Monday, July 21, 2008

German Sun for high returns

As we have seen in one of the past post Solar Energy is the less exploited of renewable energy sources. That means huge possible profits over next years.
Renewable energies seem to be the next big investment bubble (as telecom in late 90s), there are some companies trading with P/E ratio of over 300, especially in Wind energy and bio fuel production sectors.

On the other hand, in solar energy you can still find some company with low (relatively speaking) P/E.
Imagining a lower cost for solar equipments over next years, meaning a larger market for these energy productions, the companies who are leading the market of solar equipment production will made an enormous development and they’ll represent an excellent investment opportunity.
In 2007 there is a company who has become the number one in Solar cells production: Q.Cells.
This German company has overtaken Sharp in solar cells productions and it has become the World leader in this sector.

2007 has represented an incredible year for this industry with an overall market growth of 69%, despite of shortage of silicon, with an increasing of the significance of new technologies.

The estimation for next years growth are extremely favourable thanks to:
-increasing energy demands,
-increasing oil prices;
-climate changes problems
-promotion of PV becoming a global issue with many governments law adopted in order to help its developments

Q.Cells AG is a great opportunity to invest in this fast growing market; their vision is to give a cheaper PV system, with the best technologies, products and solutions to rapidly drive solar energy up.

As usual, before investing in a company we have to trust not only its business model and market potential, but we have to look into its management and believe in their skills and integrity. Q-Cells managers are young and driven by a strong passion for what they are doing, furthermore the employers policy is absolutely great and we can easily see that looking at the prizes they have won in 2008 and 2007 as ‘Best place to work’ and ‘Fair Company’ Awards.
Markets potential, management skills are part of Q.Cells successful history.
Stay tuned to discover the strong financial statements and strength and see with us why Q.Cells is part of Value Finance portfolio!