i agree Zang, I'm very confident in TSL, it's their time I think they will soon be trading in line with JKS in the $20's before we know it. I think we are in store for something special for the second 1/2 of the year.
STRATEGY: Look at the September 12 covered call. For each 100 shares of Trina Solar Limited (TSL) stock you buy, sell one September 12 covered call option for a $10.98 ($12.58 - $1.60) debit or better. That's potentially a 9.3% assigned return.
IK - COMMENT: The technicals for TSL are bullish with a strong upward trend. The stock has support at $10.90 and resistance at $12.95. The company is next expected to report earnings on August 25. S&P Capital IQ rates this stock 4 STARS (out of five) - buy.
RISK: The stock has to drop 12.7% to threaten the break even point. This trade rates 4 keys out of 5 - low relative risk.
S&P CAPITAL IQ REITERATES BUY RECOMMENDATION ON ADSS OF TRINA SOLAR LIMITED
8:21 am ET May 22, 2015 (S&P Capital IQ) Print
We hold our 12-month target price at $17, on price-to-sales above China peers but below U.S. solar players. We keep our '15 earnings per ADS estimate at $1.00 and '16's at $1.37. TSL posts Q1 earnings per ADS of $0.16 vs. $0.37, above our $0.12 estimate. Sales rose 26%, on higher demand in Europe, Japan, and the U.S. We believe that TSL will benefit from a robust China solar landscape as well as plans to spin off its downstream project development business. We see share gain within its external module business and positively view plans to build a manufacturing base in Thailand.
Analyst Philip SHen commented: TSL's core manufacturing business appears to be strong and healthy on the back of its better-than-expected guidance. With an attractive cost structure, we expect the company to maintain its leadership position. Regarding its projects business, we believe the downstream environment in China may be improving, especially given the recent 25bps cut by the PBOC with the potential for more ahead. Throughout 2015, TSL will likely deploy nearly $1.4bn of capital ($250-300mn of manufacturing capex and $1.1bn in projects). While TSL must hold projects on B/S ahead of the spin-off (which may be a concern as project volumes grow and given the 6-12 month delay in receiving payments), we see the company's targeted downstream spin-off as a key catalyst ahead.
Roth Capital Affirms Trina Solar (TSL) at 'Buy'; Q1 Results Show Core Strength of Manufacturing Business
May 22, 2015 7:38 AM EDT
Roth Capital affirms its Buy rating $25 price target on Trina Solar (NYSE: TSL) following Q1 resultsAnalyst Philip Shen commented ...
Trina Solar price target raised to $18 from $15 at RBC Capital
RBC Capital raised its price target on Trina after the company reported stronger than expected results. The firm says the company's margins can rise if the U.S. lowers its tariff rate and the company increases capacity and reduces outsourcing. RBC keeps an Outperform rating on the shares.