Apple & First Solar

Apple has been one of my absolute favorite stock for over ten-year now, and the company has right now become the first U.S company to close with a market cap of more than $700 billion. Market cap today is 720,14 billion.

Apple is now twice as valuable as Microsoft ($349,6 billion), and has nearly doubled the market cap to the previous worlds biggest company Exxon Mobile ($379,01 billion). Exxon is not a green company, but Apple is and that`s where the future is.

Apple solar

Apple`s CEO Tim Cook told investors a year ago that they need to «get out of the stock» if they only care about profits because what he really cares about is the climate change. Tim Cook said yesterday that the climate change is real. He also said;

«Our view is that the time for talk has passed, and the time for action is now. We`ve shown that with what we`ve done.»

All of Apple`s data centers are now powered by renewables.

Wind power has long been cheaper than solar, but solar power is the future. According to IEA (International Energy Agency), solar will become the biggest single source of electricity by 2050. The price of solar has been declining much faster than wind, and once the solar is cheap enough it will become mainstream.

Some investors have a 12-month average target price of $132,56 and the highest target was $165. If Apple continue to rise in market value it would exceed $960 billion. Investor Carl Ichan said the stock price for Apple is cheap and expect it to grow further. The stock is now trading at $123,89, up 1,54%.

Apple is the most popular luxury brand in China, and what do you think will happen when the brand goes mainstream?

First Solar is trading at $48,89, up 0,70%. Many investors have a hold on that stock now. Revenues fell 29,7% and that`s faster than the average of 9,8%. That hurt the bottom line and decreasing earnings per share.

Cash flow is also down by 112,5% and debt-to-equity is 0,05 which is also lower than the average. It doesn`t look good right now for First solar. Their return on equity is also below its industry average. it`s below S&P 500 too.

The stock was gaining in after-hours trading yesterday and increased nearly 2% on heavy volume after Apple`s solar power announcement. Price earnings is 18,43. EPS: 2,66.

It`s panels are still far behind that of their competitor SunPower (SPWR). First Solar is cost-competitive compared to the rest of the industry and they have made a huge breakthrough. They said in an announcement;

“it has set yet another world record for cadmium telluride (CDTE) photovoltaic (PV) research cell conversion efficiency, achieving 21.5 percent efficiency certified at the Newport Corporation’s Technology and Applications Center (NYSE: TAC) PV Lab.”

This makes First Solar as a clear industry leader in cadmium telluride PV technology.

 

 


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Disclaimer: The views expressed in this article are those of the author and may not reflect those of Shiny bull. The author has made every effort to ensure accuracy of information provided; however, neither Shiny bull nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in precious metal products, commodities, securities or other financial instruments. Shiny bull and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

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