ESS Tech initiated with a Buy at Roth MKM

Roth MKM initiated coverage of ESS Tech with a Buy rating and $1.50 price target. The upcoming second half of 2024 ramp of the company’s front-of-the-meter energy venter storage solution is poised to significantly expand the company’s total addressable market and drive volume growth, the analyst tells investors in a research note. Additionally, the firm expects a sales acceleration for ESS’s energy warehouse solution as unit economics reach an inflection point by the end of the year. With higher volumes and the implementation of a new automated manufacturing to support lower costs, Roth likes the stock’s current risk/reward.