User 183938

Those Bubbling Solar Stocks

Larsson:

I really can't agree with you more on your statement. One thing which Adam is fundamentally incorrect in this analysis for solar stocks bubble is that "All the
Stocks Current Price contains the future projections of growth.
Just looked at the
Google : P/E is 38 , why the stock price is so high. Because:
1. The current revenue topped estimate a lot ( 30% )
2. The future projections for internet search is still bright.
there are tons of stock have lower P/E ratio with the everdropping price because there is no bright future. If you want to site the evidence , then let me ask you how much profit/revenue growth for
SPWR in this quarter? The revenue soar 92% and Net Profit has 10 times growth. That's a strong evidence to shut up anyone's mouse
who said solar is a bubble. My point is that "the potential growth" and the current revenue/profit composed a stock price.
Like:
Intel : Flat , slowly up
Broadcom : Sharply up
Because the communications sector has "MORE" potential growth than PC. Even though both company has very good revenue/profit.
But you can see the price/difference.