Lazard Capital and Collins Stewart Buy Rating On Yingli Green Energy (YGE) – May 26, 2009
Yingli Green Energy (YGE) is erasing Friday’s losses after CollinsStewart maintained its Buy rating and raised the price target from $10to $11 and Lazard Capital upgraded the stock from Hold to Buy this morning.
Here are the comments from Collins according to Street Insider. Not exactly bullish comments!
“YGE’s 1Q09 revenues were $146M, 20% below our $181M forecast and the $194M consensus. Revenues were down 36% yr/yr and 43% sequentially. We estimate that shipments were 53MW and ASP was $2.78/watt. Gross margin of 15.3% was a bright spot, up 210 bps sequentially Ltd., and above our 14.6% forecast. Limited shipments led to a weak operating margin of just 2.0%. A variety of charges, including a $13.7M charge for Forex losses weighed on EPS, leading to a loss of $0.16, well below our breakeven forecast and the ($0.01) consensus.”
“The $0.16 1Q09 EPS miss and higher expense assumptions drive ourFY09 EPS forecast to $0.40 from $0.66. Our revenue forecast is reduced by 5%. Minor changes were made to our CY10 forecast, with EPS revised to $1.12 from $1.13 and revenue increased $20M to $1.24B.”