ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Evergreen Solar’s sudden resurgence in October remains a mystery to me. Nothing in the recent third quarter earnings report explains the sudden return of enthusiasm to the stock. On the other hand, there was just enough reassurance in the report to once again suspend fears of the worst outcomes. ESLR remains a speculative play on … Read more
Slowdown in Germany? Italy cutting solar subsidies 6-10%? The Czech Republic trimming subsidies? A deterioration in ASPs (average selling prices) in the second half of 2011? A huge follow-on offering of 3.5M ADS (American Depository Shares) in which insiders are cashing in on 43% of the shares? Jinko Solar (JKS) mentioned all these potential headwinds … Read more
While many gear up for the elections and the Federal Reserve, I am bracing myself for a barrage of earnings from solar companies. Thursday night, First Solar (FSLR) kicked off the earnings parade in disappointing fashion as the market reacted by taking the stock down 9%. It seems that the market agonized over two main … Read more
The stock market responded favorably to Thursday evening’s earnings report from Lender Processing Services, Inc (LPS) by sending the stock up 5%. Buying volume was also strong at 3.3 million shares, almost doubling the 1.7M 3-month average. *Chart created using TeleChart: I suspect a material portion of this buying came from disappointed shorts who were … Read more
I continue to keep tabs on the performance of non-residential (commercial) real estate through the eyes of the companies that service this industry. Unlike previous quarters, earnings reports are a bit more mixed about the condition and outlook for non-residential real estate. Current conditions remain poor, but companies are now straining to see some light … Read more