The solar reporting season started out sunny, but it's ending with a whimper.
A lot of the dreariness has to do with events subsequent to Sept. 30, so the fact that firms like SunPower
Rounding up the third-quarter reports were Yingli Green Energy
In terms of margins, Yingli reported far stronger numbers. Solarfun, on the other hand, took a number of charges, stemming from unusable materials, inventory writedowns, and prepayments considered "at risk." That last issue is exactly why I've previously cast an uneasy eye on rising prepayments as a percentage of firm assets -- though ironically, it was Yingli that had me nervous on that front. Even without the charges, Yingli's margins were still significantly higher than those of Solarfun.
Like Suntech Power
A comment by Solarfun that the firm expects to be cash flow-positive in the second half of next year wasn't too thrilling, considering that Trina Solar
For now, I'm not crazy about either name, but Yingli appears to be the more sound of the two solar shops. Fools seem to agree, having awarded Yingli five stars in Motley Fool CAPS, versus Solarfun's three. Make an outperform call on your favorite -- Yingli or Solarfun -- today.