Knowledge Problem

Here Comes the Sun?

Michael Giberson

Is now a good time for investors to get into solar energy? A story from the Wall Street Journal raises that question (article available here via the Washington Post):

Shares of solar energy companies in the United States and Asia have fallen about 25 to 50 percent in recent months as declining oil prices have cooled interest in renewable-energy stocks. But analysts who see long-term growth potential in the $10 billion global solar equipment industry say the recent pullback is creating a buying opportunity.

The prospects for solar power may be particularly strong in Asia, which is rapidly becoming a production hub for photovoltaic cells, which turn sunlight into electricity.

Or maybe it is time to invest in silicon — the article notes that “a tight supply of silicon is plaguing the solar industry.”