Piper Jaffray Still Negative on LDK Even After Updated Guidance
LDK Hot Sheet
Rating Summary:2 Buy, 4 Hold, 10 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 16 | Down: 7 | New: 23
Piper Jaffray comments on LDK Solar (NYSE: LDK) following an update on guidance from the company, Piper reiterated their Sell rating on valuation and lack of clarity surrounding its poly supply (cost) and its polysilicon ramp.
The firm said, "If our thesis is correct, LDK's gross margin for 2009 would be less than half its guidance. In conclusion, the press release does not increase our confidence in LDK's ability to source poly or make its own poly. The stock is up ~5% intra-day on what we believe to be short covering on today's announcement."
Piper Jaffray has a $34.50 price target on LDK. The stock is currently at $49.40.
The firm said, "If our thesis is correct, LDK's gross margin for 2009 would be less than half its guidance. In conclusion, the press release does not increase our confidence in LDK's ability to source poly or make its own poly. The stock is up ~5% intra-day on what we believe to be short covering on today's announcement."
Piper Jaffray has a $34.50 price target on LDK. The stock is currently at $49.40.
You May Also Be Interested In
- Notable 52-Week Highs and Lows of the Day 05/25: (LCC) (RPRX) High; (DCTH) (MXWL) (VIP) Low
- LDK Solar Responds to US Department of Commerce's Preliminary Decision on Antidumping Tariffs for Chinese Solar Cells and Modules
- Goldman Sachs Cuts Numbers on Tiffany & Co. (TIF) after Weak Q1, Guidance
Create E-mail Alert Related Categories
Analyst Comments, Trader TalkRelated Entities
Piper JaffraySign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
