MEMC Surges After Goldman Upgrades Shares and Raises TargetJustin Doom
MEMC Electronic Materials Inc., the second-largest U.S. polysilicon maker, rose to a 22-month high after Goldman Sachs Group Inc. added the company to its “conviction buy” list and increased its price target 25 percent.
The company rose 9.6 percent to $8.35 at the close in New York, the highest since July 2011.
MEMC “remains our top idea across our solar coverage given a unique sum-of-the-parts story,” Brian Lee, a New York-based analyst at Goldman, wrote in a note to investors today. Lee increased his 12-month price target to $10 from $8.
The company, based in St. Peters, Missouri, makes polysilicon wafers that can be used in semiconductors and solar cells. Shareholders are expected to vote today on changing the company’s name to SunEdison Inc., the name of its solar unit.
Hemlock Semiconductor Corp. is the biggest U.S. producer of polysilicon.