NEW YORK (TheStreet) -- Yingli Green Energy Holding (YGE) stock is climbing on Tuesday after the company nearly halved its quarterly net loss in its first quarter, increased its gross margins by tamping costs, and guided for an increase in orders in coming quarters.
The energy company recorded a net loss of 35 cents a share in its March-ending quarter compared to losses of 63 cents a share in the year-ago quarter. Gross margins climbed to 15.68% from 4.14% a year earlier as the company better managed its costs and overheads. Revenue was 0.2% higher to $432.2 million.
Yingli Green said it forecasts PV module shipment targets in the range of 4GW to 4.2GW for the full year ending December, representing an increase of 23.7% to 29.9% year over year.
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Shares are spiking 3.7% to $3.65, even as earnings and revenue missed analysts' estimates. Analysts surveyed by Thomson Reuters anticipated net losses of 24 cents a share and revenue of $464 million.
Separately, TheStreet Ratings team rates YINGLI GREEN ENERGY HLDGS CO as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate YINGLI GREEN ENERGY HLDGS CO (YGE) a SELL. This is driven by a number of negative factors, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its generally high debt management risk, disappointing return on equity and poor profit margins."
- You can view the full analysis from the report here: YGE Ratings Report