bigswing

Solar Competition Heats Up

SOL is signing LOI (letter of intent) with Wuzhong City for the 500MW back in July, not Yancheng City, please don't spread lies.

Sustainable Energy After the Correction

solar stocks UP 20% on average today alone...

that is only the begining... it will up another 50% from current price in a month... wait and see

Sustainable Energy After the Correction

Solar stocks are at deep discount now and will prove to be the best buy at current price...

Solar sector is on a path to grow from 3.9GW of cell/module production in 2007, to more than 7GW in 2008, 14.7GW in 2009 and at least 52GW by 2012. This equates to a 68% CAGR, with significant upside potential for both silicon and thin film production. Although it is expecting a 7% compound annual price decline, the solar sector revenue is poised to expand from $27bn in 2007 to $274bn by 2012. The operating margins to remain above 30% through 2012.

Anyone who buy solar stocks now will be hugely rewarded in a few years.

A Look at Four Polysilicon-Based PV Manufacturers' Funding

Solar stocks rise more than 30% on average since this article published. I listed the price on July 8 and predicting it will rise in 2 months, now see the result:

Price on 7/8/08 Price on 8/25/08
LDK $29.72 $50.95
YGE $13.57 $18.39
STP $32.02 $47.26
JASO $13.75 $18.43
TSL $26.40 $34.92
SOL $12.02 $19.70
CSUN $6.68 $12.31
SOLF $12.70 $20.60
CSIQ $29.55 $33.24
FSLR $234.00 $277.00
SPWR $59.58 $96.98

This proves how wrong and how stupid this author.

A Look at Four Polysilicon-Based PV Manufacturers' Funding

Anyway, all solar stocks (including the 4 you mentioned) will bounce back from their recent low and will see 30%-60% gain in stock price in 2 months (depends on market condition)... wait and see

LDK $29.72
YGE $13.57
STP $32.02
JASO $13.75
TSL $26.40
SOL $12.02
CSUN $6.68
SOLF $12.70
CSIQ $29.55
FSLR $234.00
SPWR $59.58
WFR $53.59

A Look at Four Polysilicon-Based PV Manufacturers' Funding

The fact is none of the 4 companies need borrowed money to support their currently operations which are profitable despite high silicon costs... Their debts are used to expand their production capacity due to worldwide growing demand...

Another fact is that polysilicon is dropping now from the peak price $450-$500/kg earlier this year and more drop is expected later this year... There are several authorative forcasts now predicting that polysilicon price will drop well under $200/kg in 2 to 3 years...

A Look at Four Polysilicon-Based PV Manufacturers' Funding

First, all the 4 companies are high growth companies (see their quarterly and anual revenue and net earning growth)... for a high-growth company in a high growth industry, carrying some debts (either long-term or short-term) are very normal. They need to spend borrowed money in expanding their capaticy. Therefore some cap-ex are very normal so long as these debts are within managable level.

Second, these comapnies are making money, not as you said "lossing money"... Solar companies that are losing money now are ENER, ESLR, AKNS, ASTI, HOKU, DSTI... which are not included in your discussion...