Suntech (STP) Only Slightly Higher Despite Rally in Solars

Shares of Suntech Power Holdings (NYSE: STP) are trading only marginally higher today despite a massive rally in the broader solar sector. Solar names are skyrocketing today amid higher crude oil prices. The Claymore/MAC Global Solar Index (NYSE: TAN), or the TAN, a popular solar ETF, is trading about 20% higher this morning.

Suntech may be seeing only limited upside today as several analysts came out with negative comments on the stock earlier today and on Friday. First, an analyst at Jefferies & Co. downgraded shares of Suntech this morning from Buy to Hold while cutting the stock's price target from $25 to $6. The firm cied "concerns about a convert refinancing in Feb '10..."

In addition, an analyst at Friedman Billing & Ramsey cut Suntech's price target from $18 to $5 on Friday.

With shares of Suntech trading up 2.7% to $6.22 today, both Jefferies and FBR's lowered price targets represent further downside from current levels.

Suntech Power Holdings Co., Ltd. designs, develops, manufactures, and markets various photovoltaic (PV) cells and modules to provide electric power for residential, commercial, industrial, and public utility applications worldwide.

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