EnerNOC, Inc. (ENOC): What Should Investors Do?

The emotional response to demand response
I bought shares of EnerNOC for the Prosocial Portfolio I manage for Fool.com about two years ago, and the stock price has definitely had its ups and downs — well, let’s face it, for a long while, we experienced mostly downs. At the time, I acknowledged the risks inherent in such a disruptive company, and when its shares dropped to single-digit lows, I noticed that uncertainty generally drove the stock down lower and lower. At times it seemed like it could do nothing right in the eyes of investors — and sometimes, those downward price moves happened for no new reason at all. The demand response company was subject to emotional response: investor pessimism.

Today, the stock’s in the red, but has crept near my original purchase price. I’m glad I’ve been patient on this one, and it wasn’t one I believed would be a short-term story in the least, so more patience is required. Stocks like this take a while for early potential to play out, and, of course, sometimes can end up being busts.

Investors may not have felt EnerNOC was so powerful this week, but it’s certainly stabilized from past dark times, having plugged into more business and a better position than it had two years ago. Additional possibilities sound more exciting than ever. All’s well for now at EnerNOC, Inc. (NASDAQ:ENOC), and it might even be a good time to consider buying more, given the fact that it’s teetering on the brink of profitability.

Alyce Lomax owns shares of Whole Foods Market. The Motley Fool recommends EnerNOC, Exelon, Kimberly-Clark, and Whole Foods Market. The Motley Fool owns shares of EnerNOC and Whole Foods Market.

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