locogmac > Blogs

User Avatar
Brokerage Account

Member since: Sep 06

JASO : The Rising Sun

Catchy Title eh?

Well, at market open tomorrow, JASO should be in the range of $15-16 dollars. Today it was trading in the $40s. A 3:1 stock split is happening on this stock before the market open. This is the first solar stock (I believe) to do so, and it has taken quite a beating since the start of the year when it was near it's all time highs of mid 70s.

For those who aren't familiar with this stock, it was the number one IPO in terms of % for the year of 2007. If you got in at the IPO, you'd have made more than 350% in returns. Lucky for me, I've held this stock since its IPO, so I've rode many of its ups and downs along the way. Many of my friends and my dad recommended me to sell it after it doubled to $30 within a few months of its IPO. At end of year 2007, I was sitting on this scorcher that had given me 300%+ gain in less than a year. Not bad for my first full year of trading/investing in stocks, right? 

Right, but still lessons have been learned. Looking back, I feel like at the time I was falling in love with the stock and maybe I still am. I mean, who doesn't when they are holding the hottest IPO of the year and you got in at basically its IPO price, right?!

Now to the point. Since then, JASO has basically cut its price in half since its highs at the end of the year in 2007. Stock split tomorrow will bring this stock to around the $15 level. I believe, and hope, that at this low price, JASO will attract new buyers. Fundamentally, JASO's performance in earnings have been great so far, and compared to other solar stocks in the teens, IMO, JASO is the indisputed value in that price range. Other's such as SOLF, CSUN, YGE. JASO is a proven company with higher margins than those other three.

Technically, JASO has successfully tested it's 200 day SMA earlier this week and the slow stochastics indicate a likely oversold condition; RSI is also close to dropping below the 30 level, also indicating an oversold condition. These combined with a new low price for new buyers to come in should be a good catalyst for a move up, or at least a break from the current down trend.

Although I'm definitely not 'expert' enough to give a buy rating, I've very optimistic about the future of JASO. 

Any thoughts people? Especially from those who have been in the solar sector this past year?
Also, how do you guys stop yourselves from 'falling in love' with a stock?

Edited by locogmac at 10/07/08 at 03:20 PM
Share This! Report

Posted by locogmac on 02/07/08 at 07:08 PM

Tag It | 1 user tagged it: JASO, Solar stocks, SOLF, CSUN, YGE

Comments

User Avatar
User Avatar Brokerage Account

Haymore

Member since: Jan 08

5 Day 4.47%
15 Day 36.88%
1 Month 21.39%
3 Month -1.63%
6 Month -46.44%
As of: 01/08/09
How is this calculated?
Trades 648
Trade Notes 36
Blog Posts 24
Semi-retired business owner
Age: 60's
Arizona
Haymore
All current solar cell producers are very much at risk from nanosolar or someone like them with a break thru technology.  How not to fall in love - just keep reminding yourself that JASO went from $200 plus to yesterdays $40 in less than a year!  When it was in the $200s that was YOUR money, not the teens that it originally cost you.
User Avatar
User Avatar Brokerage Account

locogmac

Member since: Sep 06

Trades Not Shared
Trade Notes 33
Blog Posts 21
Student
Age: 20's
Washington UNITED STATES
locogmac

I think you are mixing and confusing JASO with some others like FSLR? Jaso all time high was in the mid 70s, not 200s. But yes, I see what you mean- just as fast as they go up, they can come down.

Also, I believe current solar cell producers should be fine for the next 2-3 years as newer technology still hasn't proven itself to be as efficient as the current polysilicon PVs. 

The content and stock or option symbols on this page are for educational and informational purposes only and should not be considered a recommendation or solicitation to invest in a particular security or type of security. Your use of the TradeKing Community is conditioned to your acceptance of all TradeKing Disclosures and of the TradeKing Community Terms of Service. © 2009 TradeKing.
Testimonials may not be representative of the experience of other clients and are not indicative of future performance or success.
Quotes delayed at least 15 mins. Market Data provided by Interactive Data. Terms & Conditions. Powered and implemented by Interactive Data Managed Solutions.