NEW YORK — Solar-product stocks continued to gain Thursday on strong earnings reports from Canadian Solar Inc. and Suntech Power Holdings Co. and an update from LDK Solar Co. on its polysilicon inventories investigation.
Canadian Solar shares led the rally, posting a gain of $1.97, or 13.6 percent, to $16.50 in morning trading. Its shares have risen by 48.4 percent this week, driven by a sharp rise in third-quarter profit reported Wednesday. Analysts had been expecting the company to post a loss.
Suntech shares gained $6.07, or 9.8 percent, to $67.76. The company said "robust demand" caused a 43.8 percent rise in third-quarter profit. Suntech pushed up its 1 gigawatt production capacity target to the end of 2008, two years earlier than it previously targeted.
The company earlier set a production capacity target of 600 megawatts by the end of 2008 and expected to reach the 1 gigawatt target by the end of 2010. A one-megawatt power plant running continuously at full capacity can power 778 households each year, according to the Department of Energy. Solar technologies have lower capacity factors because their availability to generate power is constrained by availability of the sun.
LDK shares also rose sharply after the company said it expects to report in December results from its investigation into whether it misstated polysilicon inventories. The Securities and Exchange Commission and New York Stock Exchange are also investigating its inventories. It will issue its delayed third-quarter earnings "shortly thereafter" and said its business "remains strong" despite the probes.
Among other gainers were JA Solar Holdings Co., which rose $2.57, or 4.9 percent, to $55.28; Trina Solar Ltd., which rose $2.18, or 4.3 percent to $52.90; and Yingli Green Energy Holding Co., which rose $1.17, or 3.8 percent, to $31.90.
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