More Sell Ratings for Suntech Power Holdings (STP)
Biggest down movement for today in Suntech Power Holdings Co., Ltd. -7.31%
In the news:
Hapoalim Securities is out with a research report this morning, where it reiterates its Sell rating Suntech Power Holdings (NYSE: STP); it has a $6.00 price target on the stock.
The HS analysts cited the company's better than expected Q3 revenues and gross margins (though worse than expected EPS), which was driven entirely by losses due to foreign exchange.
The analysts noted that, in an effort to address a higher production cost structure than peers arising from the need to outsource all of its wafer needs, STP announced the acquisition of 375 MW of wafer capacity from one of its equity holdings, Glory Silicon. STP is acquiring the 70% of the capacity it doesn't own for $127 million; this implies $0.48 per watt, ahead of the $0.35-0.40 capex per watt the analysts believe standard new wafer capacity can be built.
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Labels: downgrade, Solar Stocks, STP, Suntech Power
Needham & Company Downgrades SunPower Corp. (SPWRA)
Needham analyst says, "We are downgrading SunPower to Hold due to increased downside risk to estimates and currency headwinds. We see increased risk surrounding SunPower's expanded European pipeline of systems business due to the possibility of additional subsidy cuts, currency headwinds and growing macro concerns in Europe. Furthermore, SunPower continues to face pricing pressure despite strong near-term demand. With a lack of near term catalysts, we expect SPWRA shares to remain range bound. Therefore, we recommend investors wait on the sideline at this time."
SunPower Corporation (SPWRA) is down -4% for today.
Labels: downgrade, solar analysis, Solar Stocks, SPWRA, SunPower Corp
ETF Preview: Solar Stocks Likely to See Downside Pressure on First Solar Downgrade
Commodities -
United States Oil Fund (USO) is down 1.5%. United States Natural Gas (UNG) is down 0.2%.
Renewed hopes for Greece being able to tackle its debt woes is weakening investors’ appetite for gold in early morning trade Tuesday. A firmer dollar is also weighing on the metal’s price. Meanwhile, there is growing concern that Chinese demand for gold may not be as strong as once thought. Gold is 0.5% lower at $1,117.90, while silver is 1.34% weaker at $1,704.00, and copper is down around 1% at $337.75. SPDR Gold Shares (GLD) is down 0.5% and Market Vectors Gold Miners fund (GDX) is down 1%, both among the most active ETFs this morning. iShares Silver Trust (SLV) is up 0.7%.
ETF Power Play -
The Claymore MAC Global Solar Energy Index (TAN) and Market Vectors Solar Energy (KWT) could see increased selling pressure closer to today’s bell.
First Solar (FSLR) is down 3.9% after JPMorgan reportedly cut its rating on the stock to Underweight from Neutral.
SourceLabels: Crude Oil, downgrade, First Solar Inc, FSLR, Solar Stocks
Solar Downgrades
Suntech Power Holdings Co., Ltd. (ADR) (NYSE: STP) gained 1.77% to $13.25 despite being downgraded by Broadpoint AmTech Research to Sell from Neutral at a price target of $10. The 52-week trading range for STP is $5.09 - $21.38. Suntech Power Holdings closed at $13.02 in the previous trading session.
Labels: downgrade, solar analysis, Solar Stocks, STP, Suntech Power
First Solar downgraded on demand, poly price drop
Sliding polysilicon prices and weak demand in Europe could pressure First Solar Inc.'s shares, said one analyst on Tuesday as he downgraded the company's stock.
Shares of the nation's largest solar-panel maker fell $10, or 5.2 percent, to $181.72 in midday trading.
Full news articleLabels: downgrade, First Solar Inc, solarstocks
First Solar, Inc. downgraded
First Solar, Inc. (Public, NASDAQ:FSLR) is down -5.4% with the following downgrade.
NEW YORK (AP) - A Citi analyst on Tuesday downgraded solar power technology company First Solar Inc. to "Hold" from "Buy" on concerns over inventory supply and future demand.
Analyst Timothy Arcuri said Tempe, Ariz.-based First Solar is the best positioned company in the solar sector in the long run. However, its stock has rallied 60 percent from recent lows. That, combined with inventory and demand concerns, justify its new "Hold" rating, the analyst said.
Arcuri said he expects the sector as a whole to face demand challenges into 2010. Despite the recent rally of solar stocks on a pending government stimulus bill and First Solar's pipeline of sizable utility-scale deals, Arcuri said that incremental demand from the bill will draw from only 20 percent of the excess cell and module supply in 2009 and up to 40 percent of that supply in 2010.
Labels: downgrade, First Solar, First Solar Inc, FSLR, Solar Stocks
Solarfun Power Holdings cut to sell at Goldman Sachs
Shares of Solarfun Power Holdings Co. Ltd. fell Thursday after the China-based solar cell maker was downgraded to sell from neutral at Goldman Sachs, which said it expects to see rising downward pressure on the bottom line and growing financial pressure.
The stock opened 6.5% down at $24.70 on volume of 838,000 shares.
"We believe the 53.8% run-up in Solarfun's share price since last week is mainly fueled by anticipation of strong first-quarter earnings," analyst Cheryl Tang said in a note to clients.
"Though Solarfun raised 2008 shipment guidance and its market presence has been improving ... we believe that, given muted future top-line growth and looming margin and cash flow pressure, its premium valuation is unwarranted."
full articleLabels: downgrade, Goldman Sachs, Solarfun, solarstocks, SOLF
