Why Shares of ReneSola Ltd. Dropped Today

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What: Shares of solar product manufacturer ReneSola  (NYSE: SOL  ) fell 14% today after the company announced it was stopping select shipments to the U.S.

So what: ReneSola said today it had been chosen as a respondent to the Department of Commerce's anti-dumping investigation on photovoltaic products from China. Management said it is cooperating but also halting shipments to the U.S. of products that are within the scope of the probe.  

Now what: ReneSola has module manufacturing facilities around the world which may help it get around tariffs. But they also could have a huge impact on the company, as 31% of module demand in the third quarter of 2013 and 27% in the fourth quarter came from the U.S. The loss of revenue from the U.S. alone will hurt the company, while tariffs on top of what Chinese manufacturers already face could have a major long-term impact.  

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  • Report this Comment On March 28, 2014, at 10:39 PM, Tvbrian26 wrote:

    Please note, If you read the profile of the author who wrote this (Travis Hoium), you'll see he owns SPWR stock. SunPower is a direct competitor of ReneSola (SOL). His articles should not be viewed as unbiased information from a neutral analyst. He's clearly writing with a preconceived notion to create negative rumors about the competitors of the stock he owns, presumably for his own financial gain.

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Travis Hoium

Travis Hoium has been writing for since July 2010 and covers the solar industry, renewable energy, and gaming stocks among other things.

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Related Tickers

8/28/2015 4:02 PM
SOL $1.26 Up +0.12 +10.53%
ReneSola Ltd CAPS Rating: *