As stock markets around the globe drop, the price of the corresponding stocks drop which creates a tidal wave of lower spending by consumers who feel like they have less money to spend due to their brokerage accounts are not worth as much. Like myself in APWR today, all the stock owners who lost 5% today are going to have 5% less to spend in ”’feel good”’ buying power. I define ”’feel good” buying power as the feeling of your spending values due to your net income or your housing value or your job earnings vs what you really need to buy.

Anything in the ”’big ticket”’ item for me in last few weeks ((APWR is down 40% in last 2 weeks)), is going to have to wait now given my ”feel good”’ buying power has been crushed. And, its not just me, its everyone that owned stocks today which got baked for 5% globally. If this global sell off continues, the world will come to a reeling halt like it did from Nov2008 to March2009. What changed the turn then was government spending stimulus plans which stopped the freefall of equities.

Sadly, if the governments do NOT step up again and prop up values for international loans, the rumors of Portugal and Spain will spread to little countries and pretty soon, you will have an ole fashion blood bath like today where most markets lost 5% of all values.

Nobody cared about Cisco best earnings in history of company and forward guidance and great balance sheet and wonderful spending guidance and hiring……………nope, they were just selling everything. When 7 of S&P 500 stocks were green and the other 493 were RED, I rest my case. A few trillion were lost in ”’feel good buying power” today alone.

Going to pick up coverage again on $AMSC as American Superconductor has been a favorite of mine over the year but the ”valuation” was just too high ……….now, with a 25% haircut since earnings, the growth will come back to AMSC over time. AMSC is executing and delivering sound results , this is a ””nibble”’ and not a gulp like I recommend on APWR. APWR valuation is approaching the ridiculous levels given their upcoming record quarters . Of course this all assumes we dont have a global meltdown like today is starting to feel like.

AMSC is rated an ”ACCUMULATE”’ by me, just a nibble, not a GULP! My Call began at $32.10

Am Superconductor initiated with a Buy at Wunderlich; tgt $50 (33.83)
Wunderlich initiates AMSC with a Buy and price target of $50. The firm believes that AMSC represents a unique investment in the growing wind energy business and notes that iAMSC is the only public U.S. pure play on wind turbines. The firm adds that because the co designs turbines for others and sells components, it does not require significant capital. Furthermore, the co is experiencing more than two times the industry average growth rate, which, in the U.S., clocked in at a blistering 39% in 2009.

Today, with every growth stock in the world down, nobody wants to focus on or invest into renewable energy or wind power or anything to do with Wind Energy or anything to do with the stock market.

However, this is the “”PERFECT STORM”"” for taking a position into APWR for the future gains. Why would I suggest that one buy into the APWR story when the stock has dropped from $21 to $12 ????
Well, 99.9999% of all investors do NOT own APWR, nor have they ever heard of APWR or even know what APWR does or will do. The “”STORY”"” stock is about to release upcoming ”’RECORD QUARTERS”’ for years to come with the Wind side and Solar side and GE Gearbox partnership all going to contribute over time to their very profitable bread and butter position in Distributed Power Groups. DPG has always been APWR’s very profitable bread and butter story but with WIND and SOLAR and GE GEARBOX going to add revenues along with biomass and geothermal and hydropower, one gets a very diversified low cost green power producer in China and the world. Recent wins for power stations in Thailand, Pakistan, and Vietnam proves that APWR is reaching out beyond China to win contracts. The recent private placement scared investors along with the Texas Wind Farm delays in the coming contracts……………thus, the price has FALLEN from $21 to $12

One must have a VISION and a PLAN of why stocks go UP or down………..with APWR, they are going to report “”RECORD QUARTERLY Revenues”” for the upcoming future given the wind side ramping and other groups adding revenues over time…………

Earnings Estimates by Reuters, not me…………
The Revenue/Estimate summary I’m getting from Reuters is as follows:

2009 chg
———————————–
DEC
REV (t) 129,367E 58.9%
EPS .39E 29.0%

TOTAL
REV (t) 315,583E 19.1%
EPS 0.57E -37.7%

2010 chg
————————————
MAR
REV (t) 101,133E 224.2%
EPS 0.18E 299.2%

JUN
REV (t) 128,133E 122.8%
EPS 0.24E 71.4%

SEP
REV (t) 177,767E 83.9%
EPS 0.35E N/A

DEC
REV (t) 198,200E 53.2%
EPS 0.40E 2.6%

TOTAL
REV (t) 605,200E 91.8%
EPS 1.16E 103.5%

The Revenue/Estimate summary I’m getting from Reuters is as follows:

2009 chg
———————————–
DEC
REV (t) 129,367E 58.9%
EPS .39E 29.0%

TOTAL
REV (t) 315,583E 19.1%
EPS 0.57E -37.7%

2010 chg
————————————
MAR
REV (t) 101,133E 224.2%
EPS 0.18E 299.2%

JUN
REV (t) 128,133E 122.8%
EPS 0.24E 71.4%

SEP
REV (t) 177,767E 83.9%
EPS 0.35E N/A

DEC
REV (t) 198,200E 53.2%
EPS 0.40E 2.6%

TOTAL
REV (t) 605,200E 91.8%
EPS 1.16E 103.5%
mkwak73@gmail.com
mkwak73
1
and THANKS to MKWAK73 for this REUTERS estimates

My Estimates are a bit higher but that is just optomistic me……….or, will my + or – 3% record for guessing quarterly estimates continue ??? Paid analysts have Q1 2010 as 104 million, I have 10 LOWER at 90 Million. Make a plan and stick with your investing plans. Green Energy China is my plan and my goal is for more folks in the world to know what I know about APWR thus bringing more investors to APWR which with buying and ”’RECORD REVENUES”” will drive the price higher eventually!

AUTHOR is VERY LONG APWR