Solar stocks have been the best performers since April of 08.......
What is propelling this sector into the-strongest category???
-Highest growth rate in both Sales & EPS
-Awareness about Alternative energy
-Cleaner fossil fuel
-Serious energy shortage around the world
-Sky high price of Oil
-If $130 price of oil sticks...then Solar will be pushed by more government & United Nations
-Solar is easy to harness around the world
Solar stocks comeback on Friday with Oil has convinced ME that this sector is for real !!!
Solar stocks wants to go higher much more than what we are READY for....most hyper growth cycle last for @ least a decade......we are in year 2 now...8 more years to go !!!!
So which Solar stock is looking attractive right now based on stocks I monitor...here is current rundown on some popular names as of Friday's close:
JASO price $23.44 EPS 08 92 cents PE 25.48
STP price $46.89 EPS 08 $1.55 PE 30.25
YGE price $22.30 EPS 08 90 cents PE 24.7
SOL price $$24.10 EPS 08 $1.24 PE 19.44
SOLF price $22.58 EPS 08 97 cents PE 23.28
LDK price $47.16 EPS $1.67 PE 28.24
TSL price $48.33 EPS $3.14 PE 15.39
CSIQ price $38.49 EPS $2.35 PE 16.38
Based on EPS growth rates for most solar they are showing an average of 50% for 09.....this growth should translate into major gains in stock price......
Based on the latest earning reports and CC...CEO's are very confident of their rapid growth going forward......
I personally believe that Solar has graduated from another CONCEPT arena to a hyper- growth sector.......
I will NOT hesitate to give PE of 35 as an average based on superior growth in their EPS...some may trade much higher than this..... as is clearly the case if we look @ FSLR (96.03 PE for 08)& SPWR(39.26 PE for 08).....
As the evidence of superior growth is IN...I will personally try to overweight solar .......
Here is my $ weighting as of Friday's close :
AAPL 27.5%
PMCS 6.0%
RIMM 52.5%
SOL 14.0%
We are NEAR support level for the markets as most sectors are OVERSOLD except solar....solar is showing major relative strength....so it will be prudent to be overweight !!!!
BLOG does NOT give buy or sell.
Saleem
18 comments:
SALEEM
Happy Memorial day--Hurray!!
PLease - I hope your mother is fine and holding on very well. I have said
prayers. YOU are so fortunate to have a good family and they are so supportive of each other! You have a lot to be thankful for.
In you analysis of Solar, the one thing missing is, IMHO, does the big boy agress with your analysis. If we move up our $$$$ to solar, it could tank! that saidI can look up all of your solar plays in IBD and send them to ya... It would reveal which one has the most Mutual Fund support.
SOL appears to be most strong by IBD A+ and 99, 98, A+, A, A. That is some power behind SOL.
just my .02 cents.
Enjoy hte beautifull day, it is 80% is DC today...
Hi Madmax,
Thanks for your prayers & best wishes for my mother's operation & post operative recovery.
Yes...I have been very fortunate all my life with well wishers from outside & inside my family.
Another brother fron NJ is also in Houston to give big boost to mother ..so there are 2 sisters & 3 brothers in Houston.....
I have to be in Toronto as my wife health issues requires me in the house.
About Solar......I always recognize a trend very quickly....you do not have to buy any other solar stock beside SOL...just look @ your SOL $ allocation.....if you have enough then you are all set to gain !!!
Toronto Stock exchange is open today...RIMM is trading currently down 30 cents in Canadian $.
When US markets are closed trading in Canada is very slow/lowest volume...
The only solar stock info I like is TSL & CSIQ.....listed in GREEN..
Saleem
Guys, following is the GS Solar holdings as of 05/13... as you know Goldman is always on the right side of the markets, I see a big upgrade or good comments coming out of Goldman regarding Solar very soon:
LDK is leading the holdings, it is still very undervalued, this is the right time to get in all the Solars.
LDK 725,782 $47.16 $34,227,879
SOL 145,250 $24.10 $3,500,525
SOLF 783,441 $22.58 $17,690,098
FSLP 455,043 $278.48 $126,720,374
TSL 106,961 $48.33 $5,169,425
CSIQ 163,950 $38.49 $6,310,436
ASTI 288 $13.14 $3,784
SPWR 849,862 $85.19 $72,399,744
S9H.BE 1,928,026 $45.06 $86,876,852
JASO 411,284 $23.44 $9,640,497
HOKU 178,363 $8.03 $1,432,255
YGE 159,557 $22.30 $3,558,121
ESLR 547,159 $10.97 $6,002,334
Hi Troy,
Thanks for the GS info on their solar exposure.
GS exposure is very compelling...
As you know..I do not monitor institutions holdings...so it is comforting to know that I am NOT on the wrong track...tape reading WORKS !!!
Saleem
TROY
I really appreciate your GS input
Do ya hold LDK?? What are your thoughts for the solar stocks.
Solar and alterantive energy plays is all that is on the tv lately!
Good Luck
madmax, I have bunch of solar stocks, LDK, YGE, & TSL... I am holding them for long long term like atleast 2009 or 2010...
Alternative energy and solar is just starting up.... it has long way to go...IMHO
THis is an interesting web site:
http://finance.yahoo.com/tech-ticker/article/2375/Solar-Stocks-Rise-from-the-Depths
IBD comment on SOL:
ReneSola, (SOL) a China-based maker of wafers for solar cells, rallied 1.21 to 24.10. The gain was on moderately higher volume. Since Tuesday, traders were selling the company in much higher volume.
Here is the IBD 100 stocks listings
% Off
Rank Company Symbol Price High
---- ---- ---- ---- ----
1 CONTINENTAL RES INC CLR 59.63 -6.4
2 GRAHAM CORP GHM 56.6 -20.9
3 POTASH CORP SASKATCHEWAN POT 196.33 -9.1
4 RENESOLA LTD ADS SOL 24.1 -18.3
5 TITAN MACHINERY INC TITN 25.12 -4.1
6 MASTERCARD INC CL A MA 273.22 -9.4
7 SOCIEDAD QUIMICA Y MINRA SQM 33.59 -4
8 BAIDU.COM INC ADS BIDU 328.71 -23.4
9 BUCYRUS INTERNATIONAL BUCY 132.16 -8.4
10 ARENA RESOURCES INC ARD 52.14 -9.5
11 DENBURY RESOURCES INC DNR 36.04 -6.6
12 RESEARCH IN MOTION LTD RIMM 131.64 -8.9
13 DRYSHIPS INC DRYS 90.05 -31.4
14 C F INDUSTRIES HOLDINGS CF 127.3 -19.9
15 SOUTHWESTERN ENERGY CO SWN 45.05 -9.9
16 T THREE ENERGY SERVICES TTES 61.81 -7.3
17 HESS CORP HES 125.09 -8.7
18 GEORESOURCES INC GEOI 25.85 -5.9
19 MOSAIC COMPANY MOS 119.86 -16.4
20 COMPANHIA SIDERURGIC ADS SID 49.48 -5.7
21 PERICOM SEMICONDUCTOR PSEM 17.83 -8.6
22 CONCUR TECHNOLOGIES INC CNQR 35.5 -11.1
23 G M X RESOURCES INC GMXR 41.13 -10.4
24 GRAFTECH INTERNATIONAL GTI 25.09 -3.8
25 TERRA NITROGEN CO LP TNH 146.02 -14.8
26 A B B LTD ABB 32.76 -1.9
27 MONOLITHIC POWER SYSTEMS MPWR 23.09 -11.7
28 NATIONAL OILWELL VARCO NOV 81.35 -6.4
29 NATURAL GAS SERVICES GRP NGS 27.85 -12.3
30 RANGE RESOURCES CORP RRC 68.72 -10.5
31 ENERSYS ENS 29.69 -12.6
32 QUICKSILVER RESOURCES KWK 37.39 -16.9
33 MONSANTO CO MON 121.45 -8.2
34 NOBLE ENERGY INC NBL 97.96 -6.8
35 AGRIUM INC AGU 84.21 -11.8
36 JINPAN INTERNATIONAL LTD JST 40.41 -9.9
37 BAYTEX ENERGY TRUST BTE 29.64 -4.7
38 FLOWSERVE CORP FLS 130.11 -0.3
39 F M C TECHNOLOGIES INC FTI 75.55 -9.2
40 INTEGRAL SYSTEMS INC ISYS 37 -3.9
41 PETROQUEST ENERGY INC PQ 21.27 -10.4
42 C S X CORP CSX 66.73 -5.6
43 OCCIDENTAL PETROLEUM OXY 93.34 -6.7
44 LUMBER LIQUIDATORS INC LL 15.07 -16.9
45 METALICO INC MEA 15.2 -13.1
46 APACHE CORP APA 139.41 -6.6
47 CENTRAL EUROPEAN DIST CP CEDC 69.08 -1
48 SUN HYDRAULICS INC SNHY 37.54 -8.8
49 WHITING PETROLEUM CORP WLL 93.96 -3
50 HILL INTERNATIONAL INC HIL 15.19 -4.7
51 CYBERSOURCE CORPORATION CYBS 17.96 -12
52 PRICELINE.COM INC PCLN 131.65 -8.8
53 GULFMARK OFFSHORE INC GLF 61.37 -8.8
54 ATWOOD OCEANICS INC ATW 101.82 -10.3
55 PRIDE INTERNATIONAL INC PDE 44.93 -5
56 APPLE INC AAPL 181.17 -10.7
57 NEW ORIENTL EDU&TECH ADS EDU 75.2 -18.4
58 MURPHY OIL CORP MUR 94.41 -5.3
59 NEWMARKET CORPORATION NEU 70.27 -24.9
60 SWIFT ENERGY CO SFY 58.14 -8.2
61 NOBLE CORP NE 62.87 -6.2
62 WESTERN DIGITAL CORP WDC 35.23 -2
63 BERRY PETROLEUM CO CL A BRY 52.7 -7.7
64 ST MARY LAND & EXLORATN SM 50.16 -4.6
65 SYNIVERSE HOLDINGS INC SVR 20.93 -8.7
66 ENCANA CORP ECA 93.31 -6.1
67 VALMONT INDUSTRIES INC VMI 111.9 -5.8
68 E O G RESOURCES INC EOG 134.97 -6.9
69 SOHU.COM INC SOHU 76.7 -10.7
70 CIMAREX ENERGY CO XEC 69.21 -4.2
71 W & T OFFSHORE INC WTI 54.3 -2.5
72 INTUITIVE SURGICAL INC ISRG 284.77 -20.8
73 VIMPEL COMMUNICATIONS VIP 34.87 -23.3
74 TRANSOCEAN INC RIG 152.01 -6.7
75 KANSAS CITY SOUTHERN KSU 46.31 -6.8
76 CELANESE CORP CE 47.48 -4.9
77 GARDNER DENVER INC GDI 49.82 -4.2
78 WEATHERFORD INTL LTD WFT 84.48 -7.8
79 BADGER METER INC BMI 45.95 -16.5
80 KIRBY CORP KEX 56.35 -8.6
81 VENOCO INC VQ 20.21 -14.8
82 GORMAN-RUPP CO GRC 40.3 -5.7
83 SADIA SA ADR SDA 23.53 -2.2
84 ANADARKO PETROLEUM CORP APC 76.02 -6.6
85 COMPASS MINERALS INTL CMP 70.9 -7.1
86 NEXEN INC NXY 39.63 -4.9
87 CHART INDUSTRIES INC GTLS 40.89 -4
88 ARCH COAL INC ACI 62.9 -8.4
89 SUNCOR ENERGY INC SU 142.22 -4.3
90 PETROLEO BRAS SA PTR ADR PBR 72.38 -6.7
91 PETROLEO BRAS CL A ADR PBRA 61.16 -5.8
92 CANADIAN NATURAL RES LTD CNQ 101.76 -6.3
93 AXSYS TECHNOLOGIES INC AXYS 55.47 -4
94 DARWIN PROF UNDERWRITERS DR 27.35 -3.7
95 L K Q CORP LKQX 21.68 -13.3
96 ANSYS INC ANSS 41.76 -9.1
97 CORE LABORATORIES NV CLB 137.83 -11.4
98 GAFISA S A ADS GFA 39.11 -21.9
99 N V E CORP NVEC 35.16 -16.2
100 CLEAN HARBORS INC CLHB 65.95 -3
hi saleem
wishing your mom a speedy recovery.hope she is fine
i dont have much time to do trading these days and so i dont post messages. but i do visi t your blog daily when i come home after work.
good luck
steve
hi saleem
wishing your mom a speedy recovery. hope she is fine.
i do visit your blog daily after work. but i am not allowed to do trading during my working hours. and so not much trading.
good luck
steve
Hi Steve,
Nice to see your message.
Thanks for your best wishes.
Nice to know that you still visit BLOG daily.
How is the crown prince !!!
Saleem
hi saleem
thanks for your reply. my son is fine. he just turned 1 on may 10. i hope he will become one like you helping others. time flies, and i just cant belive he is already one.
keeping your mom in our thoughts.
once again thanks
steve
SALEEM
Good Morning
How are things stocks seem to look downward today
Japan closed up lets hope same for US
Any news news on your mother?
Hi Steve,
Generally Taurus are very helpful by nature..I am sure your 1 year heir to the family name will do the same.
Always tell him motivational stories...then he will know that impossible IS possible !!!
Saleem
Hi Madmax,
Start counting your $$$.....things are looking UP......
Even V is looking good!!!
Saleem
Looks like Solar sell off today/
Hi,
pl.get in SPRD,CNTF
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