MEMC Electronic Materials, Inc. (WFR)

The stimulus package will certainly have a substantial amount of spending in the solar alternative fuels and this stock should benefit, there are many other wafer suppliers but WFR has some technological advantages that should move it higher.

Low debt, high cash, undervalued.

Rock-solid financial position. War chest of cash and little debt. Big solar trends in its favor should keep the free cash flowing for years.

CAPS ALLSTAR

MEMC Electronics can't seem to keep momentum going. As a supplier of wafers, primarily to the solar industry it not only rides up and down with their sentiment, it has also had some large hits from management turnover and production issues. MEMC recently announced a loss that surprised analysts. At the same time it announced buying a privately held solar panel installer SunEdison. In many cases if you sell a sub-component, you don't want to also be in the business of selling/bidding on the final product as well...something about competing with your own subcomponent customers doesn't go over very well. I don't think this will be a serious issue in this industry. SunEdison has done well as an installer and getting components from MEMC at their cost as a division of MEMC should help them. It will also give them broader reach and possibly expand their customer base. Since MEMC has a good supply of cash, I consider the SunEdison deal to be positive. As far as the loss this quarter, again due to their cash position and the loss being partially caused by a shift in manufacturing locations and the associated costs and that solar power is "catching" on, albeit more slowly than expected a few years ago, that MEMC will bounce back. This pick may take a while to mature, but I like the 10% discount I received from the market today. Low growth, but profit margins at 17% and operating margins at 25%, P/B of 1.56, minimal debt although it did take on some with the SunEdison purchase when that is finalized.

Compared to some of the other companys with 4-5 stars at this time. This one is actually showing earnings even though they are small. The others are losing money and are much more speculative. From a technical standpoint it should be at or near support and it looks like a relatively quick 10-20 percent could be made over the next month or two.

$1Billion in cash, only $50million in debt. Short term should remain weak, but long term can be a 2 bagger.

Management's cost cutting plans and actions, inventory reduction (unplanned shutdown in Pasadena plant), strong backlogs and contracts will bring a better results than analysts outlook even though overall market may carry hunch for next 12 to 18 months...

Cash, Cash flow, low debt, hit hard the past year

5 stars from 4. Bouncing back from a tough 12 months.

Upthumb. Good cash flow, no dividend. Low debt.

Good cash generator. Linked to solar energy; low debt

http://www.fool.com/investing/high-growth/2009/06/21/the-next-millionaire-maker-megatrend.aspx

Growing.

This is one of the best solar plays. H/T to Minyanville.

Pure target price play based on industry avg PE and estimated 2009 EPS. Looking for min 25% ROI

I feel like I am buying a new Cadillac for $2K with all the extras thrown in.

With a P/E @ just over 8 and Mkt Cap of 3.17B, use common sense and remember why the price is even down.

They have everything it takes to move into other markets if problems continue in the current, which I think will be short term.

Solid performer. Affected by macro-economics.
Once upturn is realized in tech and it's tangible products, WFR will lead the way. Comfortable accumulation here below $20.

The fear mentality strikes again. Revenue is below analysts estimates and Wall Street downgrades their opinion.

Look a little closer and you'll notice that rev was within 5% of the estimates and that the company has cash on hand that is 2X liabilities and minimal long-term debt.

Was today's 16% drop in price justified???