What the Fuss Rubicon Tech, First Solar and Wynn Resorts?
In this report: Rubicon Technology (NASDAQ:RBCN), First Solar (NASDAQ:FSLR) and Wynn Resorts (NASDAQ:WYNN). Rubicon Technology (NASDAQ:RBCN) is trading over 8 percent lower today after an analyst at Piper Jaffray downgrading the stock on concerns of falling prices for LED supplies and its products. Ahmar Zaman stated The LED industry has added significant MOCVD [metalorganic chemical vapour deposition – equipment used to make LEDs] capacity over the last 2 years, some of it to meet genuine demand, but a majority of the incremental capacity adds were encouraged by subsidies in China. Chinese subsidies have resulted in a glut of MOCVD reactors. We believe the industry will go through a digestion phase over the next 4 quarters resulting in declining orders. Sapphire pricing is suffering from low industry utilization due to a lack of demand for LED backlighting for TV currently, and is unlikely to recover anytime soon as significant capacity is added in 2012 and beyond with the help of merchant suppliers of equipment.” He went on to cut his rating on the company to ‘Underweight’ from ‘Neutral’ and put a new price target on the company of $7 a share, dropped from $15 a share. First Solar (NASDAQ:FSLR) dropped to a new 52-week low after analyst cut their estimates on 22 company’s in the clean tech sector. An analyst said of the cuts “Solar is the biggest culprit: pricing and margin assumptions go drastically lower, as the global photovoltaic glut has worsened well beyond our expectations from earlier in the year.” First Solar currently trades at $55.94 a share, up from a low of $55.55 a share. Wynn Resorts (NASDAQ:WYNN) is trading 1.2 percent lower today at $138.01 a share. A report released by The Nevada Gaming Control Board showed that Nevada Casinos won $887 million during August, a 6.1 percent drop compared with August of 2010. The report showed that casinos on the Las Vegas Strip dropped by 8.7 percent in August, bringing in $497 million. For the fiscal year beginning in July gambling revenues for the state of Nevada are down 1.5 percent to $1.75 billion.