Daqo New Energy (DQ +24.1%) skyrockets to a new record high following news that a factory in China operated by rival GCL-Poly Energy was shut down following a series of explosions, Bloomberg reports, citing Roth Capital Partners.
According to the report, Roth analyst Philip Shen says GCL’s damaged facility in Xinjiang will remove ~10% of the global supply of polysilicon, the semiconducting material used in most solar panels, for 3-6 months.
Shen expects the poly pricing impact to be “immediate and exacerbated by the current state of the industry supply chain, which is currently lean.”
