This New Pressure is Scorching Solar Stocks Now
The solar industry’s (NYSE:TAN) woes intensified last week when prices of 6-inch solar wafers made by companies such as MEMC Electronic Materials (NYSE:WFR) and LDK Solar Co (NYSE:LDK), fell last week by around 3.3%. During the same period silicon solar modules, made by Suntech Power Holdings (NYSE:STP), Trina Solar Limited (NYSE:TSL), and Yingli Green Energy (NYSE:YGE) dropped by 4%.
The falling product prices and the resultant decline in the stock prices of companies in the solar industry are attributed to unfair Chinese competition. According to the CEO of German solar company Solarworld, massive government loan guarantees have enabled Chinese companies to unleash a price war.
Solar stocks to watch as the industry tries to rebound: First Solar Inc. (NASDAQ:FSLR), Suntech Power Holdings (NYSE:STP), Yingli Green Energy Hold. Co. Ltd. (NYSE:YGE), LDK Solar Co. (NYSE:LDK), Canadian Solar Inc. (NASDAQ:CSIQ), JA Solar Holdings Co. (NASDAQ:JASO), MEMC Electronic Materials (NYSE:WFR), and GT Solar International Inc. (NASDAQ:SOLR), SunPower Inc (NASDAQ:SPWRA) and Trina Solar Limited (NYSE:TSL).