Filed under: Apple Inc (AAPL), Oil, Suntech Power Hldgs ADS (STP), Stocks to Buy

Over the past few months, solar stocks have had more than their fair share of ups and downs. Last month, they were so volatile it seemed as if I was writing an article about another solar play every other day, introducing investors to the sector by casting the characters in a fictional movie to be called Solar’s Eleven, encouraging buying on breakouts in this article, and warning investors to drop them as if they were poorly selling music artists in this article. (Yes, I go over the top sometimes, but it’s all to help you better understand how the stock market works.)

I know buy and hold investors don’t understand how I can change my mind so quickly about the same companies, but as you can tell from the charts of stocks like Evergreen Solar (NASDAQ: ESLR), Solarfun (NASDAQ: SOLF), DayStar Technologies (NASDAQ: DSTI), Akeena Solar (NASDAQ: AKNS), Canadian Solar (NASDAQ: CSIQ) and China Sunenergy (NASDAQ: CSUN), remaining nimble is key to profiting from this sector’s volatility. In fact, only JA Solar (NASDAQ: JASO) and MEMC Electronic Materials (NYSE: WFR) have managed to hold near their highs.

So, what changed? Perception. While these companies all still have great potential, they are speculative and in bear markets, speculative stocks, especially those that don’t continuously put out spectacular news, get crushed — as shareholders in Apple (NASDAQ: AAPL), Baidu.com (NASDAQ: BIDU) and VMware (NYSE: VMW) have learned the hard way.

Continue reading Solar stocks are ready to heat up

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This entry was posted on Wednesday, January 30th, 2008 at 4:53 pm and is filed under Stocks Money News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.