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Non-Tech : Alternative energy -- Ignore unavailable to you. Want to Upgrade?

To: Jacob Snyder who wrote (9171)	10/30/2010 2:46:08 AM
From: Jacob Snyder	Read Replies (2) \| Respond to of 16955

FSLR 3FQ10: rev 798M (778M expected) EPS 2.04 (1.94 expected) efficiency 11.3% (continues very gradual improvement) module manufacturing cost 0.77$/W (0.76 last quarter) cash 621M LT debt 224M First Solar’s quarterly gross margin was 40.3%, down 8% from the second quarter of 2010. The decrease was the result of increased low-margin engineering, procurement and construction system sales, lower Module ASPs and higher cost per watt. seekingalpha.com slightly raised guidance for 2010 rev and EPS earnings call notes: seekingalpha.com global PV market forecast: The overall industry is expected to grow at a 33% compound annual growth rate from seven gigawatts in 2009 to 17 gigawatts in 2012. The market will also continue to diversify globally. ...double our current annual capacity by 2012 to 2.7 gigawatt...new U.S. and Vietnam factories... my comment: Gross margin falling to 40% still leaves them with higher margins than anyone else. They met or exceeded expectations for the quarter, and raised guidance......but at $150, that was already in the stock. No guidance of any kind for 2011. It doesn't sound like they are making much headway in the China systems market. Overall, a solid performance; nothing spectacular either good or bad. I'm looking for a re-entry point, currently have orders to buy back at $125-105. PE = 18 = 138/7.57 (using midpoint of 2010 EPS guidance), which is reasonable.