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Option Update: Solarfun Power volatility and shares collapse after EPS and downgrade

Solarfun Power (NASDAQ: SOLF) is recently down $4.81 to $21.66. Goldman Sachs says, "Premium valuation unwarranted; downgrade to Sell." SOLF manufactures PV cells and PV modules. SOLF June option implied volatility of 100 is below a level of 127 prior to Q1 EPS on May 21 and near its 26-week average of 99 according to Track Data.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.

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Last updated: November 22, 2008: 07:49 PM

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