As a result of intense global competition, solar manufacturing stocks have generally been a disaster. But the falling prices for solar components have created opportunity in the solar installing business.
Solar City (SCTY) completed an initial public offering at the end of 2012, and its stock has virtually doubled. The offering price was $8 per share, and yesterday Solar City closed at $15.76 on the NASDAQ. Solar City certainly is no Facebook, whose share price at one point fell below 50% of the IPO price, though it has partially rebounded.
Solar City will benefit from continued falling solar prices and global competition to manufacture components and may become the Walmart of the solar installation business. If so, it will become one of America's biggest, most important companies. And it is good to see that investors can make money in solar companies, without shorting them.
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