2. LDK Solar ( LDK), a producer of solar wafers and solar module manufacturer, sells multicrystalline and monocrystalline silicon wafers to manufacturers of solar cells and modules. The company has its production facility in the Xinyu city of Jiangxi Province, China. Besides, LDK also engages in providing wafer-processing services.

To meet growing semiconductor, solar and flat panel display demand, LDK Solar recently invested $35 million in a manufacturing line to produce silane gas at its Mahong Plant in China.

The facility will have a designed capacity of 2,000 metric tons, with construction expected to commence in the third quarter of 2011. Commercial production is expected to begin in the second quarter of 2012. In the absence of a domestic silane gas supplier, LDK is likely to gain first-mover advantage through its product offerings.

To leverage the growing opportunities in the LED industry, LDK announced a business investment of almost $40 million to establish a new manufacturing plant in Jiangxi Province.

The facility will have the capacity to supply two million two-inch equivalent pieces of sapphire wafers per year. Additionally, with the launch of a new cell-manufacturing site in Anhui Province, LDK Solar's cell capacity is seen expanding to 570 MW per annum.

Of the 25 analysts covering the stock, 36% rate it a buy while 44% rate it a hold. Analysts polled by Bloomberg have an average price target of $15.10 over the next 12 months, implying upside of 39.3%.

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