TAN a SCREAMING buy!!!
I have been talking about solar more and more as prices go lower and lower. Not just the stock prices mind you, but the cost of installing solar.
According to GE and other industry followers and sources, the massive advancements in solar electricity generation will place it on par with natural gas fired electricity by mid decade. Already, costs for commercial installation of solar are down 60% the past five years. The plunge in costs this year has been over 30% alone. That drop in costs has directly caused many companies to become non-profitable as there is too much supply short term in the face of market and political volatility. As companies merge, disappear and become stronger, this volatility is the buy fear opportunity, maybe of a lifetime.
I've written more extensively about solar in two other places. The nascent fool blogs network beta:
And on Market Watch:
For those who bother to actually learn the industry, what you are finding is that the massive consolidation in solar companies as a handful go bust, is likely to be followed by a M&A binge. Already in Q3 large companies began to scoop up affordable companies with strategic advantages for them, and venture capital and private equity began to ramp investments.
The growth of solar can no longer be denied by zealots of other ideas. We are seeing growth rates of 35% as far as the eye can see. Big companies are jumping on board. So are the very wealthy. Do your research, but you should probably find a way to buy in too. I like TAN and some non-pure plays.
My clients at Bluemound Asset Management, LLC and I own TAN.