Five Ultra Small Cap Companies That Investors May Find Intriguing – #1 ZAP

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Even if there’s a prolonged global recession, there will still be a critical need to develop new technologies to cope with massive forecasted demand growth for electricity and transportation fuel. With two billion or more people and some 600 million more cars and trucks expected within 15 to 20 years, the world has no choice but to develop technology-based solutions to its steadily-worsening energy crisis.

Given the newness of many promising energy technologies, it’s logical to think there are energy-tech developers that are currently ultra small cap companies destined to become long-term winners. Keeping in mind that ultra small caps are, by definition, riskier investments than large caps, here are five ultra small caps that investors may want to research further, beginning with:

ZAP, a California-based company that trades over-the-counter.

With the global car market tanking, it’s hard to pay much attention to a small company with a funny name that sells cars that most people don’t think even exist yet. But ZAP not only exists, the company posted record sales in August of $737,000, 88% higher than the year-ago period. In addition, it shipped a record number of vehicles in the third quarter. “While most U.S. automakers are laying off workers and facing declining sales, ZAP is experiencing record growth,” the company’s CEO said in a press release issued two weeks ago.

ZAP not only sells electric cars. It makes and sells electric trucks, motorcycles, scooters, bicycles and ATVs. The company has had trouble gaining market traction. But with virtually every major auto manufacturer accelerating plans for introducing electric vehicles, and with emerging countries fueling record sales of electric scooters and bikes, ZAP would appear to be a company that could grow on its own or fit into another company’s plans. ZAP recently announced a strategic partnership with Dubai-based Al Yousuf Group which it hopes will expand its international distribution network.

While ZAP posted operating losses in both the second quarter and first half, the losses were less than half what they were in their respective year-ago periods.

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