Auriga Maintains a 'Buy' on Trina Solar Ltd. (TSL); More Undervalued Today than Yesterday, raises PT to $41.

August 25, 2010 9:34 AM EDT
Auriga maintains a 'Buy' on Trina Solar Ltd. (NYSE: TSL), raises PT to $41.

Auriga analyst says, "We continue to believe that TSL is in the top-tier of Chinese solar manufacturers because of the scale of its business model as well as its ability to produce a low-cost and highly bankable module. We see no reason to back off our 15 multiple; thus, our price target needs to increase commensurate with our EPS estimates. Investors should take a closer look at the inherent profitability within the TSL model and appreciate the value in a stock that is trading at just 8.2x our 2011 estimate."
Source: http://www.streetinsider.com

Article: Trina Solar's Balanced Q2 Earnings Report

Link: http://seekingalpha.com/article/222211-trina-solar-s-balanced-q2-earnings-report

Auriga reiterates Buy rating and raised the price target from $36 to $41.

“Management did not disappoint investors with a strong beat and raise scenario on the Q2 conference. However, after raising estimates ahead of the call last week, we now find ourselves increasing both our estimates and price target again. We fully expected management to raise 2010 shipment guidance, which they did, but the surprise to our model came on the guidance of capacity reaching 1500MW in 2011 versus our prior estimate of 1300MW. In our view, the stock was inexpensive heading into the call, and now appears more undervalued at just 8.2x our 2011E EPS after the call. A long position in shares of Trina Solar (TSL, Buy) is one of our top ideas in the solar sector and we find the shares significantly mispriced as these levels.

Citi reiterates Buy rating and raised the price target from $30 to $36.

“Consistent with our bullish initiation of coverage on 7/11/10, this report confirms the view that Street estimates for 2H:10 and 2011 are way too low. Despite being more cautious than TSL on pricing, we are nonetheless

raising F2010 revs/EPS from ~$1.45B/$2.56 to ~$1.56B/$3.09 and F2011 revs/EPS from ~$1.7B/$2.81 to ~$1.88B/$3.68 (Street $2.65). Using ~10x our new C2011 (about in-line w/Chinese peers)…TSL remains our favorite name in the solar sector given its strong balance sheet, more measured approach to the systems business, leading cost position, and budding track record for execution.”

Wedbush Raises Price Target On Trina Solar (TSL) to $34

August 24, 2010 12:45 PM EDT

Wedbush raised its price target on Trina Solar (NYSE: TSL) significantly from $24 to $34, following Q2 results, while reiterating their Outperform rating.

The firm is positive on shares given the company’s low cost structure and competitive position. The firm commented, "We expect Trina Solar to perform better than its peers within our solar technology coverage universe in 2010 and 2011 as the company’s cost leadership position and customer diversification allow it to navigate potential oversupply conditions in 2011."

The firm raised revenue/GAAP EPS estimates to $1.529 billion/$2.85 from $1.276
billion/$2.04 in 2010 and to $1.772 billion/$3.43 from $1.426 billion/$2.25 in 2011.

The new price target represents 42 percent upside from the current price of $23.94 (+6.8%).

Trina Solar profit beats Street, ups FY shipment view

* Q2 profit $0.52 per ADS vs est of $0.49

* Revenue more than doubles, beats Wall Street view

* Sees FY shipments between 900 MW and 930 MW

Aug 24 (Reuters) - China's Trina Solar Ltd (TSL.N) on Tuesday reported second-quarter profit above Wall Street Estimates and raised its full-year shipment outlook as strong European demand propped up sales.

For the quarter, the company earned $38.7 million, or 52 cents per American Depositary Share (ADS), compared with a profit of $18.6 million, or 35 cents per ADS, last year.

Sales more than doubled to $370.8 million, from $150 million a year ago, on higher shipments.

Trina, like others in the industry, was helped by strong demand in Europe, as developers rushed purchases ahead of cuts to renewable energy subsidies in key markets, including Germany and Italy.

For the full year, the company expects total module shipments of 900-930 MW, up from its prior view of 750-800 MW.

Analysts were looking for a profit of 49 cents per ADS, on revenue of $338.7 million, according to Thomson Reuters I/B/E/S.

Shares of the company closed at $22.41 Monday on the New York Stock Exchange. The stock is so far down nearly 30 percent from a year-high in January. (Reporting by Adveith Nair in Bangalore; Editing by Maju Samuel)

Auriga Boosts Price Target On Trina Solar (TSL) to $36, Suggesting 58% Upside

Auriga lifts price target on Trina Solar Ltd. (NYSE: TSL) to $36, representing 58% upside, saying new cost model reveals more profit. The firm maintained their Buy rating.

The price target is based on 15x their 2011 EPS of $2.41.

The firm comments, "We admit that we are late to publish our report as we have been lagging the consensus for a while, but our late quarter checks suggest shipments will likely exceed the higher end of guidance; we are modeling 215MW versus guidance of 200MW to 200MW. In addition we are also modeling module pricing to decline by 3% to $1.70/W. Our poly cost assumptions are $72/kg and 6g/W, while our non-poly costs decline by just a penny to $0.75/W. We have also assumed a $10mn net foreign currency loss in Q2. Our new estimates are above the consensus estimates of $335mn and $0.49."

Source: streetinsider.com

Trina Solar initiated with a Buy at Jefferies, PT $35

Target $35.

Source: theflyonthewall.com

Trina Solar to Supply 35MW Solar Modules to SunEdison

Under the terms of the agreement signed with MEMC, Trina Solaris expected to supply SunEdison with approximately 35 megawatts (MW) of PV modules over the remainder of 2010. The modules are expected to be utilized by SunEdison for projects in North America and Europe.

Source: http://finance.yahoo.com/news/Trina-Solar-to-Supply-Solar-prnews-2477538852.html?x=0&.v=89

Trina Solar upgraded to Overweight from Equal Weight at Barclays

In conjunction with our sector note, we are

upgrading shares to 1-OW, raising our price target

to $30, representing ~34% upside from current

levels. Although we had recently highlighted a

positive risk-reward trade for Trina going into

earnings (see 6/28 note "Raising Estimates, Price

Target" for more details), our 2-EW rating was

predicated on uncertainty with respect to 2011

demand outlook. Shares are down 17% ytd vs 2%

S&P decline, and have generally lagged

performance of stocks in the sector, mostly due to

concerns over 2011 outlook, in our view. Our

recent industry checks indicate that 2011 demand

outlook is improving and we now see significant

upside to consensus 2010/2011 estimates as well

as valuation. Earnings call on 8/24 (where we

expect mgmt to beat/raise guide) could act as the

next potential catalyst for shares.

Summary

􀂉 What's changed: We are raising 2010 EPS from

$2.25 to $2.75. Our new 2010 ests assume

890MW shipments and flat/2% q/q ASP decline in

Q3/Q4. We are raising our 2011 EPS from $2.45

to $3.25. Our new 2011 ests assume 50%

shipment growth and $1.45/W ASPs exiting '11.

Source: http://www.theflyonthewall.com/permalinks/entry.php/TSLid1267816/TSL-Trina-Solar-initiated-with-a-Buy-at-Jefferies