XsunX, Inc. was founded about four years ago to develop and commercialize advanced, thin-film photovoltaic (TFPV) solar cell technologies and manufacturing processes. Throughout the past year, the Company has changed its focus from licensing its technologies to utilizing its technologies to design a leading-edge manufacturing system for producing and marketing thin-film amorphous solar modules.
The Company has already begun working on a US-based multi-megawatt solar module production facility. XsunX has commissioned a baseline production system which is anticipated to come on-line in early 2008 and will serve as the blueprint for a 25 megawatt (MW) production system projected to become operational by the end of next year. The Company also anticipates expanding its annualized solar module manufacturing capacity to 100 MW by the first part of 2010.
One of XsunX’s objectives is to market its solar cells and modules to large-scale solar energy device installers and operators, such as solar farms, government agencies, power purchase associations, utility companies and large commercial installations. In expectancy of commercial production, the Company has begun loading its sales channels and building its brand. So far, XSNX has entered pre-sales agreements with solar integrators reserving over 100 MW of its future solar module production capacity.
In conclusion the analyst stated, “At the Company’s current $48 million market capitalization, XSNX trades at less than one time our FY 2009 revenue estimate. We think these shares are substantially undervalued at current prices, and are thus initiating coverage of XSNX with a Speculative Buy rating and a $1.50 price target, based on a four times forward Price/Sales multiple of our $60 million FY 2009 revenue estimate.”
Let us hear your thoughts: