Hapoalim Securities Has Thoughts On Solar Industry (STP, FSLR)

Hapoalim Securities is out with a research report this morning discussing the correlation between a weakening euro, and solar stocks.

It said in the report that Suntech Power Holdings Co., Ltd. (NYSE: STP) is the most vulnerable to a weakening euro, while First Solar (NASDAQ: FSLR) is the most resilient.

In the research report, Hapoalim Securities noted, "Though a flat Euro will likely not have a material impact on solar sector performance, we believe significant selling pressure driving the Euro below $1.25 would serve as a material headwind to the stocks even in the face of strong pricing and demand in 2H10."

Shares of STP closed at $7.74 yesterday, while FSLR closed at $127.85.