Tech Randoms: Sunpower, Evergreen Solar, Teradyne

Sean Udall  Sep 03, 2008 4:05 pm

Tech Randoms: Sunpower, Evergreen Solar, Teradyne
 
Who's up and down in the industry.
 

 
  • Or should this be called "tech for ransom" until we have clear short rules? I'll say we won't see a series of higher highs until the SEC acts and we have pretty much straightlined down since August 11th.

  • Sunpower (SPWR) says pricing will be down 10-20% next year and this seems to be having more impact on the solar group than MEMC Electronic Materials' (WFR) inline update or oil falling. Here's the thing: this pricing forecast is as expected at SPWR and may actually spur more demand. I'll be on the SPWR train again but am glad I sold the last big spike. Winky Wright, as Todd likes to say.

  • Cypress Semi (CY) under $26.50 and SPWR under $80 are things I'm watching for.


  • At current levels I feel MEMC Electronic Materials (WFR) and Evergreen Solar (ESLR) are the best buys in the space and another fave is LDK Solar (LDK) after dropping a quick $7. But trading prevails here as readers will note, I sold the last spike in this name as well. At some point, these names may be better investments than trades, but not yet.

  • Speaking of ESLR, it may be getting near the "add zone" again. It's a buy in $8's and a sell above $11 for intermediate cycle trading.

  • Chips are on the chopping block yet deals and deal talk is in the air. Teradyne (TER) buys Eagle Test Systems (EGLT), but for a low premium deal here. TER gets stronger for a good price.

  • Vishay Intertech. (VSH) and International Rectifier (IRF) are still talking according to Barron's tech blog. So is IRF the next name (like Diebold (DBD)) that could catch a bid or two as they keep fighting accounting issues. VSH's first bid for IRF was at book and you can bet VSH would love to buy IRF at book.

  • Akamai (AKAM) has all the looks of becoming a teenager. Say it ain't so, AKAM. I'm taking a defined stab here and hoping AKAM avoids the teens.

  • Is it just me or is the Beige Book a "master of the obvious"?

  • Qualcomm (QCOM) says sales cycles are getting longer.
Rate this article: (0 Votes)
Comments (2) See All Comments »
09-03-2008, 9:50 pm
I stopped reading after the first paragraph. Please stop crying. Blaming short sellers for technology's (under)performance over recent days is unbecoming for this website that I find to be very informative and offering a refreshingly unique p
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09-04-2008, 2:12 pm
I wish I had the resources to do a proper evaluation of the industry, especially capacity vs. channel growth.

I know that FSLR wins the big deals because their costs per watt are so much lower than the silicon guys.

I would
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discuss this article and more on the mv exchange
Position in WFR, ESLR, TER, AKAM.

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Sean Udall has previously managed assets at Morgan Stanley and Smith Barney. He has also conducted equity research for Fisher Investments and Wilshire Associates. Sean Udall welcomes your comments and/or feedback at udall@minyanville.com.

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