One Hot Solar Stock: SunPower's Component Sales Could Triple by 2015

SunPower boasts of being able to manufacture the most efficient large-scale solar modules in the solar power industry. After starting off producing solar power products for installation on residential and commercial units, SunPower (SPWRA) has made a foray into large-scale utility power projects with its acquisition of PowerLight Corporation.

We believe that the residential & commercial components business will continue to be the biggest source of value for the company-- they're almost 43% of our $16.22 price estimate for SunPower's stock. This is because of the exponential growth expected in the company's shipments of components for residential & commercial use. SunPower's primary competitors include First Solar (FSLR), Suntech Power (STP), and Yingli Green Energy Holding Company.

Shipment Figures Have Grown Steadily ...

Shipments of residential and commercial components increased from 49 megawatts in 2007 to 288 MW in 2010. This increase has largely been due to various benefits and subsidies provided by governments for solar energy. SunPower's efforts in increasing its dealer network has also helped improve sales over the years.


... And the Growth Will Only Get Bigger


Environmental concerns and government subsidies continue to push the demand for solar systems higher.

The prohibitive initial cost of installing solar systems was the single biggest reason for the slow adoption of this renewable source of energy, which is being alleviated to a great extent by government policies to offer discounts on solar power adoption. To quote an example, Sen. Bernie Sanders (I-Vt.) submitted a bill to congress in February 2010 called the "10 Million Solar Roofs and 10 Million Gallons of Solar Hot Water Act." The bill would create tax rebates and incentives that would cover half the cost of new systems.

SunPower is also working directly with its dealer network and offering rebates to associated businesses and employees to promote the adoption of its components.

SunPower has been able to maintain a competitive edge by continuing to manufacture the most powerful and efficient solar cells in the world. All these efforts lead us to forecast a jump in the company's shipment figures, which we believe could reach almost 850 MW by the end of 2015.

See our complete analysis for SunPower's stock here

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18 Comments

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bigjohnsdream

go green energy at Ambit .... www.newambit.com
Save money and save the enviroment.

May 27 2011 at 10:08 PM Report abuse rate up rate down Reply
cugar65

sorry i did not check read this my msg some words error cuz of my keyboard is a bit worn out,, i do again is my msg is
well solar system is worth ?? i have no idea what if i buy it. what will cost me to run start to worn out . can u gives me ur answer ??

May 27 2011 at 4:09 AM Report abuse rate up rate down Reply
cugar65

well sikae system us worth ?? i have no idea when after i buy it . what will cost me to run start to worn out. can u gives me ur answer ??

May 27 2011 at 4:04 AM Report abuse rate up rate down Reply
area31040m

The globalists need to distract you from American sovereignty. They need you to direct your focus to a "greater cause".. Will you buy into their scheme to get you to do that? Are you THAT stupid? If America collapses, I could give a CRAP about the Earth.

May 26 2011 at 7:29 PM Report abuse +1 rate up rate down Reply
1 reply to area31040m's comment
mrsilverglide

The globalists! Tne New World Order! Area, the black helicopters are hovering over your house right now!!! By what twisted logic does America collapse by creating clean energy jobs, having a cleaner envirnment and therefore a healthier population, by NOT sending billions and billions to middle east countries that give money to USA hating terrorists? It's not about "saluting the earth" (whatever the F that means), it's about being smart. You, obviously, are not.

May 26 2011 at 9:34 PM Report abuse rate up rate down Reply
area31040m

Oh yeah, a planet covered with bird-killing wind turbines and space-consuming solar panels.. How is this better than oil? It takes 56 pounds of corn to make 2.8 gallons of Ethanol. WAKE UP PEOPLE. This whole "green" environment movement is being shoved down your throat to get you to salute the Earth, and not America. This is HOW the GLOBALISTS like Soros and 0bama get YOUR kids to become ONE WORLD globalists to ONE world dictator.

May 26 2011 at 7:27 PM Report abuse rate up rate down Reply
1 reply to area31040m's comment
savemycountry911

You can't reason with the environmentalists. They have an anti-American agenda.

May 26 2011 at 9:31 PM Report abuse rate up rate down Reply
shiloh1388

The best energy solution for our planet is to use less. We need to aim to have 500 million human beings on the planet 500 years from now. That's probably a 'sustainable' human population. Solar energy "SUCKS THE SUN" AND SLOWS DOWN THE SPIN OF THE EARTH. IT'S A BAD AND DANGEROUS TECHNOLOGY, when multiplied potentially by the billions of households on the Earth. Our Earth currently has almost seven billion people on it. This number is criminal and unsustainable. The countries of India and China as well as Japan are the most culpable. Their Asian lie has been slammed by many Western intellectuals in many University departments, anthropology, psychology, sociology, History, math, physics, mechanical engineering, etc. ad nauseum. The only way to 'save energy for the future (EXISTENCE OF OUR PLANET)' IS TO USE LESS. The bama President is a moonbeam from Peter Black Panther Fairy Land. Just say no.

May 26 2011 at 7:08 PM Report abuse -1 rate up rate down Reply
mrsilverglide

Not only is oil subsidized, but the price of other dirty energy sources do not factor in their true costs, such as the billions of medical bills incurred for asthma and other maladies caused by the burning of coal, and the release of mercury into the air we breathe -- not to mention the hundreds if billions we all already incurring as a result of global warming. If you factor in what economists call the "social costs" of dirty energy, alternative energy sources are competitive - which is how a true capitalist would look at costs and pricing. But don't expect capitalism to stand in the way of the fossil fuel industry to shift costs onto consumers and ask for government hand outs...

May 26 2011 at 6:37 PM Report abuse rate up rate down Reply
XXX123

Look at GE a favorite of the Obama adminstration at $ 19.00 and stuck there...

May 26 2011 at 11:25 AM Report abuse +1 rate up rate down Reply
pete

Sunpower?

Isn't this the company that took $43 million stimulus from obama to open a new factory in Freemont, CA and expand their other factory in Newark, CA?

Then laid off 800 of the 1,000 workers in Newark and moved their operation to China because "environmental laws were to strict in CA."

May 26 2011 at 11:11 AM Report abuse +5 rate up rate down Reply
1 reply to pete's comment
bam2microa

No, that was Solyndra.

May 26 2011 at 5:06 PM Report abuse rate up rate down Reply
adrianna53

Yes, and if pigs had wings they may fly by 2015

May 26 2011 at 10:57 AM Report abuse +1 rate up rate down Reply