The venture-capital backed company has signed deals this year with JA Solar, Solarfun Power Holdings and Yingli.
Samuel Yang, JA Solar's chief executive, went so far as to characterize the market as being in a state of "panic".
One producer of crystalline polysilicon cells for photovoltaic modules, JA Solar (JASO, 6.45) , looks dirt-cheap even after bouncing 197% from its bottom.
Direct competitors to Suntech Power, according to Revere Data, include Baoding, China-based Yingli Green Energy Holding and JA Solar Holdings, based in Ningjin, China.
First Solar or a Chinese player like JA Solar or Solarfun?
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The company's report helped boost fellow Chinese solar firms such as JA Solar Holdings, which gained 2.5%, while Trina Solar increased 2.9%, and LDK Solar rose 4.7%.
Elsewhere in the sector JA Solar Holdings and China Sun Energy, both based in China, were also enjoying sizeable gains in the price of their American depository receipts.
In response, Piper today reduced ratings on Canadian Solar (CSIQ), JA Solar (JASO), SunPower (SPWRA), Yingli Green Energy (YGE), Trina Solar (TSL) and Suntech (STP).
Some of that production is for North American companies like Canadian Solar, but among the fastest growing solar outfits are Chinese companies like Yingli Green Energy Holding and JA Solar Holdings.
Chinese companies such as JA Solar Holdings Ltd.
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Already this week, both JA Solar and Yingli Green Energy reduced their outlook for full year shipments after posting discouraging Q2 results, as prices continue to fall in the face of slack demand.
Lazard Capital this morning cut ratings on Canadian Solar (CSIQ), China Sunergy (CSUN), JA Solar (JASO) and LDK Solar (LDK), all to Hold from Buy, asserting that industry pricing will likely fall faster than expected given expected policy changes in Italy and regulatory dynamics in Germany.
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While Silicon Valley companies were working on the problem, silicon prices fell and Chinese companies like JA Solar, Suntech and Yingli Green Energy rapidly expanded production of conventional solar panels, supported by tens of billions of dollars in inexpensive credit from the Chinese government as well as other subsidies like cheap land.
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