Continue reading Closing Bell: When Confusion Is Felt by All (APOL, CPST, DELL, FSLR, SII, SLB)

Closing Bell: When Confusion Is Felt by All (APOL, CPST, DELL, FSLR, SII, SLB) originally appeared on BloggingStocks on Fri, 19 Feb 2010 16:20:00 EST. Please see our terms for use of feeds.

Sunny skies are here for Ausra, the solar thermal company backed by Kleiner Perkins and Khosla Ventures. The company is looking for a buyer, and it's already talking to three, according to a report by Reuters. Everything is up for grabs, from a majority stake in the company to 100% of it, and the back-and-forth going on is at a "very aggressive level."

The businesses looking to pick up Ausra are said to be global power generation conglomerates but haven't been named yet. So, the clean energy company would be a way for one of them to diversify.

Continue reading Three buyers vying for solar thermal company Ausra

Three buyers vying for solar thermal company Ausra originally appeared on BloggingStocks on Sat, 14 Nov 2009 18:31:00 EST. Please see our terms for use of feeds.

"The solar sector has been notably weak, including First Solar (NASDAQ: FSLR)," says Stephen Leeb. Despite the setback, the editor of The Complete Investor rates the stock a high risk buy.

"First Solar is one of the few whose earnings outperformed consensus estimates: its fourth-quarter results reported yesterday after the market's close were nearly 25% better than estimates.

"First Solar made $1.61 per share this past quarter; Wall Street was expecting $1.30 per share. Revenues were also ahead of estimates, although the company reduced 2009 revenue estimates by about 10%, citing short-term credit concerns for customers.

Continue reading First Solar (FSLR): Still shining?

First Solar (FSLR): Still shining? originally appeared on BloggingStocks on Tue, 03 Mar 2009 14:30:00 EST. Please see our terms for use of feeds.

Shares of First Solar (NASDAQ: FSLR) have been pummeled this week, as analysts, starting with Citigroup (NYSE: C), downgrade the stock.

Previously, the stock had enjoyed high ratings, generally in the Buy or Accumulate range. With Citi leading the way, other analysts have followed suit with rating reductions.

Citi cited concerns regarding the amount of solar panel inventory waiting to be absorbed, along with worries about future demand.

By some estimates, only 10% of the solar panels in inventory at the end of the year will be taken up by the anticipated increased demand generated from the adoption of the Obama energy proposals. An additional 20% reduction of inventories is projected to result in 2010.

The market is not distinguishing among the companies in the solar panel manufacturing business. Regardless of the strength of an individual manufacturer, all are being treated with the same lack of enthusiasm by analysts and investors. A closer look at First Solar suggests that this should not be the case.

First Solar is a leading designer and manufacturer of solar modules using thin-film semiconductor technology, which converts sunlight to electricity. Based in Phoenix, Ariz., First Solar has long-term supply contracts with 12 European project developers and systems integrators.

The solar module industry has come into recent criticism for its impact on the environment. Concerns are being raised that the eventual disposal of solar panels will result in the emission of large amounts of greenhouse gasses as the semiconductors disintegrate.

First Solar, however, has established a model for extended producer responsibility, which creates an obligation of the producer to have policies and practice to ensure that the company takes responsibility for environmental consequences from cradle to grave. The company provides the purchaser of its products with a guarantee to take back all its panels at the end of their useful life.

First Solar has received acclaim for building concern for environmental impact into all phases of the manufacturing and recycling of its products.

FSLR stock is trading around $142 per share. Shares had rallied last week to $165 per share on the heels of President-elect Obama's energy proposals. The stock had increased in price by 76% from its 52-week low, and was approaching its 12-month target price of $167.70.

The sell-off of FSLR has been greatly overdone. The company's balance sheet is strong, with a long-term debt-to-equity ratio of 0.10 and a current ratio of 3.23. The 21.84% on equity should also be of comfort to investors.

An additional plus for FSLR is the likelihood of a push to solar energy as part of the job stimulus program of the new administration.

Louis Navellier's PortfolioGrader Pro, which rates Wall Street stocks, rates FSLR a B or Buy.

Jamie Dlugosch is a contributor to NavellierGrowth.com.

First Solar: Should we really be listening to anyone at Citi? originally appeared on BloggingStocks on Fri, 16 Jan 2009 12:39:00 EST. Please see our terms for use of feeds.

SunPower (SPWR) shoots higher on PG&E deal originally appeared on BloggingStocks on Fri, 15 Aug 2008 14:02:00 EST. Please see our terms for use of feeds.

Solar energy may be the wave of energy's future, but companies such as Google (NASDAQ: GOOG) and Chevron (NYSE: CVX) may best start-ups in getting to the benefits. A number of large American companies with tremendous balance sheets are pouring money into solar energy based on the fact that it is becoming more competitive with oil.

According to Bloomberg, "Costs for the technology will fall below coal as soon as 2020, the U.S. government estimates. JPMorgan Chase & Co. and Wells Fargo & Co. invested last year in the biggest solar plant built in a generation; Chevron and Google are funding research; and Goldman Sachs is seeking land to lease as demand out-paces wind turbines and geothermal."

Given the potential size of the bonanza, the investments should not be surprising, but they could squeeze smaller solar energy companies out of the market. Firms like JA Solar (NASDAQ: JASO) and SunTech (NYSE: STP) have their entire futures bet on the success of solar energy and the fact that there are not many companies in the business, at least until now.

It has began to occur to large companies that if fossil fuels will indeed start to run low in two or three decades that the trillions of dollars in market cap currently represented in large oil company stocks will have to go somewhere.

Why not to Google?

Google (GOOG) and Chevron (CVX) light up solar originally appeared on BloggingStocks on Tue, 27 May 2008 08:48:00 EST. Please see our terms for use of feeds.

• DJIA 12,532.60 (-16.04; -0.13%)
• S&P500 1,352.99 (+3.11; +0.23%)
• NASDAQ 2,341.05 (+14.30; +0.61%)
• 10YR-TBond 3.492% (-0.03)

Continue reading Closing Bell: Where'd that bear go?

Closing Bell: Where'd that bear go? originally appeared on BloggingStocks on Tue, 25 Mar 2008 17:48:00 EST. Please see our terms for use of feeds.

According to the FT, GE (NYSE: GE) "will announce plans to double its investments in renewable energies to $6bn by 2010."

GE is, of course, smart to put its capital into a necessary hedge against crude oil and gas. Most evidence points to the fact that high prices in this sector will make alternative energies more practical and profitable.

But GE's plan has some drawbacks. The first is that the market for new energy sources will be very crowded. Many of the companies are small. That does not play to GE's strength of being in very large, capital-intensive businesses like jet engines and infrastructure. The capital that makes GE such a winner in its current businesses may not be as important in an emerging industry with hundreds of start-ups.

GE also is entering a business that depends to a great degree on government regulation and tax breaks. In many countries, alternative energy growth is based on incentives granted through taxation or contracts for local projects. That can be fickle. GE may not do fickle well.

Douglas A. McIntyre is an editor at 247wallst.com.

GE gets greener originally appeared on BloggingStocks on Mon, 14 Jan 2008 13:00:00 EST. Please see our terms for use of feeds.

Solar energy products company Trina Solar Limited (NYSE: TSL) released very bright 3Q 2007 results on November 21. The company has been named #1 on Deloitte Technology China Fast 50. Trina Solar posted a total revenue increase of 9.7% to $82.6 million. Gross profit increased 16.7% and total megawatt shipments increased 4%. YTD, the numbers are impressive. Total revenues are up 164%, gross profit is up 92%, operating income is up 76% and net income is up 145%.

These numbers, however, must be tempered with the realization that trina Solar is still very much in its early stages of growth and most of its free cash flowe must be plowed back into the company to increase manufacturing capacity. Operating income dipped 14% in 3Q 2007, cost of revenues increased 8%, interest expense increased, as did operating expenses, administrative expenses, selling expenses and the R & D budget.

Currently, Trina Solar has a manufacturing capacity of 150 MW (megawatts) of solar modules, but plans to double the size of the company to 350 MW by the end of 2008. Trina Solar has already locked in contracts for much of its polysilicon supplies through 2013, and has already sold 100% of its first module production capacity in 2008 and 50% of its second module production capacity.

Trina Solar is in the initial stages of planning for its own $1 billion polysilicon production facility to supply its raw material needs in a cost effective manner. In addition to its existing client base in Germany, Italy and Spain, with its increased production capacity, Trina Solar is looking to expand its market base into the Netherlands, Belgium and France in 2008.

Trina Solar (TSL) shining brightly originally appeared on BloggingStocks on Fri, 07 Dec 2007 14:45:00 EST. Please see our terms for use of feeds.

NutriSystem (NASDAQ: NTRI), a weight management and fitness products and services company, is recently down $10.57 to $37 in pre-open trading, some 22%.

• NTRI announced disappointing third quarter results.
  
• Thomas Weisel says: "3Q fundamentals crumble; we expect challenges into FY08."
  
• NTRI overall option implied volatility of 59 is above its 26-week average of 47 according to Track Data, suggesting larger price risk.

LDK Solar (NYSE: LDK) is a manufacturer of multicrystalline solar wafers.

• LDK shares were weak on 10/3 on allegations of inconsistency in inventory reporting.
  
• LDK says: "LDK's management team and board of directors formed an internal committee to investigate the allegations and conduct an immediate physical inventory of LDK's polysilicon materials. The management team found no material discrepancies."
  
• LDK October option implied volatility of 131 is above its 12-week average of 69 according to Track Data, suggesting larger risk.

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

Option update: NutriSystem (NTRI) sells off after EPS, volatility elevated originally appeared on BloggingStocks on Thu, 04 Oct 2007 08:43:00 EST. Please see our terms for use of feeds.

LDK Solar (NYSE: LDK), a manufacturer of multicrystalline solar wafers, was sold off down $16.65 to $51.65. Piper Jaffray said "We have confirmed that the LDK financial controller recently left the company." LDK October option implied volatility of 133 was above its 12-week average of 69 according to Track Data, suggesting larger risk.

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

Option update 10-3-07: LDK Solar (LDK) implied volatility spikes as LDK sells off 24% originally appeared on BloggingStocks on Wed, 03 Oct 2007 16:36:00 EST. Please see our terms for use of feeds.

Hoku deal sends stock skyrocketing originally appeared on BloggingStocks on Thu, 14 Jun 2007 13:30:00 EST. Please see our terms for use of feeds.

Aleo Solar (Other OTC: AEORF) has negotiated a distribution deal with German thin-film solar module manufacturer Johanna Solar Technology. The five year agreement gives Aleo distribution rights for up to 80% of Johanna's thin-film solar modules. Aleo is widely recognized and well established in the manufacturing and marketing of solar technology.

Jeroen Haberland, executive director of Johanna Solar Technology, indicates confidence in Aleo Solar's marketing capabilities as the two companies set the stage for debut of Johanna's thin-film technology at the 22nd European Photovoltaic Solar Energy Conference in Italy this September. Haberland stated, "We are glad to have in Aleo Solar a long-established company on our side."

Aleo Solar has been growing steadily in both Germany and Spain with indications being that the company is proving itself by stepping outside the boundaries of their subsidized German environment. This gives credence to the idea that solar technologies are forcefully coming into their own age and that solar energy will continue to develop as a workable and profitable energy provision solution. Just this past May, Aleo announced the opening of a new production facility near Barcelona Spain by its subsidiary, Aleo Solar España. In 2006, Aleo was responsible for providing and assisting in the installation of 64 megawatts of solar electrical generation capacity in Spain.

Green energy play: Aleo Solar originally appeared on BloggingStocks on Thu, 14 Jun 2007 12:00:00 EST. Please see our terms for use of feeds.

Solar energy stocks see sun rising originally appeared on BloggingStocks on Wed, 04 Apr 2007 17:16:00 EST. Please see our terms for use of feeds.