“Stealth Solar: Silicon Valley’s Secret Investment.”

by Travis Johnson, Stock Gumshoe | June 6, 2007 5:19 pm

Streetsifter strikes again — he sent in this solution for an email that just started circulating, and he sent it in before I had even gotten around to reading the email. He even wrote it up nicely, so most of what follows is just a minor edit of his words (I agree he’s clearly got this one pegged, for what that’s worth):

If you have the spare $1,750, you can subscribe to Sara Nunnally[1]’s Material Profits Wildcatter[2] from Taipan[3] New Services and receive access to her detailed report on the $2 “Stealth Solar” manufacturer of photovoltaic cells whose stock, according to Ms. Nunnally, “could gain 503.2% or more this year.” (The “.2” is a nice touch, don’t you think?)

The teaser[4] includes Sara Nunnally’s statement that, “I can’t reveal the name of the company for fear of running up the share price” and also lists a qualification for subscribers, “You must be able to keep a secret. No blabber mouths. Sharing Material Profits Wildcatter stock picks with people who are not within our private group is strictly prohibited.” What makes that prohibition particularly amusing in the case of this specific stock is that Ms. Nunnally, herself, already “blabbed” and NAMED THE STOCK in a free 13 April 2007 promotional announcement that is still posted solar[5]-energy-investing-0407.html">here on the Taipan website.

The stock is Solar EnerTech Corp. (OTCBB: SOEN), and even without the benefit of the April “blab”, the updated teaser ad is loaded with so many specific clues that the stock could be tracked down by the Gumshoe’s proverbial blind bloodhound with one nostril.

Confirmation of “new orders from Spain, Malaysia, Turkey and South Africa[6]” is at http://www.solarenertech.com/news/release.asp?numb=227 [7]

Also, the teaser ad describes ” $7.5 million in sales from a major energy company in India[8]. Another $8 million in revenue is in the pipeline from an agreement with a Shanghai company. And a $9.2 million sale has been made to a different company in Shanghai”. The news release area of Solar EnerTech’s website has matching information at:

http://www.solarenertech.com/news/release.asp?numb=223 [9]
http://www.solarenertech.com/news/release.asp?numb=221 [10]
http://www.solarenertech.com/news/release.asp?numb=218 [11]

And if those direct hits aren’t enough, a verbatim match of the teaser ads description of a Shanghai plant upgrade producing ” a bright, blue-green veneer across the immense surface area.” can be found here[12].

The ad describes Solar EnerTech as being at a discount to other solar energy producers, at a minimum an 80% discount to previous Gumshoe-solved stocks SunPower (SPWR)[13] and Trina Solar (TSL)[14]. Whether or not that is a credible statement to justify your investing dollar is, as usual, your decision. But saving you the $1,750 subscription fee for the solution to Sara Nunnally’s teaser ad is the pleasure of the Stock Gumshoe, with the help of Irregulars like “Streetsifter”, who pretty much wrote this post.

OK, so that’s what Streetsifter says … and I couldn’t have said it better. I’ve never heard of this tiny company, and the shares don’t seem to have spiked too much on this recommendation yet, but they are up dramatically on the year.

As always, to be a killjoy I’d urge caution with microcap names in hot industries — was the company built to appeal to small time investors, or do they really have the possibility of a strong future going up against SunTech, SunPower, and the like? Suntech has recently gotten clobbered for significantly lower margins because of problems with polysilicon supply, so how does a tiny upstart like this compete in the polysilicon markets? Or do they have to? Just a couple questions to ask yourself.

A couple notes about this one, just for fun: According to Yahoo[15] Finance, their price/sales ratio is 35,126. Yes, that’s a comma in the middle. For my international readers, it’s 35.126 — the Gumshoe even provides on the fly translation, what a guy!

So they’re not exactly booming in the sales department yet, though they do appear to have some distribution deals. They have 25MW of “capacity” and are planning to double that by the end of the year, and they are also “planning” to have their R&D partnership with Shanghai University help them develop more efficient cells. More power to them, but the reason this is a sub-$2 stock is that a lot of this is “planning” so far … though they are manufacturing and selling cells to some degree, they’ve added a second shift in the factory and made a recent shipment that was their first to Africa. I have no idea how much they need to produce to become profitable, or what their sales growth looks like, it looks like this is indeed extremely early in the life of Solar Enertech as a going concern.

And it’s probably true, as S.R. Nunnaly says, that you need to get in before they break out and/or become leading businesses if you want home run returns. Of course, the home run hitters strike out a lot, too. There are a lot of small and new solar companies out there right now, so if you have a way to differentiate them and figure out which ones are going to be winners I’m sure we’d all like to hear it.

Thanks again to another generous reader for sharing his solution with the Gumshoe and the world.

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Endnotes:
  1. Sara Nunnally: https://www.stockgumshoe.com/tag/sara-nunnally/
  2. Material Profits Wildcatter: https://www.stockgumshoe.com/tag/material-profits-wildcatter/
  3. Taipan: https://www.stockgumshoe.com/tag/taipan/
  4. teaser: http://www.web-purchases.com/MPW/EMPWH603/landing.html?o=1261996&u=16441901&l=822994
  5. solar: http://www.taipanfinancialnews.com/a%20href=
  6. Africa: https://www.stockgumshoe.com/tag/africa/
  7. http://www.solarenertech.com/news/release.asp?numb=227 : http://www.solarenertech.com/news/release.asp?numb=227
  8. India: https://www.stockgumshoe.com/tag/india/
  9. http://www.solarenertech.com/news/release.asp?numb=223 : http://www.solarenertech.com/news/release.asp?numb=223
  10. http://www.solarenertech.com/news/release.asp?numb=221 : http://www.solarenertech.com/news/release.asp?numb=221
  11. http://www.solarenertech.com/news/release.asp?numb=218 : http://www.solarenertech.com/news/release.asp?numb=218
  12. here: http://www.redorbit.com/news/business/716235/solar_enertech_corp_updates_manufacturing_facility_progress/index.html
  13. SunPower (SPWR): http://www.stockgumshoe.com/2007/04/solar-windfall-get-rich-with-best-pv.html
  14. Trina Solar (TSL): http://www.stockgumshoe.com/2007/03/breakthrough-from-tiny-company-deep-in.html
  15. Yahoo: https://www.stockgumshoe.com/tag/yahoo/

Source URL: https://www.stockgumshoe.com/2007/06/stealth-solar-silicon-valleys-secret/


12 responses to ““Stealth Solar: Silicon Valley’s Secret Investment.””

  1. Louis says:

    Here’s another one I got on solar techology. OCTL – it is a spray that goes on Windows – maintianing transparancy and it creates electricity without any short-outs. All kinds of patents. Copy of article. Thoughts ? Octillion Achieves Breakthrough in Development of Transparent Windows Capable of Generating Electricity
    9:15a ET June 4, 2007 (Business Wire)
    Octillion Corp. (Pink Sheets:OCTL) today announced that in early models of Octillion’s transparent photovoltaic ‘NanoPower Windows,’ scientists have successfully engineered and assembled a mechanically stable, see-through developmental prototype, which achieves optically active down-conversion and displays good electrical properties with no electrical shorts.

    “Our ability to produce a developmental prototype which remains see-through while displaying favorable electrical properties, marks a significant breakthrough in development of a working prototype of our ‘NanoPower Windows,’ capable of generating electricity from sunlight without losing significant transparency,” explained Mr. Harmel S. Rayat, President and CEO of Octillion Corp.

    In developing an early model of the world’s first transparent photovoltaic windows of its kind, Octillion researchers have successfully ‘stacked’ silicon nanoparticles between ultra-thin films of metal, onto a glass substrate. Preliminary tests have shown that this stack is mechanically stable and of even thickness. Tests for optical characterization have demonstrated that the model is a high-quality see-through architecture, important to maintaining maximum transparency of the finished commercial product.

    Key to the development of Octillion’s transparent NanoPower Windows is a proprietary spray coating of a silicon nanoparticle film, which is fluorescent and able to convert the sun’s energy into electricity. The process of producing these silicon nanoparticles is supported by 10 issued US patents, 7 pending US patents, 2 issued foreign counterpart patents and 19 pending foreign counterpart patents. The proprietary process for spraying the particles onto glass surfaces is unique to Octillion, and is among the Company’s major research achievements.

    In tests of the developmental prototype window, Octillion’s silicon nanoparticle film was able to successfully convert high energy photons into lower energy photons, thus optimizing electrical conversion by preventing high energy photons from being unnecessarily wasted through conversion into heat.

    Above all, electrical characterization of the developmental prototype gave good electrical properties, with no shorts.

    “These exciting new findings mark a significant breakthrough in our science, which in recent months, has developed strong momentum based on a series of solid research findings. These successful outcomes have collectively propelled our early research program aggressively towards the product development path,” concluded Mr. Rayat.

  2. Louis says:

    Here’s another one I got on solar techology. OCTL – it is a spray that goes on Windows – maintianing transparancy and it creates electricity without any short-outs. All kinds of patents. Copy of article. Thoughts ? Octillion Achieves Breakthrough in Development of Transparent Windows Capable of Generating Electricity
    9:15a ET June 4, 2007 (Business Wire)
    Octillion Corp. (Pink Sheets:OCTL) today announced that in early models of Octillion’s transparent photovoltaic ‘NanoPower Windows,’ scientists have successfully engineered and assembled a mechanically stable, see-through developmental prototype, which achieves optically active down-conversion and displays good electrical properties with no electrical shorts.

    “Our ability to produce a developmental prototype which remains see-through while displaying favorable electrical properties, marks a significant breakthrough in development of a working prototype of our ‘NanoPower Windows,’ capable of generating electricity from sunlight without losing significant transparency,” explained Mr. Harmel S. Rayat, President and CEO of Octillion Corp.

    In developing an early model of the world’s first transparent photovoltaic windows of its kind, Octillion researchers have successfully ‘stacked’ silicon nanoparticles between ultra-thin films of metal, onto a glass substrate. Preliminary tests have shown that this stack is mechanically stable and of even thickness. Tests for optical characterization have demonstrated that the model is a high-quality see-through architecture, important to maintaining maximum transparency of the finished commercial product.

    Key to the development of Octillion’s transparent NanoPower Windows is a proprietary spray coating of a silicon nanoparticle film, which is fluorescent and able to convert the sun’s energy into electricity. The process of producing these silicon nanoparticles is supported by 10 issued US patents, 7 pending US patents, 2 issued foreign counterpart patents and 19 pending foreign counterpart patents. The proprietary process for spraying the particles onto glass surfaces is unique to Octillion, and is among the Company’s major research achievements.

    In tests of the developmental prototype window, Octillion’s silicon nanoparticle film was able to successfully convert high energy photons into lower energy photons, thus optimizing electrical conversion by preventing high energy photons from being unnecessarily wasted through conversion into heat.

    Above all, electrical characterization of the developmental prototype gave good electrical properties, with no shorts.

    “These exciting new findings mark a significant breakthrough in our science, which in recent months, has developed strong momentum based on a series of solid research findings. These successful outcomes have collectively propelled our early research program aggressively towards the product development path,” concluded Mr. Rayat.

  3. Louis says:

    Here’s another one I got on solar techology. OCTL – it is a spray that goes on Windows – maintianing transparancy and it creates electricity without any short-outs. All kinds of patents. Copy of article. Thoughts ? Octillion Achieves Breakthrough in Development of Transparent Windows Capable of Generating Electricity
    9:15a ET June 4, 2007 (Business Wire)
    Octillion Corp. (Pink Sheets:OCTL) today announced that in early models of Octillion’s transparent photovoltaic ‘NanoPower Windows,’ scientists have successfully engineered and assembled a mechanically stable, see-through developmental prototype, which achieves optically active down-conversion and displays good electrical properties with no electrical shorts.

    “Our ability to produce a developmental prototype which remains see-through while displaying favorable electrical properties, marks a significant breakthrough in development of a working prototype of our ‘NanoPower Windows,’ capable of generating electricity from sunlight without losing significant transparency,” explained Mr. Harmel S. Rayat, President and CEO of Octillion Corp.

    In developing an early model of the world’s first transparent photovoltaic windows of its kind, Octillion researchers have successfully ‘stacked’ silicon nanoparticles between ultra-thin films of metal, onto a glass substrate. Preliminary tests have shown that this stack is mechanically stable and of even thickness. Tests for optical characterization have demonstrated that the model is a high-quality see-through architecture, important to maintaining maximum transparency of the finished commercial product.

    Key to the development of Octillion’s transparent NanoPower Windows is a proprietary spray coating of a silicon nanoparticle film, which is fluorescent and able to convert the sun’s energy into electricity. The process of producing these silicon nanoparticles is supported by 10 issued US patents, 7 pending US patents, 2 issued foreign counterpart patents and 19 pending foreign counterpart patents. The proprietary process for spraying the particles onto glass surfaces is unique to Octillion, and is among the Company’s major research achievements.

    In tests of the developmental prototype window, Octillion’s silicon nanoparticle film was able to successfully convert high energy photons into lower energy photons, thus optimizing electrical conversion by preventing high energy photons from being unnecessarily wasted through conversion into heat.

    Above all, electrical characterization of the developmental prototype gave good electrical properties, with no shorts.

    “These exciting new findings mark a significant breakthrough in our science, which in recent months, has developed strong momentum based on a series of solid research findings. These successful outcomes have collectively propelled our early research program aggressively towards the product development path,” concluded Mr. Rayat.

  4. Anonymous says:

    Soene is now soen again, you need to update your ticker in the spreadsheet.

  5. Anonymous says:

    Have you got the teaser on this one yet? Is it the same company? Do this one, please:

    The Biggest Solar Energy Project Ever

    And this tiny California solar company, recently featured on NBC’s Today Show

    http://www.angelnexus.com/o/web/2794

  6. Anonymous says:

    What’s this????
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    The “Last Mile” Revolution
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    In July, an inside deal between two tech giants paved the way for an unknown company to break the barrier depriving 78 million Americans of high-speed Internet.

    Your first shot at high-flying technology profits since the 90s starts with this $4 stock…

    But you only have until Midnight on Monday November 5th to get all the details — and a complimentary $500 to start buying your shares

    Dear Friend,

    On July 19th, telecom behemoth Sprint-Nextel and wireless Web phenom Clearwire inked a letter of intent to join forces and blanket a substantial percentage of the U.S. with a high-speed wireless broadband network.

    These tech giants intend to start bringing most of America’s major metro and suburban areas high-speed Web access before the end of this year — reaching full capacity by New Year’s Eve 2008…

    Whole cities — including parks, stadiums, bars, historic districts and waterfronts — will now be covered by fast, powerful wireless, microwave Internet access.

    No more squeezing in at the noisy local café or bookstore just to tap into a Wi-Fi hotspot.

    You’ll work, write, e-mail, Web-surf, check stock prices and sports scores from anywhere in town…

  7. Anonymous says:

    The following is WGPWF
    Outstanding Investments
    Nov. 9, 2007

    New “Slow Volcano” Energy Mandate

    Dear OI subscriber,

    A new California law could be creating one of the biggest energy opportunities since nuclear power came on the scene in the 50’s. The law will force California to produce 20% of its power from sources such as “slow volcano” power.

    Luckily we’ve known about this “slow volcano” power for sometime now. And our resident energy expert Byron King has come up with the best possible ways for you to cash in on this new power source.

    It’s all spelled out in the report below, take the next 10 minutes to read on…

    Enjoy,

    Matt Insley
    Associate Publisher, Outstanding Investments

    “Slow Volcano” Power Could Soon Light Every Streetlight in San Francisco…

    without Burning One Ounce of
    Coal, Oil or Gas

    California Senate Bill # 107 Will Legally Force California to Produce 20% of its Electricity from Sources Like “Slow Volcano” Power by December 31, 2010…

    AND — 18 MIT Scientists Say that “Slow Volcano” Power Can Produce 2,000 Times the Amount of Electricity that America Consumed in the Year 2005…

    This Company is the Only pure play on Californian “Slow Volcano” Power…and You Could Buy 100 shares for only $38

    Dear Curious Reader,

    Right now, a “slow volcano” broils deep beneath the brown mountains 72 miles north of San Francisco.

    Don’t worry though. This volcano will never erupt.

    You see, unlike other volcanoes you know about, this “slow volcano” has no opening to the earth’s surface.

    It’s completely underground. So it can’t erupt. That’s why I call it a “slow” volcano.

    But did you know that you can harness the “slow volcano” heat to light the streetlamps of San Francisco? Same for the air conditioners, stoves, refrigerators and flat panel TV’s..?

    Let me explain…

    How “Slow Volcano” Power Could Soon Light
    the Streetlamps of San Francisco

    Although it sounds mysterious and impossible, it’s simple.

    A “slow volcano” spews out heat. This cooks the nearby ground water.

    The water turns into steam.

    Then, you drill a hole in the ground and let that steam spin a turbine.

    The turbine spits out electricity.

    It works just like a coal or natural gas power plant.

    Except those two types of plants use heat from burning fossil fuels to boil water. Then they use the steam to spin turbines.

    Same with nuclear power. But the heat that makes the steam comes from an atomic reaction.

    But, as you probably noted, “slow volcano” power pumps out hot steam WITHOUT burning any fossil fuels or using rare uranium.

    That stunning fact makes “slow volcano” power the ultimate in renewable energy. More on that in a moment.

    But first: why San Francisco and why now?

    The largest, most productive “slow volcano” in the world sits a short 72 miles north of San Francisco.

    Nestled under the Mayacamas Mountain range in Sonoma wine country, today this “slow volcano” pumps out 750 megawatts of electricity. That’s enough to power 750,000 homes, or a city the size of San Francisco.

    You ask “Ok, but why now?”

    How the California Gov’t Forced Massive Growth in Energy Sources Like “Slow Volcano” Power over the Next 2 Years

    California recently passed Senate Bill # 107.

    This bill says that 20% of electricity sold in the state must come from renewable sources by December 30, 2010. And Governor Schwarzenegger hurried to place a 33% target by 2020.

    Let’s put those numbers into perspective…

    First you should know that California has the world’s sixth largest economy. That’s big. Bigger than the entire countries of Italy and China!

  8. MarWi says:

    What a pile of BS

  9. Hello. I think you are eactly thinking like Sukrat. I really loved the post.

  10. i’m fairly new at investing and really enjoy your column.can you explain mlb”s in laymen terms.
    thanks
    max

  11. Tasha says:

    SOEN – Solar Enertech Corp

    Solar EnerTech Corp. is a manufacturer of high quality photovoltaic (PV) solar energy cells and state-of-the-art solar applications. Their headquarters, in Menlo Park, California, is also the location where marketing, purchasing, and distribution activities take place. The company trades on the OTCBB and invests in photovoltaic cell research to develop higher efficiency solar cells.

    Solar EnerTech has constructed a 63,000-square-foot manufacturing and research facility in Shanghai�s Jinqiao Modern Science and Technology Park in China, where they manufacture PV solar cells and design advanced PV modules for roof panels, solar arrays, and modules incorporated directly into exterior walls, as well as for other applications. The company is currently able to produce 25MW of solar cells from their existing production line, and is currently working to complete a second 25MW production line to make better use of all their capacity and to meet future customer demand.

    The company�s main target for solar products is in Europe. This is due to the different government incentive programs, which are causing people to turn to solar power. Their secondary market is in the United States, where California is aggressively pursuing a solar initiative with their One Million Solar Roof incentive program for residences and businesses.

    Recent HighLights:
    MOUNTAIN VIEW, Calif.–(BUSINESS WIRE)–Solar EnerTech Corp. (OTCBB:SOEN) (the "Company") Announced it has entered into a 15MW contract with Aussie Solar Installations (�Aussie Solar�), a division of Carbon Management Solutions Pty Ltd., one of Australia�s leading distributors of solar power equipment, to distribute the Company�s solar panel modules in Australia.

    �This new contract is a reflection of the improved business environment as we�re seeing more customers place orders with us based on our high quality, customized products. We have the right operating platform and team in place to further increase our new business opportunities and expand our customer base.�

    Aussie Solar has specialized in the sale, assembly and installation of photovoltaic equipment since 2001. Aussie Solar/Carbon Management Solutions is a prime PV system integrator and over the years, has grown into one of the largest solar power installers in New South Wales, Australia. Since 2009, Aussie Solar has had the exclusive right to distribute Solar EnerTech�s solar panels in Australia. Under the contract, Solar EnerTech�s total shipment to Aussie Solar amounts to approximately US$26 million, which the Company plans to deliver in separate shipments before the end of 2010.

    http://www.thestreet.com/story/10673…r-company….

    —————————————————————————————

    Aussie Solar:
    Up to 20,000 Abu Dhabi construction workers will have Australian solar technology to thank for their hot showers with one of the world's largest commercial installations officially launched today.

    International Manager for Solahart Industries, Mark Perger, said the multimillion dollar facility launched at the World Future Energy Summit, required the installation of large, centralised Australian-made water storage systems, providing millions of litres of hot water to thousands of site workers every day.

    Austrade�s Trade Commissioner for Abu Dhabi, Elizabeth Gordon, said the innovative product was a great example of Australian expertise in the renewable energy and clean technology space.

    http://www.austrade.gov.au/Aussie-so…t/default….

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