NEW YORK (TheStreet) -- JinkoSolar Holding Co (JKS) is up 4.9% to $28.59 in early market trading on Tuesday.
The increase comes on the news that the solar product manufacturer had signed a solar distribution agreement with PROINSO India. Under the terms of the deal, PROINSO will begin distributing JinkoSolar PV modules through its expansive sales network in India.
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That news follows last weeks announcement that the company had signed a $39 million loan agreement with China Development Bank to finance two PV solar projects in Xinjiang and Gansu Provinces.
JinkoSolar had coverage initiated on its shares with an "overweight" rating by Barclays (BCS) Tuesday. The firm set a price target of $51 for the company.
"If the Chinese government further increases its cumulative solar energy installation target of 50GW by 2015, we expect solar cell/module prices could rise given the supply/demand dynamics might be tighter in such a scenario. In this case, we would expect Jinko's gross margin and ROE to be higher and the share price could be re-rated," Barclays analysts said.
TheStreet Ratings team rates JINKOSOLAR HOLDING CO as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate JINKOSOLAR HOLDING CO (JKS) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and impressive record of earnings per share growth. However, as a counter to these strengths, we also find weaknesses including generally higher debt management risk and poor profit margins."