FSLR is the strongest company in an overcapacitated field. The little players are all going to fail. FSLR has enough money to ssutain this soft period and prosper from their competitors demise. Their earnings will obviously be hit when companies are selling inventory for less than it costs to make. This will end within the next 12 months. Over this tough year, earning will start to increase and give FSLR easier comps. These guys can easily earn in excess of $7 per share in 2013. At a 10 P/E when this group starts trading normal after the weak hands are gone will make this a $70 stock without any takeover. I think tha at $2B it will be bought by private euity at $50 and then taken back to the public in an IPO in late 2013 or 2014. This is truly an amazing buying opportunity. I laugh at teh ignorant posts about bankruptcy. Look at their balance sheet. They are loaded and well positioned adn can handle this terrible envirenment. The fact they are still making money is truly an amazing feet for the past 12 months. These guys are a lot smarter than they are given credit for. Buy when the hands are weak and things look dim! That is the BUffet mentality and this is the exact reason why. I just hope FSLR doesnt sell for $50 soon because I can wait a few months for $70!
You apparently don't understand the issue. Its not easily "resolved". Its a systemic problem with CdTe that has known for years. NREL has issued reports on the problem. The problem isn't just about resolving the issue in new panels, its about the warranty issues with the panels already deployed in projects. But I guess you know more than FSLR management does. When management tells the public there is a problem, I kinda tend to believe it. But yeah, I guess I've been on the wrong side of the trade since the 130s. LOL. OK buddy.
Everything is so black and white with you, its like arguing with a 6 year old.
Lying, not lying, whose telling the truth... blah blah blah
Of course its an issue as its plainly stated. They've increased their warranty reserve and will continue monitoring it. A company with FSLRs resources will not simply sit by and continue to do the status quo. The issue has been raised and will eventually be resolved.
Your linear intrepretation doesnt work in the real world. Fear will eventually subside and common sense will come back. So go ahead and keep gambling that you can squeeze another nickel out of this but you are on the wrong side of the long term trade.