Suntech Power Holdings Co., Ltd. (STP)

Suntech Power Holdings Co., Ltd. (STP) is the leading solar technology company in the world. It designs and manufactures photovoltaic (PV) cells and modules but the reduced demand and huge capacity build up over the last few years made solar product prices drop sharply.
Its products include monocrystalline and multicrystalline silicon PV cells.

The recent oil price recovery helped the whole solar industry, since higher Oil prices means solar energy is more cost competitive and becomes more attractive as an alternative source of energy.

Suntech Power is one of the few solar stocks that is profitable in the last years, and even with the current crisis, it will probably remain profitable during this fiscal year, even if affected by the lower demand and the lower oil prices.

Suntech Power's latest upgrades and backing from China's goverment can guarantee that the company will bode well in the next years.

In the short-term, the technical analysis points to a possible retraction for the next weeks, but the trend for the next months seems to be either sideways or bullish.
If the world markets keep the recent recovery trend up, STP will probably follow along.

Suntech Power Holdings is up around 30% since the start of 2009, and more than tripled since its March lows.

Labels: photovoltaic, solar analysis, Solar Stocks, solarstocks, STP, Suntech Power

posted by Ertai at 6:00 AM