Auriga USA Downgrades JA Solar To Hold From Buy

Auriga USA analyst Mark Bachman this morning downgraded JA Solar (JASO) to “Hold” from “Buy” based on valuation.

In a research note to investors Bachman wrote that the “long-term investors may still find further upside to the shares as they assign a below-average P/E of just 8x, given JASO’s lack of vertical integration within the solar supply chain, while short-term investors should find the current price level attractive to recognize profits.

Bachman also wrote that the ticker’s PPS has moved “meaningfully above” his $8 target price.

Shares of JA Solar fell 54 cents, or 4.79 percent, to $8.79 in midday trading.