Dragonfly Energy (NASDAQ:DFLI) stock is climbing after the company announced it would be granted a U.S. patent for the “preparation and powder film deposition of pre-coated powders.” Dragonfly views this patent as a significant step in bringing its nonflammable LiFePO4 storage batteries to market. The company operates in the energy storage industry with a focus on producing deep cycle lithium-ion batteries.
“Solvent-free cell production is known to have a significant cost advantage over traditional slurry coating, and the Company has successfully applied the process to a variety of different battery chemistries — including all-solid-state cells,” said Dragonfly. “The Company intends to continue to innovate and work to bring the safest and most cost-effective products to market to revolutionize how we store energy on the grid.”
DFLI Stock: Huge Patent News Sends Dragonfly Energy Soaring
With the patent, Dragonfly will be able to save time and capital in its battery production process. Specifically, the company will use a powder-coating process instead of large drying rooms and costly machinery. Dragonfly has already “validated its cell manufacturing technology.” Now, the firm is in the process of preparing its cell chemistry for commercialization. Recent cycling tests of prototype cells yielded over 1,000 cycles.
Earlier this week, Dragonfly also announced that it’s set to join the Russell 3000 index based on FTSE Russell’s preliminary list of additions. The index will hold its annual reconstitution this month. DFLI stock is expected to be added to the Russell 3000 as of the market open on June 26. Membership in the index is good for one year and also implies inclusion in either the large-cap Russell 1000 or the small-cap Russell 2000 indices.
Dragonfly Energy CEO Dr. Denis Phares said the following about the index inclusion:
“Our inclusion in the Russell 3000® marks another important milestone for Dragonfly Energy during our first year as a public company […] We believe inclusion in the index will provide us with more exposure to the broader investment community, and the opportunity to expand awareness of our unique position within the evolving energy storage market, as we look to deliver long-term value creation for our shareholders.”
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On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
