Yup, I thought about buying SPWR just before they acquired Powerlight but didn't pull the trigger because I bought ENER, WFR, IXYS, and SMTX instead. I guess I missed the boat on this one. Still waiting for ENER, IXYS, and SMTX to take off, which I think they will w/in the next 1-2yrs. I do think STP is poised for a good run this year, though. And in the next 5-10yrs it's a no-brainer. Just wish I bought SPWR earlier. Maybe I will at the next correction.
Yes I wouldn't buy SPWR now. It would have been nice when it dipped to 41 a few weeks ago. This stock is heavily shorted so it will no doubt revisit that area again. With a good year SPWR could break 60. Meanwhile STP needs to get some 'Mo going and break 40.
"I believe SPWR has handled Power Light better than STP has handled MSK so far, and the Chinese market scare didn't help"
I would concur with these as drivers and add the fact that STP is based in China as a limiting factor. As I understand it, rules on reporting for ADR's are slightly more relaxed than those for US based companies, leading to more preceived uncertainty. Further, the SPWR's of the world probably have more appeal for US retail investors as they may be in one's back yard or employing one's neighbor, and therefore, more visible and 'partiotic'.
As a guess, I would use Markox's 20% haircut number in terms of valuation for ADR's on US exchanges, all things being equal. This is not to cast aspersions on our Chinese neighbors, but rather to suggest that US companies will get a premium over off-shore based companies on US exchanges, financial considerations aside.