So SunPower delivered earnings that exceeded the forecast by 400% http://finance.yahoo.com/news/sunpower-beats-earnings-strong-demand-122…
The stock went up by 8% which is logical, but today right from the open it is falling and by now is down by ~11% erasing all the previous gains. Now can somebody please explain me why this might happen? What is the idea by shorting a stock that is performing very well?
Thanx
Because the earnings that were released were about the last 3 months. The earnings call also probably had some talk with the future of the company. That part might be where the -11% comes in. Also, a sell off of people grabbing their gains. It can be anything really.
Read the conference call transcript. Tons of reasons that it could; lowered guidance, expected deals falling through, regulatory changes etc.
If you are invested in solar stocks, you clearly don't care about fundamentals or rational behavior anyway.
I have a small long in First Solar, but if you can give a comment on that i would appreciate it.
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