Comments on Fund My Mutual Fund: Bookkeeping: Beginning Canadian Solar (CSIQ)

Bill, It would be right up TSL's managements alley...

2008-07-02T09:29:00.000-04:00

Bill, It would be right up TSL's managements alley to announce a new and innovative business line - mP3 players! Of course they'd tell us as a surprise. And the stock would drop 40% within 3 weeks.

You are right on the offering - they did a tiny one, I think 3M or so last summer. Compared to competitors it was a drop in the bucket.

"TSL has been the only one not to dilute their sha...

2008-07-01T19:47:00.000-04:00

"TSL has been the only one not to dilute their shareholders - almost everyone has IPOd and then gone back to the market at least once (sometimes twice) in their very short public lives."

Actually I believe TSL did a secondary last June. Because I remember it was at around $44 and since it didn't go down initially I bought because it was a sign of strength and then it eventually made a classic run from 39 to 73 in a month and a half.

But anyway, you said everyone has "IPOd"
Is there a good way to play this IPOd thing occuring. Do you think AAPL is a good play on this IPOD thing??

Or perhaps AAPL is a good play on TSL's potential Iphone (Initial Public Harassment Offering which NEVER ENDS) This iphone thingy has been in existence since TSL has been public (harassment by analysts) Once again, do you think AAPL is a good play on this IPHONE thing for TSL?

Thanks.

Thanks, Mark. You're right about losing credibili...

2008-07-01T18:49:00.000-04:00

Thanks, Mark. You're right about losing credibility on the Street. It takes several quarters to regain that kind of trust. I think the solars are oversold but to be honest I am concerned about Thursday, and whether to hold through. I'm expecting a lot of volatility.

It would be like TSL to issue a downgrade on itsel...

2008-07-01T16:57:00.000-04:00

It would be like TSL to issue a downgrade on itself.

Well the same issues apply to everyone in the polysilicon side of things.

TSL has been the only one not to dilute their shareholders - almost everyone has IPOd and then gone back to the market at least once (sometimes twice) in their very short public lives. TSL probably needs capital in 2009 and will issue shares but they could of done it in the 40s, 50s, 60s. If they are forced to do it lower obviously they will need more shares to generate the same dollars.

That said, almost everythinG GS raised was not TSL specific.

I have to tell you I've been in many stocks where management surprises analysts constantly and analysts retaliate by doing these type of things. They hate to have egg on their face constantly - so they use their only powerful tool. The fact the "most undervalued" stock did not have analysts out defending its valuation anytime in the days/ weeks after its earnings shows this. I truly think the management has harmed their reputation on the Street - I've seen it many times - stocks of superior fundamentals trade at discount because of lack of trust by institutions and lack of support by analysts. So until TSL starts putting back 3-4 quarters of real results without fooling the analyst community with new surprises I doubt they will get a peer valuation. But this 50%+ type of discount is extreme. I assume it now assumes a massive amount of dilution.

I meant GS.

2008-07-01T16:50:00.001-04:00

I meant GS.

What do you think about TS downgrading TSL to conv...

2008-07-01T16:50:00.000-04:00

What do you think about TS downgrading TSL to conviction sell based on "cash flow concerns"? It has rubbed off on the entire sector, but do you think it's overblown?