Investing in Chinese Solar - Yingli Green Energy

The hard beaten Chinese Solar stocks are now getting investors attention with crude oil price now above $90 per barrel.  Many of these Chinese Solar companies that used to be traded in double digits are now traded in single digit and low P/E ratio.  o far we've looked at JA Solar and LDK Solar, lets look at another solar stock today.  


Yingli Green Energy (NYSE:YGE) designs, manufactures, and sells photovoltaic modules systems in Germany, Spain, Italy, Greece, France, South Korea, China and US.  The company's annual revenue for the past few years rose rapidly from $1.6 billion in 2006 to $7.5 billion in 2008, rising 370% in three years.  Compared to the other Chinese Solar companies such  JA Solar and LDK Solar, Yingli Green Energy is much bigger in terms of revenue earned.  The company's net income during the same period also rose from $216 million in 2006 to $653 million in 2008.  2009 was also a tough year but the annual revenue only dropped slightly to $7.2 billion.  However the company took a hit with a net loss of $531 million.  2010 so far looks promising as the company already earned $8.4 billion in revenue for the first three quarters on track to break the $10 billion mark, a new record for the company.  In addition with $863 million in net income for the first three quarters of 2010 Yingli Green Energy could see a all time record net income of $1 billion, dwarfing the other Chinese Solar companies.


The technical chart shows positive signal with 20 day moving average about to crossed on top over 50 day moving average with KD line at 80 and still rising.  With such strong revenue and technical trend this could be a $15 stock easily for this year.