SunPower Corporation (SPWR), First Solar, Inc. (FSLR): Is Now the Time to Buy This Rising Star in Solar?

The outlook

Still, despite these concerns, consumers stand behind the concept of preserving our planet for future generations. The rising cost of fuel, combined with diminishing supplies, make alternative energy a necessity for future generations.

The outlook for JA Solar Holdings Co., Ltd. (ADR) (NASDAQ:JASO), First Solar, and SunPower Corporation (NASDAQ:SPWR) is bright, with all three companies poised to gain from upcoming shifts in the market. It should be noted that while First Solar, Inc. (NASDAQ:FSLR)’s panels are less expensive, the energy output is also lower than its competitors, putting out only 80 watts vs. the 230 watts put out by SunPower and JA Solar.

SunPower Corporation (NASDAQ:SPWR)’s 350% gain in earnings make it a stock to watch, but compare the company’s recent quarterly earnings report to the competition before making a final decision. SunPower reported $635 million in revenue, down 1% from a year ago. JA Solar Holdings Co., Ltd. (ADR) (NASDAQ:JASO) reported $270 in total revenue and First Solar had $755 million in revenue.

First Solar, Inc. (NASDAQ:FSLR) is expected to have a promising 2013 as it moves into the residential rooftop market. The outlook for Thomson Reuters analysts recently predicted per-share earnings of $3.51 on revenue of $3.1 billion, with revenue expected to increase to more than $4 billion in 2015. The company’s research into using silicon solar panels prompts analysts to speculate on a bright future for the company.

JA Solar recently reduced its outlook for 2013, stating that it expects revenue to fall to between $310 million and $330 million in the fourth quarter. This is below Street estimates of $381.4 million. Executives blame both economic troubles in Europe, which limits financing, and volatility in the industry.

With a marked increases in recent months, analysts are perhaps most closely eyeing SunPower Corporation (NASDAQ:SPWR). Can the company maintain a 350% increase? For its second quarter, SunPower forecasts revenue of between $540 million and $590 million, due in part to its planned expansion in overseas markets.

Conclusion

Solar stocks in general are hot right now, but it’s hard to ignore SunPower Corporation (NASDAQ:SPWR)’s exponential growth in recent months. Known as the most efficient solar-panel manufacturer, SunPower may prevail even in an industry where everyone is winning.

The article Is Now the Time to Buy This Rising Star in Solar? originally appeared on Fool.com.

Stephanie is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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