It looks like Energy Conversion Devices (ENER, $51.62, up $3.88) has turned things around after hitting another 52-week high today. The stock was at $35 before the company announced earnings last Thursday and closed that day $15 higher after reporting a profit for its third-quarter and offering strong fourth-quarter revenue guidance.
Energy Conversion Devices reported a profit of $7 million, or $0.17 a share versus a year-ago loss of $6.9 million, or $0.17 a share. Revenue increased to $70 million up from $27 million. Wall Street had expected a loss of $0.06 a share on revenue of $66.7 million.
I’ve mentioned First Solar (FSLR, $284.84, up $0.34) in the past and like First Solar, ECD’s solar panels do not use polysilicon so the company isn’t affected by the low polysilicon supplies. ECD’s panels are extremely lightweight and highly durable which has helped the company build a strong position in the marketplace since the panels don’t require any type of structural reinforcements. This reduces the costs and complexity of installation so customers can just pile the solar panels on their roof to generate electricity.
Hybrid Energy plays have been hot for quite some time and now that ECD has turned a profit their future is getting brighter by the quarter.