Monday, May 19, 2008

Fun In the Sun (SOLF)

From MarketBeat:

Here comes the fun.

Solarfun, that is. The American Depository Shares of China-based Solarfun Power Holdings Co. Ltd. have surged in the last two days of trading, gaining more than 30% as institutional investors take notice of the stock’s strength headed into its earnings report, due out Wednesday.

Solar shares have become favorites of the momentum crowd — and Solarfun is no exception, as half of the top 20 institutional holders of the company shares are hedge funds, according to Thomson Reuters. The shares are up 18% in action today after gaining 24% in trading Friday on surging volume.

Analysts attribute the new interest to expectations for a strong earnings report and the shares passing a technical milestone. The stock broke through what analysts identify as a resistance level of about $18.90 a share, representing an intraday high not reached since mid-February....CONTINUED