Seeking Alpha

Hedge Fund Live's  Instablog

Hedge Fund Live
Send Message
Jeremy Frommer, CEO of Hedge Fund LIVE Jeremy Frommer has 20 years of industry experience and is currently responsible for general management and leadership of the General Partner. Previously, Mr. Frommer was a Managing Director and Head of the Global Prime Services Group (“GPS”) at RBC... More
My company:
Hedge Fund LIVE
My blog:
Hedge Fund Live
  • LED’s Finally Showing Some Life  0 comments
    Mar 18, 2011 10:31 AM | about stocks: ACI, AIXG, ANR, BTU, CNX, CREE, FCX, GTLS, HPQ, MEE, GOOG, RBCN, VECO, WLT
     HedgeFundLIVE- The LED’s have been showing some life the last few day’s and I’m beginning to like what I see.  The analyst community has been starting to speak up the last few days with the most recent upgrade coming from Merriman this morning.  Merriman upgraded CREE to Buy from Neutral and although the technicals are bearish I really like the long term story. 

    Although CREE, RBCN, AIXG, and VECO have shown strength the last few days and you have to liek the price action there was one story in Digitimes that caught my eye.

    Prices for LED lighting products are expected to drop continually over the next two years and demand from the North America and Japan markets will be growing, according to industry sources in Taiwan.

    In 2011, retail prices for 7-8W LED light bulbs, which can replace 40W incandescent bulbs, are expected to fall from US$20-25 in the fourth quarter of 2010 to US$10-15, and models that will replace 60W incandescent bulbs will drop from US$35-40 to US$20-25, the sources said.

    The negative story with the LED’s has always been the pricing and in my opinion this story is very bullish for growth in CREE and the LED story overall.  I’ve blogged about Digitimes being the catalyst in the LED’s once before and it turned out to be a great call. If the market behaves, I think you can feel comfortable buying CREE or a basket of LEDS into 4/19/11 when CREE reports Q3 earnings.  In the past CREE has been pretty awful on their call so I would lighten up into the report but I think the road ahead should be nice for the LED’s. 

    Other Names Showing Relative Strength Today:  HPQ, FCX, WLT, CNX, BTU, ACI, ANR, MEE, GTLS, and MMI.

    COME JOIN OUR LIVE BROADCAST MON-FRI 8AM – 5PM AT HEDGEFUNDLIVE.COM. PICK A CHANNEL AND GET CONNECTED.

    Stocks: ACI, AIXG, ANR, BTU, CNX, CREE, FCX, GTLS, HPQ, MEE, GOOG, RBCN, VECO, WLT
Back To Hedge Fund Live's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers

StockTalks

More »

Latest Comments


Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.