tech/a
No Ordinary Duck
- Joined
- 14 October 2004
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clowboy said:Eliot wave???
yoinked from - van der Meijde - HCHi guys,
Thought these points may interest:
- Since October last year the DrKW (Dresdner) Solar Index, which covers all solar companies listed in the world, has risen approximately 450%.
- This index is the number one performing index of any index in the world so far for 2006
- Some of the companies on this index have had astronomically large increases in market capitalisation in recent months. To name just a few Q Cells (a reasonably new listing, up 67% in 3 months to 3219 million euro), Solarworld (up 88% in 3 months to 3092 mill euro), and Conergy (up 82% to $1386 mill). There has also been some very large listings in the US in that time, with two companies representing some $6.5 billion euro of market cap!
- This is due largely to the sensational subsidy programs in Europe for both Solar electric (PV) and solar thermal (hot water). Yesterday's annoucement was very significant for Solco, particularly as there will be sales made to the Italian market, which is closely following Germany and Spain for the best subsidy programs (Solco is also in place in Portugal, from which they sell to Spain).
- Solco is one of the smallest companies on this index, and even after the recent run is still one of the worst performing (down 1.8% over the last 3 months). THis is a function of two major shareholders, selling stock, despite Solco's forecast to achieve its maiden profit. These shareholders sold most of their stock on Monday, and I suspect the balance on Tuesday.
- What started this run was a tip sheet in Germany called wallstreet-online.de calling a switch from Dyesol at ~ $2 to Solco at 18c. Wallstreet online is one of the largest of the tipsheets in Germany
- Large broking firms in Europe such as Dresdner and Credit Suisse are extensively covering the solar market. Co-incidentally (?) a lot of the buying in recent days in Solco has been from Credit Suisse.
YOUNG_TRADER said:It looks like a good company but I think 1st half results will be a bit dissapointing, from what I can see in 1st half they achieved sales of $9.5m (which is really good given that total 04/05 sales were $10.2m) however I think it will still be a loss of around $1m for 1st half.
YOUNG_TRADER said:I think company will beat forecast sales of $16m this year if they continue with good sales volumes, yet EBIT based on sales of $16m is only $0.4m.
Company looks good long term but needs to demonstrate a bit more ooomph, not to mention the fact that they planned 2 lots of capital raisings,
1. To institutions 6m@28c, as far as I can tell not even $1 was raised from this
2. SPP 3m@28c ended up being 2m@20c
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