Yingli Green Energy Holding Co Ltd (ADR) (NYSE:YGE), one of the world’s leading solar panel manufacturers, today announced that it recently signed several agreements with Qingdao New Energy Solutions Inc. (NESI), a leading provider of agricultural and industrial building-integrated photovoltaic (BIPV) and utility-scale solar solutions, for the supply of 130 megawatts (MW) of high quality solar panels. Yingli has begun to deliver the first 30 MW and expects to complete the delivery by the end of September 2015.
According to the terms of the companies’ supply agreements, Yingli will supply the remaining 100 MW of solar panels by the end of the second quarter of 2016. These panels will be used in utility-scale projects, industrial rooftop systems as well as BIPV agricultural solutions, in Zhejiang,Inner Mongolia, Shandong and other provinces in China.
In total, Yingli will provide NESI with more than 500,000 multicrystalline YGE 60 Cell Series solar panels that are expected to generate approximately 150,000 megawatt-hours (MWh) of clean energy per year once operational. The clean energy they produce will offset about 120,000 tons of carbon emissions annually.
“As a leading supplier of agricultural and BIPV solutions in China, we are excited to begin our partnership with Yingli and expect the company to become one of our preferred suppliers,” commented Mr. Shen Jianfei, Chief Operations Officer of NESI. “In August, NESI announced our collaboration with several state-owned banks and other entities to establish China’s first agricultural PV project fund. As such, we intend to gradually increase our exposure to solar PV assets and hope to continue partnering with Yingli as we do so.”
“We are pleased to begin collaborating with NESI, a comprehensive solar developer, and believe that together our companies will drive the adoption of BIPV and agricultural solar applications in China,” commented Mr. Gang Wang, Vice President of Sales of Yingli Green Energy. “Our new partnership with NESI exemplifies Yingli’s strategic effort to expand relationships with China’s leading private enterprises, which has resulted in 350 MW of supply agreements with cash before delivery in 2015. With demand expected to grow in China through the second half of 2015, Yingli is focused on expanding our domestic footprint by strengthening our customer relationships and continuing to supply our high-quality products to this key market.” (Original Source)
Shares of Yingli Green Energy closed yesterday at $0.441. YGE has a 1-year high of $3.56 and a 1-year low of $0.43. The stock’s 50-day moving average is $0.73 and its 200-day moving average is $1.31.
On the ratings front, Yingli Green has been the subject of a number of recent research reports. In a report issued on September 10, Credit Suisse analyst Patrick Jobin maintained a Sell rating on YGE, with a price target of $0.75, which represents a potential upside of 70.1% from where the stock is currently trading. Separately, on September 9, Roth Capital’s Philip Shen downgraded the stock to Sell and has a price target of $0.50.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Patrick Jobin and Philip Shen have a total average return of -1.6% and -15.6% respectively. Jobin has a success rate of 35.7% and is ranked #2811 out of 3766 analysts, while Shen has a success rate of 23.5% and is ranked #3740.
The street is mostly Bearish on YGE stock. Out of 4 analysts who cover the stock, 3 suggest a Sell rating and one recommends to Hold the stock. The 12-month average price target assigned to the stock is $0.08, which represents a potential downside of 81.9% from where the stock is currently trading.
Yingli Green Energy Holding Co Ltd along with its subsidiaries is engaged in the design, development, marketing, manufacture, installation and sale of photovoltaic products in China & overseas market.