JinkoSolar Stock Up 15% After Earnings
The company's stock surged as its third quarter results beat on sales and earnings.
JinkoSolar Holding Co. Ltd. (NYSE: JKS) stock jumped 15.5 percent today to $10.65 per share as the company reported its results for the third quarter of 2018.
The Shangrao-based solar panel maker beat analyst projections for both revenue and earnings per share. JinkoSolar reported 6.69 billion yuan ($974.8 million) in revenue for the quarter ending Sept. 30, up from 6.42 billion yuan in the third quarter of 2017.
Net income for the third quarter of 2018 totaled 189.1 million yuan ($27.5 million), up from 99 million yuan during the previous quarter and 11.3 million yuan in the third quarter of 2017. This translated to 72 cents per American depositary share. Each JinkoSolar ADS represents four ordinary shares.
According to Yahoo! Finance, analysts had expected $934 million in revenue and a loss of 9 cents per JinkoSolar ADS.
"We had a solid quarter with module shipments hitting record high of 2,953 MW," said Kangping Chen, JinkoSolar's CEO. "While Chinese demand softened following the May 31 policy announcement, our business continued to grow thanks to our diverse global customer base and strong brand recognition."
"We are now ideally positioned with our order book in Q4 almost full from growing overseas markets and our products being in short supply," Chen said.
JinkoSolar reported a decline in solar module prices during the third quarter. Overseas orders comprised nearly 80 percent of the company's shipments in the three months.
The company expects solar module shipments ranging from 3.7 to 4 gigawatts (GW) in the fourth quarter of 2018.
Analysts rate JinkoSolar stock a "Hold," with an average target price of $12.22 per share, 14.7 percent above today's closing price. The stock is down 61.6 percent year-to-date.