market, we told investors that the positions needed to be partially viewed as a hedge on the rest of the portfolio. After all, that is what a well-diversified portfolio looks like — some parts have the ability to work well when others fall out of favor. If the economy holds in while energy prices and interest rates come down, Coterra’s stock could see some pressure while the rest of our portfolio benefits. That is how it’s supposed to work with a hedge. However, we still want to own shares because weaker commodity prices may be offset by the higher demand resulting from increased consumption and sustained economic growth, even if at a slower pace. It’s also possible geopolitical tensions could heat back up. Now layer in Coterra’s ability to swing resources between oil and natural gas, continued consolidation in the oil patch, and management’s strict financial discipline, and we come away with the view that the downside from here is limited. (Jim Cramer’s Charitable Trust is long CTRA. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. 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An oil pumpjack in a field in Grandfalls, Texas, on March 24, 2024.
Brandon Bell | Getty Images
U.S. crude prices fell for the fifth straight day Tuesday, but we remain committed to our lone oil-and-gas stock in Coterra Energy.
Tesla and Rivian have been embroiled in a lawsuit in which the former accused the latter of having stolen battery technology by poaching Tesla employees.
It sounds like the two automakers are finally about to settle the lawsuit, which has been going on for 4 years.
When Tesla filed the lawsuit, it wasn’t clear what trade secrets Tesla was claiming Rivian had stolen. However, we noted that the employees listed in the lawsuits were two recruiters, an EHS manager, and a manager of Tesla’s charging networks.
The automaker claimed that these employees brought “documents consisting of highly sensitive trade secret, confidential, and proprietary engineering information” when they went to work for Rivian.
Over a year later, we now learn that Tesla had notified the court that it expects to file to get the lawsuit dismissed after reaching a conditional agreement with Rivian. The company didn’t disclose the details of the settlement (via Bloomberg):
Tesla didn’t disclose specifics about the agreement in a court filing, but told a California state judge that it expects to seek dismissal of the case by Dec. 24 upon satisfactory completion of the terms.
Neither Tesla nor Rivian have commented on the reported settlement.
While Tesla has claimed that it somewhat open-sourced its patents, we have previously noted that it’s not exactly the case. Tesla claims to let other companies use its patented technology as long as they themselves don’t sue them over patent rights.
And in this specific case, Tesla alleges that Rivian has specifically hired employees to steal technologies. Again, Rivian has denied the allegation.
Electrek’s Take
The terms are unknown, but in similar cases, it often involves things like some level of access to make sure that no proprietary technology is being used or has been used.
The lawsuit is not exactly clear, but based on the timeline and the allegations of “next-gen batteries”, Tesla could have been talking about its 4680 battery cells, although those are cells. It could also be the structural battery pack.
French infrastructure specialists Proviridis have partnered with EVSE manufacturer Kempower to deliver a novel, underground charging solution for electric semi trucks designed to easily integrate into existing truck depots.
By installing its high-powered charging cabinets underground and integrating the charging cables into a solid metal pipe, Kempower and Proviridis have been able to make room for high-powered charging points in an existing truck depot that didn’t have enough space to install either conventional EVSE or overhead “drop lines.”
For the pilot, the metal pipe is painted in a striking yellow color to make it easier to see while maneuvering the lot, and keeping the dispensers themselves more protected than conventional concrete bollards. The 600 kW power cabinet is positioned a few yards away – a typical space-saving Kempower solution – and connected to the charge points by underground cable.
Proviridis believes their solution provides enough of a competitive advantage that fleet buyers looking to electrify will be eager to give it a try.
“The product is durable across a wide spectrum of temperatures and conditions, requires minimal ventilation, and can cater for a wide range of customer needs,” explains Olivier Verdu, Technical Director at Proviridis. “These are features which perfectly place the Kempower solution for this type of charging configuration in a logistics environment.”
In honor of Black Friday and Cyber Monday, eBike specialist Buzz Bicycles is offering an exclusive discount for Electrek readers on its Centris Class 2 Folding Bike.
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Buzz Bicycles is back with an exclusive new deal
Buzz Bicycles has been a mainstay on Electrek for a few years now, as we have covered several of its electric bikes, which suit riders of all skill levels and help them “Buzz through life.” Buzz is an omnichannel eBike brand that prioritizes direct-to-consumerism and has found success in its mission to deliver ultimate transportation solutions at an excellent value for its growing base of eBike enthusiasts.
The company strives to deliver riders a “Wow moment,” which is usually brought on as they feel the pedal assist function kick in. This feature delivers all you need to conquer hills and longer rides while enjoying new adventures with friends.
The Buzz team has utilized decades of industry experience into its portfolio of eBikes, all conceived and designed in Dayton, Ohio. The company, which operates under the United Wheels umbrella alongside brands like Huffy Bicycles, Niner Bikes, and Batch Bicycles, has adopted an ethos that the freedom of riding should be fun and accessible for everyone, no matter what adventure lies ahead.
By leveraging the global presence of its parent company, Buzz Bicycles can make good on its promise to deliver affordable eBikes that are comfortable, powerful, and safe, much like the Centris Folding eBike, which is as versatile and compact as it is fun. The exclusive deal Buzz Bicycles is offering on the Centris makes it even more fun. You can take advantage of it below.
But first, you’ll want to learn about the capabilities of this foldable eBike to truly understand its value, as well as what accessories are available to level up your purchase.
The Buzz Centris is an easy to ride foldable eBike for all
The Buzz Centris is a Class 2 Folding eBike built for comfort and convenience no matter where you take it. At full size, the Centris’ step-through frame offers a low step-over height of just 16 inches, perfect for riders of all sizes, enabling easy transitions from ground to saddle for its riders.
When you’re not riding, the Centris from Buzz Bicycles folds neatly to 34 inches in length and 22 inches in height, making it easy to store at home or to carry in a vehicle on the way to your next ride. Furthermore, the assembled bike only weighs 68 pounds, making it easy to transport.
You can easily navigate tougher terrain on the Centris thanks to the eBike’s 20″ x 4″ knobby tires and front suspension. The bike is powered by a 48V, 500-watt-hour (Wh) battery pack that can propel it to a top speed of 20 mph for an all-electric range of up to 40 miles on a single charge.
Additionally, this folding model from Buzz Bicycles comes equipped with both a front and rear rack, offering versatile cargo-carrying options so you can customize your ride with a variety of Buzz accessories.
Like all Buzz eBikes, the Centris is tested and deemed compliant with the UL2849 standard. This standard covers the entire electric bicycle system, including the motor, battery, controller, and charger, offering the highest safety standards for added peace of mind.
The Centris Class 2 folding bike from Buzz is available in two colors: Gloss White or Matte Black. This $1,199 eBike is currently reduced to $899 – and you can score an additional $200 off with this exclusive promo, but only for a limited time.
With the purchase of any Buzz eBike, including the Centris, you are guaranteed the following:
10-year limited warranty (lightweight aluminum frame protected for full 10 years)
2-year limited warranty (electrical components covered by 2-year warranty for peace of mind)
6-month limited warranty (additional bike components protected by a 6-month warranty)
Are you interested in the Centris from Buzz Bicycles? You’ve come to the right place. Starting today, while supplies last, you can take advantage of an additional $200 off the sale price by using promo code “ELECTREK200.“ That’s a $500 discount in total!
We highly recommend perusing Buzz’s entire lineup of products. They are designed for commuters and casual riders, with technology and features that help you quickly feel comfortable riding. If you are new to the world of E-transportation, Buzz Bicycles is the brand for you.
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