aapladay

Solar and Cash: The Big Boys Have an Answer - Do You?

Cramer said in a video that FSLR is a better play because it supplies for industrial projects and has cash. However a 100 multiple is still hard to swallow even with a foward 1/3 of that. If something goes wrong alot of money is at stake. TSL has the risk of having to raise capital, that makes the 14 PE and 6 FPE as not possibly being relevant as diluting shares could affect that. I would still take that 14 over a 100, but FSLR still deserves a premium given it's cash and technology.
Cramer also said there isnt a market for home panels and I think that is rubbish. Natural gas will probably not go back down to where it was just as oil and that will cause electricity to go up. Demand is also growing fast for grid power, faster than supply. Anyone listened to Boone Pickens? I think he's right! All a new home owner would have to do is subtract that 4th bedroom and 3rd bathroom to have free electricity especially in the south! Same thing as fighting oil prices by buying a smaller car. Sure not everyone is wise enough to do this, but many are.
Just giving another side to the argument and plugging my stock of course hehe!
I do wish FSLR good luck as I think what they and the rest of the solar industry is doing is great!

Solar and Cash: The Big Boys Have an Answer - Do You?

Solar is costs more, but there is many reasons to invest in it.
*Early adopters- people who want the technology just to say they have it.
*Enviromentalists-need I say more
*Commodity booms-slap me once, shame on you; slap me twice, shame on me. Beware another commodity boom! Get this technology in place as a hedge against another boom.
*People who just want to be off the grid(or be able to sell to it)-I'm on of these, and I would consider moving to AZ just to be able to have a solar powered house. I do live in a windy part of WA though and am looking into a wind generator.
*Plug in electric cars-while using mainly the night time to recharge they will enough of them soon enough to drive up electric rates.

Any more reasons and thoughts are welcome.