My opinion is that bears should buy these stocks and sell covered calls on them. If they run then you would chase the stock value upward but if they fall a little you buy back to cover and keep the change to pay for the equity. Wait for a run back up and sell some more covered calls. I think the volatility here and the low stock price is the prime time for this play.
APWR is not a solar stock. They are Wind Energy. My call on APWR would be to buy June $12.50 or $15 calls. Earnings will be beaten severely again on June 1 earnings call and i think we see a run to nearly $17. New contracts and the completion of one of the largest Windturbine Manufacturing plants in China with support and Billions in commitment from the Chinese Govt and Superior involvement by GE i think this stock is set to sail to $30-$40 by the end of 2011 if not sooner.
10 Bullish Option Spread Strategies [View article]
10 Bullish Option Spread Strategies [View article]