Cowen Sees 80% Upside in Hoku Scientific

Cowen is out saying they see 80%+ upside in Hoku Scientific (HOKU). The Firm says they do not believe the ongoing equity distribution deal should stall the shares, because the boundary conditions are known. Shares of HOKU are currently trading at just 6x Cowen's C2010E EPS of $0.96. Reiterates Outperform.

Notablecalls: Could see some buy interest following Cowen's call.

Comments

[Stockguy456]

WOW 80%! What is holding it down?

[Daniel Jacome]

if this was Cowen's way of getting back at Broadpoint for their note yesterday, the market wasn't having any of it -- HOKU was flat on the day

[Truth19]

Look closely this estimates are based on an EPS of $.96 in 2010! This article is deceiving since he did not note that the current EPS is a negative. That's right as it stands today, the company losses money each quarter since they started. The $.96 is an estimate based on signed contracts that are contingent of building a polysilicon plant that is contingent on funding the construction that WAS contigent of a financing package with Merrill Lynch that fell through, so it is now contingent on the company raising over $100 million in a new stock issuance and issuance of debt.

Hmmm, I wonder what could be holding this stock down.