Energy Sector Roundup: Gas up

Solar Shares Shine Again

Investors warmed to shares of solar energy products makers again as a Jefferies & Co. analyst upgraded shares of a solar wafer maker and another praised the sector's strong fundamentals.

Analyst Paul Clegg raised Evergreen Solar Inc. to "Buy" from "Hold" in a note to investors, saying the stock's recent price decline makes it an attractive buy.

Evergreen shares rose $1.16, or 13.7 percent, to $9.60 in afternoon trading.

Citi Investment Research analyst Jim Liang told clients "solar fundamentals are currently very strong, with the rising tide lifting all boats, driven by generous feed-in tariffs on the demand side and tight poly(silicon) on the supply side."

Polysilicon is a key component in solar cells.

Liang singled out Suntech Power Holdings Co. Ltd. as a favorite because weakening prices in the second half of the year could shake out the industry and leave Suntech in a stronger relative position.

Suntech rose $3.84, or 8.6 percent, to $48.63.

Elsewhere in the sector, shares of SunPower Corp. gained $6.80, or 7.6 percent, to $95.86, and First Solar Inc. rose $11.44, or 3.8 percent, to $315.51 Earlier, First Solar shares hit a new high of $317.

JA Solar Holdings Co. Ltd. added $1.71, or 7.2 percent, to $25.41, and Akeena Solar Inc. rose 53 cents, or 9.8 percent, to $5.83.