MOTLEY FOOL SAYS BUY SOLAR AND BE PATIENT

The Fool Speaks: “The moral of the story is to look beyond the dark clouds. They'll pass. How bright the sun -- and the solar-energy stocks -- will shine beyond that remains to be seen.”

The Fool endorses Real Goods Solar because it has a solid customer base and is good at serving its customers.

The diminished performance of big solar companies this year is not, according to The Fool, because of the industry’s loss of growth potential. It is just going through a natural shaking out process.

The Fool has become a King for his market wisdom. (click to enlarge)

Not Another Solar-Energy IPO
Rick Aristotle Munnariz, February 8, 2008 (Motley Fool)

WHO
Rick Aristotle Munnariz, a Motley Fool, Real Goods Solar, subsidiary of Gaiam

WHAT
The Motley Fool endorses Real Goods Solar on the ocassion of its Initial Public Offering (IPO) despite the fact that solar energy companies which in the last few years had big IPOs (First Solar, SunPower, Suntech Power) have done poorly recently and the only solar company IPO this year has also gone down in value.

The Fool recommends Real Goods Solar. (click to enlarge)

WHEN
- The Real Goods Solar IPO was February 7.
- Real Goods Solar was begun in 1978. It made the first solar panel sale in the U.S. that year.
- ReneSola, the only other solar company IPO this year, started at $13 but has dropped 14%.

WHERE
- Real Goods Solar is based in Colorado.
- RenSola is based in China.

WHY
- Real Goods Solar specializes in solar system installations for residences and businesses. It has installed 60,000+ systems. It has developed user-friendly tools to determine the size and type of system required and it is big enough to “front” all rebates and refunds, making the choice to install a solar system as accessible as possible.
- Parent company Gaiam’s new age, earth-friendly retail base (“Green Living, Yoga, Fitness & Organic Products”) makes a natural source of cusotmers for Real Goods Solar.
- Gaiam revenue grew 24% in the first 9 months of 2007.

A Real Goods Solar strength - Gaiam, its parent company. (click to enlarge)

QUOTES
- Motley Fool: “…like Kermit the Frog, Real Goods was green before being green was cool.”
- Motley Fool: “By the time the IPO hits the market, sentiment may have turned favorable again on the solar-energy industry. If so, Gaiam could become a compelling investment, too.”