We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Daqo New Energy's (DQ) Unit Receives Energy Consumption Approval
Read MoreHide Full Article
Daqo New Energy Corp. (DQ - Free Report) recently announced that its subsidiary Xinjiang Daqo had received energy consumption approval for its polysilicon projects in Baotou, China.
The projects consist of a 100,000 MT polysilicon project for the solar industry and a 1,000 MT polysilicon project for the semiconductor industry with a total investment of roughly RMB8.55 billion. The construction is projected to commence in the first quarter of this year and to be completed in the second quarter of 2023.
Daqo stated that the polysilicon expansion projects in Baotou would significantly boost its production capacity, leveraging the industry's cutting-edge technologies and processes. It also takes this opportunity to broaden its business to the semiconductor industry, which is an important step to diversify business capitalizing on accumulated expertise and technology advantages.
The renewable energy revolution is providing a fast-growing market. It is confident that the new polysilicon projects in Baotou will enable it to continuously increase its market share and enhance leadership in the polysilicon industry, the company noted.
Shares of Daqo have declined 53.6% in the past year compared with a 2.2% fall of the industry.
Image Source: Zacks Investment Research
The company is expected to gain from higher production and sales volumes for polysilicon. Higher polysilicon average selling prices driven by strong downstream demand are also expected to boost its sales and margins.
Daqo’s facilities are running with increased efficiency, which is likely to drive production volumes. The company’s efforts to improve its cost structure are also likely to support its margins. Its energy efficiency efforts and enhanced manufacturing efficiencies are contributing to lower costs.
Zacks Rank & Key Picks
Daqo currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks worth considering in the basic materials space include Albemarle Corporation (ALB - Free Report) , Commercial Metals Company (CMC - Free Report) and AdvanSix Inc. (ASIX - Free Report) .
Albemarle, currently carrying a Zacks Rank #2 (Buy), has an expected earnings growth rate of 49.8% for the current year. The Zacks Consensus Estimate for ALB's current-year earnings has been revised 9.2% upward in the past 60 days. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Albemarle beat the Zacks Consensus Estimate for earnings in each of the trailing four quarters, the average being 22.1%. ALB has rallied around 24.4% in a year.
Commercial Metals, flaunting a Zacks Rank #1, has a projected earnings growth rate of 10.5% for the current fiscal year. CMC's consensus estimate for the current fiscal year has been revised 6.6% upward in the past 60 days.
Commercial Metals beat the Zacks Consensus Estimate for earnings in three of the last four quarters while missing the same once. It has a trailing four-quarter earnings surprise of roughly 7.4%, on average. CMC has rallied around 57% in a year.
AdvanSix has a projected earnings growth rate of 3.9% for the current year. The Zacks Consensus Estimate for ASIX’s earnings for the current year has been revised 1.6% upward in the past 60 days.
AdvanSix beat the Zacks Consensus Estimate for earnings in each of the trailing four quarters, the average being 46.9%. ASIX has rallied 97.8% in a year. It currently carries a Zacks Rank #2.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Daqo New Energy's (DQ) Unit Receives Energy Consumption Approval
Daqo New Energy Corp. (DQ - Free Report) recently announced that its subsidiary Xinjiang Daqo had received energy consumption approval for its polysilicon projects in Baotou, China.
The projects consist of a 100,000 MT polysilicon project for the solar industry and a 1,000 MT polysilicon project for the semiconductor industry with a total investment of roughly RMB8.55 billion. The construction is projected to commence in the first quarter of this year and to be completed in the second quarter of 2023.
Daqo stated that the polysilicon expansion projects in Baotou would significantly boost its production capacity, leveraging the industry's cutting-edge technologies and processes. It also takes this opportunity to broaden its business to the semiconductor industry, which is an important step to diversify business capitalizing on accumulated expertise and technology advantages.
The renewable energy revolution is providing a fast-growing market. It is confident that the new polysilicon projects in Baotou will enable it to continuously increase its market share and enhance leadership in the polysilicon industry, the company noted.
Shares of Daqo have declined 53.6% in the past year compared with a 2.2% fall of the industry.
The company is expected to gain from higher production and sales volumes for polysilicon. Higher polysilicon average selling prices driven by strong downstream demand are also expected to boost its sales and margins.
Daqo’s facilities are running with increased efficiency, which is likely to drive production volumes. The company’s efforts to improve its cost structure are also likely to support its margins. Its energy efficiency efforts and enhanced manufacturing efficiencies are contributing to lower costs.
Zacks Rank & Key Picks
Daqo currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks worth considering in the basic materials space include Albemarle Corporation (ALB - Free Report) , Commercial Metals Company (CMC - Free Report) and AdvanSix Inc. (ASIX - Free Report) .
Albemarle, currently carrying a Zacks Rank #2 (Buy), has an expected earnings growth rate of 49.8% for the current year. The Zacks Consensus Estimate for ALB's current-year earnings has been revised 9.2% upward in the past 60 days. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Albemarle beat the Zacks Consensus Estimate for earnings in each of the trailing four quarters, the average being 22.1%. ALB has rallied around 24.4% in a year.
Commercial Metals, flaunting a Zacks Rank #1, has a projected earnings growth rate of 10.5% for the current fiscal year. CMC's consensus estimate for the current fiscal year has been revised 6.6% upward in the past 60 days.
Commercial Metals beat the Zacks Consensus Estimate for earnings in three of the last four quarters while missing the same once. It has a trailing four-quarter earnings surprise of roughly 7.4%, on average. CMC has rallied around 57% in a year.
AdvanSix has a projected earnings growth rate of 3.9% for the current year. The Zacks Consensus Estimate for ASIX’s earnings for the current year has been revised 1.6% upward in the past 60 days.
AdvanSix beat the Zacks Consensus Estimate for earnings in each of the trailing four quarters, the average being 46.9%. ASIX has rallied 97.8% in a year. It currently carries a Zacks Rank #2.