What: Shares of JinkoSolar Holding Co., Ltd. (NYSE:JKS) have dropped a disappointing 12% since the start of August. But considering the general drop in solar stocks over the past month, the fall could have been much worse.

So what: Solar stocks have fallen with the price of oil over the past month, putting pressure on stocks like JinkoSolar. But the company's results continue to be some of the strongest of the Chinese manufacturers, and the recently reported second quarter is no different.

Revenues rose 31.6% year over year to $516.2 million and non-GAAP net income was $33.4 million, or $1.04 per share. That easily makes JinkoSolar one of the most profitable solar companies in China, and with just $1.2 billion in debt and payables and $469 million in cash and short-term investments, the company has a better balance sheet than most as well.  

Now what: I'm not a big fan of Chinese stocks in general because the companies make a commodity product and they've been less than shareholder-friendly in the past (see Suntech Power's bankruptcy). But if you're looking at China for exposure to the solar industry, JinkoSolar would be at the top of my list. The company has better margins than most competitors, is moving quickly into the systems business, and has a better balance sheet than most competitors as well.

The strength doesn't mean there aren't risks in investing in China or solar stocks, but JinkoSolar is the best among its peers in China, especially after the stock's drop over the past month.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.