Barron's: "More Clouds Gather Over Solar-Power Producers"

Barron's is doing a great job warning people about this rally in junk solar stocks. The latest article (interview with Gordon Johnson) is quite simply awesome. Here are some choice bits:

• "The bearishness I feel now is the most pronounced since I've covered the stocks."
• "[I]n 2008 and every year through 2011, you had miracles in some end market [...] In 2013 you will have a full year of these incentive cuts impacting global solar demand."
• "A lot of the bigger solar manufacturers sign long-term contracts with polysilicon manufacturers at fixed prices. So when prices start to fall, they are actually at a disadvantage"

He talks mostly about the bigger players that are still perceived as having value. Obviously, there is no need to really comment on companies with bonds trading at yields above a hundred percent. (Although the previous article went so far as to point out that those will underperform.)