SALEM, Mass. (Cabot)—It’s October in Salem, Mass., famously known as the “Witch
City,” which means tourists are everywhere, clogging the downtown
streets in a process that culminates in a massive traffic jam on the
night of Oct. 31.
November, these folks will be gone, while the dollars they’ve spent in
our hotels, restaurants and gift shops remain behind. To me, living and
working on the edge of town, it hardly matters.
pruning and replenished the woodpile in the garage, and this past
weekend I tackled the storm windows—a task that, though tedious,
will pay off in spades in the months ahead.
oil is going through the roof! And if you heat with gas instead, you
won’t fare much better.
long-trend trend are numerous, and include the increased appetite of
China and other developing nations for energy of all sorts, the
increasing cost of procuring oil and gas from less accessible
locations, and the increased demand for energy sources that pollute
less. Yesterday’s spike in energy prices was credited to friction
between Turkey and Iran!
up my house for the winter, I was also thinking about investments that
benefit from the long upward trend in the price of energy, particularly
my favorites… the solar power companies.
energy that hits the earth in one minute is sufficient to supply all
our energy demands for an entire year; the trick is harnessing that
energy. An increasing number of public companies are doing it, however,
and as the technology improves rapidly in this industry, and economies
of scale kick in, the cost per watt continues to fall.
the cost of solar is nearing parity with the cost of traditional
fossil-fuel electricity. And it’s pollution-free!
growing revenues at a triple-digit rate. (That’s proven to be one of
our most successful stock-picking criteria through the years.) Every
one of them is a profitable company. And every one is being accumulated
by institutional investors who want to get their foot in the door of
the next big thing.
are expensive when looked at from a static valuation perspective. But
when you consider the growth potential, these valuations make sense.
third-generation “thin-film” solar cells, which means it’s far less
dependent on increasingly expensive silicon for its products.
Jose, Calif., makes an aesthetically attractive all-black solar cell
for both residential and commercial installations and is building new
manufacturing plants in Malaysia to increase capacity.
the Cayman Islands but actually operating in China, is a specialist. It
makes solar cells, but then sells them to other manufacturers who
incorporate them into finished power-generating products.
in China, is vertically integrated, and produces complete systems for
home, business and industry.
charts today and all four are recommended for growth-oriented investors
who know how to manage risk.
found in The Guru’s Corner is subject to the terms and conditions found
in the Disclaimer and does not represent a recommendation of investment
advice. Investors should seek the advice of a qualified investment
professional prior to making any investment decisions.