What are you bashers going to say after the 28th???
Bashers are constantly cutting into this stock, and I have to say unsuccessfully, but what are you going to be saying when earnings comes out! Lets say they have the worst product out there which I believe they dont, but lets say they do. I would not care if they sold the worst yo-yo on the market, if they are making tons of money and it is growing the way ENER is, how can you knock them?
hosedragger: I have no idea what the bashers will say. I am just trying to answer the following questions. Any idea about the answers? Maybe we will get the answers on the earnings call? What do you think?
1. Did the company shift to an aggressive revenue recognition method? The language changed in the 10K issued 30 days after the new CEO hiring was announced - revenue is recognized when the buyer is informed that goods are available for shipment, which combined with long term contracts is a possible invitation for abuse. Over the course of the next three quarters, finished goods inventories declined dramatically.
2. Why is there an unexplained and suspiciously round $1.000 million discrepancy in the December 10Q vs the September 10Q pertaining to geographic segment revenue in the US? There are other unexplained discrepancies between the 10Q and disclosures in press releases/management presentations concerning product destinations, inventories/shipments, etc. Of course, all this is not unexpected as this company managed to recognize revenue from transacting their own stock and even managed to get it past the SEC (this was in December of 2004, under a different management team but the same auditors).
3. What is the background of the management team? Three members of the management team, the General Counsel and Chief Administrative Officer, the Vice President of Global Sales & Marketing of Unisolar, and the Vice President, Investor Relations and Corporate Communications hail from previous frauds. The CFO is leaving. Will the new CFO be implicated in the Siemens bribery scandal?
4. Is the company really selling 25% of its product for installations in the US, as the CEO claims? That would amount to about $35mill for the six months ending June 31st, yet the California Solar Initiative database shows just $0.3mill worth of Unisolar installations reserved since Jan 1st, 2008, and just $0.03mill worth since March 31st. And California is 50%+ of the US solar market.
I have a few more, but just getting the answers to these questions will be quite interesting...