) -- Is upside just about tapped out in solar stocks ahead of earnings?

An announcement from

TST Recommends

JA Solar


in the pre-market on Tuesday morning might suggest that outperformance by solar companies has already been baked into the numbers.

JA Solar upped its shipment guidance for the third quarter from 375 megawatts to 410 megawatts. To pre-report -- both good and bad news -- is a typical move by Chinese solar companies, but the JA Solar bullish earnings peak isn't having that large an effect on its shares early on Tuesday.

JA Solar shares were up 1% to 2% in early trading on Tuesday, but keep in mind that JA Solar shares fell 7% in the past five trading session, and are still off 52-week high levels reached early in October.

Also, JA Solar reached those 52-week high levels, above $10 per share, after making some bullish announcements about the outlook for 2011 in September and October. From Sept. 23 to Oct. 13, JA Solar shares climbed from below the $8 mark to above $10.

In September, when JA Solar announced 500 MW of orders for 2011, its shares jumped by 8%. In October, when JA Solar announced a 185 MW deal with BP Solar, its shares jumped 5%.

On Tuesday morning, even with the shipment raise for the coming quarterly results, JA Solar shares were trading at $8.68.

-- Written by Eric Rosenbaum from New York.


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