Tuesday, July 31, 2007

Rain falls on First Solar

This was a recipe for the blues.

A dismal market, particularly in the final 30 minutes, sent shares of First Solar tumbling. A less-than-scintillating earnings report sent shares from a mid-day high of $122 to a post-bell low of $98.37. Shares are trading at $103.20 in the after-hours market.

Though the Co increased year-over-year earnings to $77.9 million and met expectations with an EPS of $.07, it wasn't enough to support the stock. FLSR shares gained 100% in recent months.

Recent insider selling by CEO Michael Aheam and key investors from the Walton family weren't a positive sign for First Solar longs. While the selling was a big net return at a price of $107 per share, the stock continued to rise on momentum before tumbling today.

See the Q2 earnings report here.

Pupule Paul has no position in FSLR.

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