Analysts slash Canadian Solar price targets
At least two brokerages slashed their price targets on Chinese solar-cell maker Canadian Solar (CSIQ.O: Quote), a day after it received a subpoena from U.S. regulators seeking documents relating to some sales in 2009.
Shares of the company were down as much as 19 percent at $9.73 in pre-market trade Wednesday on Nasdaq. The stock is now down over 70 percent from a January year-high.
"To us, the SEC subpoena, and pending revision to fourth-quarter revenue, both appear to center on sales in the fourth quarter to customers who returned modules in the first quarter," Oppenheimer analyst Gary Hsueh said.
"Our key concern is: what instigated the returns? In a tight demand environment, this rates as paranormal activity.">>>MORE