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Investors in Innovation Survey Reveals Financial Community Remains Confident in Clean-Tech Sector
Investors in Innovation Survey Reveals Financial Community Remains Confident in Clean-Tech Sector
Published 02-02-09
Submitted by Waggener Edstrom
NEW YORK, Feb. 2 /PRNewswire/ -- A new survey of alternative energy investors and analysts was released today by global public relations agency Waggener Edstrom Worldwide (WE). The findings reveal continued confidence in the industry despite widespread challenges in the economy. Fifty percent of respondents expect alternative energy stocks to outperform the broader markets in 2009.
The optimism largely reflects the expected impact of the regulatory and incentive policies proposed by the Obama administration, but the overwhelming majority also predicted that conventional oil and gas prices will resume their upward trend in 2009, and certainly in the long run. Some of the survey highlights include the following:
- Fifty percent expect the alternative energy sector to outperform the broader markets. They are particularly optimistic about energy storage, wind and solar.
- Eighty-two percent see the Obama administration as a "positive" or "very positive' performance catalyst.
- Seventy-six percent expect oil prices to stabilize or increase in 2009.
- Seventy-six percent believe that the media coverage of alternative energy often overlooks important aspects of the industry. Respondents faulted the media for both overexuberance and excessive skepticism, with several saying they see signs of a positive bias in the mainstream media and a negative, or "short," bias in the financial media.
This report kicks off the WE's "Investors in Innovation" survey series, which will focus on innovation-driven industries. Survey findings are within the report. Respondents included 81 current and prospective institutional investors in alternative energy; brokerage analysts who maintain active coverage of the industry; and other industry participants including private equity firms, direct investors and independent research firms.
"Companies trying to weather the current storm are battening down the hatches, but they also need to keep their oars in the water if they want to stay on course. Engagement is more critical than ever," said Jon Coifman, vice president of the WE Environment Practice. "While there is clear optimism about the sector as a whole, investors, policy-makers and other stakeholders need help understanding where these industries are heading, and which companies are likely to lead them."
In addition to the survey, the inaugural report includes an analysis of alternative energy media coverage, using WE’s patent-pending text-mining Narrative Network(R) software. The Narrative Network product uses a unique algorithm to create a visual rendition of dominant themes in media coverage.
Daniel Gallagher, senior vice president of the WE Research practice, said: "Our coverage analysis provides support for respondents' perceptions of mainstream media’s coverage of alternative energy, which featured prominently in the two presidential campaigns and in the communications of the new Obama administration. The industry enjoyed a predominantly hopeful narrative in the media, focused more on the promise of alternative energy, and less on the near-term challenges that account for the industry’s performance in 2008."
The Investors in Innovation surveys are designed to identify and prioritize the issues and perceptions that shape the thinking of senior decision-makers in the corporate and investment communities. Based on surveys of key stakeholders in innovation-driven industries, these reports combine the findings of financial community surveys, in-depth interviews with industry thought leaders, and Waggener Edstrom Worldwide's proprietary analysis of industry-focused media coverage.
About Waggener Edstrom Worldwide
Waggener Edstrom Worldwide (WE) is a global, integrated communications agency. For the past 25 years, the independently owned firm has developed strategic communications programs for innovative and world-changing clients, working to influence markets, inspire people and improve lives. In 2008, WE was named European Technology Agency of the Year and in 2006 was named Best Large Agency to Work For by the Holmes Report. WE has also earned numerous honors for its outstanding work on behalf of clients, for its exceptional people and for its innovation in communications. The agency has more than 800 employees in 16 offices around the world, and its Global Alliance program expands the agency’s reach to 13 additional international markets. WE offers six global practices: Consumer Marketing, Corporate Communications, Environment, Healthcare, Public Affairs and Technology. More information can be found at http://www.WaggenerEdstrom.com.
Waggener Edstrom, Innovation Communications(SM) and Narrative Network are either registered trademarks, registered service marks or service marks of Waggener Edstrom Worldwide Inc. in the United States and/or other countries. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.
