Green Stocks Upgrade/Downgrades Roundup: CREE, SPWRA, YGE, FSLR, STP

There were a few upgrades and downgrades of green stocks today, particularly in the solar space that I wanted to run through tonight. 

Macquarie made a few calls in the solar space worth mentioning:

Yingli Green Energy (YGE) was upgraded from Neutral to Outperform.  Shares finished up more than 5% and bounced off the 50 day moving average.

Sunpower (SPWRA) was upgraded from Underperform to Neutral.  Shares finished up nearly 7% today and are nearing resistance of the July and Sept highs.

Suntech Power (STP) was downgraded from Neutral to Underperform, but shares held up today by closing in the green and remain above the 200 day moving average.

First Solar (FSLR) was downgraded from Outperform to Neutral, but shares shook off the downgrade closing up a few percent to above 150 once again.


Broadpoint reiterated its Buy rating on Sunpower (SPWRA) and raised estimates due to strong European demand.  Hat tip to for the following analyst comments:

“We are moving our Q309 estimates higher due to better than expected demand in Germany and Italy. In addition, we now believe the risk to our FY10 estimates is to the upside given an expanding utility-scale pipeline and strength in the US ahead of ITC grant expiration, along with an improving commercial installation financing environment…Sentiment remains negative towards SPWRA/B, which we believe helps limit risk to the downside when coupled with improving demand and expanding operating margins in 2010. We would own SPWRA/B ahead of significant growth in 2010 with estimate revision bias to the upside.”


Merriman Curhan Ford reiterates its Buy rating on Cree (CREE).  Again, hat tip to for the following analyst comment:

“We are expecting C2H09 revenue and EPS upside driven by demand for Cree’s LED chip and component business from TV backlighting and outdoor/indoor lighting, respectively. Cree is expected to report its September quarter results on October 20 after the market close where we expect both earnings upside and a positive outlook for 2010.  Given the acceleration in LED adoption, we are raising our revenue outlook for FY10 to $720M from $700M (the consensus is at $697M) but are maintaining our $1.00 EPS estimate (the consensus is at $0.92) given the higher share count. We are raising our FY11 EPS estimate to $1.30 from $1.25 (the consensus is at $1.20) and introducing a FY12 revenue forecast at $1,075M and an EPS of $1.60.”

CREE has been on a torrid run this year, nearly tripling in price.  It was up another 2% today and is closing in on the 2004 highs.  I’m a seller on any spike after earnings. 

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