Solar stocks - when will Australia wake up?

[sunboy]

Yes, I am the CEO of Solco:-)

No, my intention for this chat is that I want to have discussions considering solar or generally renewable energy companies. Thank you for your two recommendations. I am afraid , they are not listed but the two companies show the great possibility within a country where the inhabitants are not aware about the potential of this market.
I only gave Solco as an example. Solco turned from a non-profit company to a small star with a profit of 3-4 Mio $. Furthermore a dividend was distributed. This is a perfect example for growing and sustainable business. (My stocks are not important.) Quality is important, the future will show the logical consequence. Solco has a current P/E ratio of 4. The peer group has a value of 20. That´s enough from my side.
So beside the hints in the last statement, I am afraid Australia is very unaware and inactive. Who has other solar/wind/geothermal energy stocks in his portfolio? That would be interesting.
What is your favourite?

[sunboy]

Sounds gooooood

Tue, 6 Jul 2010 09:47:00 +1000 17 hours, 52 minutes ago

ASX ANNOUNCEMENT 6 July 2010 PROFIT GUIDANCE Solco on track for record profit of $3.15 million Solco Limited (ASX: SOO) is pleased to provide profit guidance for the 2010 financial year, with the Company expecting to report a profit before tax of $3.15 million for the 12 months to 30 June 2010. The result, which is subject to finalisation and audit, would represent a 76% increase on the previous financial year. Group turnover for the year is expected to be $34.5 million, a 24% increase on the previous corresponding period.

Solco’s stronger trading performance in FY10 occurred on the back on increased demand for the company’s solar energy products, which it wholesales and distributes nationally. The result also demonstrates Solco’s ability to maintain a robust growth path while preserving its strong operating margins. It also represents the second consecutive year of profit growth since the finalisation of the restructure of Solco’s board and senior management team in 2008.

Solco has achieved the FY2010 earnings growth despite facing significant challenges during the year, including downward pressure on product prices, exchange rate fluctuations and stock shortages. Solco’s stock management, tight control over overheads and foreign exchange risk management minimised the effect on profit margins. Outlook for FY2011 The solar renewable market in Australian has grown markedly in the past 3 years, supported by government incentives, rapidly falling product prices, rising energy costs, and community awareness.

Solco expects this situation to continue in FY2011. However, until grid parity is reached, which puts solar on an equal cost footing to conventional energy, unforeseen changes in government policies may have a dampening effect on the market. David Richardson, Chairman said “I’m extremely pleased with Solco’s continued ability to deliver profitable growth within its core business.

This places the team at Solco in a solid position to drive our next stage of strategic expansion within the expanding renewable energy market.” For further information, please contact Mark Norman, CEO and Managing Director Phone +61 (8) 9334 8100 SOLCO LTD ABN 27 084 656 691 12 Brennan Way, Belmont, Western Australia 6104 Office: 61-8-9334 8108 Freecall 1800 454 161 Fax: 61-8-9334 8199 Web: www.solco.com.au.

[Tysonboss1]

In the early 20th century you could easily see that the motor vehicle was the way of the future and was going to change the world. An astute investor may believe that there was big money to be had investing in motor car manfacturers.

However out of the 3000 motor vehicle companies that existed, only 3 remain today.

just because something is going to change the world, does not mean it is automatically going to make a good investment.

I will invest in solar when there is more visability on which companies are going to produce durable longterm returns, and which will disappear.

[SteveinSA]

Quote: Originally Posted by laurie sunboy have you any experience with solar panels! for e.g. At 15% efficiency 10 panels each measuring 1 meter by 1 meter would power 1.5 bars on an electric heater. 20 panels would power an electric kettle. This of course assumes that the sun is shining cheers laurie

[pixel]

Quote: Originally Posted by SteveinSA Photovoltaic efficiency is now well over 20% and it' on your roof and the pwer generated is free. Compare this to power stations with 30% efficiency, less the losses in transformers and transmission lines. You will be lucky if 5% of the original power generated is available to consumers. With smart grids synchronising power from multiple renewable resources, - no contest.

[Smurf1976]

Quote: Originally Posted by SteveinSA Compare this to power stations with 30% efficiency, less the losses in transformers and transmission lines. You will be lucky if 5% of the original power generated is available to consumers.