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Applied Materials: Will They Ever Succeed in Solar Sector?

The Street is having increasing doubts about whether the solar equipment business at Applied Materials can ever live up to the unit’s once lofty expectations.

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LDK Solar Shares Slide as ThinkEquity Downgrades to Sell

LDK Solar shares are trading sharply lower this morning after ThinkEquity analyst Jonathan Hoopes cut his rating on the stock to Sell from Buy. He cut his target price on the stock to–get this–$4.50, from $45. The more bearish stance follows an earnings warning from the company earlier this week. Hoopes points out that the company’s $210 million to $220 million inventory write-down raises new concerns about a 2007 controversy involving allegations over inventory accounting issues.

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Solar: Suntech, LDK Upgraded By Lazard Capital

Lazard Capital solar analyst Sanjay Shrestha today raised his ratings on both Suntech and LDK Solar. Shrestha writes today that ASPs in the solar sector “are beginning to stabilize.” He notes that limited access to capital throughout the solar value chain has caused widespread cancellations or decreases in capacity expansion plans.