Tokuyama Jumps Most in Almost Three Years Amid Solar Share Rally
Tokuyama gained as much as 14 percent before closing at 264 yen today on the Tokyo Stock Exchange.
Prices of polysilicon, the main ingredient in solar cells, rose 3 percent to $27.36 a kilogram last week from the week before, according to Bloomberg New Energy Finance, only the second weekly increase since September.
Yoshiyuki Namiki, an analyst at SMBC Nikko Securities Inc., said shares in ingredient makers for solar cells such as Tokuyama were bought following a rally in related shares in the European and American markets yesterday. SUMCO (3436), a Japanese manufacturer of silicon wafers, added 3.3 percent to 571 yen at the close, the highest since Dec. 12.
Tokuyama’s surge may be temporary, Namiki said before the market close. He said the company’s pricing for polysilicon was set at $60 a kilogram for 2011, twice as much as the current market price. “So there is risk of losing profits,” he said.
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