David White

Four Stocks for 2009

Good article. However, LDK is a better bet, especially in the short term. It has fixed rate long term contracts for virtually all of its 2009 production (and much of its 2010 production). In fact its long term contracts go out 5 years or more, although they are less fixed in price the farther out they get. LDK has excellent mulitples (PE= 4.85, FPE= 3.51, and PEG = .1). These are much better than JASO's (FPE=9.8, PEG=.27). Plus LDK didn't lose money due to Lehman. Further there is a current short squeeze situation on LDK. If the market keeps rallying in the early weeks of January (due to the Obama stimulus package positive economic effects expectations), LDK should rise dramatically because all of the shorts will want to cover. LDK is still suffering from its Comptroller scandal of 2007. LDK was proven to be completely above board in their accouting practices. However, the stigma (and the venom from some mistaken analysts like Jesse Pichel) has been keeping the price down. Eventually this will wear off. If a big rally, this stock has huge upside potential.