Suntech Power Swinging up

Suntech Power Holdings Co. seems to be starting another short-term bullish trend for the next week. Other Solar Stocks like SPWRA and SOLF seem to have the same pattern.

Meanwhile there is a good read on istockanalyst regarding Solar Stocks:
Solar Stocks For 2010

Upon review, the second quarter wasn't at all bad for solar stocks.

Most household names reported earnings higher than Street estimates, including First Solar (NASDAQ: FSLR: 156.6, 1.8), Suntech (NYSE: STP: 14.98, 0.38), and SunPower (NASDAQ: SPWRA: 30.51, 0.71) — all of which turned a profit.

Several companies also reiterated or raised forward-looking guidance.

But I'd be remiss if I didn't say there was a feeling of anxiety brewing. Some second-tier companies lowered gross margin outlook as a result of falling average selling prices (ASPs). Module prices fell ~9% in the quarter, ranging anywhere from $2.50-$3.00/W, and were expected to decline further in the second half of the year.

Further up the supply chain, prices were also falling for polysilicon, the industry's raw material. Prices have been reduced by more than half and are now hovering in the $50-$60 per kilogram range. Producers like MEMC (NYSE: WFR) need prices above ~$28 to turn any kind of profit.

Full Article

Labels: solar charts, Solar Stocks, solarstocks, SOLF, SPWRA, STP, Suntech Power

posted by Ertai at 10:04 AM